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TAB 6

Report to ConvocationSeptember 28, 2017

Paralegal Standing Committee

Committee MembersMichelle Haigh, Chair

Janis Criger, Vice-ChairMarion BoydRobert Burd

Cathy CorsettiRoss Earnshaw

Brian LawrieMarian Lippa

Susan McGrathMalcolm Mercer

Barbara MurchieJan Richardson

Baljit SikandAnne Vespry

Purpose of Report: Decision and Information

Prepared by the Professional Regulation Division(Margaret Drent 416 947-7613)

Convocation - Paralegal Standing Committee Report

440

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TABLE OF CONTENTS

For Decision

Proposed Amendments to Paralegal Rules of Conduct -Dishonesty, Fraud by Client or Others ..................................................………….TAB 6.1

Proposed Amendments to Paralegal Rules of Conduct -Language Rights………………………………………………………........... ………..TAB 6.2

For Information

Amendments to the Paralegal Guidelines……………… ......................... ………...TAB 6.3

2017 Paralegal Annual Report………………………………………………......... ….TAB 6.4


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COMMITTEE PROCESS

1. The Committee met on September 13, 2017. The following Committee members participated: Michelle Haigh (Chair, by telephone), Janis Criger (Vice-Chair), Robert Burd, Cathy Corsetti (by telephone), Brian Lawrie, Marian Lippa, Susan McGrath, Malcolm Mercer, Barbara Murchie, Jan Richardson, and Anne Vespry.

2. The following members of Law Society staff attended the September 13 meeting: Karen Manarin, Diana Miles, Terry Knott, Eric Smith, Juda Strawczynski, and Margaret Drent.


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Tab 6.1FOR DECISION

PROPOSED AMENDMENTS TO THE PARALEGAL RULES OF CONDUCT - DISHONESTY, FRAUD BY CLIENT OR

OTHERS

MOTION

3. That Convocation approve the amendments to Rule 3.02(4) of the Paralegal Rules of Conduct set out at Tab 6.1.1 (English) and Tab 6.1.2 (French).

Rationale

4. Council of the Federation of Law Societies of Canada (FLSC) approved amendments to the Model Code of Professional Conduct of the Federation of Law Societies of Canada in various areas on March 14, 2017.

5. This Model Code amendment extends the scope of application of the rule on dishonesty and fraud by a client, which was previously confined to dishonest or fraudulent conduct in the context of a licensee-client relationship. The Standing Committee consultation materials acknowledge that some jurisdictions, including the Law Society of Upper Canada, had already expanded the rule to extend the scope of the provision beyond the licensee-client context.

6. In 2016, the Committee reviewed a consultation report describing these and other proposed Model Code amendments and provided feedback to the FLSC. A notice was sent to legal organizations and an e-bulletin was circulated to all lawyers and paralegals advising them of the proposed Model Code changes and inviting them to provide comments directly to the FLSC.

7. The Committee is of the view that the proposed amendment enhances the readability of the Rule and recommends that Convocation approve the amendment to Rule 3.20(4) of the Paralegal Rules of Conduct.


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Tab 6.1.1

Excerpt from the Paralegal Rules of Conduct

Redline Showing Proposed Amendments – Model Code

3.02 ADVISING CLIENTS

Quality of Service

3.02 (1) A paralegal has a duty to provide courteous, thorough and prompt service to clients. The quality of service required of a paralegal is service that is competent, timely, conscientious, diligent, efficient and civil.

(2) A paralegal shall be honest and candid when advising clients.

(3) A paralegal shall not undertake or provide advice with respect to a matter that is outside his or her permissible scope of practice.

[Amended - October 2014]

Dishonesty, Fraud, etc. by Client or Others

(4) A paralegal shall not

(a) knowingly assist in or encourage any dishonesty, fraud, crime, or illegal conduct;

(b) do or omit to do anything that the paralegal ought to know assists in, encourages or facilitates any dishonesty, fraud, crime, or illegal conduct by a client or any other person; or

(c) advise a client or any other person on how to violate the law and avoid punishment.

(5) When retained by a client, a paralegal shall make reasonable efforts to ascertain the purpose and objectives of the retainer and to obtain information about the client necessary to fulfill this obligation.

(6) A paralegal shall not use his or her trust account for purposes not related to the provision of legal services.


(7) A paralegal shall not act or do anything or omit to do anything in circumstances where he or she ought to know that, by acting, doing the thing or omitting to do the thing, he or she is being used by a client, by a person associated with a client or by any other person to facilitate dishonesty, fraud, crime or illegal conduct.

[New - May 2012]


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(78) A paralegal who is employed or retained by an organization to act in a matter in which the paralegal knows that the organization has acted, is acting or intends to act dishonestly, fraudulently, criminally, or illegally shall do the following, in addition to their obligations under subrule (4):

(a) advise the person from whom the paralegal takes instructions and the chief legal officer, or both the chief legal officer and the chief executive officer, that the conduct is, was or would be dishonest, fraudulent, criminal, or illegal and should be stopped;

(b) if necessary because the person from whom the paralegal takes instructions, the chief legal officer, or the chief executive officer refuses to cause the conduct to be stopped, advise progressively the next highest persons or groups, including ultimately, the board of directors, the board of trustees, or the appropriate committee of the board, that the conduct was, is or would be dishonest, fraudulent, criminal, or illegal and should be stopped, and

(c) if the organization, despite the paralegal's advice, continues with or intends to pursue the wrongful conduct, withdraw from acting in the matter in accordance with rule 3.08.



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Extrait du Code de déontologie des parajuristes

Modifications proposées en rouge – Code type

3.02 Les conseils dispensés aux clients

Qualité des services

3.02 (1) Le parajuriste doit fournir un service courtois, complet et ponctuel aux clients. La qualité du service attendue d’un parajuriste est un service compétent, fait en temps opportun, consciencieux, appliqué, efficace et respectueux.

(2) Le parajuriste conseille ses clients avec franchise et honnêteté.

(3) Le parajuriste ne prend pas d’engagements ni ne donne de conseils à l’égard d’une affaire qui n’entre pas dans le champ des activités qui lui sont permises.

[Modifié – octobre 2014]

Malhonnêteté ou fraude du client ou d’autres personnes

(4) Un parajuriste ne doit pas

a) favoriser ni faciliter sciemment la fraude, la malhonnêteté, le crime ou la conduite illégalel’illégalité ;

b) accomplir ou omettre d’accomplir quelque chose lorsqu’il devrait savoir qu’en accomplissant ou en omettant d’accomplir cette chose, il facilite, encourage ou aide à la malhonnêteté, la fraude, le crime ou une conduite illégale d’un client ou d’une autre personne ;

c) conseiller ses clients ou toute autre personne sur les moyens de violer la loi et d’en éluder les sanctions.

(5) Lorsque ses services sont retenus par un client, un parajuriste fait tous les efforts raisonnables pour vérifier le but et les objectifs du mandat et pour obtenir les renseignements nécessaires sur le client pour remplir cette obligation.

(6) Un parajuriste n’utilise pas son compte en fiducie à des fins qui ne sont pas liées à la prestation de services juridiques.

[Modifié – octobre 2014]

(7) Un parajuriste refuse d’agir ou d’accomplir ou d’omettre d’accomplir quelque chose lorsqu’il devrait savoir qu’en agissant, en accomplissant ou en omettant d’accomplir cette chose, il est manipulé par un client, par une personne associée à un client ou par une autre personne afin de faciliter la malhonnêteté, la fraude, le crime ou l’illégalité.

