(1) The prescribed authority may conduct an audit of (a) the compliance of an incorporated legal practice (and of its officers and employees) with the requirements of (i) this Part; or(ii) the regulations or the legal profession rules, so far as they relate specifically to incorporated legal practices; and(b) the management of the provision of legal services by the incorporated legal practice (including the supervision of officers and employees providing the services).
Note. Section 118(3) (Incorporated legal practice must have legal practitioner director) requires legal practitioner directors to ensure that appropriate management systems are implemented and maintained.
(2) The prescribed authority may appoint, in writing, a suitably qualified person to conduct the audit.(3) The appointment may be made generally or in relation to a particular incorporated legal practice, or in relation to a particular audit.(4) An audit may be conducted whether or not a complaint has been made against an Australian lawyer with respect to the provision of legal services by the incorporated legal practice.(5) A report of an audit (a) is to be provided to the incorporated legal practice concerned; and(b) may be provided by the prescribed authority or to the prescribed authority (as the case may be); and(c) may be provided by the prescribed authority to a corresponding authority; and(d) may be provided by the prescribed authority to the Board; and(e) may be taken into account in connection with any disciplinary proceedings taken against legal practitioner directors or other persons or in connection with the grant, amendment, suspension or cancellation of Australian practising certificates.