Terms of engagement - How We Work Together

These Terms of Engagement apply to all services we provide unless we agree otherwise in writing for a specific matter.

Ross Holmes Virtual Lawyers Limited  ·  reception@rossholmes.co.nz  ·  +64 9 415 0099

Welcome

Thank you for choosing Ross Holmes Virtual Lawyers Limited (also known as Ross Holmes Lawyers, or "RHL"). These Terms of Engagement set out how we work together. They apply to all the services we provide unless we agree otherwise in writing.

Your legal relationship is with RHL alone. RHL is responsible for all work carried out on your behalf.

Your Team

We will tell you which team members will handle your matter. If your main contact is unavailable, another team member will step in.

Our Services

We will carry out the services described in our fee quote or in our other communications with you.

Financial services: RHL is not a registered financial service provider. If you need investment advice, we may refer you to a qualified professional. We may give limited investment-related guidance where it directly relates to the legal work we are doing for you.

Identity Verification (AML/CFT)

New Zealand law requires us to verify your identity and carry out anti-money laundering checks before we can act for you. This means we will need your photo ID and proof of address, and, in some cases, confirmation of the source of funds for a transaction. We monitor client accounts on an ongoing basis and must report any suspicious activity to the authorities.

Our Fees

All fees are shown including GST, unless stated otherwise.

Fixed fees — Where we quote a fixed fee (as set out in our fee charts for property law, trust-based estate and asset protection plans, and will-based estate plans), that fee covers the services described. Work outside the scope of that chart is charged on a time basis.

Hourly rates — Where work is charged by the hour, we bill in six-minute increments. Our rates depend on who does the work:

Rates are reviewed periodically. We reserve the right to adjust fees to reflect the complexity, risk, urgency, or importance of the work.

Estates and Trusts: If one of our team members is an Executor of an estate, we charge an Executor Acceptance fee of $2,750 plus GST if probate is required. If one of our team members is a Trustee (or as a director of a Trustee company) of a Trust, we charge an annual Trustee fee of $1,000 plus GST. In both cases, our attendances are charged at our hourly rates.

Other Charges

Office service fee: We add 5% of our professional fees (before GST and disbursements) to cover internal costs, including file administration, printing, scanning, IT systems, and data storage. This is our firm's fee, not payment to a third party.

Disbursements: Payments we make to third parties on your behalf (e.g. LINZ search fees, council charges, courier costs) are charged at cost. We ask you to pre-pay disbursements. If we fund them for you, we will add a 10% administration fee plus GST.

Land title searches: You pay the LINZ or provider fee, plus a reasonable service fee for our time arranging and interpreting the searches.

Travel: Reasonable travel and parking costs are charged and itemised on your invoice.

GST: All fees and disbursements are subject to GST. Our GST number is 102-946-103.

Payment

Due date: Invoices are due within 7 days, or on the date set for signing the documents in the case of trust-based and will-based estate plans and other documents.

Pre-payments: We may ask for pre-payments. You authorise us to deduct invoiced fees from any pre-payments or funds held in our trust account on your behalf.

Credit cards: A 3% surcharge applies to credit card payments.

Late payment: Overdue amounts incur interest at 1.5% per month, compounded monthly. If we need to use a debt collection agency, all associated costs and legal fees will be added to your account.

No cash: We do not accept cash. If cash is deposited into our bank account, we will charge you any bank fees and the cost of any additional AML checks we must carry out. We are required to report cash transactions to the New Zealand Police.

Payments to you: We pay funds only to New Zealand bank accounts — not in cash or to third parties. Overseas transfers attract a minimum fee of $700 plus GST plus bank fees due to AML reporting requirements.

Your Money in Our Trust Account

Client funds are held in our trust account with ANZ Bank. If a substantial amount is held for an extended period, we can arrange an interest-bearing deposit. An administration fee applies: the greater of 5% of interest earned or $100 plus GST per financial year.

Tax

Resident Land Withholding Tax: If you are selling residential property and are considered an "offshore person" under the Income Tax Act 2007, we may need to withhold RLWT from the sale proceeds and pay it to Inland Revenue.

Important: RHL does not provide taxation advice, including advice on GST or RLWT declarations. You are responsible for obtaining your own tax advice from a qualified professional.

Estate Planning and Document Policies

The following policies apply to trust-based and will-based estate planning documents prepared by RHL.

What You Can Expect from Us

We will:

• Act competently and promptly on your instructions.
• Protect your interests and avoid conflicts of loyalty.
• Discuss your goals and the best way to achieve them.
• Keep you informed about progress, costs, and who is working on your matter.
• Charge fairly and explain our fees upfront.
• Give you clear information and advice.
• Protect your privacy and keep your information confidential.
• Treat you with fairness and respect.
• Tell you when the work is completed.
• Listen to any complaints and address them promptly.

