Under Rule 47, when may a barrister receive a loan from a client?

• A. Only if the related party's business is lending money
• B. Only if the client is a family member
• C. Only if the loan is secured by property
• D. Never

Answer: (A)

Rule 47 is about keeping a barrister's independence and avoiding financial entanglements that could affect judgment or give the appearance of improper influence. A loan from a client is allowed only when the lender is in the business of lending money, i.e., the relationship is a normal commercial arrangement between two businesses. In that situation the loan is seen as a standard transaction with ordinary terms, reducing concerns about the lawyer's impartiality or dependency on the client. If the loan comes from someone not in the lending business (such as a private individual, a family member, or under conditions that create a personal obligation), it introduces conflict or appearance issues and should be avoided. The permitted scenario—where the lender's ordinary business is lending money—reflects a narrow exception to the general preference against accepting client loans.