The SRA Handbook is no longer in effect. It was replaced by the SRA Standards and Regulations on 25 November 2019.
SRA Handbook
Version 5 of the Handbook was published on 01/10/2012. For more information, please click 'History' Above
Rule 3: Grants which may be made from the Fund
- 3.1
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The primary object of the Fund is to replace money which a defaulting practitioner or a defaulting practitioner's employee or manager has misappropriated or otherwise failed to account for. The applicant need not necessarily be or have been the defaulting practitioner's client.
- 3.2
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It is also an object of the Fund to provide compensation in respect of the civil liability of a defaulting practitioner or a defaulting practitioner's employee or manager who in accordance with the SRA Indemnity Insurance Rules should have had, but did not have, in place a policy of qualifying insurance against which a claim could be made in respect of such civil liability.
- 3.3
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A grant out of the Fund is made wholly at the discretion of the SRA. No person has a right to a grant enforceable at law.
- 3.4
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For any grant to be made out of the Fund (save in respect of a grant made under rule 5),
,an applicant must satisfy the SRA that:- (a)
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he has suffered or is likely to suffer loss in consequence of the dishonesty of a defaulting practitioner or the employee or manager or owner of a defaulting practitioner; or
- (b)
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he has suffered or is likely to suffer loss and hardship in consequence of a failure to account for money which has come into the hands of a defaulting practitioner or the employee or manager or owner of a defaulting practitioner, which may include the failure by a defaulting practitioner to complete work for which he was paid;
in the course of an activity of a kind which is part of the usual business of a defaulting practitioner and, in the case of a defaulting licensed body, the act or default arose in the course of performance of a regulated activity.
- 3.5
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For the purposes of rule 3.4
3(b):- (a)
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an individual whose dealings with the defaulting practitioner have been in a personal capacity and who has suffered or is likely to suffer loss due to a failure to account shall be deemed to have suffered hardship; and
- (b)
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a body corporate, or an individual whose dealings with the defaulting practitioner have been in a business capacity and who has suffered or is likely to suffer loss due to a failure to account must provide evidence to satisfy the SRA that it, he or she (the body or individual) has suffered or is likely to suffer hardship.
- 3.6
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A grant may, at the sole discretion of the SRA, be made as an interim measure.