PART V
MISCELLANEOUS
Instructions on payment to Category B payee or Category C payee
18.—(1)  Where any party to a conveyancing transaction who is entitled to be paid any conveyancing money (referred to in this paragraph as X) or X’s solicitor instructs any other party to the transaction (referred to in this paragraph as Y) or Y’s solicitor (referred to in paragraph (5) as the relevant solicitor) to pay the conveyancing money to a specified payee that purports to be a Category B payee —
(a)Y’s solicitor shall be entitled to request that X or X’s solicitor provide Y’s solicitor with such information and documents as may be necessary to enable Y’s solicitor to verify that the specified payee is a Category B payee;
(b)X or X’s solicitor shall promptly furnish the information and documents to Y’s solicitor;
(c)Y or Y’s solicitor, as the case may be, may refuse to pay the conveyancing money to the specified payee, and may instead pay the conveyancing money to X, if —
(i)X or X’s solicitor refuses or neglects to furnish any information or document under sub-paragraph (b), after being requested to do so in accordance with sub-paragraph (a);
(ii)Y’s solicitor is not satisfied with the authenticity of any document furnished by X or X’s solicitor under sub-paragraph (b);
(iii)there is any material discrepancy between any information or document furnished by X or X’s solicitor under sub-paragraph (b) and the instruction of X or X’s solicitor under this paragraph, or there is any material discrepancy in the information and documents furnished by X or X’s solicitor under sub-paragraph (b), as regards whether the specified payee is a Category B payee; or
(iv)Y’s solicitor has any other reasonable grounds for such refusal; and
(d)Y or Y’s solicitor, as the case may be, shall not refuse to pay the conveyancing money to the specified Category B payee unless sub-paragraph (c) applies.
[S 629/2011 wef 25/11/2011]
(1A)  Where any party to a conveyancing transaction who is entitled to be paid any conveyancing money (referred to in this paragraph as X) or X’s solicitor instructs any other party to the transaction (referred to in this paragraph as Y) to pay the conveyancing money to a specified payee that purports to be a Category B payee —
(a)Y shall be entitled to request that X or X’s solicitor provide Y with such information and documents as may be necessary to enable Y to verify that the specified payee is a Category B payee;
(b)X or X’s solicitor shall promptly furnish the information and documents to Y;
(c)Y may refuse to pay the conveyancing money to the specified payee, and may instead pay the conveyancing money to X, if —
(i)X or X’s solicitor refuses or neglects to furnish any information or document under sub-paragraph (b), after being requested to do so in accordance with sub-paragraph (a);
(ii)Y is not satisfied with the authenticity of any document furnished by X or X’s solicitor under sub-paragraph (b);
(iii)there is any material discrepancy between any information or document furnished by X or X’s solicitor under sub-paragraph (b) and the instruction of X or X’s solicitor under this paragraph, or there is any material discrepancy in the information and documents furnished by X or X’s solicitor under sub-paragraph (b), as regards whether the specified payee is a Category B payee; or
(iv)Y has any other reasonable grounds for such refusal; and
(d)Y shall not refuse to pay the conveyancing money to the specified Category B payee unless sub-paragraph (c) applies.
