Page 258 - IOM Law Society Rules Book

ADVOCATES ACCOUNTS RULES 2008

(4) A client account must be:

(a) a bank account at a branch in the Isle of Man; or

(b) a building society deposit (not share) account at a branch in the Isle of Man.

(5) There are two types of client account:

(a) a “separate designated client account”, which is a deposit account for money
relating to a single client, or a current or deposit account for money held for a
single controlled trust; and which includes in its title, in addition to the
requirements of rule 14(3) above, a reference to the identity of the client or
controlled trust; and

(b) a “general client account”, which is any other client account.

Notes
(i) For the client accounts of an executor, trustee or nominee company owned by an
advocate’s practice, see rule 31.
(ii) In the case of in-house advocates , any client account should be in the names of all
advocates held out on the notepaper as principals. The names of other advocate
employees may also be included if so desired.
(iii) “Bank” and “building society” are defined in rule 2(2)(d) and (e) respectively.
(iv) A practice may have any number of separate designated client accounts and general
client accounts.
(v) The word “client” must appear in full; an abbreviation is not acceptable.
(vi) Compliance with rule 14(1) to (4) ensures that clients, as well as the bank or building
society, have the protection afforded by section 27 of the Advocates Act 1976.

(vii) Money held in a client account must be immediately available, even at the sacrifice of
interest, unless the client otherwise instructs, or the circumstances clearly indicate
otherwise.

Rule 15 – Use of a client account

(1) Client money and controlled trust money must without delay be paid into a client
account, and must be held in a client account, except when the rules provide to the contrary
(see rules 16 to 18).

(2) Only client money or controlled trust money may be paid into or held in a client
account, except:

(a) an amount of an advocate’s own money required to open or maintain the
account;

(b) an advance from an advocate to fund a payment on behalf of a client or
controlled trust in excess of funds held for that client or controlled trust; the
sum becomes client money or controlled trust money on payment into the

Rule 15 – Use of a client account page 15