Trust account certification requirements
clarified
Since the 1998 amendments to SCR 20:1.15, safekeeping property,
lawyers have questioned the types of accounts they must certify on
annual State Bar dues statements. In an April 11 order, issued in
response to a petition filed by the State Bar and the Office
of Lawyer Regulation (OLR), the supreme court clarified SCR
20:1.15(a) and (g) by stating, "A lawyer must certify all trust accounts
and safe deposit boxes in which the lawyer deposits clients' funds or
property held in connection with a representation or held in a fiduciary
capacity that directly arises in the course of or as a result of a
lawyer-client relationship."
The OLR interprets this statement to require certification of the
following types of accounts on the FY 02 dues statement, to be mailed in
June:
- all accounts containing client property;
- all accounts containing property of third persons held in connection
with a representation, for example, escrow funds or real estate
settlement funds; and
- all other fiduciary accounts directly arising out of a lawyer-client
relationship, for example, probate estate funds or property held as
personal representative in cases where the attorney's designation arises
out of a lawyer-client relationship.
The OLR also interprets this clarification to not require
certification of fiduciary accounts that arise from:
- a family relationship, for example, guardian of a Uniform Gift to
Minor's Account on behalf of the attorney's child or personal
representative of a parent's estate; and
- service to a civic organization, where the attorney is a member and
where no lawyer-client relationship exists with the organization.
The court's recent clarification only addresses the certification on
the annual dues statement. OLR will continue to interpret the other
trust account rules, including the overdraft notification requirements,
as it has since the 1998 amendments took effect. (See, "Trust
Account Reporting," by Dean R. Dietrich, June 2000 Wisconsin
Lawyer) Direct questions concerning the certification requirement
to the OLR at (414) 227-4492. A copy of the order is available at http://www.wisbar.org/wislawmag/2001/04/scto.html#4.
Attorneys could lose licenses for nonpayment
of child support
On April 10, the supreme court issued its ruling on the adoption of a
procedure to refuse to grant or to suspend the licenses of attorneys who
are delinquent in payment of support or in noncompliance with a support
or paternity subpoena or warrant.
The order is in response to a 1997 federal law that addressed
enforcement of child and family support and other payments related to
the support of a child or former spouse. The order provides for the
denial, nonrenewal, restriction, and suspension of attorneys' licenses
who are delinquent in making court-ordered support payments or fail to
comply with a subpoena or warrant relating to paternity or support
proceedings.
Court clarifies fax filing
procedures
The supreme court amended Wis. Stat. § 801.16 (2), filing of
papers by facsimile transmission, to clarify that papers filed by
facsimile transmission constitute official record and to provide the
maximum length of a facsimile transmission to be 15 pages, unless
exception is granted.
Effective July 1, 2001, a court may adopt a local rule, if it is
approved by the chief judge, that permits filing papers with the clerk
of circuit court by facsimile transmission to a plain-paper facsimile
machine at a telephone number designated by the court.
If the facsimile transmission exceeds 15 pages or is filed in the
absence of a local rule, the party or attorney shall certify that the
assigned judge or court commissioner has approved the facsimile
transmission.
If no local rule has been adopted, the assigned judge or court
commissioner may permit a party or attorney in a specific matter to file
papers with the clerk of circuit court by facsimile transmission.
Wisconsin Lawyer
