This index does not form part of the rules.

References are to the numbers of the Rules. An "n" after the Rule number refers to one of the notes appended to that Rule. References to the appendices are prefaced by "app".

• Accountancy bodies, 34(7), 37
• Accountants
  • disqualification, 37(3) – (5)
  • governed by the rules, 4(2)
  • independence of, app. 5 (para. 7)
  • letter of engagement, 38
  • qualification, 37(1) – (2)
  • rights and duties, 38
  • same accountant, writing up accounting records and preparing accountant's report, 37n
  • termination to be reported, 38(1)(iii)
  • whistleblowing, 38(1)(i)
• Accountant's examination of accounting records, 42, app.4
• Accountants' reports, 1(i)
  • checklist, 46, app.4
  • checks required, 42   
  • checks not required, 42n(i), 44
  • confidentiality, 38(1)
  • delivery, 35, 38(1)(iv), 47n(iii)
    •  assistant solicitor, 35n(vi) – (vii)
    •  consultant, 35n(vi) – (vii)
    •  director of company (recognised body) 35n(va)
    •  employee, 35n(vi)–(vii)
    •  in the public interest, 35(2), 35n(i)
    •  member of limited liability partnership (recognised body) 35n(va)
  • departures from Guidelines, 43
  • executor, trustee or nominee companies, 31(1)(b)
  • explanations for discrepancies, 47n(vi)
  • form required, 47, app.5
  • joint accounts, 10(1)(e)
  • limited scope, 35n(ii)
  • netting off debits and credits not allowed, 42n(ii)
  • privilege, 45
  • qualifications of accountant, 37
  • trivial breaches, 47n(iv) – (vi)
  • waivers, 35n(ix), 49
• Accounting periods
  • changes, 36(4)
  • final report, 36(5)
  • first report, 36(2)
  • meaning, 36(1)
  • resumed reports, 36(3)
• Accounting records, 1(f)
  • acting for lender and borrower, 32(6)
  • bills and notifications of costs, 32(8)
  • central registers, 32(9)(e), 32(11)–(14)
  • checks to be carried out, 42
  • client accounts, 32
  • client money outside client account, 32(1)(a)
  • client's own account, 33
  • current balance, 32(5)
  • executor, trustee or nominee companies, 31(1)(a), 31(2), 32(14)
  • frequency of updating, 32n(i)
  • monitoring by SRA, 34
  • nominee company, 31(2)
  • photocopying for SRA, 34(5)
  • place of examination, 40
  • production to SRA, 34
  • reconciliation, 32(7), 32n(ix) – (x)
  • retention period, 32n(ix) – (x)
  • separate designated client accounts, 32(3)
  • verification, 34(4)
  • withdrawals of residual balances by solicitor, 32(8A)
  • written up by reporting accountant, 37n
• Accounting systems, 1(e), 29
  • computerised, 32(15)
  • executor, trustee or nominee companies, 31
• Acting for both lender and borrower, client accounts, 32(6), 42(1)(k)
• Acting for self as client, 13n(xii)
• Administrative charges
  • acting as stakeholder, 27n(ii) – (v)
  • direct bank transfer, 23n(vi)
  • estimated fees, stakeholder, 27n(iv)
  • fixed fees, stakeholder, 27n(iv)
  • handling client money, 24n(vi)
  • unpresented cheques, 24n(vii)
• Advance from solicitor
  • interest, 24(3)(e)
  • paid into client account, 15(2)(b), 13n(vi)
  • refund from client account, 22(1)(f)
• Advance payments, legal aid practitioners, 21(1)(a)
• Agents, client money, 13n(i)(a)
• Aggregation, money held in client accounts, 15n(viii)
• Agreed fees
  • meaning, 19(5)
  • payment into office account, 19(5)
• Amount of interest, 25
• Appendices
  • flowchart, app.1
  • special situations chart, app.2
  • guidelines for accounting procedures and systems, app.3
  • reporting accountant's checklist, app.4
  • accountant's report form, app.5
• Applications to withdraw money from client account, 22(1)(h)
• Applications to withhold money from client account, 17(f)
• Approved regulator, meaning, 2(2)(ba)
• Assistant solicitors
  • accountant's reports, 35n(vi)–(vii)
  • application of rules to, 4(1)(a)(iii)
  • practice acts for, 13n(xii)(c)
• Associate partners, accountant's reports, 35n(v)
• Associate, application of rules to, 4(1)(a)(iii)
• Association of Authorised Public Accountants, 37(1)(a)
• Association of Chartered Certified Accountants, 37(1)(a)
• Authorised non–SRA firm
  • meaning, 2(2)(bb)
  • solicitor practising as manager or employee, exemption from rules, 5(d), 5n(iii)
• Availability, money held in client accounts, 14n(vii), 25n(v)

