Law Times

Law Times • may 11/18, 2009 NEWS LSUC holds stable economic position BY ROBERT TODD Law Times tentatively reporting a stable economic position in the midst of a global recession. "It is incredibly fluid, and so telling you at any one time how we're doing is, 'And to- morrow could be different,'" audit committee chairwoman Bencher Beth Symes told April Convocation, in presenting the law society's audited financial statements for the year ended Dec. 31, 2008. "All I'm saying and what we T want you to know is that so far there is no cause for alarm, and that our performance has in fact recently done better." The LSUC's general fund, which includes various funds such as the society's operating fund and a number of special purpose funds, finished 2008 with a surplus of $3.938 mil- lion. The fund had ended 2007 with a $390,000 deficit. "So our funds are in good shape," said Symes. She noted that the general fund's performance is reflected by its investment income. It was slightly up over the year, finishing at $4.821 million, slightly above the 2007 total of $4.431 million. Total revenues also were up for the general fund, to $72.738 million from $65.697 million in 2007. "They're up because we have 980 more lawyers, and we increased the lawyer fee by $52 in 2008," said Symes. "The second thing is, that we have the income from the paralegal licensing, where we have over 2,300 paralegal licensees pay- ing dues this year." Revenues in the general fund for professional development and competence were up to $14.643 million from $10.824 million in 2007. Symes attributed that increase to $2.8 million in fees he Law Society of Upper Canada has unveiled its financial data for 2008, Beth Symes says the law soci- ety's 'funds are in good shape.' from paralegal entrants. Revenue from CLE courses increased by 15 per cent, with the number of lawyers taking CLE courses in- creased to 18,600 in 2008 from 17,000 the year before. "What is clear is that [director of professional development and competence] Diana Miles' team are producing products that law- yers want, need, and are continu- ing to attend," said Symes. On the net expenses side for the general fund, the total rose to $68.8 million in 2008 from $66.087 the year before. "Generally, those increases are across all of the areas," said Symes. The biggest changes were in regulation and the new expenses associated with paralegals, she noted. Symes pointed out that bencher expenses increased to $669,000 in 2008, "which is up about $120,000 from the previous year." Information on the general fund's actual performance in 2008 versus budgetary projec- tions was not made public. Symes also presented results for the law society's compensa- tion fund, which is maintained in accordance with the Law So- ciety Act "to relieve and mitigate loss sustained by any person in consequence of dishonesty on the part of a member," according Being Counsel in an International Arbitration: What You Need to Know Friday, June 5, 2009 — 8:30 a.m. - 1:00 p.m. The Advocates' Society Education Centre 1700 - 480 University Avenue The world's top international arbitration practitioners are coming to Toronto and they've agreed to share some tips. Topics include: • Why international arbitration is different • Strategic planning for international arbitrations – clauses, statutes, arbitral institutions and rules of evidence • Choosing your tribunal, obtaining interim relief, roles of the Courts, procedural hearing, memorials, document disclosure and discoveries (or no discovery) • The hearing and beyond: innovative procedures, experts, damages, reviews/appeals, enforcement and more Course Chairs: Barry Leon, Torys LLP Janet Walker, Osgoode Hall Law School, York University To Register: www.osgoodepd.ca Or Call: 416.597.9725 or 1.888.923.3394 Or E-mail: opd-registration@osgoode.yorku.ca Osgoode Professional Development, 1 Dundas Street West, Suite 2600, Toronto it all starts somewhere www.ridoutmaybee.com Ridout & Maybee LLP: Editors of the Canadian Patent Reporter to the report to Convocation. That fund's balance ended 2008 at $19.868 million, down from $21.430 in 2007. In 2008 the fund was divided into different balances for para- legals, which ended the year with a balance of $7,000, and lawyers, which finished with a balance of $19.961 million. Symes pointed to a pair of factors that led to the deficit of $1.569 from 2007 in the law- yers' fund. First, there was a decline in investment income to $433,000 in 2008 from $806,000 in 2007. The net grants expense, meanwhile, in- creased to $3.277 million from $1.326 million the year before. "The increase in the net grant expenses is attributable to a number of claims that we have received from clients relat- ing to two lawyers," said Symes. "These are still in the early stages of processing, but these reserves are seen to be prudent given the nature of the claims." Funds related to LibraryCo Inc., which manages the Ontar- io County and District Law Li- brary system on a not-for-profit basis, also were presented. Symes reported a surplus of $57,988 for 2007, versus a $111,299 def- icit the year before. She cited an increase in revenue from grants, lower head office expenses, and a reduced need for capital and special needs grants. Specifically, total revenues for LibraryCo increased to $8.7 million in 2008 from $8.2 mil- lion in 2007 due to a larger grant from the LSUC. An increase in costs for electronic products and grants to the country libraries led to an increase in expenses to $8.6 million from $8.3 million. The combined financial statements for the errors and omissions insurance fund and LawPRO revealed that the ex- cess of revenue over expenses fell to $5.91 million in 2008 from $18.39 million in 2007. Total revenue was down to $119.327 million, from $128.228 million in 2007. Symes noted that a fee reduc- tion of $300 per member likely contributed fully to the reduc- tion in insurance premium revenue to $78.811 million in 2008 from $84.948 million. Expenses were up to $113.417 million from $109.838 million in 2007. Benchers accepted the fi- nancial statements and reap- pointed Deloitte & Touche LLP as auditor of the general fund, compensation fund, and LibraryCo. for 2009. LT Lawyers Feed the Hungry Program beefed up T he Law Society Foundation's Lawyers Feed the Hungry Program has added a Friday meal to its weekly offerings. It's thanks to a $1-million donation through a court-ordered cy pres award stemming from a class proceeding against the Bank of Nova Scotia. "Approving this request to expand the program is certainly a very good thing to do right now," foundation chairwoman Bencher Marion Boyd told April Convocation. Benchers approved a request for the LSUC to provide an additional $10,000 of in-kind contributions through staff resources needed to administer the extra meal. Boyd said approval of the proposal "is a very clear indication of how grateful we all are to this type of donation, and given the other kinds of class actions that are in place, it may well be that if we can be seen to be good stewards with this money, that we might see other lawyers deciding in similar circumstances that other parts of the foundation's mandate might" warrant further awards. The program currently provides about 56,000 meals each year, serving Thursday and Sunday breakfasts, as well as a Wednesday dinner, on a weekly basis. The additional Friday dinner likely will provide a soup, sandwich, and beverage, along with a bagged meal for the next day, according to a report presented to benchers. The Law Society Foundation expects about 250 guests to attend the Friday meal, which overall will likely cost an additional $60,000 to $70,000 a year. Martin Teplitsky, senior partner of Teplitsky Colson LLP, and then-bencher Nancy Backhouse, now an Ontario Superior Court judge, introduced the program in 1998. Also at that time, the law society agreed to back the program by permitting use of the Osgoode Hall cafeteria. LT PAGE 3 When it comes to IP in Canada, We're Well Read Priority Service Code: 09-08LT Ridout_LT_Feb9-16_09.indd 1 ntitled-9 1 5/5/09 4:08:03 PM www.lawtimesnews.com 2/5/09 10:52:55 AM

• Cover
• LSUC Financially Stable
• Statement Analysis
• Focus On Securities Law