From 1 July 2026, Australian law firms providing certain legal services are required to comply with the Anti-Money Laundering and Counter Terrorism Financing Act 2006 (Cth) (AML/CTF legislation). These laws are administered by AUSTRAC and are designed to help protect the Australian community and financial system by preventing money laundering, terrorism financing and other serious criminal activity.
Like banks, accountants and other regulated professionals, law firms are now required to undertake identity verification and customer due diligence when providing certain designated legal services.
As part of these obligations, marshalls+dent+wilmoth lawyers may be required to verify your identity and obtain additional information before or during the course of providing designated legal services.
Our aim is to make this process as straightforward as possible while ensuring we comply with our legal obligations.
When Do AML/CTF Requirements Apply?
AML/CTF requirements do not apply to every legal matter.
The requirements generally apply where we provide legal services, known as “designated services”, including:
- purchasing or selling real property;
- purchasing or selling a business, companies or trusts
- establishing or restructuring companies, trusts or partnerships;
- certain corporate and commercial transactions;
- holding or managing money or other assets in connection with certain transactions; and
- other services prescribed under the AML/CTF legislation.
At the commencement of every matter we assess whether the AML/CTF legislation applies. If it does, we will let you know what information is required.
What Can I Expect?
Step 1 – We Assess Your Matter
We will determine whether the legal services we are providing are subject to AML/CTF requirements. Not every matter requires verification.
Step 2 – Identity Verification
Where required, we generally use Infotrack’s secure AML platform to undertake identity verification and customer due diligence. You may receive a secure email from Infotrack requesting identification documents and other information on our behalf.
Step 3 – Additional Due Diligence
Depending on the nature of the matter, we may require additional information regarding:
- companies and trusts;
- ownership and control structures;
- directors, shareholders, trustees and beneficiaries;
- beneficial owners;
- source of funds;
- source of wealth; and
- other information required to satisfy our legal obligations.
The level of information required will depend on the nature of the transaction and the risks identified.
Step 4 – We Proceed With Your Matter
Once we have obtained the information necessary to satisfy our legal obligations, we will continue progressing your matter.
In some matters, we may need to request additional information as the transaction progresses. AML/CTF compliance is an ongoing process and may require further verification where circumstances change.
Why Have I Received an Email from Infotrack?
To assist us in meeting our AML/CTF obligations, we may use Infotrack’s secure AML platform to undertake identity verification and due diligence checks. If verification is required, you may receive a secure email from Infotrack requesting information or documentation on our behalf. This forms part of our client onboarding and compliance process.
What Information Might I Be Asked to Provide?
Depending on the matter, we may ask you to provide:
Individuals
- driver’s licence;
- passport;
- proof of residential address;
- date of birth and contact details.
Companies
- company details;
- information regarding directors and shareholders;
- ownership and control information.
Trusts
- trust deed information;
- trustee information;
- beneficiary information;
- details of individuals who ultimately control the trust.
Transactions
- source of funds information;
- supporting financial documentation;
- information regarding the purpose of the transaction.
Not every client or matter will require all of this information.
What Is a Beneficial Owner?
A beneficial owner is the individual or individuals who ultimately own or control a company, trust or other entity.
The AML/CTF legislation requires us to identify and verify beneficial owners in certain circumstances.
This means that even if we are acting for a company or trust, we may still need information regarding the individuals who ultimately own or control that entity.
Why Are You Asking About Source of Funds or Source of Wealth?
For some matters, we may be required to understand:
- where funds being used in a transaction have come from; and
- how wealth or assets have been accumulated.
This does not apply in every matter.
The level of enquiry will depend on the nature of the transaction and the risks identified.
Will I Need to Provide Information More Than Once?
Possibly. AML/CTF compliance is an ongoing legal obligation. We may need to undertake further verification if:
- a company, trust or special purpose vehicle (SPV) becomes involved in a matter;
- ownership or control structures change;
- additional funding sources are introduced;
- the scope of the transaction changes; or
- further due diligence is required to satisfy our legal obligations.
Where additional information is required, we will explain what is needed and why.
How will my information be used?
We only collect information necessary to comply with our legal obligations under the AML/CTF legislation.
Your information is handled in accordance with our professional obligations and Privacy Policy and may be securely shared with trusted third-party verification providers, including Infotrack, where necessary to verify your identity.
What Happens If I Do Not Provide The Requested Information?
The AML/CTF legislation requires us to obtain sufficient information to satisfy our legal obligations. If we cannot obtain the information required, we may be unable to commence or continue providing designated legal services.
Will There Be Additional Costs?
To assist us in meeting our AML/CTF obligations, we may engage third party providers, including Infotrack, to undertake verification and due diligence checks. Any third party verification costs incurred may be charged to your matter in accordance with our Costs Agreement.
Frequently Asked Questions
Why are law firms now asking for identification?
Australian law firms providing designated services are now subject to AML/CTF obligations similar to those that already apply to banks, financial institutions and other regulated businesses.
Does this apply to all legal matters?
No. AML/CTF legislation only applies where we provide designated services regulated under the legislation.
Why are you asking about my company or trust?
The legislation requires us to understand who ultimately owns and controls entities involved in certain transactions.
Why do I need to complete verification if I have been a client of the firm for years?
The legislation applies to both new and existing clients where designated services are being provided. Even if we have acted for you previously, we may still need to verify your identity or obtain updated information.
Will providing information delay my matter?
Providing the requested information promptly will help minimise delays and allow us to proceed with your matter as quickly as possible.
Questions?
If you have any questions regarding our AML/CTF obligations or the information we have requested, please contact the lawyer responsible for your matter.