sec.23Dealing with transferred trust accounts

sec.23 Dealing with transferred trust accounts

This section applies if— a principal agent (the original principal agent ) enters into a partnership with another principal agent; or a principal agent (also an original principal agent ) disposes of the agent’s business to another principal agent by any means; or a change occurs in the members of a partnership of principal agents (the original partnership ). The trust money held by an original principal agent or original partnership must be held by the original principal agent or original partnership until the person who conducts the final audit certifies that the trust money has been properly accounted for and reconciled. Maximum penalty—10 penalty units. Despite subsection (2) , if the money is held in a trust account on a trust creditor’s behalf, the money must be transferred if— the trust creditor authorises the transfer in writing; or for trust money in the form of a bond or a security deposit in relation to a tenancy agreement, the landlord and the tenant authorise the transfer in writing; or the matters in subsection (4) are satisfied. For subsection (3) (c) , the matters are— the transferee is the public trustee and the public trustee has agreed to accept the transfer; and the original principal agent or original partnership has taken reasonable steps to contact the person entitled to the money; and under the Trusts Act 1973 , section 67 — the original principal agent or original partnership has given a notice for the money; and the date fixed in the notice given under that section has passed; and the original principal agent or original partnership has no notice of any claim to the money for the purposes of that section. (sec.23-ssec.1) This section applies if— a principal agent (the original principal agent ) enters into a partnership with another principal agent; or a principal agent (also an original principal agent ) disposes of the agent’s business to another principal agent by any means; or a change occurs in the members of a partnership of principal agents (the original partnership ). (sec.23-ssec.2) The trust money held by an original principal agent or original partnership must be held by the original principal agent or original partnership until the person who conducts the final audit certifies that the trust money has been properly accounted for and reconciled. Maximum penalty—10 penalty units. (sec.23-ssec.3) Despite subsection (2) , if the money is held in a trust account on a trust creditor’s behalf, the money must be transferred if— the trust creditor authorises the transfer in writing; or for trust money in the form of a bond or a security deposit in relation to a tenancy agreement, the landlord and the tenant authorise the transfer in writing; or the matters in subsection (4) are satisfied. (sec.23-ssec.4) For subsection (3) (c) , the matters are— the transferee is the public trustee and the public trustee has agreed to accept the transfer; and the original principal agent or original partnership has taken reasonable steps to contact the person entitled to the money; and under the Trusts Act 1973 , section 67 — the original principal agent or original partnership has given a notice for the money; and the date fixed in the notice given under that section has passed; and the original principal agent or original partnership has no notice of any claim to the money for the purposes of that section.