SCHEDULES

C3SCHEDULE 1 Intervention in Solicitor’s Practice

Annotations:
Modifications etc. (not altering text)

Part II Powers Exercisable on Intervention

Money

C1C26

1

Without prejudice to paragraph 5, if the F1Society passes a resolution to the effect that any sums of money to which this paragraph applies, and the right to recover or receive them, shall vest in the Society, all such sums shall vest accordingly (whether they were received by the person holding them before or after the F2Society's resolution) and shall be held by the Society on trust to exercise in relation to them the powers conferred by this Part of this Schedule and subject thereto F3and to rules under paragraph 6B upon trust for the persons beneficially entitled to them.

2

This paragraph applies—

a

where the powers conferred by this paragraph are exercisable by virtue of paragraph 1, to all sums of money held by or on behalf of the solicitor or his firm in connection with

F4i

his practice or former practice,

ii

any trust of which he is or formerly was a trustee, or

iii

any trust of which a person who is or was an employee of the solicitor is or was a trustee in the person's capacity as such an employee;

b

where they are exercisable by virtue of paragraph 2, to all sums of money in any client account; and

c

where they are exercisable by virtue of paragraph 3, to all sums of money held by or on behalf of the solicitor or his firm in connection with the trust or other matter F5in connection with which the Society is satisfied there has been undue delay as mentioned in sub-paragraph (a) of that paragraph.

3

The Society shall serve on the solicitor or his firm and on any other person having possession of sums of money to which this paragraph applies a certified copy of the Council’s resolution and a notice prohibiting the payment out of any such sums of money.

4

Within F68 days of the service of a notice under sub–paragraph (3), the person on whom it was served, on giving not less than 48 hours’ notice in writing to the Society and (if the notice gives the name of the solicitor instructed by the Society) to that solicitor, may apply to the High Court for an order directing the Society to withdraw the notice.

5

If the court makes such an order, it shall have power also to make such other order with respect to the matter as it may think fit.

6

If any person on whom a notice has been served under sub–paragraph (3) pays out sums of money at a time when such payment is prohibited by the notice, he shall be guilty of an offence and liable on summary conviction to a fine not exceeding F7level 3 on the standard scale.