South Australian Current Acts

LEGAL PRACTITIONERS ACT 1981 - SECT 52

52—Professional indemnity insurance scheme

        (1)         The Society may, with the approval of the Attorney-General, establish a scheme providing professional indemnity insurance, to an extent provided by the scheme, for the benefit of legal practitioners and law practices.

        (2)         The scheme—

            (a)         will operate for the benefit of a class, or classes, of legal practitioners or law practices defined in the scheme;

            (b)         will provide for insurance indemnity partially under a master policy negotiated between the Society and insurers participating in the scheme and partially from a professional indemnity fund to be established, administered and applied in accordance with the scheme;

            (c)         may provide for the determination and settlement of claims against legal practitioners or law practices covered by the scheme;

            (d)         may impose on legal practitioners or law practices obligations to pay premiums, levies, fees or other charges (which may vary according to factors stipulated in the scheme);

            (e)         may impose, or provide for the imposition of, civil or criminal sanctions or penalties against legal practitioners or law practices who fail to comply with their obligations under the scheme;

            (f)         may confer discretionary powers on the Society in relation to the administration or enforcement of the scheme;

            (g)         may make any other provision reasonably necessary for, or incidental to, the administration or enforcement of the scheme.

        (3)         The scheme, and any amendment to the scheme made by the Society with the approval of the Attorney-General, have the force of law and are binding on—

            (a)         the Society;

            (b)         the legal practitioners and law practices covered by the scheme;

            (c)         the insurers and other persons to whom the scheme applies.

        (4)         The Society must keep a copy of the scheme and of any amendment to the scheme available for inspection at its public office and must, on request for a copy of the scheme or amendment and payment of a reasonable fee fixed by the Society, provide such a copy.

        (5)         In this section—

"legal practitioner" includes—

            (a)         a member of a faculty of law in a university; and

            (b)         a person who has ceased to be a legal practitioner but who was a legal practitioner when a liability covered by the scheme arose; and

            (c)         an interstate legal practitioner;

"professional indemnity insurance" means insurance against—

            (a)         civil liability arising in connection with legal practice (whether the liability arises from an act or omission on the part of the insured legal practitioner or some other person);

            (b)         civil liability incurred by a legal practitioner or law practice in connection with the administration of a trust of which the practitioner is a trustee.