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ARNECC Model Participation Rules Version 5

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The ARNECC Model Participation Rules Version 5 for e-conveyancing are in effect from 25 February 2019 in NSW, VIC, QLD, WA and SA.

Client Authorisation Forms

There are now two separate types of Client Authorisation Forms:

  • Client Authorisation Representative– authorises a solicitor or conveyancer to act for the client in a conveyancing transaction;
  • Client Authorisation Attorney– authorises a person acting under a power of attorney to act for the donor in a conveyancing transaction, the donor being the person giving the power.

See rules 5.6 and 6.3 for requirements.

Practitioners must ensure they use the correct Client Authorisation Form for each conveyancing transaction.

These forms are available on all By Lawyers Conveyancing matter plans within Folder ‘A. Getting the matter underway > Verification of identity folder’.

Verification of Identity in mortgage transactions

Responsibilities for verifying the identity of mortgagors have been updated. Practitioners acting for a mortgagee, must take reasonable steps to verify the identity of mortgagors in accordance with r 6.5.1(b), even where the mortgagor is represented.

Additional identity documents

Australian Evidence of Immigration Status ‘ImmiCard’ and Australian Migration Status ‘ImmiCards’ are now acceptable types of identity documents and have been added to the table in Schedule 8 of the Model Participation Rules.

All relevant By Lawyers publications have been updated to reflect the ARNECC Model Participation Rules Version 5, including the detailed Verification of Identity commentary located in all conveyancing and property matter plans under Folder ‘A. Getting the matter underway’.

Personal Property Securities Act and leases

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Personal Property Securities Act and leases

All By Lawyers Lease Publications have been updated to include new commentary on the implications of the Personal Property Securities Act  2009 (PPSA) for landlords and tenants when entering into a new lease and on assignment. The Retainer instructions and To do list precedents have also been updated to ensure that these important considerations are not overlooked.

Leases often encompass personal property, such as fit-out owned by the landlord made available under the lease, or plant and equipment owned by the tenant left in the premises on abandonment.

In such situations, the PPSA can operate to deprive the true owner of their rights if not recorded on the Personal Property Securities Register (PPSR). For example, unless a landlord registers a security interest on the PPSR in relation to their personal property which is in the possession of a tenant, they may not be adequately protected against claims on the property by third parties including the tenant’s financier.

At the time of entering into a new lease or on assignment, a landlord should consider whether registration of a security interest is required in relation to any personal property. Consideration should also be given to the inclusion of a PPSA clause in the lease to allow the landlord to enforce security interests in personal property. Any such clause must be reasonable, should be confined only to the relevant personal property concerning the lease and should not affect the tenant’s ability to obtain finance or provide security to their financier.

For further information on Personal Property Securities Act and leases , see the By Lawyers Lease publications and the By Lawyers dedicated Personal Property Securities publication.

Jurisdiction of Small Claims Division increased – NSW

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An amendment to section 29(1)(b) of the Local Court Act sees the jurisdiction of the Small Claims Division increased from 28 February 2019.

The jurisdictional limit of the Local Court when sitting in its Small Claims Division will now be $20,000 as of 28 February.

Previously the jurisdictional limit was $10,000. The amendment does not apply to proceedings instituted in the Court before 28 February 2019.

This increase was legislated under the Justice Legislation Amendment Act (No 3) 2018 No 87 with commencement upon proclamation. The Governor of NSW made the proclamation on 13 February 2019.

The By Lawyers Local Court Civil publication has been updated accordingly.

Changes to Family Court Consent Orders kit and eFiling

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Changes to Family Court Consent Orders Kit and eFiling procedures have now taken effect, arising out of the Civil Law and Justice Legislation Amendment Act 2018. These include:

  • Updated information pages in the Application for Consent Orders Kit;
  • References to ‘husband’ and ‘wife’ replaced with ‘party to a marriage’ and/or ‘party to a de facto relationship’; and
  • Updated sectional references in the Family Law Act for superannuation in the Application for Consent Orders form.

The updated kit and form are now available in the By Lawyers Family Law publications.

eFiling

The Court recommends that practitioners use the ‘unguided’ process for uploading Application for Consent Orders forms. This process was introduced as part of the Digital Court Program and makes it easier to upload forms without having to input information twice. The ‘guided’ eFiling process will only remain available until 31 March 2019.

For more information about eFiling and the ‘unguided’ process see the By Lawyers Family Law guide, or visit the Digital Court Program on the Family Court website.

Attend the 2019 Small Law Industry Summit hosted by LEAP

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Small_Law_Industry_Summit_LEAP_2019

On the 14th of March, LEAP Legal Software will be hosting the inaugural Small Law Industry Summit in Sydney. The summit will be the first event of its kind, with a sole focus on the future of the small law industry.

The summit presents a valuable opportunity to discover the latest innovations in legal practice, equip your firm with the necessary tools to succeed in a rapidly evolving industry and make connections with like-minded innovators in other small law firms.

The summit will feature a number of essential presentations from industry leaders including:

  • Keynote Speaker – Dr Alana Maurushat – Professor of Cyber Security and Behaviour at Western Sydney University – speaking on the role of cyber security in mitigating risk.
  • Christian Beck – Founder of LEAP Legal Software – presenting on getting the best out of human capital, a firm’s most valuable asset.
  • Rose Dravitzki – Head of Chambers at Clarence Chambers – will discuss methods of innovation through strategic business sourcing and structuring.
  • Therese Linton – Founder and Principal Consultant of The BASALT Group – examining ways that small law firms can transform the way that they work to significantly increase productivity.
  • Donna Cooper – Ethics Consultant at Ethics4Lawyers and By Lawyers contributing author – presenting on how firms can manage their ethical responsibilities in a technology-based world.

