Background
The LIV is pleased to announce that it has launched a Limitation of Liability Scheme with the Professional Standards Council (PSC) pursuant to the Professional Standards Act 2003 (Vic.).
Professional benefits for LIV members
LIV members can benefit from the Scheme by having their occupational liability capped, provided those members qualify under the Scheme.
Public notification and approval process of Scheme
Public notification of the Scheme was published in The Age by the PSC on 6 November 2009. The Scheme was then subject to a statutory consultation period which ran from 1 February to 31 March 2010. The Scheme was then referred to the Victorian Attorney General for gazettal. After gazettal there was a two month Victorian statutory "waiting period" for Scheme commencement.
Status of Scheme
The Scheme commenced on 1 July 2010. There are legal practitioners from over 1,000 firms participating in the Scheme. Although the Scheme has already commenced, legal practitioners not participating in the Scheme may participate if they become LIV members and have a practising certificate (excluding a corporate practising certificate).
Member Requirements
Participating in the Scheme
You will need to complete and return a notification form to the LIV together with payment of $105.00 per legal practitioner:
Annual Compliance
Each year the LIV tests Scheme members compliance. To fulfil your compliance requirement you will need to complete the annual audit form:
Disclosure requirements for Scheme members
Non-disclosure is an offence under the Act.
It is imperative that Scheme members familiarise themselves with the requirement to properly disclose their limited liability status to their clients or prospective clients. Further information is available via the Professional Standards Council Website or by reading the following documents:
Cover of Excellence®
Members who are covered by the LIV Limitation of Liability Scheme can elect to display the Cover of Excellence® logo. Use of the Cover of Excellence® symbol shows that the Member is part of an association that has a scheme approved by the Professional Standards Council. The Cover of Excellence® does not however, replace the requirement for disclosure to be provided to clients. All use of the logo must comply with the following: