2. Reducing or waiving an initial contribution

2.1 - Where the applicant has requested a reduction of the minimum ($75) contribution

The minimum $75 contribution may be waived where Legal Aid NSW is satisfied the applicant:

• is in custody [civil and family law matters],
• is in long term institutional care or residential rehabilitation care,
• is in immigration detention,
• is a victim of domestic violence,
• has a mental illness or intellectual disability,
• is homeless,
• is a refugee living in the community, or
• is a child without a financially associated person.

The determining officer has the delegation to waive the minimum $75 contribution in these circumstances. See Delegation Instrument clause 17.

2.2 - Where an applicant in custody requests a waiver of the minimum ($75) contribution

The minimum $75 contribution may be waived where Legal Aid NSW is satisfied:

• the applicant has a Local Court summary matter, and
• the applicant is in custody, and
• the assessed initial contribution is $75.

The determining officer has the delegation to waive the minimum $75 contribution in these circumstances. See Delegation Instrument clause 17.

2.3 - Where the contribution amount calculated is based on savings or assets the applicant has at the time of applying for legal aid

Legal Aid NSW will consider that savings, shares or any asset that can be converted into cash is available to contribute towards the costs of providing the legal service (ie the calculated contribution amount) unless Legal Aid NSW is satisfied there are exceptional circumstances.

Guidance on exercising discretion

In determining whether there are exceptional circumstances the delegated officer may consider, but not limited to, the following:

• whether the applicant has disclosed that the cash savings will be used to pay the cost of moving home as the applicant is currently living in unstable housing or fleeing domestic or family violence;
• whether the applicant disclosed that the savings have been put aside as an emergency fund due to a history of DFV;
• whether the applicant disclosed that the savings will be used to support changes in the applicant’s household following care or family law proceedings.

Only Grade VI solicitors (inhouse) and Grade V solicitors (Grants) have the delegation to reduce an initial contribution that is over $75. See Delegation Instrument clauses 17 and 18 for the delegation and the amount by which an initial contribution can be reduced.

Where assets are earmarked for emergencies

Where an applicant has savings that:

• are earmarked to pay an outstanding bill and failure to pay that bill would mean the applicant is unable to access an essential utility such as water, gas or electricity, or
• are required to pay immediate essential medical expenses,

the determining officer may exclude these assets when determining eligibility under the Means Test and/or the initial contribution.

For officers with the delegation to reduce the contribution in these circumstances see Delegation Instrument clause 17.

See Contributions guideline 1.5 for information on clients paying by instalments.

2.4 - Where the contribution amount calculated is based on the applicant's income

Where the contribution amount calculated is based on the applicant’s income, Legal Aid NSW will consider that an applicant's income is available to contribute towards the costs of providing the legal service (ie. the calculated contribution amount), unless Legal Aid NSW is satisfied there are exceptional circumstances.

Guidance on exercising discretion

In determining whether there are exceptional circumstances, the delegated officer may consider, but is not limited to, the following:

• whether the applicant has disclosed domestic or family violence and is currently living in unstable housing which may require extra weekly expenditure
• whether the applicant is living in unstable housing and most of their income is spent on sustaining the expense of temporary housing
• whether the applicant is behind or at risk of falling behind on mortgage or rental payments, whether the applicant has difficulty meeting essential utility payments such as electricity, water, phone or gas).

Only Grade VI solicitors (inhouse) and Grade V solicitors (Grants) have the delegation to reduce an initial contribution that is over $75. See Delegation Instrument clauses 17.3 and 18.2 for the amount by which an initial contribution can be reduced.

Where an applicant is unable to pay the calculated contribution amount upfront, Legal Aid NSW will ask the applicant to enter into a payment arrangement so the contribution amount can be paid in instalments. See Contributions guideline 1.5 for information on clients paying by instalments.