Notes to the Financial Statements

for the year ended 30 September 2019

14. Contingent liability

Subsequent to 30 September 2019, a detailed seismic analysis of Chancery Chambers, undertaken at Auckland District Law Society Incorporated Council’s instigation, has classified it as an earthquake-prone building under the Building Act 2004. As per the Building Act 2004, Auckland is classified as a low-risk zone and as such all required seismic restraint work should be completed within 35 years of receiving an earthquake-prone notice from Auckland Council. The full extent of costs required to complete the seismic strengthening within the next 35 years is not yet known to Auckland District Law Society Incorporated but is believed to be significant (2018: $Nil).

15. Events after balance date

There were no events occurring after balance date that impact on these financial statements (2018: Nil).

16. Funds administered by the Society

These funds are administered by and do not belong to the Society and as such have not been recognised in these financial statements.

Members’ Special Fund

The Members’ Special Fund is held by a separate trust and is not available for the Society’s general operating purposes. Its use is restricted to specified purposes and the funds are controlled by a committee separate to the Council of the Society. 2019 2018 $ $

Balance at beginning of period 360,534 356,020

Interest received, net 3,720 3,737 Grants paid (10,156)Recovery 845 845 Write-offs (47) (13,114)

Changes to provision for bad debts 9,916 13,114 Expenses (59) (68) Balance at end of year 364,753 360,534 2019 2018 $ $

Members’ Special Fund bank account 364,753 350,902

Net loans to members after provision for doubtful debts - 9,632 Balance at end of year 364,753 360,534