Attorneys, Banks, And Financial Management – The IOLTA Account
Because lawyers often handle their clients’ money, settlement checks, or advance payments for court costs or other expenses, they must participate in the Interest on Lawyers’ Trust Accounts (IOLTA) program. This is true in the State of California as well as most other jurisdictions in the United States. Any attorney who handles client funds that are too small in amount or held too briefly to earn interest for the client must use an IOLTA account for such funds. A lawyer who receives funds that belong to a client must place these funds in a trust account separate from the lawyer's personal...
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