[Nouveau – mai 2012]


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(78) Le parajuriste employé par un organisme pour agir dans une affaire et qui sait que l’organisme a agi, agit ou a l’intention d’agir de façon malhonnête, frauduleuse, criminelle ou illégale dans le cadre de l’affaire doit, outre ce à quoi l’oblige le paragraphe (4) :

a) informer la personne lui donnant les directives et le chef du contentieux, ou tant le chef du contentieux que le chef de la direction, que la conduite envisagée est, était ou serait malhonnête, frauduleuse, criminelle ou illégale et devrait cesser ;;

b) s’il le faut, parce que la personne lui donnant les directives, le chef du contentieux ou le chef de la direction refuse de faire cesser la conduite envisagée, aviser le supérieur ou le groupe hiérarchique suivant, en se rendant si nécessaire jusqu’au conseil d’administration ou au comité compétent de celui-ci, que la conduite envisagée était, est ou serait malhonnête, frauduleuse, criminelle ou illégale et devrait cesser,

c) si, malgré ses conseils, l’organisme poursuit ou a l’intention de poursuivre la conduite malhonnête, cesser d’agir dans l’affaire conformément à la règle 3.08.

[Modifié - octobre 2014]


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Tab 6.2

FOR DECISION

AMENDMENTS TO THE PARALEGAL RULES OF CONDUCT - LANGUAGE RIGHTS

Motion

8. That Convocation approve the amendments to Rule 3.02 of the Paralegal Rules

of Conduct set out at Tab 6.2.1 (English) and Tab 6.2.2 (French).

Rationale

9. In September 2015, Convocation approved amendments to the lawyers’ Rules of

Professional Conduct in this area. Convocation is now being asked to approve

corresponding changes to the Paralegal Rules to ensure consistency between the

lawyers’ and paralegals’ Rules.

DISCUSSION

Current Regulatory Framework

10. Rule 3.02(22) of the Paralegal Rules of Conduct currently provides: “A paralegal shall,

when appropriate, advise a client of the client’s language rights, including the right to

proceed in the official language of the client’s choice”.

11. Rule 3.02(23) provides

When a client wishes to retain a paralegal for representation in the official

language of the client’s choice, the paralegal shall not undertake the matter

unless the paralegal is competent to provide the required services in that

language.

12. Convocation adopted amendments to the lawyers’ and paralegals’ Rules in June 2015,

following their incorporation into the Model Code of Professional Conduct of the

Federation of Law Societies of Canada. In September 2015, Convocation further

amended the lawyers’ Rules to specifically refer to aboriginal language rights

recognized in provincial or territorial legislation.1 Corresponding changes were not

made to the Paralegal Rules at that time.

1 The September 2015 Committee Report to Convocation may be accessed at http://www.lsuc.on.ca/uploadedFiles/For_the_Public/About_the_Law_Society/Convocation_Decisions/2015/convocation-september-2015-prc.pdf.


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http://www.lsuc.on.ca/uploadedFiles/For_the_Public/About_the_Law_Society/Convocation_Decisions/2015/convocation-september-2015-prc.pdf

http://www.lsuc.on.ca/uploadedFiles/For_the_Public/About_the_Law_Society/Convocation_Decisions/2015/convocation-september-2015-prc.pdf

2

13. In September 2015 Convocation also replaced the word “proceed”, used in the Model

Code, with the word “use”. This amendment was intended to emphasize that language

rights apply in both the litigation as well as in the non-litigation context.

14. Corresponding amendments to Paralegal Guideline 7 (Advising Clients) may be

brought forward at a later date.


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Tab 6.2.1

Redline Showing Proposed Amendments to the Paralegal Rules of Conduct

3.02 ADVISING CLIENTS

Quality of Service

(. . . )

Official Language Rights

(22) A paralegal shall, when appropriate, advise a client of the client's language rights, including the right to use

(i) proceed in the official language of the client's choice; and

(ii) a language recognized in provincial or territorial legislation as a language in which a matter may be pursued, including, where applicable, aboriginal languages. .

[Amended - June 25, 2015]

(23) If When a client proposes to use a language of his or her choice, and the paralegal is not competent in that language to provide the required services, wishes to retain a paralegal for representation in the official language of the client's choice, the paralegal shall not undertake the matter unless the paralegal he or she is otherwise able to competently to provide the those required services and the client consents in writing in that language.

[New - June 25, 2015]


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Onglet 6.2.2

Version corrigée de modifications proposées au Code de déontologie des parajuristes

3.02

Droits linguistiques

(22) Le parajuriste informe son client, s’il y a lieu, de ses droits linguistiques, y compris de son

droit à l’emploi

(i) de la langue officielle de son choix ;

(ii) d’une langue reconnue dans les lois provinciales et territoriales en tant que langue dans

laquelle un dossier peut être traité, y compris, le cas échéant, les langues autochtones.

[Modifié – 25 juin 2015]

(23) Lorsque le Si un client souhaite retenir les services d’un parajuriste pour le representer

dans la langue officielle de son choix, propose d’utiliser une langue de son choix et que le

parajuriste n’a pas compétence dans cette langue pour fournir les services requis, le parajuriste

ne doit pas accepter le mandat seulement s’il a à moins d’avoir les competences pour fournir

les ces services requis dans cette langue les compétences pour fournir ces services et d’avoir

le consentement du client par écrit.

[Nouveau – 25 juin 2015]


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TAB 6.3

FOR INFORMATION

AMENDMENTS TO THE PARALEGAL GUIDELINES REGARDING COMPETENCE AND THE PROVISION OF

LEGAL OPINIONS

15. The Committee has approved the addition of two paragraphs to Paralegal Guideline 6: Competence and Quality of Service to Convocation. These amendments are being reported to Convocation for its information. The following paragraphs have been added:

7. A paralegal should only provide his or her legal opinion when it is the legal opinion that the paralegal holds and it is provided to the standard of a competent paralegal;

8. A paralegal should be wary of providing unreasonable or over-confident assurances to the client, especially when the paralegal’s employment or retainer may depend upon advising in a particular way.

16. A redline, attached as Tab 6.3.1, shows amendments to the Paralegal Guidelinesrequired to implement the changes described below. A French language version is attached as Tab 6.3.2.

17. These amendments reflect changes to the Model Code of Professional Conduct of the Federation of Law Societies of Canada and are intended to emphasize the importance of licensee independence, particularly because of the possibility of undue influence being exercised by powerful clients over the legal opinions they provide to their clients.

18. The Committee is proposing some modifications to the Model Code wording. The phrase “to a client” has been added, to emphasize that this guidance applies in the advisory, rather than the advocacy, context.

19. The Committee previously provided feedback to the Federation of Law Societies of Canada in 2016, when input was being sought on the proposed amendment to the Model Code. At that time, lawyers and paralegals were invited to provide their comments directly to the Federation.


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Tab 6.3.1

GUIDELINE 6: COMPETENCE AND QUALITY OF SERVICE – Redline Showing Proposed Model Code Amendments Sept. 8

General

Rule Reference: Rule 3.01, Rule 3.02(1)

1. A licensed paralegal is held out to be knowledgeable, skilled and capable in his or her permissible area of practice. A client hires a legal service provider because the client does not have the knowledge and skill to deal with the legal system on his or her own. When a client hires a paralegal, the client expects that the paralegal is competent and has the ability to properly deal with the client’s case.

