Multistate Professional Responsibility Exam Practice Question
An attorney is establishing a new client trust account. Which of the following actions best ensures compliance with the rules governing the establishment and maintenance of client trust accounts?
Using client funds to pay for office expenses when needed.
Keeping client funds in a personal bank account until they are needed.
Investing client funds in a high-yield savings account to increase interest earned.
Depositing client funds into a designated trust account separate from personal or business accounts.
Depositing client funds into a designated trust account separate from personal or business accounts is essential to prevent commingling of funds, a requirement under professional responsibility rules. This practice ensures clear tracking and safeguarding of client property.
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What is the purpose of a client trust account?
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What are the consequences of commingling client funds?
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What are the rules for maintaining client trust accounts?