117Extension of vicarious liability relating to failure to

117 Extension of vicarious liability relating to failure to account and dishonesty to incorporated legal practices etc (1) This section applies to a civil proceeding based on the vicarious liability of an incorporated legal practice if— (a) the proceeding relates to a failure to account for, pay or deliver money or property that was— (i) received by, or entrusted to, the practice (or to any officer or employee of the practice) in the course of the provision of legal services by the practice; and (ii) under the direct or indirect control of the practice; or (b) the proceeding is for any other debt owed, or damages payable, to a client because of a dishonest act or omission by an Australian legal practitioner who is an employee of the practice in relation to the provision of legal services to the client. (2) If the incorporated legal practice would not (apart from this section) be vicariously liable for any acts or omissions of its officers and employees in the proceeding, but would be liable for the acts or omissions if the practice and the officers and employees were carrying on business in partnership, the practice is taken to be vicariously liable for the acts or omissions.