South Australian Current Acts South Australian Current Acts (1) Subject to this
Part, where—
(a) a
person suffers loss as a result of a fiduciary or professional default; and
(b)
there is no reasonable prospect of recovering the full amount of that loss
(otherwise than under this Part),
the person may, by instrument in writing served on the Society, claim
compensation under this Part.
(1a) In determining
whether there is a reasonable prospect of recovering the full amount of a loss
for the purposes of subsection (1)(b), potential action for the recovery
of the amount that would not be taken by an ordinarily prudent, self-funded
litigant is to be disregarded.
(2) The amount of a
claim cannot exceed—
(a) the
actual pecuniary loss suffered by the claimant in consequence of the
fiduciary or professional default (including the reasonable costs of making
the claim); less
(b) any
amount that the claimant has received, or may reasonably be expected to
recover (otherwise than under this Part) in reduction of that loss.
(3) If a valid claim
has not been satisfied as provided by this Part at the expiration of
12 months from the day on which it was lodged with the Society it is
then, to the extent to which it has not been satisfied, increased by interest
at a prescribed rate calculated from the expiration of that period.
(4) No claim can be
made under this Part—
(a) in
respect of a fiduciary or professional default occurring before 4 December,
1969; or
(ab) in
respect of a fiduciary or professional default occurring outside this State
unless it occurs in the course of, or incidentally to—
(i)
legal work arising from instructions taken in this State;
or
(ii)
legal work substantially carried out in this State; or
(b) in
respect of a liability for which indemnity is provided under a scheme of
professional indemnity insurance under Division 13 of Part 3.
(5) Despite the other
provisions of this section—
(a) a
claim can only be made in relation to a fiduciary or professional default
by—
(i)
an interstate legal practitioner; or
(ii)
an incorporated legal practice that is not required to be
insured under a scheme established under section 52,
in circumstances provided for by an agreement or arrangement made by the
Society with the approval of the Attorney-General under section 95AA; and
(b) an
agreement or arrangement so made under section 95AA may prescribe
limitations or conditions in respect of any such claim.