In the middle of a clash with her former law firm over allegedly unpaid wages and consultancy fees, a Victorian lawyer appropriated a client’s legal bill and tried to use it as leverage.
Image source: Nova Lawyers
Nancie Hu, sole practitioner of Nova Lawyers in Sunshine, Victoria, has been found guilty of professional misconduct for appropriating money meant for her former workplace, Madison Branson Lawyers.
In his recently published decision, the Victorian Legal Services Commissioner’s (VCAT) senior member Jonathan Smithers said it was “not compatible with the qualities expected of a solicitor”.
The matter has been set down for a late-February hearing on penalty.
Shortly after her employment with Madison Branson ended in March 2021, Hu became concerned about the delays in receiving payments allegedly due to her for wages, consultancy fees and referrals.
Around this time, a former client of Madison Branson and friend of Hu’s owed the firm $8,020 for its work on a tenancy dispute.
Aware of Hu’s concerns about the unpaid wages, the friend offered to send this money to Hu so she could use it to apply leverage. While she initially agreed, Hu told him to pay the firm.
The friend nevertheless paid the sum to Hu in early May.
Upon questioning by Madison Branson director Simon Tsapepas, Hu said she intended to pay the money to the firm, “but since you owe me money too we can offset it”.
“Simon, I’ve been extremely patient over the past few months with your delayed payments to me, having to constantly chase up my wages and invoices,” Hu told him via text message.
Hu offered different ways to settle the dispute, but Tsapepas refused and requested that the money be returned immediately.
Hu did not do so until after a complaint had been lodged with the Victorian Legal Services Commissioner (VLSC).
By holding onto the funds for two months and using it as leverage against the firm, Smithers said it justified a finding that Hu was not a fit and proper person to practise.
The case: Victorian Legal Services Commissioner v Hu (Legal Services) [2026] VCAT 77.