• Bailees, client money, 13n(i)(a)
• Balance sheets, 42n(i)
• Balances see Current balances; Daily balances; Reporting Accountants – extraction of balances
• Bank, meaning, 2(2)(c)
• Bank accounts
  • for client accounts, 14(2), 14(4)
  • provision of details to reporting accountant, 41
• Bank balances, confirmation direct to reporting accountant, 42(1)(f)(ii), 42n(iii)
• Bank statements, retention, 32(9)(b) – (c), 32n(xi), 32(15)
• Banker's draft see Drafts
• Banks, safeguards, withdrawal from client account, 23n(i)
• Bill of costs
  • accounting records, 32(8)
  • fees, 19(2)
  • receipt of costs from client, 19(1)
  • transfer of costs from client account, 19(3)
• Blank cheques, 23n(ii), app. 3 (para. 5.7)
• Blanket agreements, to hold client money outside client account, 16(2)
• Books of account see Accounting records
• Breaches of Rules
  • duty to remedy, 7, 22(4), 22n(v) – (vi)
  • improper removal of mortgage funds, 32n(viii)
  • trivial, accountant's report, 47n(iv) – (vi)
• Building society, meaning, 2(2)(d)
• Building society accounts
  • for client accounts, 14(2), 14(4)
  • provision of details to reporting accountant, 41
  •  see also Share accounts
• Building society balances, confirmation direct to reporting accountant, 42(1)(f)(ii), 42n(iii)
• Building Society statements, retention, 32(9)(b) – (c), 32(15)

