LEGAL AID (ASSESSMENT OF RESOURCES AND CONTRIBUTIONS) REGULATIONS
L.N. 84 of 2011
RULES FOR COMPUTING DISPOSABLE CAPITAL
(L.N. 148 of 2000)
1. Subject to the provisions of these regulations or rules, there shall be included in the computation of the amount of the capital of the person concerned the amount or value of every resource of a capital nature ascertained as on the date of the application:
Provided that, where it is brought to the notice of the Director that, between the date of application and his determination there has been a substantial fluctuation in the value of a resource or there has been a substantial variation in the nature of a resource affecting the basis of computation of its value, or any resource has ceased to exist or a new resource has come into the possession of the person concerned, the Director shall compute the capital resources of that person in the light of such facts and the resources as so computed shall be taken into account in the Director's determination.
2. So far as any resource does not consist of money, the amount or value thereof shall be taken to be the amount which that resource would realize if sold in the open market or, if there is only a restricted market for that resource, the amount which it would realize in that market, or shall be taken to be the amount or value thereof assessed in such manner as appears to the Director to be just and equitable.
3. Where money is due to the person concerned, whether immediately payable or otherwise and whether the payment thereof is secured or not, the value shall be taken to be the present value thereof.
4. If the person concerned stands in relation to a company in a position analogous to that of a sole owner or partner in the business of that company, the Director may, in lieu of ascertaining the value of his stocks, shares, bonds or debentures in that company, treat that person as if he were such sole owner or partner and compute the amount of his capital in respect of that resource in accordance with rule 5.
5. Where the person concerned is or is to be treated as the sole owner of or a partner in any business, the value of such business or his share therein to that person shall be taken to be either-
(a) such sum, or his share of such sum, as the case may be, as could be withdrawn from the assets of such business without substantially impairing the profits of such business or the normal development thereof; or
(b) such sum as that person could borrow on the security of his interest in such business without injuring the commercial credit of that business,
whichever is the greater.
6. The value of any interest in reversion or remainder on the termination of a prior estate, whether legal or equitable, in any real or personal property or in a trust or other fund, whether the person concerned has the sole interest or an interest jointly or in common with other persons or whether his interest is vested or contingent, shall be computed in such manner as is both equitable and practicable.
7. Save in exceptional circumstances, nothing shall be included in the amount of capital of the person concerned in respect of-
(a) the household furniture and effects of main or any dwelling house occupied by him;
(b) articles of personal clothing; and
(c) the personal tools and equipment of his trade, not being part of the plant or equipment of a business to which the provisions of rule 5 of this Schedule apply.
8. (1) The value of any interest in the only or main dwelling in which the person concerned resides shall be disregarded in computing the amount of his capital. (L.N. 195 of 1992)
(2) Where the person concerned resides in more than one dwelling in which he has an interest, the Director shall take into account in respect of the value to him of any interest in a dwelling which is not the main dwelling any sum which might be obtained by borrowing money on the security thereof.
9. Where the person concerned has received or is entitled to receive from a body of which he is a member a sum of money by way of financial assistance towards the cost of the proceedings in respect of which a certificate is applied for, such sum shall be disregarded.
10. The value of any life assurance or endowment policy shall be taken to be the amount which the person concerned could readily borrow on the security thereof.
11. (Repealed L.N. 195 of 1992)
12. Where an application relates to a claim for damages arising from personal injuries to, or the death of, any person, there shall be disregarded the amount of any compensation received by the person concerned under-
(a) the Employees' Compensation Ordinance (Cap 282);
(b) the Pneumoconiosis and Mesothelioma (Compensation) Ordinance (Cap 360); or (6 of 2008 s. 40)
(c) the Occupational Deafness (Compensation) Ordinance (Cap 469).
(L.N. 186 of 1989; L.N. 107 of 1990; 21 of 1995 s. 45)
12A. (1) Where an application relates to a claim for damages arising from personal injury to a person, and monies have been received by the person concerned under an insurance policy in respect of the injury, there shall be disregarded such amount as the Director considers to be reasonable to provide for the care and medical treatment and appliance which are likely to be required by the injured person as a result of the injury over the 3-year period commencing on the date of application.
(2) In determining the amount to be disregarded under subsection (1), the Director shall have regard to the circumstances of the case, including but not limited to-
(a) the amount, if any, actually incurred to provide for the care and medical treatment and appliance required by the injured person as a result of the injury during the 12-month period immediately preceding the date of application; and
(b) the medical evidence, if any, as to the care and medical treatment and appliance which are likely to be required by the injured person as a result of the injury.
(L.N. 224 of 2005)
13. In computing the amount of the disposable capital of the person concerned, there shall be disregarded-
(a) the amount of any moneys paid to him from the assistance fund established under section 3 of the Traffic Accident Victims (Assistance Fund) Ordinance (Cap 229);
(b) the amount of any interim payment made to him in accordance with an order made under the Rules of the High Court (Cap 4 sub. leg. A), or in accordance with an agreement having the same effect as such an order; and (25 of 1998 s. 2)
(c) such amount or value, if any, of a donation or gift received by him, as the Director considers to be reasonable having regard to the amount, value and nature of the donation or gift.
(L.N. 186 of 1989)
14. If the person concerned is of or over 60 years of age, in computing the amount of the disposable capital of the person, an amount equivalent to that specified in section 5(1) of the Ordinance in respect of financial resources is to be disregarded.