2. A paralegal should not undertake a matter without honestly feeling competent to handle it, or being able to become competent without undue delay, risk, or expense to the client. This is an ethical consideration and is distinct from the standard of care that a tribunal would invoke for purposes of determining negligence.

Limited Scope Retainers

3. A paralegal may provide legal services under a limited scope retainer, but must carefully assess in each case whether, under the circumstances, it is possible to render those services in a competent manner. Although an agreement for such services does not exempt a paralegal from the duty to provide competent representation, the limitation is a factor to be considered when determining the legal knowledge, skill, thoroughness and preparation reasonably necessary for the representation. The paralegal should ensure that the client is fully informed of the nature of the arrangement and clearly understands the scope and limitation of the services.

3.1.A paralegal who is asked to provide legal services under a limited scope retainer to a client who has diminished capacity to make decisions should carefully consider and assess in each case if, under the circumstances, it is possible to render those services in a competent manner and in compliance with Rule 3.02 (13) and (14).

[New – September, 2015]

Cross reference Rule 3.02 (15) – (17)


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The Required Standard of Competence

Rule Reference: Rule 3.01(1)

Rule 3.01(4)

Knowledge

Rule Reference: Rule 3.01(4)(a) & (b)

4. Competence is founded upon both ethical and legal principles. Competence involves more than an understanding of legal principles; it involves an adequate knowledge of the practice and procedures by which such principles can be effectively applied. To accomplish this, the paralegal should keep abreast of developments in all areas of law in which the paralegal provides legal services.

5. The competent paralegal will ensure that only after all necessary information has been gathered, reviewed and considered does he or she advise the client as to the course(s) of action that will most likely meet the client’s goals, taking care to ensure that the client is made aware of all foreseeable risks and/or costs associated with the course(s) of action.

6. Unless the client instructs otherwise, the paralegal should investigate the matter in sufficient detail to be able to express an opinion, even where the paralegal has been retained to provide services under a limited scope retainer. If the circumstances do not justify an exhaustive investigation with consequent expense to the client, the paralegal should so state in the opinion.

7. A paralegal should only provide his or her legal opinion to a client when it is the legal opinion that the paralegal holds and it is provided to the standard of a competent paralegal.

6.8. A paralegal should be wary of providing unreasonable or over-confident assurances to the client, especially when the paralegal’s employment or retainer may depend upon advising in a particular way.

Client Service and Communication

Rule Reference: Rule 3.01(4)(d), (e), (f) & (g)

7. Client service is an important part of competence. Most of the complaints received by the Law Society relate to client service, such as not communicating with a client, delay, not following client instructions and not doing what the paralegal or lawyer was retained to do.

8. Rule 3.01(4) contains important requirements for paralegal-client communication and service. In addition to those requirements, a paralegal can provide more effective client service by

o keeping the client informed regarding his or her matter, through all relevant stages of the matter and concerning all aspects of the matter,

o managing client expectations by clearly establishing with the client what the paralegal will do or accomplish and at what cost, and


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o being clear about what the client expects, both at the beginning of the retainer and throughout the retainer.

9. A paralegal should meet deadlines, unless the paralegal is able to offer a reasonable explanation and ensure that no prejudice to the client will result. Whether or not a specific deadline applies, a paralegal should be prompt in prosecuting a matter, responding to communications and reporting developments to the client. In the absence of developments, contact with the client should be maintained to the extent the client reasonably expects.

Providing Services Under a Limited Scope Retainer

Rule Reference: Rule 3.02(15) – (17)

10. Where a paralegal provides services under a limited scope retainer to a client, it is very important to clearly identify the scope of the retainer, such as identifying the services that the paralegal will and will not be providing to the client. It is advisable that the limits of the paralegal’s retainer are clearly stated in a written retainer agreement.

10.1.For greater clarity and to avoid miscommunications, a paralegal should confirm with the client in writing when the limited scope retainer is complete. Where appropriate under the rules of the tribunal, the paralegal may consider providing notice to the tribunal that the retainer is complete.

10.2.Where the limited services being provided include an appearance before a tribunal, a paralegal must be careful not to mislead the tribunal as to the scope of the retainer, and should consider whether disclosure of the limited nature of the retainer is required by the rules of practice or the circumstances.

10.3.A paralegal should also consider whether the existence of a limited scope retainer should be disclosed to the tribunal or to an opposing party or, if represented, to an opposing party’s representatives. The paralegal may need to obtain instructions from the client to make the disclosure.

[New - September, 2015]

Practice Management

Rule Reference: Rule 3.01(4)(h)

By-Law 9

11. In a busy office, practice management includes ensuring that there is sufficient staff to assist the paralegal in fulfilling his or her professional responsibilities, for example, ensuring that communications from clients, other paralegals or lawyers are responded to and that financial records are kept in accordance with the requirements of By-Law 9.


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12. Competent practice management requires that the paralegal effectively manage his or her staff, time, finances and client information. A paralegal should consider the following practice management tools:

o workplace policies and business procedures for staff, o planning and reminder systems, and time docketing systems for time

management, and o filing organizational and storage systems for management of client information

and a system for effectively identifying and avoiding conflicts.

Applying Skills & Judgment

Rule Reference: Rule 3.01(4)(c), (i) & (l)

13. When serving clients, or otherwise acting in a professional capacity, a competent paralegal should understand the legal concepts, issues and facts, give careful consideration to the matters he or she handles and make decisions that are reasoned and make sense in the client’s circumstances.

14. A competent paralegal knows the Rules and understands why each Rule is important. The paralegal uses this knowledge and understanding to guide his or her own conduct.

Continuing Education / Professional Development

Rule Reference: Rule 3.01(4)(j) & (k)

15. A paralegal is responsible for remaining competent throughout his or her career. A competent paralegal understands that maintaining competence is an ongoing professional commitment that requires the paralegal to constantly assess his or her knowledge and skills.

Failing to be Competent

Rule Reference: Rule 3.01

16. The Rules do not require a standard of perfection. An error or omission, even though it might be actionable for damages in negligence or contract, will not necessarily constitute a breach of Rule 3.01. Conversely, incompetent professional practice may constitute professional misconduct whether or not the error or omission is actionable through the courts for professional negligence. While damages may be awarded for negligence, incompetence can give rise to the additional sanction of disciplinary action.


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LIGNE DIRECTRICE 6 : LA COMPÉTENCE ET LA QUALITÉ DES SERVICES – Version corrigée de modifications

proposées au code type, 8 sept.

Généralités

Règle 3.01, 3.02 (1)

1. Le ou la parajuriste titulaire de permis est censé avoir les connaissances, l’expérience et les aptitudes requises pour exercer sa profession. Le client engage un fournisseur de services juridiques, car il ou elle ne possède pas les connaissances ou les qualifications nécessaires pour traiter lui-même avec le système juridique. Lorsqu’un client retient les services d’un ou d’une parajuriste, il s’attend à traiter avec un spécialiste compétent, apte à traiter l’affaire convenablement.

2. Le parajuriste ne doit pas accepter une affaire s’il n’est pas honnêtement convaincu de posséder la compétence nécessaire pour la traiter ou de pouvoir l’acquérir sans délai, sans frais, ni risques excessifs pour son client. Il s’agit là d’une considération d’ordre moral, distincte des normes de diligence que pourrait invoquer un tribunal pour conclure à la négligence professionnelle.