• Cash
  • not passing through client account, 32n(iii)
  • paid direct to client, beneficiary or third party, 17(a)
  • withheld from client account on instructions, 16(1)(a)
• Central records, 32(8), 32(11) – (14)
• Central registers, accounting records
  • for money held outside a client account, 32(11)
  • for liquidators, trustees in bankruptcy, Court of Protection deputies or
  • trustees of occupational pension schemes, 32(12)
  • for joint accounts, 32(13)
  • for instruction letters for dividend payments, 32(14)
  • client's own accounts, 33(2)
  • withdrawals made under 22(1)(ga), 32(13A)
• Cessation of partnerships, accounting periods, 36n(ii)
• Changes
  • accounting period, 36(4)
  • membership of partnerships, accounting periods, 36n(i)
  • reporting accountant, 38(1)(iii), 39
• CHAPS terminals, withdrawal from client account, 23n(i)
• Checklist, reporting accountants, 46, app.4
• Checks and tests
  • accountant's reports, 42
  • checklist, reporting accountants, 46, app.4
  • not required in accountant's reports, 44
• Cheques
  • agreement with banks etc to retain, 32(10)(a)
  • blank, 23n(ii), app. 3 (para. 5.7)
  • crossed, 23n(iv)
  • digital images, 32(10)
  • endorsed over to client or employer, 13n(ii), 35n(viii)
  • endorsed over to client, beneficiary or third party, 17(b), 32n(iii)
  • endorsement methods, 17(n)(iii)
  • held to sender's order, 13n(v)(b)
  • made payable to client, 32n(iii)
  • not passing through client account, 32n(iii)
  • payable to banks, 22n(iv)
  • received by nominee company, 31(2), 32(9)(f)
  • retention, 32(10)
  • of originals 32(15)(c)
  • uncleared, 22n(v)
  • withdrawal in favour of solicitor from client accounts, 23(3)
• Clearly identifiable, meaning, 32n(vii)
• Client, meaning, 2(2)(e)
• Client accounts, 14
  • accounting records, 32
  • advance from solicitor, 15(2)(b)
  • aggregation of sums held for interest, 15n(viii)
  • assistant solicitors, 35n(vi) – (vii)
  • bank accounts, 14(4)(a)
  • building society accounts, 14(4)(b)
  • cheques blank, 23n(ii), app.3 (para. 5.7)
  • cheques cancelled, app.3 (para. 5.7)
  • cheques unused, app.3 (para. 5.7)
  • client money withheld, 17
  • client money withheld on client's instructions, 16
  • consultants, 35n(vi) – (vii)
  • costs, 19
  • employees, 35n(vi)–(vii)
  • executor, trustee or nominee companies, 31(1)
  • interest earned on general client account, 15(2)(d)
  • interest earned on money held in, 24
  • location, 14(4)
  • master list to be maintained, app.3 (para. 5.3)
  • meaning, 14(2)
  • money to replace sum withdrawn in breach, 15(2)(c)
  • money withheld in accordance with trustee's powers, 17(ca)
  • naming of client account, 14(3)
  • overdrawn, 22(8)
  • proper use of, not providing banking facilities, 15n(ix)
  • provision of details to reporting accountant, 41
  • section 85 Solicitors Act 1974, 14n(vi)
  • share accounts, 14(4)(b) and (5)
  • signatory on, 23(1)–(2)
    • assistant solicitors, consultants and other employees 35n(vi)
  • sum in lieu of interest, 15(2)(d)
  • test procedures 42
  • titles, 14(3)
  • use, 15
  • withdrawals, 22
    •  authorisation of SRA, 22(1)(h)
    •  internal authority, 23
    •  office money, 22(3), 23(3)
    • without SRA authorisation, 22(1)(ga), 22(2A)
  • Wood and Burdett, 15n(ix)
  •  see also Separate designated client accounts
• Client money
  • accounting records, 32
  • administrative charges, 24n(vi)
  • availability, 25n(v)
  • duty to replace, 7
  • foreign currency, 32n(xiii)
  • held for Legal Services Commission, 24(3)(d), 21n(vi)
  • held for payment of counsel's fees, 24(3)(c)
  • held outside client accounts, 16, 32(11), 42(1)(j)
  • immediate payment into client account, 15(1)
  • interest, 24, 25
    •  small amounts, 24(3)(a)
    •  test procedures, 42(1)(o)
  • joint accounts, 10n
  • meaning, 13(a), 13n(i)–(vi), 13n(xii), app.1
  • mixed payments, 20
  • prompt return of funds, 15(3), 15n(x)–(xi), app.3 (para. 4.6)
  • provision of details to reporting accountant, 41
  • receipt of costs, 19
  • retained funds, reporting to client, 15(4), 15n(x)–(xi), app.3 (para. 4.7)
  • safety, 1(b)
  • small amounts, waiver of accountant's report, 35n(ix), 49
  • test procedures, 42
  • use, 1(c), 22(8)
  • withdrawals from client accounts, 22
    • authorisation of SRA, 22(1)(h)
    • in favour of solicitor, 22(3), 23(3)
    • internal authority, 23
    • without SRA authorisation, 22(1)(ga), 22(2A)
  • withheld from client account, 16, 17
  •  see also Person funding solicitor's fees
• Client privilege
  • documents withheld from accountant, 45
  • overridden by SRA, 34n(ii)
• Client's instructions, withdrawal from client account, 22(1)(e), 22n(vii)
• Client's instructions, withholding client money from client account, 16, 32(9)(d), app.2
  • master list to be maintained, app.3, (para. 5.3)
• Client's own account
  • accounting records, 33
  • master list, to be maintained, app.3 (para.5.3)
  • opened by solicitor, not operated by solicitor, 16(1)(b), app.2
  • operation by solicitor, 11
    • cessation, 33(3)
  • operation for limited purpose, 11(4)
  • power of attorney, 11
  • provision of details to reporting accountant, 41
  • record–keeping, 33
  • shared operation, 11(3)
  • sole operation, 11(2)
  • test procedures, 42(1)(n)
• Commissions, client money, 13n(i)(e)
• Compensation Fund, contributions to, in–house solicitors, 14n(ii)
• Compliance with rules
  • by all employees, 4n(i)
  • by solicitors who cease to hold client money, 4n(ii)
  • client's own account, operation by solicitor, 11
  • co–operation with SRA, 1(h)
  • Court of Protection deputies, 9
  • donee under power of attorney, 11
  • joint accounts, 10
  • liquidators, 9
  • monitoring by SRA, 9
  • principals' responsibilities, 6, app.3 (para.5.4(5))
  • trustees in bankruptcy, 9
  • trustees of occupational pension schemes, 9
• Compound interest, 25n(iv)
• Computerised accounting systems, 32(15), app.3 (paras. 2.6 – 2.7)
  • extraction of balances, 42(2)
• Confidentiality
  • accountant's reports, 38(1)
  • overridden by SRA, 34n(ii)
• Confirmation direct to reporting accountant, bank and building society statements, 42(1)(f)(ii), 42n(iii)
• Consultants
  • accountant's reports, 35n(vi)–(vii)
  • application of rules to, 4(1)(a)(iii)
  • practice acts for, 13n(xii)(c)
• Contracting out
  • interest provisions 24(3)(f), 27
  • interest on stakeholder money, 27(2), 27n(ii)–(v)
• Costs
  • billed, becomes office money, 19(3)
  • client's previous solicitor, money received from third parties, 21n(v)
  • direct transfers, 19(1)(b)–(c), 19n(vi)–(viii)
  • electronic payments, 19(1)(b)–(c), 19n(vi)–(viii)
  • meaning, 2(2)(j)
  • payment on account, client money, 19(4)
  • receipt by solicitor, 19
  • receipt from Legal Services Commission, 19(1)(d), 21(1)(b), 21n(vi)
  • receipt from third parties in legally aided matters, 21(3), 21n(iv) – (v)
  • round sum withdrawals, 19n(x)
  • test procedures, 42(1)(d)
  •  see also Fees; Person funding solicitor's fees
• Counsel's fees, 2(2)(s), 24(3)(c)
• Counterclaim, solicitor's right against money in client account, 12
• Courier charges, 19n(ii), 22n(ii)
• Court fees, client money, 13n(i)(c), 19(1)(a)(iii)
• Court of Protection deputies
  • client money, 13n(i)(a), 13n(iii), app. 1, app. 2
  • compliance with rules, 9, 24n(viii)
  •  test procedures, 42(1)(l)
  • record–keeping, 32(9)(c), 32(12), 32n(ii)(a)
  • register of appointments, 32(12)
  • retention of accounting records, 32(9)(c)
• Court of Protection receivers see Court of Protection deputies
• Crossed cheques, 23n(iv)
• Crown Prosecution Service, 34(7)
• Current balances, client ledger accounts, 32(5)

