Are you covered for fraud? Understanding why you are better protected in your property transaction using lawyers instead of conveyancers

Who will you trust to do your conveyancing when you buy or sell your home, one of the biggest transactions in your life?

Hiring a dodgy conveyancer who promises cheap conveyancing could be the most expensive mistake you make.

Some home buyers and sellers have even been victims of theft by their own conveyancer.

It has recently been reported that Victoria’s consumer affairs watchdog is taking disciplinary action against an Avondale Heights conveyancer for the alleged misuse of client funds. A total of eight clients who had engaged the licensed conveyancer’s services to buy or sell property are currently owed more than $4.6 million.

Licensed conveyancers and lawyers are required to have professional indemnity insurance for negligence but this insurance does not cover fraud.

Where a lawyer or law firm employee has been dishonest or fraudulent in relation to trust monies, their clients may be able to claim compensation from the fidelity fund that is administered by the relevant law society in that jurisdiction.

There is no requirement for conveyancers to have fidelity insurance and they do not have a fidelity fund like there is for lawyers.

Unfortunately for the victims of the Avondale Heights conveyancer, they may find it very difficult to recover the money owed to them.

So when you make the decision to buy or sell your home you can reduce the risk and buy or sell securely using a law firm like lawlab who specialise in property conveyancing.

Diana Cirjak

Diana is a Conveyancing Manger at Lawlab. Recently graduated in Advance Diploma in Conveyancing, with a strong professional experience as an Assistant and personal interest in property law and conveyancing. Outside of work life, she enjoys her spare time with her son and going camping with family and friends to unwind and enjoy the beautiful nature we have.