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§ 10-303. Duty of lawyer to deposit trust money in interest bearing accounts

West's Annotated Code of MarylandBusiness Occupations and ProfessionsEffective: October 1, 2007

West's Annotated Code of Maryland
Business Occupations and Professions
Title 10. Lawyers (Refs & Annos)
Subtitle 3. Trust Money (Refs & Annos)
Part I. Attorney Trust Accounts
Effective: October 1, 2007
MD Code, Business Occupations & Professions, § 10-303
§ 10-303. Duty of lawyer to deposit trust money in interest bearing accounts
Currentness
Interest paid to Maryland Legal Services Corporation Fund
(a) Subject to this section a lawyer shall deposit trust money in an attorney trust account, all interest on which is payable to the Maryland Legal Services Corporation Fund established under § 11-402 of the Human Services Article.
Duty to deposit trust money in interest bearing accounts
(b) A lawyer shall deposit trust money in an interest bearing account under this section whenever the lawyer reasonably expects that, for the period that the lawyer expects to hold the trust money, the interest that it would earn:
(1) would not exceed $50; or
(2)(i) would exceed $50; but
(ii) would not cover the cost of administering an interest bearing account on which interest is payable to the client or beneficial owner.
Waiver of requirements
(c) The Administrative Office of the Courts, in consultation with the Maryland Legal Services Corporation, may waive the provisions of subsection (b) of this section with respect to a lawyer or law firm that demonstrates that it will cost the Maryland Legal Services Corporation Fund more in service charges to open and maintain an attorney trust account with the interest payable to the Maryland Legal Services Corporation Fund than will be generated in interest by the attorney trust account.
Service charges, net interest
(d)(1) At least quarterly, each financial institution that has an account described under this section shall:
(i) deduct from the total interest accumulated in the account any service charge due on the account; and
(ii) pay the net interest to the Maryland Legal Services Corporation Fund.
(2) A financial institution:
(i) may not charge against the individual accounts of a lawyer any service charges for trust money in an account under this section; and
(ii) may charge the Maryland Legal Services Corporation Fund.

Credits

Added by Acts 1989, c. 3, § 1, eff. Oct. 1, 1989. Amended by Acts 1989, c. 502, § 2; Acts 1989, c. 632, § 3; Acts 1991, c. 522; Acts 1998, c. 765, § 1, eff. July 1, 1998; Acts 2007, c. 8, § 1, eff. Oct. 1, 2007.
Formerly Art. 10, § 44.
MD Code, Business Occupations & Professions, § 10-303, MD BUS OCCUP & PROF § 10-303
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
End of Document