• Daily balances, 32n(vi)
• Death of sole practitioner, 22(8)(b)
• De minimis provision, interest, 24(3)(a), 24(4) – (5), 24n(i) and (v)
• Delivery of accountant's reports, 35
  • responsibility to deliver, 47n(iii)
  • to the Information Directorate, 47n(vii)
• Deposit interest see Interest
• Deputies, Court of Protection
  • central keeping of accounting records, 32(12)
  • client money, 13n(i)(a), 13n(iii)
  • compliance with rules, 9, 24n(viii)
  • record–keeping, 32(9)(c), 32(12), 32n(ii)(a)
  • register of appointments, 32(12)
  • retention of accounting records, 32(9)(c)
  • test procedures, 42(1)(l)
• Direct confirmation to reporting accountant, balances on bank and building society accounts, 42(1)(f)(ii), 42n(iii)
• Director(s) of a company (recognised body)
  • accountant's reports, 35n(va)
  • application of rules to, 4(1)(a)(v)
  • practice acts for, 13n(xii)(c)
  •  see also Recognised bodies
• Direct debits, land registry application fees paid by, 23n(vii)–(xi)
• Direct payments, costs, 19(1)(b)–(c), 19n(vi)–(viii)
• Disbursements
  • bill of costs, distinguishing, 32(8)
  • meaning, 2(2)(k)
  • client money paid from client account, 22(1)(b)
  • see also Paid disbursements; Unpaid disbursements
• Disciplinary Tribunal see Solicitors Disciplinary Tribunal
• Discreditable conduct, disqualification of accountant, 37(3)
• Disqualification, accountant, 37(3)
• Dividend cheques received, nominee company, 31(2)
• Documents
  • test procedures, 42(1)(e)
  • see also Accountant's reports; Accounting records; Bank statements; Cheques; Registers of accounting records
• Documents of title, checks not required in accountant's report, 44(b)
• Documents withheld from accountant, client privilege, 45
• Donor's own account, power of attorney, 11, 13n(ix)
• Double–entry bookkeeping, app. 3 (para.2.3)
• Drafts, not passing through client account, 17(b), 17n(ii)–(iii), 32n(iii)
• Duty to remedy breaches of rules, 7, 22(4), 22n(v) – (vi)

