Washington State Bar Association Ethics Opinions
Free plain-English summaries of legal ethics opinions issued by the Washington State Bar Association, with full citations and source links on every page.
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Can a lawyer keep client funds in the office instead of depositing them in a trust account?
The committee unanimously concluded that RPC 1.14 absolutely prohibits handling client funds in any way other than the rule permits, so a lawyer may not keep client funds in the office and must deposi…
Does a law firm need to treat an in-house account for its employees' own funds as a client trust account?
The committee concluded that an in-house account holding only law-firm employees' funds, with no client money in it, did not present an ethical question; it raised but did not answer whether depositin…
Can a Washington lawyer keep a client trust account at a brokerage house instead of an insured bank?
The committee concluded that RPC 1.14(c)'s requirements are mandatory and cannot be waived by a client; a lawyer using anything other than an insured bank, credit union, or savings and loan must confi…
If a contingent-fee client disappears after paying advance costs, can the lawyer just withdraw and keep the money?
The committee concluded that the lawyer could not simply make reasonable attempts to contact the client, withdraw, and retain the advance costs as earned fees; RPC 1.13 would require establishing a gu…
Which state's trust-account rules apply when a lawyer practices in more than one state?
The committee concluded that the trust-account rules do not resolve conflicts between different states' rules for multi-state practitioners, but that, generally, if trust funds accrue from a lawyer's …
Can a Washington lawyer keep a client trust account in a Canadian bank?
Per the opinion, only if the Canadian bank meets the description in RPC 1.14(c); if it does there is no difficulty, but otherwise the lawyer must comply with the rule as written.
Can a lawyer assert an attorney's lien for old fees against funds received for the same client in a new case?
The committee concluded that an attorney's lien for fees due in prior litigation could be asserted against funds received on behalf of the same client in new litigation, and that the lawyer had to com…
Must a lawyer who serves as trustee, guardian, or executor hold those funds in a trust account under RPC 1.14?
The committee concluded that whether RPC 1.14 governs funds a lawyer receives as a fiduciary depends on whether they are client funds in the lawyer's possession; if so, they must go into the account R…
When a lawyer practices in more than one state, whose trust-account rules apply to client funds?
The committee concluded that the Rules do not address conflicts between states' trust-account rules, but that funds acquired through practice under a Washington license must follow the Washington rule…
What can a lawyer do with trust funds for multiple clients who cannot be reached for distribution instructions?
The committee concluded that a lawyer holding trust funds for a group of unreachable clients could issue a single trust-account check payable to all of them, send it to one party while advising all of…
Who is entitled to the interest earned on a lawyer's trust account before Washington adopted its IOLTA rule?
The committee concluded that interest earned on the trust account before the IOLTA rule was adopted must be allocated and paid to the clients whose funds earned it; if a client has disappeared, the fu…
Can a lawyer keep personal funds, such as proceeds from a personal real estate deal, in the client trust account?
No. The committee reaffirmed that under RPC 1.14(a), the trust account guidelines, and Informal Opinion 799, lawyers may not commingle personal funds, including funds from personal real estate transac…
If a client disappears owing fees and the lawyer holds the client's money in trust, can the lawyer pay the fees from those funds?
The committee said the lawyer must make reasonable efforts to notify the missing client of the fee claim and of the intent to pay the fees from the client's trust funds, including trying to reach the …
If a lawyer's nonlawyer employee steals from the trust account and the lawyer restores the funds, must the lawyer report it to clients or the bar?
The committee unanimously concluded that a lawyer who discovered an employee had misappropriated client trust funds, immediately contacted the bank, and had the missing funds replaced in the trust acc…
Who is entitled to the interest earned on money a lawyer holds in a trust account, the lawyer or the client?
The committee advised that interest on a trust account belongs to whoever owns the funds; it said it could not resolve the underlying legal question of when ownership of disputed funds vests in the la…
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Legal ethics opinions from the Washington State Bar Association interpret the rules of professional conduct for working lawyers, in response to inquiries from members and committees. They are not binding like court discipline decisions, but courts and discipline boards treat formal opinions as substantial guidance on how the rules apply. Every opinion above has a plain-English question and short answer, plus a link to the original source on the bar's site.