The event will be fully catered and 50% of each ticket sold will go towards supporting cyber security education through a scholarship at Western Sydney University.

Register HERE, claim 6 CPD points and automatically enter the draw to win a private harbour cruise adventure for you and up to 10 guests of your choosing.

By Lawyers will be attending the Summit – please make yourself known to our team on the day; we love to meet our clients and we value your feedback on our content.

Retirement Villages Amendment Act 2018 NSW – Schedule 1 [10], [17]-[20] commenced

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Commencing 11 February 2019, the Retirement Villages Amendment Act 2018 introduces rules of conduct for operators (Schedule 1 [10]), provides for the sharing of village information and allows for mediation of disputes (Schedule 1[17]-[20]).

Yet to commence are provisions implementing village contract information meetings, asset management plans, the annual auditing of village accounts and the provision of quarterly accounts to the Residents Committee. The commentary will be updated when the main provisions commence.

Domestic violence amendments – SA

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Some of the domestic violence amendments under the Statutes Amendment (Domestic Violence) Act 2018 have now commenced. The act makes a number of changes to domestic violence provisions, most of which commenced on 31 January 2019.

Amendments that commenced on 31 January 2019 include:

  • additions to the definition of ‘abuse’ in s 8 of the Intervention Orders (Prevention of Abuse) Act 2009 to include forcing a person to marry another person, preventing a person from entering the person’s place of residence and taking an invasive image (within the meaning of Part 5A of the Summary Offences Act 1953) of a person and threatening to distribute the image without the person’s consent;
  • increased penalties for breaching an intervention order, where a breach is a ‘second or subsequent’ offence, which generally means offences within 5 years of each other, AND the breach involves physical violence or the threat of it, then the maximum penalty is $20,000 and 4 years imprisonment (whereas the maximum penalty for a first offence is $1250 and 2 years imprisonment);
  • s 10A(d) of the Bail Act 1985 has been amended to classify certain domestic violence offences as ‘aggravated offences’ in  relation to which there is a presumption against bail;
  • new s 20A—Choking, suffocation or strangulation in a domestic setting has been added to the Criminal Law Consolidation Act 1935. This offence provides that a person who is, or has been, in a relationship with another person and chokes, suffocates or strangles that other person, without that other person’s consent, is guilty of an offence, the maximum penalty for which is imprisonment for 7 years.

Amendments yet to commence include:

  • where police are seeking to urgently vary an existing final order the court may now conduct a preliminary hearing in the absence of the defendant and may take evidence by telephone or such other means as the court determines appropriate and the rules of court allow;
  • where an Intervention order is sought by police, the applicant and anyone else for whose protection the order is sought, may give their evidence in the proceedings by recording and may only be cross-examined about that evidence if the court permits it.

These provisions are suspended until proclaimed, commencing on 6 December 2020 at the latest.

The commentaries in the By Lawyers Criminal SA and Intervention Orders SA guides have been updated accordingly.

Leases – Demolition and relocation clause – Commercial lease

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A new demolition and relocation clause for use in commercial leases has been added to the Library of clauses in all By Lawyers Leases publications. This clause was added as a result of a request from a By Lawyers user.

The new clause provides for termination by either the lessor or lessee in the event that the lessor proposes to demolish the building or a substantial portion of the building of which the premises form part, on the lessor providing 90 days written notice to the lessee. This clause also addresses the costs of relocation of the lessee’s business and requires the proposal for demolition to be genuine.

Please email us at askus@bylawyers.com.au or call 02 4858 0619 with any feedback or suggestions. We would love to hear from you!

Amendment to wills creating discretionary trust

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Amendments have been made to the following By Lawyers precedent wills creating discretionary trusts:

  1. Individual will creating testamentary discretionary trust;
  2. Client 1 will creating testamentary discretionary trust with client 2 as executor; and
  3. Client 2 will creating testamentary discretionary trust with client 1 as executor.

The precedents have been amended as follows:

Clause 7 has been amended to improve readability. The amendments do not change the effect of the wills.

Clause 9 has been enhanced to better protect the testator’s spouse. The amendments delete sub-clauses (b) and (c). These clauses gifted the residue of the estate to the spouse and provided for gifts to particular beneficiaries, respectively.

Clause (b) has not been replaced, as the spouse has been included as a beneficiary of the trust in clause (g). Previously the trust would only be established if the spouse did not survive the testator. Now the residue will always be gifted to a trust, within which the spouse is a beneficiary.

Clause (c) has been replaced with new clauses (b), (c) and (d) which provide for specific gifts to beneficiaries.

The wills can be found in the By Lawyers Wills publications.

Updated Motor Accidents Guidelines – NSW

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The Motor Accidents Guidelines which apply to motor accidents in New South Wales after 1 December 2017 under the Motor Accidents Injuries Act 2017 have been updated.

The Motor Accidents Guidelines are available on the SIRA website. The new Guidelines apply from 15 January 2019.

Links and applicable commentary references in the By Lawyers Motor Vehicle Accidents (NSW) guide have been updated accordingly.

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