Course Title: Maintain trust accounts

Part B: Course Detail

Teaching Period: Term1 2011

Course Code: BAFI5119C

Course Title: Maintain trust accounts

School: 650T TAFE Business

Campus: City Campus

Program: C6070 - Advanced Diploma of Business (Legal Practice)

Course Contact : Jenny Wotzko

Course Contact Phone: +61 3 9925 5701

Course Contact Email:jennifer.wotzko@rmit.edu.au


Name and Contact Details of All Other Relevant Staff

Nominal Hours: 50

Regardless of the mode of delivery, represent a guide to the relative teaching time and student effort required to successfully achieve a particular competency/module. This may include not only scheduled classes or workplace visits but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.

Pre-requisites and Co-requisites

None

Course Description

This unit covers the maintenance of trust monies related to specific files, under the instruction of a legal practitioner.


National Codes, Titles, Elements and Performance Criteria

National Element Code & Title:

BSALF401A Maintain trust accounts

Element:

Check that trust funds are adequate

Performance Criteria:

1.1 Check relevant sources for information regarding disbursements and costs

1.2 Calculate and reconcile estimated disbursements and costs with available trust funds

1.3 Notify instructing legal practitioner where there are inadequate available funds

1.4 Notify client that further funds are required, where necessary, according to firm's policies and procedures

Element:

Draw cheque/s against the trust account

Performance Criteria:

2.1 Complete appropriate requisition form

2.2 Gain authorisation from instructing legal practitioner according to firm's policies and procedures

2.3 Inspect cheque/s for accuracy and correct account source

2.4 Organise instructing legal practitioner to verify and sign cheques

2.5 Keep accurate records of all file-related disbursements and costs

Element:

Prepare documentation upon completion of legal matter

Performance Criteria:

3.1 Collate relevant information/documentation from file

3.2 Reconcile monies remaining in trust account

3.3 Promptly investigate discrepancies/irregularities and take appropriate follow-up action


Learning Outcomes


On completion of this course, a student should be able to demonstrate an understanding of the general operation of trust accounts, be able to control and account in both a legal and ethical manner for all trust moneys received and paid, and be able to clearly report to stakeholders how trust monies have been dealt with.


Details of Learning Activities

The classes in this course will provide opportunities for students to develop a working knowledge of Part 3.3 of the Legal Professions Act and Regulations.  The primary focus will be on practical demonstrations and exercises in documenting and recording a variety of trust account transactions.  In addition, there will be ample opportunity for discussion of the trust accounting systems used and problems encountered by other students working in legal offices throughout Melbourne.


Teaching Schedule

WeekCommencingPerformance Criteria/Topic Assessment
1Feb 8What is ‘Trust money’?
What is a ‘Trust Account’ & when is it used?
Office account transactions vs. trust account transactions
 Case study and Assessments explained
2Feb 151.1-3.3 Trust money & trust account legislation.
 Legal Profession Act 2004
 Legal Profession Regulations 2005
 
3Feb 221.1-1.2Trust Account Records:
a. Overview of Trust Accounting System
b. Trust Account Receipts
 
4Mar 11.1-1.2 Trust Account Records:
c. As above - exercises
 
5Mar 8 1.1-1.4 Assessing the adequacy of trust account balances 
6Mar 15 2.1-2.5 Trust Account Records:
d. Trust Account Payments
 
 7 Mar 222.1-2.5 Trust Account Records:
e. As above - exercises
 
8Mar 29  TEST 1
 9April 53.1-3.3 Completion of a legal matter
Reconciliations & reports
 
 10April 12 3.1-3.3 Completion of a legal matter
Reconciliations & reports - exercises
11April 19 Revision for Test 2 
 STUDENT EASTER VACATION  21st to 27th April 
12May 3  TEST 2
13May 10 1.1 - 3.3 Completion of case studies: Comprehensive example
 
14May 17

 1.1 - 3.3 Trust Accounting using a computer software package

 Case studies to be handed in at the end of class
15May 25 1.1 - 3.3 Trust Accounting using a computer software package
 
16May 31 Retesting - Test 1 and Test 2 RETESTING
17June 7 Review and return of Case Studies 
    


Learning Resources

Prescribed Texts

None


References

Part 3.3 of the Legal Profession Act 2004 - provided on the Learning Hub 

Part 3.3 of the Legal Profession Regulations 2005 - provided on the Learning Hub.


Other Resources



Notes on Recording Trust Transactions provided on the Learning Hub progressively through the semester.


Overview of Assessment

A student must demonstrate a clear understanding of all elements of the required competencies to be deemed competent. Assessment may include a variety of methods including tests, workbooks, presentations, class exercises, assignments etc. Formative feedback is provided throughout the course. This occurs by the teacher providing information to the student to inform them how they are succeeding in the course and areas that require more work to succeed. Formative feedback is not a piece of assessment that contributes to the student’s final result.


Assessment Tasks

Assessment Tasks:  2 tests worth 30% each + 1 case study worth 40% of the total mark for the course.

Test 1 - this test will assess performance criteria 1.1 to 2.5 with respect to the recording and management of trust account receipts and payments. It will contribute 30% of the total mark for the course and will be held in week 8 (29th March).
Test 2 - this test will assess performance criteria 3.1 to 3.3 with respect to trust account reconciliations, documentation and reports. It will contribute 30% of the total mark for the course and will be held in week 12 (3rd May).

Case Study - the case study is a practical application of all elements of the competency. It will contribute 40% of the total mark for the course and will be due for submission on 17th May.


Assessment Matrix

  Test 1 Test 2   Case Study
 1. BSALF401A/01
Check that trust funds are adequate
 X    X
 2. BSALF401A /02
Draw cheques against trust account
 X    X
 3. BSALF401A /03
Prepare documentation upon completion of legal matter
  X   X

Course Overview: Access Course Overview