How may a Missouri lawyer replace a trust account after someone creates a fraudulent check on it while client checks remain outstanding?

Plain-English summary

A bank detected a counterfeit check made to look as if it came from the lawyer's trust account and recommended a new account number and check style. Legitimate checks payable to clients were still outstanding.

The opinion identifies two possible responses. The lawyer and bank may block unauthorized checks while preserving enough funds in the existing account for the identified client checks. Alternatively, the lawyer may transfer all funds to a new account, stop the outstanding checks, notify the clients, and reissue checks from the new account. Other compliant options may exist in cooperation with the bank.

Whatever method is used, Rule 4-1.15(f) requires appropriate records, and Rule 4-1.15(b) prevents shifting service charges to clients when they negotiate the outstanding checks. The lawyer must also notify the Missouri Lawyer Trust Account Foundation and make the appropriate annual-enrollment certification under Rule 4-1.15(h).

In practice

Under this opinion, account security and timely payment of client checks must be handled together. The lawyer may choose among compliant banking arrangements, but client funds, charges, records, notices, and certification all remain part of the response.

Common questions

Q: May the old account remain open temporarily?

A: Yes, if safeguards permit only the authorized outstanding client checks to be paid.

Q: May all money move to a new account instead?

A: Yes, with stop-payment orders, client notice, and replacement checks drawn on the new account.

Q: May clients bear service charges caused by the change?

A: No. The opinion requires that clients not be responsible for charges when negotiating the outstanding checks.

Q: What reporting follows the account change?

A: Notice to the Missouri Lawyer Trust Account Foundation and the appropriate annual-enrollment certification.

Background and rules framework

Rule 4-1.15(f) governs trust records, Rule 4-1.15(b) protects clients against service charges in this response, and Rule 4-1.15(h) governs notification and annual certification associated with the account change.

Citations and references

Rules of Professional Conduct:

• Missouri Rules 4-1.15(b), (f), and (h)

See also

• Missouri Informal Op. 2025-08: Fraudulent Check and Trust Account Loss
• Missouri Informal Op. 2023-07: Closing a Trust Account at Retirement
• Virginia Ethics Op. 1797: Frozen Trust Account and Bounced Checks

Source

• Landing page: Missouri Informal Opinion 2022-09

Original opinion text

Reproduced from the official source for research purposes. The linked source is authoritative.

Question: Attorney has recently been notified by Bank of its receipt of a check that appears to be from the Attorney’s client trust account but is actually a fraudulent document from someone who tried to duplicate the check of Attorney’s trust account to access the funds. Bank advises Attorney that the current trust account should be closed, and that a new trust account should be opened with a different account number and with a different style of check. Attorney has outstanding checks payable to clients drawn on that trust account. What steps should Attorney take to ensure that this change of trust account is in compliance with the Rules of Professional Conduct?

Answer: Attorney should work together with Bank to ensure the security of the funds in the client trust account. One option may be to ensure that no checks can be drawn on the existing account without authorization from Attorney, and that only the outstanding checks payable to clients can be drawn on the existing trust account. With such safeguards in place, Attorney may leave funds in the existing trust account to pay the outstanding checks that have already been sent to clients. Another option is to move all funds in the existing client trust account to a new account, stop payment on the outstanding checks payable to clients, notify clients as to such, and reissue new checks payable to clients on the new client trust account. Other options may also be appropriate under the Rules of Professional Conduct, as determined by Attorney and in cooperation with the Bank. Regardless of the option taken to safeguard the funds in the client trust account and eliminate the threat, Attorney should ensure that there is appropriate record keeping pursuant to Rule 4–1.15(f), and that clients are not responsible for any service charges when trying to negotiate their outstanding checks. See Rule 4–1.15(b). Finally, Attorney should contact the Missouri Lawyer Trust Account Foundation to notify it of the change in the account and provide appropriate certification as to Attorney’s annual enrollment statement pursuant to Rule 4–1.15(h).