Wes MacAleer, Minister of Community Services and Attorney General, announced today amendments to the Legal Profession Act. Amendments to the act include clauses to allow lawyers to set up trust accounts in credit unions the same way they can with banks and trust companies.
Minister MacAleer highlighted the importance of the amendments to rural PEI. "The amendments to the Legal Profession Act will help to strengthen Island communities and support rural life in PEI by helping to keep business local," says Minister MacAleer.
Clause 44(2)(a) of the act is amended by the insertion after the words "Canada Deposit Insurance Corporation" of the words "or the Credit Union Deposit Insurance Corporation."
Before the amendments, some rural lawyers had to travel outside their communities to set up trust accounts in banks making it time consuming and difficult for both lawyers and their clients. In those communities where credit unions and Banks co-exist, it levels the playing field for the financial institutions and gives lawyers choices as to where to do business.
Amendments to the act were requested jointly by the Law Society and the Credit Union Central of PEI to make it easier for lawyers to do business in local communities across PEI.
"The amendments to the Legal Profession Act provide a level playing field for legal firms and their partners to do business in credit unions in PEI," says Gerard Dougan, CEO of Credit Union Central of PEI. "We service a number of law firms across the Island and now we can offer a more complete service to our members."
Other amendments to the act allow for the incorporation of law firms. These amendments put law firms on the same footing as other small business corporations. Most other professions, such as doctors and dentists, have been able to do this for some time.