• Electronic payments, costs, 19(b)–(c), 19n(vi) – (viii)
  •  see also Telegraphic Transfer; Telegraphic transfer fees
• Electronic records see Computerised accounting systems
• Employed solicitors, exemption
  • from the rules, 5(a)
  • operation of client's own account, 11(5)
• Employees
  • accountant's reports, 35n(vi)–(vii)
  • application of rules to, 4(1)(a)(iii)–(iv), 4(1)(d), 4(1)(e), 4n(i)
  • misconduct, 4n(i)
  • not qualified to make accountant's report, 37(2)
  • of recognised body, governed by rules, 4(1)(d), 4n(i)
  • of recognised sole practitioner, governed by rules, 4(1)(e), 4n(i)
• Endorsing cheques see Cheques
• Enduring power of attorney see Power of Attorney
• Estate agents, fees, 2n(v)
• European authorised institution, meaning, 2n(iii)
• Executor, trustee or nominee companies, owned by solicitors' practice
  • accountant's reports, 31(1)(b), 35n(x)
  • accounting records, 31(1)(a), 31(2), 32(9)(f), 32(14)
  • central book of instruction letters, 32(14)
  • dividend cheques received, 31(2), 32(9)(f), 32(14)
  • shared client accounts, 31(1)
• Executors, meaning, 2(2)(y)
• Exemption from rules, 5, 35n(ii), app. 2
  •  see also Accountant's reports, delivery
• Experts' fees, 2(2)(s), 2n(v)

• Fees
  • bill of costs, 19(2), 32(8)
  • Counsel, 2(2)(s), 24(3)(c)
  • Court, 13n(i)(c), 19(1)(a)(iii)
  • estate agents, 2n(v)
  • experts, 2(2)(s), 2n(v)
  • foreign lawyers, 21n(ix)
  • interpreters, 2n(v)
  • Land Registry fees, 13n(i)(c), 19(1)(a)(iii), 19n(ii), 22n(ii)
  • meaning, 2(2)(l)
  • money received by solicitor, 19(1)
  • process servers, 2n(v)
  • search, 19n(ii), 22n(ii)
  • surveyors, 2n(v)
  • telegraphic transfer, 13n(i)(c), 19(1)(a)(iii)
  • translators, 2n(v)
  • travel agents, 2n(v)
  • see also Agreed fees; Costs
• Fees due to practice, office money, 13n(xi)(c)(A)
• Fellow of the Institute of Legal Executives, authority for withdrawal from client account, 23(1)(b), 23(1)(c), app. 3 (para. 4.1.A)
• Financial Services and Markets Act 2000, 15n(ix)
• Firm, meaning, (2)(2)(la)
• First report, accounting periods, 36(2)
• Flow chart, effect of rules, app.1
• Foreign currency, client money, 32n(xiii)
• Franchised firms, payments for legal aid work, 21n(ii)
• Frequency of updating accounting records, 32n(i)

• General client account
  • interest, 24(2)–(6)
  • interest earned, office money, 13n(xi)(b)
  • meaning, 14(5)(b)
  • rate of interest, 25
  • sum in lieu of interest
    • checks not required in accountant's reports, 44(d)
    • paid into client account, 15(2)(d)
  • transfers between clients, 30(1)
  • withdrawals, 22(5)–(6)
  • see also Client accounts
• Geographical scope of Rules, 3
• Guidelines
  • accounting systems, 29, app.3
  • check by reporting accountant, 29n(ii), 43
  • departures by solicitor from, 34(6), 43, 44(e)
  • detailed check not required, 44(e)

• Handling client money, administrative charges, 24n(vi)
• Held to sender's order, 13n(v)