[S 629/2011 wef 25/11/2011]
(2)  Where any party to a conveyancing transaction who is entitled to be paid any conveyancing money (referred to in this paragraph as X) or X’s solicitor instructs any other party to the transaction (referred to in this paragraph as Y) or Y’s solicitor (referred to in paragraph (5) as the relevant solicitor) to pay the conveyancing money to a specified Category C payee —
(a)Y’s solicitor shall be entitled to request that X or X’s solicitor provide Y’s solicitor with —
(i)a statutory declaration, or any other document, that specifies —
(A)that the conveyancing money is to be paid to the specified Category C payee; and
(B)the amount of the conveyancing money that is to be paid; and
(ii)such other information and documents as may be necessary to enable Y’s solicitor to verify —
(A)that the conveyancing money is to be paid to the specified Category C payee; and
(B)the amount of the conveyancing money that is to be paid;
(b)X or X’s solicitor shall promptly furnish the information and documents (including the statutory declaration or document referred to in sub-paragraph (a)(i)) to Y’s solicitor;
(c)Y or Y’s solicitor, as the case may be, may refuse to pay the conveyancing money to the specified Category C payee, and may instead pay the conveyancing money to X, if —
(i)X or X’s solicitor refuses or neglects to furnish any information or document under sub-paragraph (b), after being requested to do so in accordance with sub-paragraph (a);
(ii)Y’s solicitor is not satisfied with the authenticity of any document furnished by X or X’s solicitor under sub-paragraph (b);
(iii)there is any material discrepancy between any information or document furnished by X or X’s solicitor under sub-paragraph (b) and the instruction of X or X’s solicitor under this paragraph, or there is any material discrepancy in the information and documents furnished by X or X’s solicitor under sub-paragraph (b), as regards —
(A)whether the conveyancing money is to be paid to the specified Category C payee; or
(B)the amount of the conveyancing money that is to be paid; or
(iv)Y’s solicitor has any other reasonable grounds for such refusal; and
(d)Y or Y’s solicitor, as the case may be, shall not refuse to pay the conveyancing money to the specified Category C payee unless sub-paragraph (c) applies.
[S 629/2011 wef 25/11/2011]
(2A)  Where any party to a conveyancing transaction who is entitled to be paid any conveyancing money (referred to in this paragraph as X) or X’s solicitor instructs any other party to the transaction (referred to in this paragraph as Y) to pay the conveyancing money to a specified Category C payee —
(a)Y shall be entitled to request that X or X’s solicitor provide Y with —
(i)a statutory declaration, or any other document, that specifies —
(A)that the conveyancing money is to be paid to the specified Category C payee; and
(B)the amount of the conveyancing money that is to be paid; and
(ii)such other information and documents as may be necessary to enable Y to verify —
(A)that the conveyancing money is to be paid to the specified Category C payee; and
(B)the amount of the conveyancing money that is to be paid;
(b)X or X’s solicitor shall promptly furnish the information and documents (including the statutory declaration or document referred to in sub-paragraph (a)(i)) to Y;
(c)Y may refuse to pay the conveyancing money to the specified Category C payee, and may instead pay the conveyancing money to X, if —
(i)X or X’s solicitor refuses or neglects to furnish any information or document under sub-paragraph (b), after being requested to do so in accordance with sub-paragraph (a);
(ii)Y is not satisfied with the authenticity of any document furnished by X or X’s solicitor under sub-paragraph (b);
(iii)there is any material discrepancy between any information or document furnished by X or X’s solicitor under sub-paragraph (b) and the instruction of X or X’s solicitor under this paragraph, or there is any material discrepancy in the information and documents furnished by X or X’s solicitor under sub-paragraph (b), as regards —
(A)whether the conveyancing money is to be paid to the specified Category C payee; or
(B)the amount of the conveyancing money that is to be paid; or
(iv)Y has any other reasonable grounds for such refusal; and
(d)Y shall not refuse to pay the conveyancing money to the specified Category C payee unless sub-paragraph (c) applies.
