{"id":4716,"date":"2023-03-15T17:35:11","date_gmt":"2023-03-15T09:35:11","guid":{"rendered":"https:\/\/yhalaw.com.my\/?p=4716"},"modified":"2023-04-15T13:07:11","modified_gmt":"2023-04-15T05:07:11","slug":"all-advocates-and-solicitors-are-bound-to-return-the-stakeholder-sum-to-clients","status":"publish","type":"post","link":"https:\/\/yhalaw.com.my\/my\/all-advocates-and-solicitors-are-bound-to-return-the-stakeholder-sum-to-clients\/","title":{"rendered":"TORT – ALL ADVOCATES AND SOLICITORS ARE BOUND TO RETURN THE STAKEHOLDER SUM TO CLIENTS"},"content":{"rendered":"

B, an advocate and solicitor has failed to make payment of the stakeholder sums to A. A has asked from B for the restitution but B refused to pay him back, for the reason that he was practising as partner but not sole proprietor. In fact, B without any express power under the Legal Profession Act 1976 (\u201cLPA\u201d) <\/strong>issued the Guidelines and restricted the claims only to acts of dishonesty of advocates and solicitors who were sole proprietors. A claims for compensation from the Compensation Fund.<\/p>\n\n\n\n

Q: What is the purpose of the Compensation Fund?<\/p>\n\n\n\n

A: To mitigate the losses suffered by the member of the public ie the client of an advocate and solicitor. In our case, A, who is a client to B is entitled to claim for the compensation.<\/p>\n\n\n\n

Q: What does A need to prove?<\/p>\n\n\n\n

A: B\u2019s dishonesty act ie B refused to give back the monies to A.<\/p>\n\n\n\n

Q: What is the relevant regulation?<\/p>\n\n\n\n

A: S.80 LPA applies to all advocates and solicitors. It clearly allows A to make a claim from the compensation fund for any loss suffered by him from any dishonest act of:<\/p>\n\n\n\n

    \n
  1. an advocate and solicitor, or<\/li>\n\n\n\n
  2. his clerk or servant, or<\/li>\n\n\n\n
  3. whether the advocate and solicitor was practising as sole proprietor or in partnership with others, or<\/li>\n\n\n\n
  4. whether the advocate and solicitor had a valid practising certificate at the material time<\/li>\n<\/ol>\n\n\n\n

    Q: Can B, without any power conferred by the authorised personnel make his own Guidelines restricting the claims only to acts of dishonesty of advocate and solicitor who is practising as a sole proprietor?<\/p>\n\n\n\n

    A: B has in fact gone beyond the law as he has no authorisation to issue his Guidelines. As a result, his Guidelines clearly could not go against the provisions in s.80 of the Act, which will uphold him accountable to A\u2019s compensation.<\/p>","protected":false},"excerpt":{"rendered":"

    ALL ADVOCATES AND SOLICITORS ARE BOUND TO RETURN THE STAKEHOLDER SUM TO CLIENTS<\/p>","protected":false},"author":1,"featured_media":4790,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[1561,18],"tags":[],"yoast_head":"\nTORT - ALL ADVOCATES AND SOLICITORS ARE BOUND TO RETURN THE STAKEHOLDER SUM TO CLIENTS | Yew Huoi, How & Associates | Leading Malaysia Law Firm<\/title>\n<meta name=\"description\" content=\"YHA & Associates is a leading law firm in Malaysia.Specialises in handling Civil,Maritime,Shipping Matters,Company Law,Family Law,Real Estate and many ...\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/yhalaw.com.my\/my\/all-advocates-and-solicitors-are-bound-to-return-the-stakeholder-sum-to-clients\/\" \/>\n<meta property=\"og:locale\" content=\"ms_MY\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"TORT - 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