Page 262 - IOM Law Society Rules Book

ADVOCATES ACCOUNTS RULES 2008

(c) money which, in accordance with the trustee's powers, is paid into or retained in
an account of the trustee which is not a client account (for example, a building
society share account or an account outside the Isle of Man), or properly
retained in cash in the performance of the trustee's duties.

Notes
(i) “Without delay” is defined in rule 2(2)(bb).
(ii) If money is withheld from a client account under rule 18(a) or (b), rule 32 requires records
to be kept of the receipt of the money and the payment out – see also rule 15, note
(vii). If money is withheld from a client account under rule 18(c), rule 32 requires a
record to be kept of the receipt of the money.
(iii) It makes no difference, for the purpose of the rules, whether an endorsement is effected
by signature in the normal way or by some other arrangement with the bank.

Rule 19 – Receipt and transfer of costs

(1) An advocate who receives money paid in full or part settlement of an advocate’s bill (or
other notification of costs) must follow one of the following four options:

(a) determine the composition of the payment without delay, and deal with the
money accordingly:

(i) if the sum comprises office money only, it must be placed in an office
account:

(ii) if the sum comprises client money only (for example an unpaid
professional disbursement - see rule 2(2)(t)), the entire sum must be
placed in a client account;

(iii) if the sum includes both office money and client money (such as unpaid
professional disbursements; purchase money; or payments in advance
for court fees, stamp duty land tax, General or Land Registry registration
fees or telegraphic transfer fees) an advocate must follow rule 20
(receipt of mixed payments); or

(b) ascertain that the payment comprises only office money, and/or client
money in the form of professional disbursements incurred but not yet paid,
and deal with the payment as follows:

(i) place the entire sum in an office account at a bank or building society
branch in the Isle of Man; and

(ii) by the end of the second working day following receipt, either pay any
unpaid professional disbursement, or transfer a sum for its settlement to
a client account; or

(c) pay the entire sum into a client account (regardless of its composition), and
transfer any office money out of the client account within 14 days of
receipt; or

Rule 19 – Receipt and transfer of costs page 19