What We Need from You

• Give us clear, timely, and accurate instructions and information. We are not responsible for errors caused by incorrect information you provide.
• Send us required documents promptly.
• Ask us if anything is unclear — including about these Terms.
• Let us know if you need electronic copies of any documents.
• Pay invoices by the due date. If fees are not paid on time, we may stop work.
• Provide proof of identity as soon as possible for AML/CFT compliance.

Conflicts of Interest

New Zealand is a small market and occasionally we are approached by clients whose interests may overlap.

Commercial conflicts: We may act for clients in similar industries, but only where this does not involve using your confidential information.

Legal conflicts: If a direct conflict arises, we will notify you immediately and follow the Law Society's Rules of Conduct.

Non-exclusive engagements: We maintain a strict information barrier around your team to protect confidentiality.

After our engagement ends: We may act for others with differing interests, provided we hold no relevant confidential information and have appropriate safeguards.

Privacy and Confidentiality

We keep your information strictly confidential and comply with the Privacy Act 2020. Information is shared only where needed to carry out your instructions or required by law.

Duty of care: Our duty is to you, not to any third party. No third party may rely on our advice unless we expressly agree.

Electronic communications: Electronic communication can be subject to interference or corruption. We are not liable for damage arising from corrupted electronic communications.

Copyright

We own the copyright in all documents we create for you. You have a non-exclusive licence to use and copy them for your personal use. Please do not alter our documents (except template trust minutes, company minutes, and memoranda of wishes) or allow others to copy, adapt, or use them without our written consent.

What We Don't Cover

We do not advise on foreign law. We do not provide taxation advice. We may rely on information from third parties, which may not always be accurate — we are not responsible for errors in third-party information.

Professional Indemnity and Liability

We hold professional indemnity insurance providing coverage up to NZ$3,000,000 per claim with a total annual limit of NZ$6,000,000.

Liability cap: To the extent permitted by law, our total liability in connection with any matter is limited to the greater of:

1. the amount available under our insurance, up to NZ$3,000,000 (including interest and costs); or
2. three times the professional fees paid to us (excluding service charges, disbursements, and GST).

This applies to liability of any kind — in contract, tort (including negligence), equity, under statute, or otherwise.

If a service fails to meet guarantees under sections 28–30 of the Consumer Guarantees Act 1993 and the failure can be remedied, you agree to give us a reasonable time to put it right.

Personal liability: Our directors, consultants, and employees act in their professional capacity, not personally. No individual at RHL bears personal liability except as provided by the Lawyers and Conveyancers Act 2006.

Files and Documents

You authorise us to destroy physical files once digitised (excluding documents in agreed safe custody). We retain electronic copies for 7 years. Charges apply if you need copies after completion at our current hourly rates plus copying and delivery costs.

Referrals

We may refer you to mortgage brokers, banks, lenders, investment or insurance advisers. Under the Secret Commissions Act 1910, we disclose that we (or associated parties) may receive referral income. We will not make any referral without your consent. By accepting these Terms, you consent to us receiving such income.

Staying in Touch

After your matter is completed, we may send you newsletters and useful information. You can unsubscribe at any time. General information we provide after our engagement ends is general in nature and does not create legal liability. We recommend you get specific advice for your circumstances.

Ending Our Engagement

You may end our engagement at any time. We may do so in circumstances permitted by the Lawyers and Conveyancers Act (Lawyers: Conduct and Client Care) Rules 2008. All fees and expenses incurred up to termination are payable.

For fixed-fee trust or estate plans: once you accept our quote, the full fixed fee is due on acceptance (excluding disbursements not yet incurred).

Complaints

If you have a concern about our services or charges, please raise it with the person handling your matter. If you prefer not to, or are not satisfied, contact our Managing Director:

Ross Holmes — rossholmes@rossholmes.co.nz — +64 9 415 0099
P.O. Box 33-009, Takapuna 0740, Auckland, New Zealand

You may also contact the NZ Law Society Complaints Service:
complaints@lawsociety.org.nz  |  0800 261 801  |  P.O. Box 5041, Lambton Quay, Wellington 6145

Legal Framework

Our professional obligations are set out in the Lawyers and Conveyancers Act (Lawyers: Conduct and Client Care) Rules 2008, subject to overriding duties to the courts and the justice system. For more information visit www.lawsociety.org.nz or call 0800 261 801.

These Terms apply to this engagement and all future engagements. Our relationship is governed by New Zealand law. The courts nearest to our place of business have exclusive jurisdiction.

Accepted and Agreed