I am interested to know what is PEXA's policy with regards to fraud committed by a lawyer or conveyancor ? ie if the conveyancor deliberately changes the sellers bank account details ?
I read PRSG and the exclusions ,but could not find a topic covering this subject . Since we are all forced to transact using the PEXA platform ,i feel this is a very important question. Not all lawyers and conveyancors are ethical and work for the best interest of the client .
Does the PRSG cover such a fraud ?
Our system depends on lawyers and conveyancers doing their jobs, and observing their professional obligations.
If you consider that a lawyer or conveyancer has breached any professional or ethical obligations, then this is a matter to take up with the relevant body that regulates them. If you consider that there has been any fraud, then it may be necessary to involve the police.
If you have concerns about a particular lawyer or conveyancer, I would encourage you to speak with the regulator in their state, as they will be able to provide advice as to your options.
In a nut shell ,NO! . I was advised to seek the help of the local authorities or the relevant body that regulates ,conveyancers or lawyers . Since the fraudulent lawyer or conveyancer who committed the fraud used the PEXA platform ,shouldn’t PEXA take some responsibility to retrieve the money on behalf of the vendor? or pay in full or up to a limit the money stolen or taken fraudulently
If you can send me some details via private message (whether it was a lawyer or conveyancer who represented you, and in what state), I would be happy to advise you as to which regulator is relevant. There are mechanisms in place to cover these scenarios (for example, see information here from Consumer Affairs Victoria about the Fidelity Fund and Victorian Property Fund).
I am about to put my house on the market and contemplating whether to use a lawyer or conveyancer ? I am concerned about the PEXA platform and what could go wrong if a lawyer of conveyancer is fraudulent. Does the fidelity fund cover any losses ? or does lawyer's professional indemnity insurance ?