Issued by: Government Communications (GCIS) COMMENCEMENT OF THE ATTORNEYS AND MATTERS RELATING TO RULES OF COURT AMENDMENT ACT, 1998- 15 JANUARY 1999
The Department of Justice hereby announces that the Attorneys and Matters relating to Rules of Court Amendment Act, 1998 is to be put into operation today, 15 January 1999.
The primary objective of the Amendment Act is to, inter alia, amend the Attorneys Act, 1979, so as to limit the liability of the Attorneys Fidelity Fund (the Fund).
In terms of the present provisions of the Act, the Fund is exposed to the risk of considerable loss. Attorneys administer substantial sums of money entrusted to them by their clients for investments purposes, which in itself creates an opportunity for theft. The Amendment Act, hence, provides that money received by an attorney for investment on behalf of his or her client, in the case of theft, will not be covered by the Fund.
If the Fund has to cover the theft of moneys entrusted to attorneys for investment purposes, the possibility exists that the Board of Control of the Fund would not be able to meet its primary obligation of protecting members of the public against loss of moneys entrusted to attorneys in the ordinary course of their practice.
The Attorneys Act is further amended to extend the jurisdiction of the Fund to practitioners in the areas of the former Republics of Bophuthatswana and Venda, Since no such Fund exists in these states. The extension of the Fund will now offer protection to members of the public in these former TBVC states as well.
The public is hereby advised to take note of these amendments.
ISSUED BY THE CHIEF DIRECTORATE: COMMUNICATION SERVICES OF THE DEPARTMENT OF JUSTICE.
15 JANUARY 1999
PRETORIA
ENQUIRIES: Ms A Mokwena tel: (012) 362 1729 (Law Society of SA) Rasiga Naicker tel: (012) 323 9302 x 2189 (Department of Justice)