Mandat à portée limitée

3. Un parajuriste peut fournir des services juridiques en vertu d’un mandat à portée limitée, mais il doit évaluer soigneusement pour chaque cas si, dans les circonstances, il est possible de rendre ces services de manière compétente. Bien qu’une entente visant à fournir ce type de service n’exonère pas un parajuriste de son obligation de représenter un client avec compétence, le parajuriste doit tenir compte des limites d’un tel mandat lorsqu’il détermine quelles sont les connaissances juridiques, les aptitudes, la rigueur et la préparation raisonnablement nécessaires pour assurer une représentation compétente. Le parajuriste doit veiller à ce que le client comprenne complètement et clairement la nature de l’entente et la portée des services, y compris les limites.

3.1. Un parajuriste à qui on demande de fournir des services juridiques en vertu d’un mandat à portée limitée à un client dont la capacité de prendre des décisions est amoindrie devrait évaluer soigneusement dans chaque cas si, selon les circonstances, il est possible de rendre ces services avec compétence et conformément à la règle 3.02 (13) et (14).

[Nouveau – septembre 2015]

Référence à la règle 3.02 (15) – (17)


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Les normes de compétence requises

Règle 3.01 (1)

Règle 3.01 (4)

Les connaissances

Règle 3.01 (4) a) et b)

4. La compétence est fondée sur des principes déontologiques et juridiques. La compétence est plus qu’une affaire de compréhension des principes du droit ;; il s’agit de comprendre adéquatement la pratique et les procédures selon lesquelles ces principes peuvent s’appliquer de manière efficace. Pour ce faire, le parajuriste doit se tenir au courant des faits nouveaux dans tous les domaines du droit relevant de ses compétences.

5. Le ou la parajuriste compétent accumule et examine tous les renseignements pertinents. Il ou elle prend tous les éléments en compte avant de conseiller au client le ou les plans d’action les plus susceptibles de l’aider à atteindre ses objectifs, tout en prenant soin de s’assurer que le client est conscient de tous les risques prévisibles ou des coûts couts associés à ces plans d’action.

6. À moins d’indication contraire de la part du client, le parajuriste doit mener une enquête suffisamment détaillée afin d’être en mesure de donner une opinion, même s’il ou elle a été retenu pour fournir des services en vertu d’un mandat à portée limitée. Si les circonstances ne justifient pas une enquête exhaustive ainsi que les dépenses qui en résultent et qui seraient imputées au client, le parajuriste doit en faire état dans son opinion.

7. Le parajuriste ne devrait donner d’autre opinion juridique à un client que celle que celle qui est véritablement la sienne et qui satisfait à la norme du parajuriste compétent.

6.8. Le parajuriste devrait faire attention de ne pas faire de promesses présomptueuses et déraisonnables au client, surtout lorsque l’emploi ou le mandat du parajuriste peut en dépendre.


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Tab 6.4

FOR INFORMATION

2017 PARALEGAL ANNUAL REPORT

20. The amended 2017 Paralegal Annual Report (PAR) is shown at TAB 6.4.1 for Convocation’s

information.

Background 21. Subsection 5(1) of By-Law 8 requires that every licensee file a report with the Law Society by

March 31 of each year, in respect of the licensee’s professional business during the

preceding year; and the licensee’s other activities during the preceding year related to the

licensee’s practice of law or provision of legal services.

Substantive Amendments

22. The substantive amendments to the 2017 PAR (TAB 6.4.1) are described below:

a. Section 1 – Identification, Somali has been added to the languages in question 4.

b. The Demographic Survey has been removed from Section 1 and will now exist as a

separate section. It has been renamed Demographic Information. The new

Demographic Information section will become Section 2, and all other sections will be

renumbered.

c. The introduction to the Demographic Information section will be updated to include

information about the intended future changes to the 2018 Annual Reports (see text

below):

The Law Society is committed to promoting equality and diversity in

the legal professions and to enhancing legal services provided by and

for Indigenous, Francophone and equality-seeking communities. The

questions in this section will help the Law Society to better understand

demographic trends, to develop programs and initiatives within the

mandate of the Law Society and to promote equality and diversity in

the professions. The questions are voluntary and the information

collected in the 2017 annual reports will be kept confidential. The

information will only be available in aggregate form and will not be

used to identify the demographic identity of individual lawyers and

paralegals.

Notice: The Final Report of the Challenges Faced by Racialized Licensees

Working Group (Working Together for Change: Strategies to Address Issues


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2

of Systemic Racism in the Legal Professions), adopted by Convocation on

December 2, 2016, contains recommendations that will impact the use of the

demographic information collected in the future.

Recommendation 4 – Measuring Progress through Quantitative

Analysis: Beginning with the 2018 annual reports (completed in 2019), in

support of the goal of achieving greater equality, diversity and inclusion in the

legal professions and to measure progress towards this goal, information

collected from these questions from lawyers and paralegals in a legal

workplace of 25 licensees or more will be shared with the workplace in a

manner consistent with best practices for such disclosure that protects

individual lawyers and paralegals, to enable the workplace to compare the

information collected about the workplace with the aggregate demographic

information collected from the professions as a whole through these

questions. The information collected for licensees in legal workplaces of less

than 25 licensees will continue to be available only in aggregate form and will

not be used to identify the demographic identity of individual lawyers and

paralegals. To implement this process, in 2019, following collection of the

information from lawyers and paralegals who complete the questions for the

2018 reporting year, the Law Society will prepare a profile of each legal

workplace of at least 25 licensees and provide it to the legal workplace and

confidentially to each lawyer and paralegal in the workplace.

Recommendation 5 – Measuring Progress through Qualitative Analysis:

Beginning in 2018, and every four years afterwards, the Law Society will ask

licensees to voluntarily answer inclusion questions about their legal

workplace. Licensees will be asked questions about their experience in the

workplace, including questions about career advancement opportunities,

feelings of belonging and experiences of discrimination. The Law Society will

compile the results and in legal workplaces of 25 licensees or more, a

summary of the information gathered will be provided to the workplace.

d. In Question 3 of the Demographic Information section, the answer options have been

changed to match the Census Canada options.

e. Mandatory referral fee questions have been added at the end of Section 3 – Individual

Practice Activities (see text below):

In 2017, the Law Society introduced several new requirements with respect

to referral fees, including setting a cap on referral fees, introducing new

client transparency and reporting requirements, and introducing new record

keeping requirements. Starting with the 2018 Paralegal Annual Report,

paralegals will be asked further questions related to referral fees paid and

received.


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3

A “referral fee” includes any financial or other reward for the referral of a

matter whether the referral fee is direct or indirect and whether the referral

fee is past, current or future. However, a referral fee does not include a

referral of other work by the licensee who received the referral. (Paralegal

Rules of Conduct, Rule 5.01(14))

a) In 2017, did you pay any referral fees?

b) In 2017, did you receive any referral fees?

f. Questions about licensees’ obligations to support equality, diversity and inclusion have

been added to Section 3 – Individual Practice Activities immediately following the new

referral fee questions. A new box has been added with introductory text about these

questions (see text and questions below):

The Final Report of the Challenges Faced by Racialized Licensees Working

Group, adopted by Convocation on December 2, 2016, contains

recommendations that have resulted in new questions that must be

completed by all licensees. Please see the Working Together for Change:

Strategies to Address Issues of Systemic Racism in the Legal Professions

report for more information.

