sec.325RGiving or receiving consideration for claim referrals

### sec.325R Giving or receiving consideration for claim referrals A person (a payer ) must not give, agree to give or allow or cause someone else to give consideration to another person (a payee ) for a claim referral or potential claim referral. Maximum penalty—300 penalty units. A person (also a payee ) must not receive, agree to receive or allow or cause someone else to receive consideration from another person (also a payer ) for a claim referral or potential claim referral. Maximum penalty—300 penalty units. This section does not apply if— the payee is a law practice (the current practice ) that is selling all or part of the law practice’s business to another law practice (the new practice ); and the new practice gives, agrees to give or allows or causes someone else to give the current practice an amount for the referral of a claimant to the new practice; and the amount is not more than the current legal costs for the claimant; and the new practice discloses payment of the amount to the claimant in a costs agreement. In this section— claimant includes a potential claimant. consideration , for a claim referral or potential claim referral, see section 325S . legal costs , for a claimant, means the fees and costs, including disbursements, a law practice is entitled to charge and recover from the claimant in relation to the claimant’s claim or potential claim. s 325R ins 2022 No. 13 s 60 (sec.325R-ssec.1) A person (a payer ) must not give, agree to give or allow or cause someone else to give consideration to another person (a payee ) for a claim referral or potential claim referral. Maximum penalty—300 penalty units. (sec.325R-ssec.2) A person (also a payee ) must not receive, agree to receive or allow or cause someone else to receive consideration from another person (also a payer ) for a claim referral or potential claim referral. Maximum penalty—300 penalty units. (sec.325R-ssec.3) This section does not apply if— the payee is a law practice (the current practice ) that is selling all or part of the law practice’s business to another law practice (the new practice ); and the new practice gives, agrees to give or allows or causes someone else to give the current practice an amount for the referral of a claimant to the new practice; and the amount is not more than the current legal costs for the claimant; and the new practice discloses payment of the amount to the claimant in a costs agreement. (sec.325R-ssec.4) In this section— claimant includes a potential claimant. consideration , for a claim referral or potential claim referral, see section 325S . legal costs , for a claimant, means the fees and costs, including disbursements, a law practice is entitled to charge and recover from the claimant in relation to the claimant’s claim or potential claim. - (a) the payee is a law practice (the current practice ) that is selling all or part of the law practice’s business to another law practice (the new practice ); and - (b) the new practice gives, agrees to give or allows or causes someone else to give the current practice an amount for the referral of a claimant to the new practice; and - (c) the amount is not more than the current legal costs for the claimant; and - (d) the new practice discloses payment of the amount to the claimant in a costs agreement.