Question
You are the Paralegal for the client, Mr. John DOE (Your File # CIV-21-532). Your client is the Defendant in an ongoing lawsuit brought against
You are the Paralegal for the client, Mr. John DOE (Your File # CIV-21-532). Your client is the Defendant in an ongoing lawsuit brought against him by his former girlfriend and Plaintiff, Ms Jane Smith.Mrs. Rani Groot is the Paralegal for the Plaintiff.
The Smith v Doe (Court File # SC-21-00006297-0000) civil lawsuit is a dispute about which of the parties should keep ownership of a rare Tibetan Mastiff breeding dog (hereafter the "Dog"). The Dog was jointly purchased by the parties during their prior relationship. Neither party would agree to buy out the other party's ownership interest in the Dog. During the course of this litigation, the Honourable Madam Justice Marin issued an interim order stating:
- the Dog was to be immediately sold for its fair market value;
- the net proceeds from the sale of the Dog were to be divided 50/50 and held in trust by the respective Paralegals for the parties pending a final resolution of the case and submissions by each party about the costs each party had incurred to maintain the Dog;
- pending the final case resolution, the respective Paralegals may use each party's share of the net proceeds from the sale of the Dog as security for payment of their legal service account(s) AND only on the express consent of their client may each Paralegal use those trust monies, in whole or part, to honour and satisfy any sum owed for legal services rendered by their Paralegal.
The net proceeds from the sale of the Dog were CDN$30,000.00. You and Mrs. Groot have each deposited into your respective trust accounts CDN$15,000.00
You have just read the decision of the Law Society Panel in the below case of Law Society of Upper Canada v. Roderick John Byrnes,2013 ONLSHP 0021,paying very close attention to paragraphs 7 to 21 and 79 to 85, inclusive:
https://www.canlii.org/en/on/onlst/doc/2013/2013onlshp21/2013onlshp21.html?resultIndex=1
INSTRUCTIONS:
- Draft an irrevocable Authorization and Direction for your client, Mr. John Doe, to sign that will irrevocably authorize you to use his share of the net proceeds from the sale of the Dog as security for payment of your legal service account(s) and allow you to use those trust monies, in whole or part, to pay any sum owed for your legal services rendered.
- When drafting this Authorization and Direction ensure you incorporate separate provisions containing appropriate wording which complies with the concerns raised by the Law Society in the above case decision.
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