What can a lawyer do with trust funds for multiple clients who cannot be reached for distribution instructions?
Apply this to your situation
This page answers the general question as of 1986. Ezel answers yours: whether it's allowed on your facts, under the current rules of professional conduct in your state, with citations.
Plain-English summary
The lawyer held trust funds belonging to a group of clients in Italy and could not get instructions from those clients about how to distribute the funds. The committee was of the opinion that the lawyer could issue a trust-account check made payable to all of the parties and send it to one of those parties, advising all of the parties of that fact and telling them that they should work out the distribution of the funds among themselves.
Currency note
This opinion was issued in 1986, before the 2006 revisions to the Washington Rules of Professional Conduct. RPC 1.14 on safekeeping client funds was later renumbered and amended. Treat this page as historical context, not current guidance. Verify against current rules before relying on any specific rule, deadline, or requirement mentioned here.
Common questions
Q: What can a lawyer do with pooled trust funds when the clients will not give distribution instructions?
A: The committee was of the opinion that the lawyer could issue a single trust-account check payable to all of the parties and send it to one of them.
Q: What did the committee say the lawyer should tell the clients?
A: The committee said the lawyer should advise all of the parties that the check had been sent and that they should work out the distribution of the funds among themselves.
Background and rules framework
The opinion applies Washington RPC 1.14 (safekeeping client funds), corresponding to Model Rule 1.15, to trust funds the lawyer held for a group of clients who could not be reached for distribution instructions. The committee approved issuing one trust-account check payable to all parties and leaving the parties to divide the funds.
Citations and references
Rules of Professional Conduct:
- Washington RPC 1.14 (safekeeping client funds), corresponding to Model Rule 1.15.
See also
- WSBA Ethics Op. 991: client funds must be deposited in a trust account
- WSBA Ethics Op. 1010: who is entitled to trust-account interest before Washington's IOLTA rule
Source
- Landing page: https://ao.wsba.org/print.aspx?ID=140
Original opinion text
Reproduced from the official source for research purposes. The linked source is authoritative.
Advisory Opinion: 1029
Year Issued: 1986
RPC(s): RPC 1.14
Subject: Trust funds held for multiple clients where lawyer is unable to obtain instructions from clients regarding distribution of funds
The Committee was of the opinion that in your situation, where you have trust funds belonging to a group of clients in Italy, and you are unable to get instructions from those clients regarding the distribution of those funds, you may issue a trust account check made payable to all of the parties, and send it to one of those parties advising all the parties of that fact, and that they should work out the distribution of the funds amongst themselves.
Get today's answer for your situation
You just read a 1986 opinion on this question. Ezel checks the current rules of professional conduct in your state and answers your specific situation, with citations.
Opens in Ezel Pro. Every answer cites the rules it relies on.