As a practicing lawyer, do I have to have an IOLTA/escrow account if I never receive clients’ funds?
This question has been posed a number of times. The best practice is always to have an IOLTA/escrow account. It is required by Rule of Professional Conduct 1.15 and any client’s funds are to be held there, at least on a short-term basis. Under the same Rule 1.15, if the funds are not de minimis and are to be held for longer than several weeks, then the funds have to be taken from the IOLTA account and put into an escrow account that bears interest for the client’s benefit.
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