Recommendation 3 – The Adoption of Equality, Diversity and Inclusion

Principles and Practices

9. Statement of Principles

10. Human Rights/Diversity Policy Declaration

9. STATEMENT OF PRINCIPLES DECLARATION

I declare that I abide by a Statement of Principles that acknowledges my obligation to

promote equality, diversity and inclusion generally, in my behaviour towards

colleagues, employees, clients and the public.

If “No”, provide an explanation below.

10. HUMAN RIGHTS/DIVERSITY POLICY DECLARATION

Please answer the following:

To the best of my knowledge:


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4

o I am a licensee in a legal workplace of nine (9) or less licensees.

o I am a licensee in a legal workplace of ten (10) or more licensees.

o I am a licensee in a legal workplace of ten (10) or more licensees employed by a

non-licensee.

Section 1 – To be completed by licensees in a legal workplace of ten (10) or

more licensees.

a) Are you the licensee representative responsible for developing, implementing and

maintaining the legal workplace’s human rights/diversity policy?

If “Yes” to a), answer b).

If “No” to a), answer e).

b) I declare that a Human Rights/Diversity Policy is developed, implemented and

maintained and that it addresses fair recruitment, retention and advancement in

the legal workplace.

If “Yes” to b), answer c).

If “No” to b), answer d).

c) As the licensee representative please indicate below the licensees (name and

Law Society Number) for whom you are you are making this declaration.

d) Provide an explanation below.

e) Indicated below is the licensee representative responsible for developing,

implementing and maintaining the legal workplace’s human right/diversity policy.

Licensee Name: _____________________________________

Law Society Number: _________________________________

Section 2 – To be completed by licensees in a legal workplace of ten (10) or

more licensees employed by a non-licensee.


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5

a) I acknowledge that my employer has developed, implemented and maintains a

Human Rights/Diversity Policy and that it addresses fair recruitment, retention and

advancement in the legal workplace.

If “No” to a), answer b).

b) I acknowledge my individual obligation to have a Human Rights/Diversity Policy

that addresses fair recruitment, retention and advancement in the legal workplace.

If “No” to b), answer c).

c) Provide an explanation below.

g. A new validating question has been added to Section 4 – Financial Reporting. The

following question will appear as question 2(b):

Will you be filing the financial information on behalf of other lawyers and/or

paralegals?

h. In Section 4 – Financial Reporting, changes have been made to the preamble to

question 6 regarding the removal of question 7 (see text below):

o The question asking you to report all non-mixed trust (individual client) accounts

(formerly Question 7) has been removed from the 2017 annual report. You must

still report all mixed trust accounts in Question 6. Information concerning mixed

trust accounts is shared with the Law Foundation of Ontario. In addition, the

opening or closing of all trust accounts, mixed and non-mixed, must be immediately

reported to the Law Society pursuant to subsection 4(1)5 of By-Law 8

(http://www.lsuc.on.ca/trustaccounts/).

i. Question 7 in Section 4 – Financial Reporting has been removed. All subsequent

questions have been renumbered. Question 7 asked licensees to report on a yearly

basis all non-mixed trust (individual client) accounts. In addition to the yearly reporting of

this information through the PAR, licensees are also required to immediately report the


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6

opening and closing of all trust accounts pursuant to By-Law 8. This information is now

independently collected using the By-Law 8 Form. The removal of this question does

not impact yearly reporting of mixed trust accounts through the PAR.

j. A new validating question will be added to Section 5 – Areas of Legal Services. This

question will match the validating question in Section 5 – Areas of Practice in the Lawyer

Annual Report. The new question will appear as Question 1(a) (see text below):

Did you provide legal services in 2017?


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2017 Paralegal Annual Report

Law Society Number Licensee Name 1

Introduction Page

YOUR 2017 PARALEGAL ANNUAL REPORT IS DUE MARCH 31, 2018.

This report is based on the calendar year ending December 31, 2017, and is due by March 31, 2018. Failure to complete

and file the report within 60 days of the due date will result in a late filing fee and a summary order suspending your

licence until such time as this report is filed and the late filing fee is paid.

Your responses to Section 4, relating to mixed trust accounts, will be shared with the Law Foundation of Ontario (LFO).

GUIDE: For definitions or assistance in completing this report, please review the enclosed Guide or visit the Law Society’s

website at www.lsuc.on.ca.

FINANCIAL FILING DECLARATION (FFD): Only the Designated Financial Filing Licensee for each firm needs to

complete the Financial Filing Declaration. A single Financial Filing Declaration is required from each firm. The Financial

Filing Declaration is found within Section 4.

If you require filing assistance, contact By-Law Administration Services at (416) 947-3315 or at (800) 668-7380 ext. 3315

or by email at [email protected]


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Section 1 – LICENSEE IDENTIFICATION AND STATUS

1. Licensee Status as at December 31, 2017

The Law Society’s records show your status on December 31, 2017 as follows:

Status: _____________________________________________________

Is this status for December 31 correct? Yes No

If “No”, select the correct status from the options below. Choose only one status (your status on December 31,

2017) regardless of changes during the 2017 calendar year. Your response to this question will not be used to

change your status. To review or update your current status, you must use the Change of Information portlet in

the LSUC Portal. By-Law 8 requires licensees to notify the Law Society immediately after any change in status

or contact information.

Practising Law/Providing Legal Services

o Sole Practitioner in Ontario

o Partner in a Professional Business in Ontario

o Employee in a Professional Business in Ontario

o Associate in a Professional Business in Ontario

o Employed in Education in Ontario

o Employed in Government in Ontario

o In-House Paralegal

o Legal Clinic

o Not in Ontario

Not Practising Law/Not Providing Legal Services

o Employed in Education in Ontario

o Employed in Government in Ontario

o Otherwise Employed in Ontario

o Not in Ontario

o Suspended

Not Working

o Retired or Not Working

o Temporary Leave of Absence

o Parental Leave

o Not in Ontario


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2. Bencher Election Privacy Option (non-mandatory response)

During the bencher election, many candidates want to communicate with voters by email.

Check the box if you give the Law Society permission to provide your email address for bencher election

campaigning purposes:

3. Provision of Legal Services in French (non-mandatory response)

a) Can you communicate with your clients and provide legal advice to them in French?

Yes No

b) Can you communicate with your clients, provide legal advice to them, and represent them in French?

Yes No

4. Other Languages (non-mandatory response)

ASL or LSQ (Sign Language)

Bulgarian

Czech

English

French

Gujarati

Hungarian

Korean

Macedonian

Persian

Punjabi

Serbian

Somali

Ukrainian

Albanian

Cantonese

Danish

Estonian

German

Hebrew

Italian

Latvian

Mandarin

Polish

Romanian

Slovak

Spanish

Urdu

Arabic

Croatian

Dutch

Finnish

Greek

Hindi

Japanese

Lithuanian

Norwegian

Portuguese

Russian

Slovene

Swedish

Yiddish

Other – Please specify: ______________________________________________________________


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Section 2 – DEMOGRAPHIC INFORMATION (SELF-IDENTIFICATION QUESTIONS)

The Law Society is committed to promoting equality and diversity in the legal professions and to enhancing legal

services provided by and for Indigenous, Francophone and equality-seeking communities. The questions in this

section will help the Law Society to better understand demographic trends, to develop programs and initiatives

within the mandate of the Law Society and to promote equality and diversity in the professions. The questions

are voluntary and the information collected in the 2017 annual reports will be kept confidential. The information

will only be available in aggregate form and will not be used to identify the demographic identity of individual

lawyers and paralegals.

