Friday, November 12, 2010

Printable Version

In this issue:
• Planned 2011 Enhancements And Law Society Fees
• New Rules of Court and Forms – Grace Period
• Practice Notes from CQB
• Waiver of Dispute Resolution Before Trial

Planned 2011 Enhancements And Law Society Fees

Enhancing regulatory functions and programs to address growing risks to practising lawyers is one reason why Law Society annual fees and levies will increase in 2011.

The other significant component of the levy increase relates to increased premises costs for the Edmonton office resulting from the expiry of our existing lease which was at a very attractive rate compared to current market rates.

The 2011 business plan includes significant planned changes to its policies and programs, and the continued operation of the Society’s core programs. These changes will increase the organization’s ability to protect the public interest.

What are some of the Planned Enhancements?

These include:

• Implementing a new Safety of Trust Property program; 
• Improving the quality and timeliness of the complaints process; 
• Improving complaints and hearing processes; 
• Addressing issues on access to legal services through the Alternative Delivery of Legal Services Task Force, and the Retention and Re-engagement Task Force; and 
• Developing eBusiness capabilities.

The Benchers have made it clear that the Law Society must do a first class job of its core regulatory work. This encompasses credentials and education, complaints and hearing processes, ensuring lawyers are professionally competent, and operating the Assurance Fund. Unfortunately, there does seem to be some correlation between the economic downturn and the volume of core regulatory work.

What is the purpose of these new regulatory changes?

These new and improved regulatory structures will reinforce the public confidence in lawyers to serve and safeguard their interests.

As well, this budget allows the Law Society to maintain an adequate fund balance to cover operational costs and any contingencies which may arise. In the previous year's budget, the Law Society made a concious decision to lower the fund balances to levels which were below recommended target levels in order to further increase the levies last year. The Law Society is now at recommended levels.

The Law Society serves the public interest by promoting a high standard of legal services and professional conduct through the governance and regulation of an independent legal profession. As the regulator of the legal profession, the Law Society takes the protection of the public seriously.

It is continually striving to build public confidence in the profession and in the Law Society.

What is the 2011 Membership Fee and Insurance Levy increase?

The approved 2011 budget reflects a practice fee increase of $225 to $1,700 (from $1475 in 2010). There is no change in the Assurance Fund levy at $570. Combined with the previously approved ALIA levy of $2,900, the overall increase in total fees from 2010 to 2011 is $525.

What is ALIA?

The Alberta Lawyers Association of Alberta is a separate corporate entity from the Law Society of Alberta, and is a member of a reciprocal insurance exchange called the Canadian Lawyers Insurance Association (CLIA). ALIA is not an insurance company. It was established to manage the professional liability insurance program of the Law Society. On behalf of the Law Society and CLIA, ALIA handles all claims against insured Alberta lawyers.

Where does ALIA's revenue come from?

ALIA’s revenues come from two sources:

1. Insurance levies (premiums) which the approximately 5600 Alberta lawyers in private practice are required to pay, and 
2. Investment Income.

ALIA anticipates higher levies for the next two to three years due to the continued uncertain investment climate and continued claims volume.

During the middle part of the last decade, the ALIA levy was reduced significantly by reason of large investment income gains both within ALIA and at CLIA. Over the last two years, we have seen significant increases in the ALIA levy (although not much higher than the early part of the last decade) due to the losses in investment income and increase in volume of claims.

New Rules of Court and Forms – Grace Period

The new Alberta Rules of Court, which came into effect Nov 1, 2010, have prescribed several forms and introduced many procedural changes for the Court of Queen's Bench.

It is the responsibility of litigants or their counsel to ensure that, as of Nov. 1, 2010, they are fully complying with the new Rules of Court.

However, to ensure continued access to justice for litigants, the Court is of the view that a reasonable grace period should be observed until Dec. 31, 2010, before the requirement for compliance is more strictly enforced.

Staff are encouraged to be liberal in their interpretation of compliance, particularly when lack of compliance is minor, or is a matter of form rather than substance, and a reminder would suffice.

For example, if a document is submitted for filing in a format used under the previous Alberta Rules of Court (AR 390/68), it is the expectation of the Court that such documents will be accepted for filing by the clerk of the court for the duration of this grace period.

After Jan. 1, 2011, as a result of a review of the practices observed by the Court, the requirements of compliance may be more strictly enforced.

In the meantime, should any party or counsel feel aggrieved by an interpretation of a Rules or forms requirement made by Court Services staff during this interim period, parties or their counsel are reminded that they may apply to the Court on notice to the party or parties opposite.

Practice Notes from CQB

Please note the following Practice Notes from the Court of Queen’s Bench, effective Nov. 1, 2010. The following Civil Practice Notes have been repealed:

• Practice Notes 3, 4, 8, 9, 11 and 12.

All other Civil Practice Notes remain in force, but to the extent that there is any inconsistency between the New Rules and a Civil Practice Note, the New Rules will prevail.

The following Family Practice Notes have been repealed:

• Practice Notes 2, 4, 6 and 10.

All other Family Practice Notes remain in force, but to the extent that there is any inconsistency between the New Rules and a Practice Note, the New Rules will prevail.

Waiver of Dispute Resolution Before Trial

Applications to waive a dispute resolution process pursuant to Rule 4.16(2) shall be made to the Case Management Judge, or of there is no Case Management Judge available, to the Associate Chief Justice (in the Judicial District of Edmonton) or to the Chief Justice (in all other Judicial Districts) or their designates.

Details

For more details on any of the above, please visit: http://www.albertacourts.ab.ca/  

Submit Award Nominations by Nov 15, 2010

If you know a lawyer who has made great strides for the legal profession, consider nominating one today in the category of Service to the Profession in this year’s Distinguished Service Awards.

The Law Society of Alberta and the Canadian Bar Association Alberta are accepting nominations for the 2011 Distinguished Service Awards, which recognize excellence in the legal profession. Other categories include:

• Distinguished Service to the Community
• Distinguished Service to Legal Scholarship
• Pro Bono Legal Service

The deadline for nominations is 4:30 p.m. on Monday, November 15, 2010.

A complete nomination form can be downloaded from www.lawsociety.ab.ca.

Safety of Trust Property on Target for Jan. 2011

The Law Society of Alberta’s new Safety of Trust Property program will be among the most advanced integrated strategies employed in the regulation of legal professions in the world.

This program addresses concerns about rising threats to the security of trust funds.

Implementation of the program is on target for Jan. 1, 2011.

The Law Society will be contacting all law firms with a year-end filing date with detailed information as it moves closer to implementation.


Program Elements:

The program itself consists of the follow elements:

1. Ensuring adequacy of initial procedures and systems for trust accounts. 
2. Creating and supporting the position of the designated responsible lawyer from each law firm. 
3. Broad audit authority. 
4. Conducting timely and effective audits. 
5. Remediation and enforcement. 
6. Continued excellence in risk management.

Rules, Forms and Online Education

The Law Society is currently finalizing accounting rules, and creating a new Safety of Trust Property department. The law firm annual filing will be done online. Forms will be available online. More details will be provided once these are available.

A new online education program will be offered through the Legal Education Society of Alberta. These two modules will be available to all lawyers with the launch of the program in 2011.

For more details about the program design, please visit www.lawsociety.ab.ca  

Printable Version

www.lawsociety.ab.ca
Law Society of Alberta
Calgary Office
Suite 500, 919 11th Avenue SW
Calgary, Alberta T2R 1P3
Phone: 403-229-4700

Edmonton Office
201 10060 Jasper Avenue,
Edmonton, Alberta T5J 3R8
Phone: 780-429-3343

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