[S 629/2011 wef 25/11/2011]
(3)  Where any party to a conveyancing transaction who is entitled to be paid any conveyancing money (referred to in this paragraph as X) or X’s solicitor instructs any other party to the transaction (referred to in this paragraph as Y) or Y’s solicitor to pay the conveyancing money to a specified payee that purports to be a Category B payee, and Y or Y’s solicitor in turn instructs any other person (referred to in this paragraph as Z) or Z’s solicitor (referred to in paragraph (5) as the relevant solicitor) to pay the conveyancing money to that specified payee —
(a)Z’s solicitor shall be entitled to request that Y or Y’s solicitor provide Z’s solicitor with such information and documents as may be necessary to enable Z’s solicitor to verify that the specified payee is a Category B payee;
(b)Y or Y’s solicitor shall promptly furnish the information and documents to Z’s solicitor;
(c)Z or Z’s solicitor, as the case may be, may refuse to pay the conveyancing money to the specified payee, and may instead pay the conveyancing money to X, if —
(i)Y or Y’s solicitor refuses or neglects to furnish any information or document under sub-paragraph (b), after being requested to do so in accordance with sub-paragraph (a);
(ii)Z’s solicitor is not satisfied with the authenticity of any document furnished by Y or Y’s solicitor under sub-paragraph (b);
(iii)there is any material discrepancy between any information or document furnished by Y or Y’s solicitor under sub-paragraph (b) and the instruction of Y or Y’s solicitor under this paragraph, or there is any material discrepancy in the information and documents furnished by Y or Y’s solicitor under sub-paragraph (b), as regards whether the specified payee is a Category B payee; or
(iv)Z’s solicitor has any other reasonable grounds for such refusal; and
(d)Z or Z’s solicitor, as the case may be, shall not refuse to pay the conveyancing money to the specified Category B payee unless sub-paragraph (c) applies.
[S 629/2011 wef 25/11/2011]
(3A)  Where any party to a conveyancing transaction who is entitled to be paid any conveyancing money (referred to in this paragraph as X) or X’s solicitor instructs any other party to the transaction (referred to in this paragraph as Y) or Y’s solicitor to pay the conveyancing money to a specified payee that purports to be a Category B payee, and Y or Y’s solicitor in turn instructs any other person (referred to in this paragraph as Z) to pay the conveyancing money to that specified payee —
(a)Z shall be entitled to request that Y or Y’s solicitor provide Z with such information and documents as may be necessary to enable Z to verify that the specified payee is a Category B payee;
(b)Y or Y’s solicitor shall promptly furnish the information and documents to Z;
(c)Z may refuse to pay the conveyancing money to the specified payee, and may instead pay the conveyancing money to X, if —
(i)Y or Y’s solicitor refuses or neglects to furnish any information or document under sub-paragraph (b), after being requested to do so in accordance with sub-paragraph (a);
(ii)Z is not satisfied with the authenticity of any document furnished by Y or Y’s solicitor under sub-paragraph (b);
(iii)there is any material discrepancy between any information or document furnished by Y or Y’s solicitor under sub-paragraph (b) and the instruction of Y or Y’s solicitor under this paragraph, or there is any material discrepancy in the information and documents furnished by Y or Y’s solicitor under sub-paragraph (b), as regards whether the specified payee is a Category B payee; or
(iv)Z has any other reasonable grounds for such refusal; and
(d)Z shall not refuse to pay the conveyancing money to the specified Category B payee unless sub-paragraph (c) applies.