Notice: The Final Report of the Challenges Faced by Racialized Licensees Working Group (Working Together for

Change: Strategies to Address Issues of Systemic Racism in the Legal Professions), adopted by Convocation on

December 2, 2016, contains recommendations that will impact the use of the demographic information collected in the

future.

Recommendation 4 – Measuring Progress through Quantitative Analysis: Beginning with the 2018 annual reports

(completed in 2019), in support of the goal of achieving greater equality, diversity and inclusion in the legal professions

and to measure progress towards this goal, information collected from these questions from lawyers and paralegals in a

legal workplace of 25 licensees or more will be shared with the workplace in a manner consistent with best practices for

such disclosure that protects individual lawyers and paralegals, to enable the workplace to compare the information

collected about the workplace with the aggregate demographic information collected from the professions as a whole

through these questions. The information collected for licensees in legal workplaces of less than 25 licensees will continue

to be available only in aggregate form and will not be used to identify the demographic identity of individual lawyers and

paralegals. To implement this process, in 2019, following collection of the information from lawyers and paralegals who

complete the questions for the 2018 reporting year, the Law Society will prepare a profile of each legal workplace of at

least 25 licensees and provide it to the legal workplace and confidentially to each lawyer and paralegal in the workplace.

Recommendation 5 – Measuring Progress through Qualitative Analysis: Beginning in 2018, and every four years

afterwards, the Law Society will ask licensees to voluntarily answer inclusion questions about their legal workplace.

Licensees will be asked questions about their experience in the workplace, including questions about career advancement

opportunities, feelings of belonging and experiences of discrimination. The Law Society will compile the results and in

legal workplaces of 25 licensees or more, a summary of the information gathered will be provided to the workplace.

1. Are you Francophone?

Yes No I do not wish to answer

2. Do you consider yourself to be an Indigenous person? (select all that apply)

First Nations, Status Indian, Non-Status Indian

Inuk (Inuit)

Métis

Other – Specify ____________________________

No, not an Indigenous person

I do not wish to answer


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3. Which of the following best describes your racial or ethnic identity? (select all that apply)

Arab

Black

Chinese

Filipino

Japanese

Korean

Latin American

South Asian (e.g. East Indian, Pakistani, Sri Lankan, etc.)

Southeast Asian (e.g. Vietnamese, Cambodian, Laotian, Thai, etc.)

West Asian (e.g. Iranian, Afghan, etc.)

White

Other – Specify ____________________________


4. What is your religion or creed? (select all that apply)

Atheist

Buddhist

Hindu

Jewish

Muslim

Protestant

Roman Catholic

Other Christian, such as Eastern Orthodox and Ukrainian Catholic

Sikh

Other religion – Specify ____________________________

No religion


5. Are you a person with a disability?

Yes No I do not wish to answer


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6. Are you transgender, transsexual, gay, lesbian or bisexual? (select all that apply)

Transgender

Transsexual

Gay

Lesbian

Bisexual

Other – Specify ____________________________

No


For further information or inquiries about the Law Society's initiatives to promote equality and diversity in the profession,

please contact the Equity department:

Telephone: 416-947-3315 Toll-free: 1-800-668-7380

Fax: 416-947-3983 Email: [email protected]


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Section 3 – INDIVIDUAL PRACTICE ACTIVITIES

To be completed by all paralegals.

Some of the terms and phrases in this section are described in the Definitions area of the Guide.

NOTES ABOUT THIS SECTION:

1. For further assistance in completing this section, refer to The Bookkeeping Guide for Paralegals available on our


2. * Refer to the Guide for definitions.

1. Cash Transactions

All paralegals must report on large cash transactions regardless of jurisdiction where legal services

were provided.

a) Did you receive cash* in an aggregate amount equivalent to $7,500 CDN or more in respect of any one

client file in 2017?

Yes No


b) Was the cash solely for legal fees and/or client disbursements*?

Yes No


c) Provide full particulars below with respect to compliance with Part III of By-Law 9 (Cash Transactions).

2. Trust Funds/Property – 2a), 2b) and 2c) must be answered.

a) In 2017, did you receive* trust funds* and/or trust property* on behalf of your firm in connection with the

provision of legal services in Ontario?

Yes No


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b) In 2017, did you disburse* (payout), or did you have signing authority to disburse, trust funds* or trust

property* on behalf of your firm in connection with the provision of legal services in Ontario?

Yes No

c) In 2017, did you hold* trust funds* or trust property* on behalf of your firm in connection with the provision

of legal services in Ontario?

Yes No

3. Borrowing from Clients – 3a) must be answered and 3b), if applicable.

Note: If your borrowing was/is from a lending institution, financial institution, insurance company, trust

company or any similar corporation whose business includes lending money to members of the public, answer

“No” to a).

See Rule 3.06 of the Paralegal Rules of Conduct.

a) At any time in 2017, were you personally indebted to a person or organization who, at the time of

borrowing, was a current or former client of you or the firm through which you provided legal services?

Yes No


b) Was the client or person a related* person as defined in the Income Tax Act (Canada)?

Yes No N/A

If “Yes” to a) or b), answer c).

c) Provide full particulars below. Include the name of the lender and of the borrower, the amount of the loan,

the security provided, and particulars of independent legal advice or independent legal representation

obtained by the lender.

4. Client Identification – All paralegals must answer questions 4a) and 4b).

a) i) In 2017, when you provided professional services to clients, did you obtain and record identification

information for every (each) client and any third party, in accordance with Part III of By-Law 7.1?

Yes No N/A


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If “No” to i), answer ii).

ii) In 2017, when you provided professional services to clients, were you exempt from the requirement to

obtain and record identification information for every (each) client and any third party, in accordance with

Part III of By-Law 7.1?

Yes No N/A

If “No” to ii), answer iii).

iii) Provide an explanation below.

b) i) In 2017, when you engaged in or gave instructions in respect of the receiving, paying or transferring of

funds, did you obtain information to verify the identity of each client, and additional identification

information for a client that is an organization, and any third party, in accordance with Part III of By-Law

7.1?

Yes No N/A

If “No” to i), answer ii).

ii) In 2017, when you engaged in or gave instructions in respect of the receiving, paying or transferring of

funds, were you exempt from the requirement to obtain information to verify the identity of each client,

and additional identification information for a client that is an organization, and any third party, in

accordance with Part III of By-Law 7.1?

Yes No N/A

If “No” to ii), answer iii).

iii) Provide an explanation below.

5. Pro Bono Legal Services

(Pro bono legal services means the provision of legal services to persons of limited means or to

charitable or not-for-profit organizations without expectation of a fee from the client.)

a) Did you provide pro bono legal services in Ontario in 2017?

Yes No


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b) How many hours did you devote to pro bono legal services in Ontario in 2017?

____________________

6. Membership in other Regulatory Bodies

a) Are you now a member of another professional/regulatory/governing body in any jurisdiction?

Yes No


b) Please identify the professional/regulatory/governing body.

7. Self Study

The annual minimum expectation is 50 hours of self-study. For the purposes of this section, self-study means

self-directed reading or research using print materials, electronic or otherwise. CPD hours must be reported in

the CPD section of the LSUC Portal by December 31st of each calendar year.

a) Did you undertake any self-study during 2017?

