South Carolina Trial Law Blog

Professor John Freeman at the University of South Carolina School of Law reminds us of the changes to the Rules of Professional Conduct, As of October 1, 2005, every lawyer in SC who maintains a trust account must, under new Rule 1.15(h), "file with the financial institution a written directive requiring the institution to report to the Commission on Lawyer Conduct when any properly payable instrument drawn on the account is presented for payment against insufficient funds." 

Professor Freeman suggests a sample letter:

I maintain a lawyer trust account with your bank.  Under the Rules of Professional Conduct, Rule 1.15(h), Every lawyer maintaining a law office trust account shall file with the financial institution a written directive requiring the institution to report to the Commission on Lawyer Conduct when any properly payable instrument drawn on the account is presented for payment against insufficient funds

Accordingly, if an NSF check is drawn on my lawyer trust account, I ask that you please immediately report the event to:

Disciplinary Counsel
Supreme Court Commission on Lawyer Conduct
PO Box 12159
Columbia, South Carolina  29211

Please call me with any questions about this request.

With kindest regards,

      Sincerely yours,

      Lawyer

Thanks for the heads up, John. We appreciate you keeping us straight.

i would like to know when a trust account begins from an estate. my mother, thinking that i would die before her, left a trust in my name, which if i lived, i would receive the interest, or pay my medical bills that i have (neck surgeries) if needed. when i met with the trust officer of a bank in sc in charleston, he said that it started on the day that we met which was almost a year later. i would like to know if there is a dept or committee where i can complain about this bank. if he did not manage this trust as it is under 100k, which his bank doesnt handle, he says, he said that it could go to united way. i called united way and they dont handle trusts for individuals. i really cannot afford a lawyer, to help me. the trust should be dissolved as he admits, it is not cost effective. he has said that he would start the procedure, but that was in jan. and he still has not done it. then, he told me that there would be a hearing where my nephew, could protest the dissolution and the judge could give him some of the money. the trust will be gone in 4 years at this rate because my meds are so expensive. the bank trust officer, also, tried to convince me to go on medicare which i will not do to save 80k for my nephew. he will be rich when his mother dies. i am 59. she is 63.
i have health insurance but my meds are high for rheumatoid arth.

any ideas what i should do?

thanks.

alicia bee

Alicia,

It sounds like you have a serious legal situation that you need to talk to an attorney that practices in estates and trusts, probate or elder law. Charleston has many talented attorneys that practice in this area.

Unfortunately, I don't practice in that area and don't have a knowledge base in that area. I can't help you.

The trust account in my post was towards IOLTA accounts, or attorney trust accounts for settlements.

You said that you didn't have the money to get an attorney. I don't know your situation, but it *does* sound like one where you really need good legal representation.

I'm sorry I couldn't be of more help to you and I'm sorry you are going through a hard time.

Dave

With regaard to rules of conduct and trust accounting, recently, I was awarded a monetary settlement which was paid by the opposing party via a personal check to her representative attorney's firm. This firm endorsesd the check to me, which was subsequently denied by my financial institution. It would seem there is misconduct here on the part of the attorney who proffered this check in settlement. I would think these funds should have been deposited to the attorney's trust account and then disbursed to me. Also, if this had been done, what is the waiting period (if any) for funds to be disbursed? Thank you for your take on this.