[S 629/2011 wef 25/11/2011]
(4)  Where any party to a conveyancing transaction who is entitled to be paid any conveyancing money (referred to in this paragraph as X) or X’s solicitor instructs any other party to the transaction (referred to in this paragraph as Y) or Y’s solicitor to pay the conveyancing money to a specified Category C payee, and Y or Y’s solicitor in turn instructs any other person (referred to in this paragraph as Z) or Z’s solicitor (referred to in paragraph (5) as the relevant solicitor) to pay the conveyancing money to that specified Category C payee —
(a)Z’s solicitor shall be entitled to request that Y or Y’s solicitor provide Z’s solicitor with —
(i)a statutory declaration, or any other document, that specifies —
(A)that the conveyancing money is to be paid to the specified Category C payee; and
(B)the amount of the conveyancing money that is to be paid; and
(ii)such other information and documents as may be necessary to enable Z’s solicitor to verify —
(A)that the conveyancing money is to be paid to the specified Category C payee; and
(B)the amount of the conveyancing money that is to be paid;
(b)Y or Y’s solicitor shall promptly furnish the information and documents (including the statutory declaration or document referred to in sub-paragraph (a)(i)) to Z’s solicitor;
(c)Z or Z’s solicitor, as the case may be, may refuse to pay the conveyancing money to the specified Category C payee, and may instead pay the conveyancing money to X, if —
(i)Y or Y’s solicitor refuses or neglects to furnish any information or document under sub-paragraph (b), after being requested to do so in accordance with sub-paragraph (a);
(ii)Z’s solicitor is not satisfied with the authenticity of any document furnished by Y or Y’s solicitor under sub-paragraph (b);
(iii)there is any material discrepancy between any information or document furnished by Y or Y’s solicitor under sub-paragraph (b) and the instruction of Y or Y’s solicitor under this paragraph, or there is any material discrepancy in the information and documents furnished by Y or Y’s solicitor under sub-paragraph (b), as regards —
(A)whether the conveyancing money is to be paid to the specified Category C payee; or
(B)the amount of the conveyancing money that is to be paid; or
(iv)Z’s solicitor has any other reasonable grounds for such refusal; and
(d)Z or Z’s solicitor, as the case may be, shall not refuse to pay the conveyancing money to the specified Category C payee unless sub-paragraph (c) applies.
[S 629/2011 wef 25/11/2011]
(4A)  Where any party to a conveyancing transaction who is entitled to be paid any conveyancing money (referred to in this paragraph as X) or X’s solicitor instructs any other party to the transaction (referred to in this paragraph as Y) or Y’s solicitor to pay the conveyancing money to a specified Category C payee, and Y or Y’s solicitor in turn instructs any other person (referred to in this paragraph as Z) to pay the conveyancing money to that specified Category C payee —
(a)Z shall be entitled to request that Y or Y’s solicitor provide him with —
(i)a statutory declaration, or any other document, that specifies —
(A)that the conveyancing money is to be paid to the specified Category C payee; and
(B)the amount of the conveyancing money that is to be paid; and
(ii)such other information and documents as may be necessary to enable Z to verify —
(A)that the conveyancing money is to be paid to the specified Category C payee; and
(B)the amount of the conveyancing money that is to be paid;
(b)Y or Y’s solicitor shall promptly furnish the information and documents (including the statutory declaration or document referred to in sub-paragraph (a)(i)) to Z;
(c)Z may refuse to pay the conveyancing money to the specified Category C payee, and may instead pay the conveyancing money to X, if —
(i)Y or Y’s solicitor refuses or neglects to furnish any information or document under sub-paragraph (b), after being requested to do so in accordance with sub-paragraph (a);
(ii)Z is not satisfied with the authenticity of any document furnished by Y or Y’s solicitor under sub-paragraph (b);
(iii)there is any material discrepancy between any information or document furnished by Y or Y’s solicitor under sub-paragraph (b) and the instruction of Y or Y’s solicitor under this paragraph, or there is any material discrepancy in the information and documents furnished by Y or Y’s solicitor under sub-paragraph (b), as regards —
(A)whether the conveyancing money is to be paid to the specified Category C payee; or
(B)the amount of the conveyancing money that is to be paid; or
(iv)Z has any other reasonable grounds for such refusal; and
(d)Z shall not refuse to pay the conveyancing money to the specified Category C payee unless sub-paragraph (c) applies.
[S 629/2011 wef 25/11/2011]
(5)  For the avoidance of doubt, this rule —
(a)applies regardless of whether the conveyancing money is —
(i)held by the relevant solicitor in a conveyancing account or conveyancing (CPF) account; or
(ii)deposited by the relevant solicitor with any appointed entity (not being an appointed bank); but
(b)does not apply to any conveyancing money held by the relevant solicitor in an escrow account and in accordance with an escrow agreement.
Terms and conditions applicable to every conveyancing transaction
19.  The terms and conditions set out in the Third Schedule shall apply to every conveyancing transaction.
Scheme for adjudication of relevant disputes
20.—(1)  For the purposes of section 73E of the Act, there shall be established a Scheme for the adjudication of relevant disputes.