Yes No

If “Yes” to a), answer b) to d).

If “No” to a), you may provide an explanation in the area at the end of this section.

b) Approximate total number of self-study hours spent on file specific reading or research: _________

c) Approximate total number of self-study hours spent on general reading or research: _________

d) Indicate below the tools used, overall, for all types of self-study. Check all that apply:

Printed Material Internet Other


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8. Referral Fees

In 2017, the Law Society introduced several new requirements with respect to referral fees, including

setting a cap on referral fees, introducing new client transparency and reporting requirements, and

introducing new record keeping requirements. Starting with the 2018 Paralegal Annual Report,

paralegals will be asked further questions related to referral fees paid and received.

A “referral fee” includes any financial or other reward for the referral of a matter whether the referral

fee is direct or indirect and whether the referral fee is past, current or future. However, a referral fee

does not include a referral of other work by the licensee who received the referral. (Paralegal Rules of

Conduct, Rule 5.01(14))

a) In 2017, did you pay any referral fees?

Yes No

b) In 2017, did you receive any referral fees?

Yes No

The Final Report of the Challenges Faced by Racialized Licensees Working Group, adopted by

Convocation on December 2, 2016, contains recommendations that have resulted in new questions that

must be completed by all licensees. Please see the Working Together for Change: Strategies to Address

Issues of Systemic Racism in the Legal Professions report for more information.

Recommendation 3 – The Adoption of Equality, Diversity and Inclusion Principles and Practices

9. Statement of Principles


9. Statement of Principles Declaration

I declare that I abide by a Statement of Principles that acknowledges my obligation to promote equality,

diversity and inclusion generally, in my behaviour towards colleagues, employees, clients and the public.

Yes No

If “No”, provide an explanation below.


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Please answer the following:

To the best of my knowledge:

o I am a licensee in a legal workplace of nine (9) or less licensees.

o I am a licensee in a legal workplace of ten (10) or more licensees.

o I am a licensee in a legal workplace of ten (10) or more licensees employed by a non-licensee.

Section 1 – To be completed by licensees in a legal workplace of ten (10) or more licensees.

a) Are you the licensee representative responsible for developing, implementing and maintaining the legal

workplace’s Human Rights/Diversity Policy?

Yes No


If “No” to a), answer e).

b) I declare that a Human Rights/Diversity Policy is developed, implemented and maintained and that it

addresses fair recruitment, retention and advancement in the legal workplace.

Yes No

If “Yes” to b), answer c).

If “No” to b), answer d).

c) As the licensee representative please indicate below the licensees (name and Law Society Number) for

whom you are you are making this declaration.

d) Provide an explanation below.

e) Indicated below is the licensee representative responsible for developing, implementing and maintaining

the legal workplace’s human rights/diversity policy.

Licensee Name: __________________________________________________________________

Law Society Number: ______________________________________________________________


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Section 2 – To be completed by licensees in a legal workplace of ten (10) or more licensees employed

by a non-licensee.

a) I acknowledge that my employer has developed, implemented and maintains a Human Rights/Diversity

Policy and that it addresses fair recruitment, retention and advancement in the legal workplace.

Yes No

If “No” to a), answer b).

b) I acknowledge my individual obligation to have a Human Rights/Diversity Policy that addresses fair

recruitment, retention and advancement in the legal workplace.

Yes No


c) Provide an explanation below.

11. Additional Information

If required, use the area below to provide further information or comments about your Individual

Practice Activities.


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Section 4 – FINANCIAL REPORTING

To be completed by all paralegals who:

As at December 31st, were sole practitioners;

As at December 31st, were partners, employees and associates of paralegal firms or law firms;

As at December 31st, were employed by Legal Aid Ontario and were responsible for general*, trust* and/or

mixed trust accounts*; and

Throughout the filing year, held client monies or property from a former legal services business in Ontario.

The term “employee” means employed in a providing legal services status, for which professional liability

insurance coverage is required. This section does not apply to a paralegal working at a paralegal firm or law

firm in a non-legal capacity (e.g. clerk, assistant, bookkeeper, etc.).


The question asking you to report all non-mixed trust (individual client) accounts (formerly Question 7) has been

removed from the 2017 annual report. You must still report all mixed trust accounts in Question 6. Information

concerning mixed trust accounts is shared with the Law Foundation of Ontario. In addition, the opening or closing of

all trust accounts, mixed and non-mixed, must be immediately reported to the Law Society pursuant to subsection

4(1)5 of By-Law 8 (http://www.lsuc.on.ca/trustaccounts/).

For further assistance in completing this section, refer to The Bookkeeping Guide for Paralegals available on our


* Refer to the Guide for definitions.

1. Trust and General (Non-Trust) Accounts – 1a) and 1b) must be answered.

a) During the filing year, did either you or your firm operate a trust* account or mixed* trust account in

Ontario?

Yes No

b) During the filing year, did either you or your firm operate a general* (non-trust) account in Ontario?

Yes No

If “Yes” to a), proceed to question 2.

If “No” to a) and “Yes” to b), proceed to question 4, and then proceed to Section 5.

If “No” to both a) and b), proceed to Section 5.

2. Trust Account Information

a) During the filing year, were you a sole practitioner, or were you the paralegal responsible for filing the

trust* account information on behalf of other licensees in Ontario?

Yes No

b) Will you be filing the financial information on behalf of other lawyers and/or paralegals?

Yes No

If you are reporting financial information on behalf of other licensees, you must also submit a Financial

Filing Declaration (FFD). Sole practitioners practising alone in Ontario do not need to file an FFD.


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If “Yes” to 2.a), proceed to questions 4 through 11.

If “No” to 2.a), complete the Designated Financial Filing Option (question 3) below.

3. Designated Financial Filing Option

This option is available to you if you are not responsible for filing trust account information.

Indicate on lines a) and b) below who will be reporting the firm’s financial information on your behalf, then

proceed to Section 5.

ENTER DESIGNATED FINANCIAL FILING LICENSEE’S NAME & LAW SOCIETY NUMBER

a) FINANCIAL FILING LICENSEE’S NAME: __________________________________________________

b) Law Society Number: _________________________________________________________________

(e.g. 12345A or P12345)

The Designated Financial Filing Licensee that you have named is responsible for submitting the Financial

Filing Declaration to report the firm’s financial information on your behalf. Your Paralegal Annual Report will

not be considered complete without the submission of the Financial Filing Declaration by the licensee you

have named. If you are unable to obtain the Financial Filing Licensee’s Law Society Number, as you

are no longer employed by the firm, please enter “unknown” in question b).

4. Firm Records

Were financial records for all your firm’s trust* accounts (mixed*, separate*, and other interest generating

investments*) and/or general* (non-trust) bank accounts maintained throughout the filing year, on a current

basis, in accordance with all applicable sections in By-Law 9?

Yes No

If “No” to 4, indicate below which areas were deficient and provide an explanation for each.

