Articles Tagged with 8.4

A client signed a fee agreement with an attorney for representation in her divorce. On June 26, 2013, as a condition of the signed fee agreement, the client tendered to the attorney $8,000.00 as a retainer for a divorce case and for a real estate closing. Upon receipt of the check, the attorney deposited the funds into her Interest on Lawyer’s Trust Accounts (“IOLTA”).

The following day, the attorney withdrew $5,500.00 and used it for purposes unrelated to the client. At this time, the attorney had neither earned this money, nor sent a bill to the client. Over the next month, the attorney continued to withdraw funds from the IOLTA until the account balance was approximately $1,000.00.

In early December 2013, the client terminated the attorney-client relationship. At the time of termination, the attorney had spent all but $500.00 of the money she had withdrawn, failed to provide the client with an accounting of the funds and did not return the $500.00 for several months.