04/20/2006
California Lawyers May Ethically Use Overdraft Protection on Trust Accounts as Long as Commingling Does Not Occur
State Bar Of California Standing Committee On Professional Responsibility And Conduct Formal Opinion 2005-169
Brief Summary
This opinion makes sense. The use of overdraft protection in the context of an otherwise properly established and administered CTA system is in no way inconsistent with the high fiduciary obligations that attorneys owe their clients or with the highly demanding CTA rules. Hopefully, this opinion will be followed in other jurisdictions.
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