COMPLETE THIS CHART ONLY IF YOU ANSWERED “NO” ABOVE

COMPLETE ONLY THOSE AREAS WHERE YOU WERE DEFICIENT

By-Law 9: Financial Transactions and Records

By-Law 9 Sections

18, 19 & 19.1 (Maintain)

By-Law 9 Section 22 (Current)

Explanation for Deficiency

1. Trust Receipts Journal Subsection 18(1)

2. Trust Disbursements Journal Subsection 18(2)

3. Clients’ Trust Ledger Subsection 18(3)

4. Trust Transfer Journal Subsection 18(4)


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5. General Receipts Journal Subsection 18(5)

6. General Disbursements Journal Subsection 18(6)

7. Fees Book or Chronological Billing File Subsection 18(7)

8. Trust Bank Comparison ** Subsection 18(8)

9. Valuable Property Record Subsection 18(9)

10. Source documents including deposit slips, bank statements and cashed cheques Subsection 18(10)

11. Electronic Trust Transfer Requisitions and Confirmations Subsection 18(11) and Section 12 (Form 9A)

12. Duplicate Cash Receipts Book for all cash received Section 19

** Trust comparisons are to be completed within 25 days of the effective date of the monthly trust reconciliation.

5. Comparison of Trust Bank Reconciliations and Trust Listing of Client Liabilities as at December 31,

2017.

Trust Reconciliation and Comparison December 31, 2017 Balances

i) The total dollar value of mixed* trust bank accounts

$

ii) The total dollar value of separate* interest bearing trust accounts or income generating trust accounts/investments*

+$

iii) TOTAL of i) and ii)

=

iv) Total outstanding deposits (if any)

+

v) Total bank/posting errors (if any)

+/-

vi) Total outstanding cheques (if any)

-

vii) Reconciled Bank Balance

=

viii) Total Client Trust Liabilities (Client Trust Listing)

-

ix) Difference between Reconciled Bank Balance and Total Client Trust Liabilities

=


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If there is a difference between the Reconciled Bank Balance vii) and the Total Client Trust Liabilities viii),

provide a written explanation below.

6. Mixed Trust Accounts

This question must be answered if you operated a mixed trust account at any time during the filing year

(2017 calendar year).

A licensee who receives money in trust for a client shall immediately pay the money into an account at a

chartered bank, provincial savings office, credit union or a league to which the Credit Unions and

Caisses Populaires Act, 1994 applies or registered trust corporations, to be kept in the name of the

licensee, or the name of the firm of licensees of which the licensee is a partner, through which the

licensee practises law or provides legal services or by which the licensee is employed, and designated

as a trust account.

A mixed trust account is a trust account holding, or intended to hold, trust funds for more than one client.

Mixed trust accounts are governed by subsection 57(1) of the Law Society Act, which requires any

interest payable on a mixed trust account to be paid to the Law Foundation of Ontario.

Financial Institution Name

Transit Number

Account Number

Branch Address Account Holder Name

SAMPLE Royal Bank of Canada

0652

1234567

123 Main Street Oakville, ON L6J 7M4

Smith Jones LLP

i) Has this financial institution (at any time) been directed to pay interest on this account to the Law Foundation of Ontario?

Yes No

ii) Was this account opened during the filing year?

Yes No

If “Yes” to ii): Date account was opened:

____ /____ MM / DD

iii) Was this account closed during the filing year?

Yes No


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If “Yes” to iii): Date account was closed:

____ /____ MM / DD

iv) If the account was closed, was the balance of the closed account transferred to the Law Society of Upper Canada’s Unclaimed Trust Fund?

Yes No

v) Was there at least one transaction in this account during the filing year?

Yes No

If you are filing your Paralegal Annual Report by paper and you have multiple mixed trust accounts,

please contact By-Law Administration Services at [email protected] or (416) 947-3315 for an

additional form, or enter the information in the space provided at the end of this Section.

7. Answer all questions as at December 31, 2017.

a) What is the total number of mixed* trust bank accounts referred to in 5(i)?

________________

b) What is the total number of separate* interest bearing trust accounts or income generating trust

accounts/investments* referred to in 5(ii)?

________________

8. Overdrawn Accounts

a) During 2017, did your records at any month end disclose overdrawn clients’ trust ledger account(s)?

Yes No


b) Were the account(s) corrected by December 31, 2017?

Yes No

If “No” to b), answer c) and d).

c) The total dollar value of overdrawn clients’ trust ledger account(s) as at December 31, 2017 was:

$_______________

d) The total number of overdrawn clients’ trust ledger account(s) as at December 31, 2017 was:

________________


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9. Outstanding Deposits

a) During 2017, did your records at any month end disclose outstanding trust account deposits, not

deposited the following business day?

Yes No


b) Were the account(s) corrected by December 31, 2017?

Yes No

If “No” to b), answer c) and d).

c) The total dollar value of outstanding trust account deposits as at December 31, 2017 was:

$_______________

d) The total number of outstanding trust account deposits as at December 31, 2017 was:

________________

10. Unchanged Client Trust Ledger Account Balances

a) Were there client trust ledger account balances that were unchanged* (i.e. had no activity) for the entire

year?

Yes No

If “Yes” to a), answer b) and c).

b) The total dollar value of these account balances as at December 31, 2017 was:

$_______________

c) The total number of client trust ledger accounts that remained unchanged* for the entire year as at

December 31, 2017 was:

________________

11. Unclaimed Client Trust Ledger Account Balances

a) Of the amounts identified in question 11, were any unclaimed* for two years or more? (Refer to Section

59.6 of the Law Society Act)

Yes No N/A

If “Yes” to a), answer b) and c).


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b) The total dollar value of the unclaimed* client trust ledger account balances was:

$_______________

c) The total number of unclaimed* client trust ledger accounts was:

________________

12. Additional Information

If required, use the area below to provide further information about your Financial Reporting (Section

3), including details of any additional trust or mixed trust accounts.


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Section 5 – AREAS OF LEGAL SERVICES


Where exact information is not available to respond to the questions under this heading, provide your best

approximation.

* Refer to the Guide for definitions.

1. Legal Services – Ontario

a) Did you provide legal services in 2017?

Yes No

b) Indicate the approximate percentage of time you devoted in 2017 to the areas of legal services listed

below:

Ontario Court of Justice Provincial Offences Act matters _________%

Ontario Court of Justice – Summary Conviction offences _________%

Worker’s Compensation _________%

Small Claims Court matters _________%

Property Tax Assessment _________%

Statutory Accident Benefits Schedule matters (SABS) _________%

Human Rights _________%

Landlord and Tenant _________%

Other Tribunals – Please specify in the area below _________%

Total: _________%

Question 1 must total 100%.


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2. In what primary area do you provide legal services? Choose only one.

o Ontario Court of Justice Provincial Offences Act matters

o Ontario Court of Justice – Summary Conviction offences

o Worker’s Compensation

o Small Claims Court matters

o Property Tax Assessment

o Statutory Accident Benefits Schedule matters (SABS)

o Human Rights

o Landlord and Tenant

o Other Tribunals – Please specify in the area below

3. Lawyer Supervision

a) Do you work under the supervision* of a lawyer?

Yes No


b) Indicate the percentage of time you spend in the following areas:

Advocacy* _________%

Non-advocacy* _________%

Total: _________%

Question 3b) must total 100%.


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Section 6 – CERTIFICATION AND SUBMISSION

I am the paralegal filing this 2017 Paralegal Annual Report. I have reviewed the matters reported and the

information contained herein is complete, true and accurate. I acknowledge that it is professional misconduct to

make a false or misleading reporting to the Law Society of Upper Canada.

______________________________________________________________ _____ / _____ / _______

Signature DD MM YYYY


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convocation - paralegal standing committee report · in september 2015, convocation further amended...

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