Regulation 20

a legal practitioner or law practice intends to act for 2 or more different parties (each called in those paragraphs a relevant party) to a matter or transaction; and

a diversity of interests exists, or may reasonably be expected to exist, between those parties.

must communicate directly with each relevant party —

to explain to that relevant party —

how the interests of all or any of the relevant parties diverge or may diverge;

how the legal practitioner or law practice may be prevented from disclosing to a relevant party information obtained from another relevant party, despite the relevance of the information to the matter or transaction; and

how the legal practitioner or law practice may be prevented from giving to a relevant party any advice that is prejudicial to another relevant party;

to inform that relevant party that the legal practitioner or law practice must cease to act in the matter or transaction if, in the course of the retainer, the legal practitioner or law practice has difficulty in advising on and dealing with the relevant parties’ divergent interests competently, evenly and consistently;

to receive and deal with any queries which that relevant party may have on the matter or transaction, or on the risks of all or any of the relevant parties being jointly represented in the matter or transaction by the legal practitioner or law practice; and

to ascertain precisely the intentions of that relevant party;

in the case of a transaction that is ostensibly or potentially disadvantageous to a particular relevant party, must also communicate directly with the relevant party —

to explain the relevant party’s position before the transaction, and how the relevant party’s position will or may be altered to the relevant party’s detriment by the transaction;

to verify whether any instructions purportedly given on behalf of the relevant party do in fact reflect the relevant party’s intentions; and

to remove any doubt as to whether the relevant party may have been misled by, or may be acting under the undue influence of, another person;

must advise each relevant party to obtain independent legal advice;

if a particular relevant party does not obtain independent legal advice, must obtain a written confirmation from the relevant party, or maintain a written record, that the relevant party declines to do so; and

must obtain each relevant party’s informed consent in writing to the legal practitioner or law practice acting for all relevant parties, despite the relevant parties’ divergent interests.

must throughout the course of the retainer for the matter or transaction —

continue to be vigilant of any conflict or potential conflict between the interests of any of the relevant parties; and

inform each relevant party of any conflict or potential conflict that arises or may arise between the interests of any of the relevant parties; and

must cease to act in the matter or transaction if, in the course of the retainer, the legal practitioner or law practice has difficulty in advising on and dealing with the relevant parties’ divergent interests competently, evenly and consistently.

a legal practitioner or law practice acts for 2 or more different parties (each called in those paragraphs a relevant party) to a matter or transaction; and

a diversity of interests arises between those parties during the course of the retainer for the matter or transaction.

must, throughout the remainder of the course of the retainer for the matter or transaction —

continue to be vigilant of any conflict or potential conflict between the interests of any of the relevant parties; and

inform each relevant party of any conflict or potential conflict that arises or may arise between the interests of any of the relevant parties; and

must cease to act in the matter or transaction if, in the course of the retainer, the legal practitioner or law practice has difficulty in advising on and dealing with the relevant parties’ divergent interests competently, evenly and consistently.

the legal practitioner or law practice ceases to act for all other relevant parties whose interests diverge from the interests of that relevant party; and

all of those other relevant parties give their informed consent in writing for the legal practitioner or law practice to continue to act in the matter or transaction.