Report by the Co-Chairpersons. March 2018 to March Mvuzo Notyesi and Ettienne Barnard

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1 Report by the Co-Chairpersons March 2018 to March 2019 Mvuzo Notyesi and Ettienne Barnard

2 Highlights Implementation of the Legal Practice Council on 1 November 2018 LSSA constitution amended to reflect the new dispensation: 1/3 Black Lawyers Association 1/3 National Association of Democratic Lawyers 1/3 Independent Lawyers Associations Parts of section 35 of the Legal Practice Act dealing with fees suspended by the Minister upon request of and motivation by the LSSA. Successful litigation: SADC Tribunal matter and Proxi Smart matter Hosting of the V BRICS Legal Forum in Cape Town in August 2018 culminating in the Cape Town Declarations. LSSA s Legal Education and Development division, LEAD, has been approved by the LPC to provide PVT for candidate attorneys, as well as for pupil advocates from July this year.

3 Highlights The LSSA was invited to form part of the of the nomination, election and interview panel for the appointment of the National Director of Public Prosecutions (NDPP). We welcomed the appointment of Adv Shamila Batohi in December President Cyril Ramaphosa (centre), and Minister of Justice and Correctional Services Adv Michael Masutha (right), and NDPP Adv Shamila Batohi,NDPP with the appointment panel: Auditor-General Kimi Makwethu; Mvuzo Nyotesi, National Association of Democratic Lawyers; Adv Jaap Cilliers, General Council of the Bar; Adv Lawrence Manye, Advocates for Transformation; Richard Scott, LSSA; Minister Jeff Radebe (Chairperson); Lutendo Sigogo, Black Lawyers Association and Bogani Majola, South African Human Rights Commission. (Photo courtesy of GCIS.)

4 The LSSA The LSSA is on a three-year trajectory to transition to a member-based organisation. Old o Black Lawyers Association (5) o Cape Law Society (3) o KwaZulu-Natal Law Society (1) o Law Society of the Free State (1) o Law Society of the Northern Provinces (4) o National Association of Democratic Lawyers (%) New o Black Lawyers Association (9) o 9 Independent Lawyers Associations (9) o National Association of Democratic Lawyers (9)

5 Activities Drafted long-outstanding guidelines to be converted into rules under the Contingency Fees Act. A number of LSSA submissions were taken into account by Parliament in amending the Competition Amendment Act which came into operation on 13 February Liaison with the Office of the Chief Master in relation to security being required from attorneys at certain offices who assist in s 18(3) estates. Stakeholder meeting with the Competition Commission focussing on the questionable practices of the banks and the manner in which they set up panels of conveyancers from which they appointed their bond registration conveyancers, as well as processes on the equitable distribution of work to smaller firms of attorneys. Cybersecurity: Working with the Legal Practice Council and the Legal Practitioners Fidelity Fund to set up proper digital verification for all practitioners, which will provide a trusted key to allow access to the emerging online Government platforms.

6 Activities Commented on the draft Code of Conduct published by the LPC. Among others, the LSSA pointed out that the clause relating to an attorney s dress when rendering services is vague and may be used to increase barriers of entry to the profession. The rule should be scrapped or rephrased. Made submissions to the Chief Justice s National Efficiency Enhancement Committee regarding the appointment of acting judges from the ranks of practising attorneys. Proposed amendment of Rule 25 of the CCMA rules to the effect that legal representation should be allowed in respect of conciliation proceedings before the CCMA. Has been campaigning for many years with regards to candidate attorneys right to represent parties at the CCMA as legal practitioners

7 Activities Supported the South African Law Reform Commission (SALRC) proposal to increase the general prescription period from three to four years. Attended meetings of the Parliamentary Portfolio Committee on Transport on RABS in Parliament throughout the year as an observer. Made written and oral submissions. Submitted comments on the State Liability Amendment Bill and was invited to present at the public hearings held on 31 October At the hearings most presenters opposed the Bill in its current form. Recommended a clause to cater for a professional solutions intervention in the LPC Rules (Rule 39.4 Rule 39.8). This introduction an alternative dispute resolution process, a welcome alternative to the standard disciplinary procedure and which is more suited to punishing unprofessional conduct as opposed to resolving disputes between the complainant and the attorney.

8 Activities Met with the Chief Registrar of Deeds to discuss the progress with the e DRS Bill and the development of a system, transitional requirements, the appointment of a joint task team to provide input, and set up stakeholder consultation groups. Attended and monitored the Chief Registrar s roadshows engaging conveyancers on the e DRS system. Met with the Banking Association of South Africa to discuss the e-drs Bill and the impact that the development of an electronic registration system will have on the property industry as a whole, and more importantly on securities held by banks, as well as the necessity of having a secure and cost-effective system to replace our current paper-based registration system. Supported an increase to the jurisdiction of the Small Claims Courts to R which comes into operation on 1 April Participated in the finalisation of the Guidelines for Small Claims Courts.

9 Activities Met with the Chief Registrar of Deeds to discuss the progress with the e DRS Bill and the development of a system, transitional requirements, the appointment of a joint task team to provide input, and set up stakeholder consultation groups. Attended and monitored the Chief Registrar s roadshows engaging conveyancers on the e DRS system. Met with the Banking Association of South Africa to discuss the e-drs Bill and the impact that the development of an electronic registration system will have on the property industry as a whole, and more importantly on securities held by banks, as well as the necessity of having a secure and cost-effective system to replace our current paper-based registration system. Supported an increase to the jurisdiction of the Small Claims Courts to R which comes into operation on 1 April 2019.

10 Attorneys Development Fund The LSSA is angry and saddened to report that the former CEO of the ADF fraudulently removed funds from the ADF. The estimate, that is not confirmed, is in the region of R20 million. A forensic investigation is ongoing and it is hoped the quantum can be confirmed soon. We were disappointed at the lack of control and oversight exercised by the ADF Board and called for the board to resign at its AGM. The Board has resigned and a new Board has been appointed.

11 Attorneys Development Fund A panel has been established to act on behalf of the ADF members (LSSA, Legal Practitioners Fidelity Fund, BLA, Nadel and the Legal Practice Council) and stakeholders to review the governance of the ADF Board operations; the circumstances that led to surfacing of allegations; steps taken by the board to investigate (including time frames); policies; procedures; authorities; internal control environment; risk management processes; the preservation of assets of Mr M Mukansi; financial institutions; other stakeholders/interested entities and service providers to exercise remedies on behalf of the Board. To monitor the South African Police Service investigation. To monitor the forensic investigation.

12 International engagement The LSSA continues to represent the profession in the following regional, continental and international bodies, in the interest of the profession: o SADC Lawyers Association (SADCLA) o Pan African Lawyers Union (PALU) o International Bar Association (IBA) o Commonwealth Lawyers Association (CLA)

13 Ongoing key activities Continue working with the Legal Practice Council on various issues and to represent practitioners views to them. Engaging with the Legal Practitioners Fidelity Fund (LPFF) on the proposed phased-in contribution by members to the cost of professional indemnity insurance. Engaging with the Legal Practitioners Insurance Indemnity Fund (LPIIF) to consider if this insurance could not be offered to members at a better rate than the open market. Considering a possible review of the conveyancing exam process, both in regard to the training courses and the examination process. One should keep in mind that there should not be any gatekeeping and the process should be streamlined to facilitate transformation. The LSSA has set up a cybersecurity helpdesk to provide basic information to practitioners.

14 The LSSA We the LSSA are still here to support, assist, train and represent you.

15 Acknowledgements General remarks of thanks by the Co-Chairpersons.

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