every solicitor who deposits conveyancing money with the Academy under rule 5(1)(c); and
(b)
the holding of conveyancing money under the Academy’s Rules.
(2) In this Part, unless the context otherwise requires, “authorised signatory”, “Category B payee”, “Category C payee”, “conveyancing transaction”, “pay-out form”, “stakeholding deposit” and “variation pay-out form” have the same meanings as in the Academy’s Rules.
Compliance with Academy’s Rules
16. Every solicitor who deposits conveyancing money with the Academy under rule 5(1)(c) shall comply with the Academy’s Rules.
Payment of conveyancing money under Academy’s Rules
17.—(1) Where a solicitor requests that any person countersign a pay-out form or variation pay-out form (referred to in this paragraph as the relevant form) relating to the payment of any conveyancing money from a stakeholding deposit to a specified payee that purports to be a Category A payee or Category B payee, or the payment of any conveyancing money deposited by the solicitor with the Academy to a specified payee that purports to be a Category B payee —
(a)
that person shall be entitled to request that the solicitor provide him with such information and documents as may be necessary to enable him to verify that the specified payee is a Category A payee or Category B payee, as the case may be;
(b)
the solicitor shall promptly furnish the information and documents to that person; and
(c)
that person shall refuse to countersign the relevant form, if —
(i)
the 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)
that person is not satisfied of the authenticity of any document furnished by the solicitor under sub-paragraph (b); or
(iii)
there is any material discrepancy between any information or document furnished by the solicitor under sub-paragraph (b) and the relevant form, or there is any material discrepancy in the information and documents furnished by the solicitor under sub-paragraph (b), as regards whether the specified payee is a Category A payee or Category B payee, as the case may be.
(2) Where a solicitor requests that any person countersign a pay-out form or variation pay-out form (referred to in this paragraph as the relevant form) relating to the payment of any conveyancing money from a stakeholding deposit to a specified Category C payee, or the payment of any conveyancing money deposited by the solicitor with the Academy to a specified Category C payee —
(a)
that person shall be entitled to request that the 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;
(ii)
such other information and documents as may be necessary to enable him 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)
the solicitor shall promptly furnish the information and documents (including the statutory declaration or document referred to in sub-paragraph (a)(i)) to that person; and
(c)
that person shall refuse to countersign the relevant form, if —
(i)
the 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)
that person is not satisfied of the authenticity of any document furnished by the solicitor under sub-paragraph (b); or
(iii)
there is any material discrepancy between any information or document furnished by the solicitor under sub-paragraph (b) and the relevant form, or there is any material discrepancy in the information and documents furnished by the 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.
(3) Where a person requested to countersign a pay-out form or variation pay-out form under paragraph (1) or (2) does so in accordance with this rule and the Academy’s Rules, the person shall not be liable to be sued for the act of countersigning the pay-out form or variation pay-out form, if the act —
(a)
was done in good faith; and
(b)
did not involve any fraud or wilful misconduct on his part.
(4) A person shall, if identified in the First Schedule as an authorised signatory for a pay-out form or variation pay-out form, be under a duty to sign or countersign the pay-out form or variation pay-out form in accordance with this rule and the Academy’s Rules.
(5) The duty under paragraph (4) shall continue even after the completion of the conveyancing transaction to which the pay-out form or variation pay-out form relates.