(2)  The Society shall be the administrator for the Scheme.
(3)  The procedure for the adjudication, under the Scheme, of any relevant dispute, and the terms and conditions of the Scheme, are as set out in the Fourth Schedule.
(4)  In this rule and the Fourth Schedule —
“relevant dispute” means any dispute arising from —
(a)a refusal, by a person requested by a solicitor under rule 7(9) or (10) to countersign a pay-out form or variation pay-out form relating to the payment of any conveyancing money from the solicitor’s conveyancing account or conveyancing (CPF) account, to countersign that pay-out form or variation pay-out form; or
(b)a refusal, by a person requested by a solicitor under rule 17(1) or (2) to countersign a pay-out form or variation pay-out form under the Academy’s Rules relating to the payment of any conveyancing money deposited by the solicitor with the Academy, to countersign that pay-out form or variation pay-out form;
“Scheme” means the Scheme established under paragraph (1).
Service of notices and documents
21.—(1)  Every notice or document required to be served under these Rules must be in writing.
(2)  A notice or document required to be served by a party on an appointed bank shall be sufficiently served, if —
(a)it is sent by post in a registered letter addressed to the appointed bank, and is received by the appointed bank;
(b)it is personally delivered to the appointed bank; or
(c)subject to paragraph (3), it is sent by facsimile transmission to a facsimile number specified by the appointed bank, and is received.
(3)  A party shall not serve a notice or document on an appointed bank by facsimile transmission, unless the appointed bank —
(a)agrees to accept service of the notice or document by facsimile transmission; and
(b)designates a facsimile number for the purpose of receiving notices and documents served by facsimile transmission.
(4)  A notice or document required to be served by an appointed bank on any party shall be sufficiently served, if —
(a)it is collected by the party or his authorised representative from the appointed bank;
(b)it is sent by ordinary post; or
(c)subject to paragraph (5), it is sent by electronic mail.
(5)  An appointed bank shall not serve a notice or document on a party by electronic mail, unless that party —
(a)agrees to accept service of the notice or document by electronic mail; and
(b)designates an information system for the purpose of receiving notices and documents served by electronic mail.
(6)  A notice or document required to be delivered or given to or by a party (other than a solicitor) —
(a)shall be sufficiently delivered or given, if delivered or given to or by that party’s solicitors in accordance with paragraphs (1) to (5); and
(b)shall, in the case of a notice or document to be delivered or given to a party’s solicitor by an appointed bank, be delivered or given to the solicitor as last notified by the party to the appointed bank, unless the appointed bank receives a notice from the party to the contrary.
(7)  This rule shall not apply to any notice or document in, or relating to, any proceedings in court.
Contravention of Rules by solicitor
22.  Disciplinary proceedings under the Legal Profession Act (Cap. 161) may be taken against any solicitor who contravenes any provision of these Rules.
Transitional provisions
23.—(1)  Notwithstanding anything in Part II, a solicitor may continue to hold any conveyancing money that is deposited into his client account before 1st August 2011 —
(a)in any case where the conveyancing money is unclaimed conveyancing money, in accordance with the Legal Profession (Solicitors’ Accounts) Rules (Cap. 161, R 8), until the conveyancing money is drawn from the client account; or
(b)in any other case, for a period of 5 months beginning on 1st August 2011.
[S 629/2011 wef 25/11/2011]
(2)  Rules 4(3) and 22 shall not apply to a solicitor in respect of any holding of conveyancing money by him in accordance with paragraph (1).
(3)  In this rule —
“conveyancing money” includes anticipatory conveyancing money as defined in rule 4(4);
“unclaimed conveyancing money” has the same meaning as in rule 17 of the Legal Profession (Solicitors’ Accounts) Rules.
[S 629/2011 wef 25/11/2011]