• Immediate availability, money held in client accounts, 14n(vii)
• Indemnity, accountant to check, 42(1)(p)
• Information Directorate
  • receipt of accountant's report, 47n(vii)
  • waiver of accountant's report, 35n(ix)
• In–house lawyers, persons governed by the rules, 4(1)(a)(iv)
• Insolvency Services Account, 9(3)
• Institute of Chartered Accountants in England and Wales, 37(1)(a)
• Institute of Chartered Accountants in Ireland, 37(1)(a)
• Institute of Chartered Accountants of Scotland, 37(1)(a)
• Instructions
  • from client to open account in client's name, 16(1)(b), app.2
    • master list of accounts, app.3 (para. 5.3)
    • retention of, 32(9)(d)
  • from client to withhold client money from client account, 16(1)(a), app.2
    • master list of accounts, app.3 (para. 5.3)
  • retention of, 32(9)(d)
• Interest
  • advance from solicitor, 24(3)(e)
  • clearance periods, 25n(ii)–(iii)
  • client money held outside client accounts, 24(6)
  • compounding, 25n(iv)
  • counsel's fees, 24(3)(c)
  • de minimis provision, 24(3)(a), 24(4) – (5), 24n(v)
  • failure to pay, 24n(xa)
  • general client account, 24(2)–(5), 24(6)(b)
  • general client accounts, office money, 13n(xi)(b)
  • general principle, 1(g)
  • joint accounts, 24n(ix)
  • Legal Complaints Service, 24n(xa)
  • Legal Services Commission, 24(3)(d)
  • money withheld from client account on client's instructions, 24(6)
  • person funding solicitor's fees, 24
  • scope of reporting accountant's duty to check, 42(1)(o), 44(d)
  • separate designated client account, 24(1), 24(5)
    • reporting accountant's duty to check, 42(1)(o)
  • solicitor–trustee holding money outside client account, 24(6)(aa), 25(5)
  • see also Rate of interest; Sum in lieu of interest
• Interest earned, general client account, 15(2)(d), 13n(xi)(b)
• Intermittent sums, money held in client accounts, 24(4)
• Internal controls, 1(e), 29, app.3
• Interpreters, fees, 2n(v)
• Intervention, SRA, money in practice, 13n(viii)
• Investigations by SRA, 34
• Investments, 15n(vii)
•  see also Shares

• Joining a partnership, accounting periods, 36n(i)
• Joint accounts, 10
  • client money, 10n, app.1, app.2
  • compliance, 10
  • deposit interest, 24n(ix)
  • master list, to be maintained, app. 3 (para. 5.3)
  • production of accounting records, 10(1)(d), 34
  • record–keeping, 32(9)(b)(ii), 32(13), 32n(ii)(b)
  • register of joint accounts, 32(13)
  • test procedures, 42(1)(m)
  • with lay trustee, 13n(iv)

• Land Registry
  • application fees paid by direct debit, 23n(vii)–(xi)
  • registration fees, client money, 13n(i)(c), 19(1)(a)(iii)
  • search fees, 19n(ii), 22n(ii)
• Lawyer, meaning, (2)(2)(ma)
• Leaving a partnership, accounting periods, 36n(i)
• Ledger postings, test procedures, 42(1)(b)
• Left over client balances see Residual client account balances
• Legal Aid Board, 21n(vi)
  • see also Legal Services Commission
• Legal aid practitioners
  • franchised firms, 21n(ii)
  • legal aid money in office account, 21(1), 21(2), 32n(v)
  • payments from Legal Services Commission, 19(1)(d), 21(1), 21(2), 21n(vi)
  • payments from third parties, 21(3)
  • previous solicitor's costs, money received from third party, 21n(v)
• Legal Services Commission
  • accounting records, 32n(v)
  • interest, 24(3)(d)
  • Legal Aid Board, 21n(vi)
  • payments to legal aid practitioners, 19(1)(d), 21(1), 21(2), 21n(vi)
  • settlement by third party, 21(3)
• Letter of engagement, accountants, 38
• Licensed conveyancers, withdrawals from client account, 23(1)(b), 23(1)(c), app. 3 (para. 4.1.A)
• Lien, solicitor's right against money in client account, 12)
• Limited liability partnerships see LLP
• Liquidators
  • client money, 13n(i)(a), 13n(iii), app.1, app.2
  • compliance with rules, 9, 24n(viii)
  • record–keeping, 32(9)(c), 32n(ii)(a)
  • register of appointments, 32(12)
  • retention of accounting records, 32(9)(c)
  • test procedures, 42(1)(l)
  • use of client accounts, 9(3)
• LLP, meaning, (2)(2)(mb)
• Loan see Private loans
• Local authority, meaning, 5n(ii)
• Location, client accounts, 14(4)
• Location of examination, books of account, 34(1), 40
• Locum, application of rules to, 4(1)(a)(iii)

• Manager
  • meaning, 2(2)(mc)
  • of recognised body, governed by rules, 4(1)(d)
  • withdrawals from client account, 23(1)(e), app. 3 (para. 4.1.A)
• Manual accounting system, app.3 (para. 2.6)
• Mechanised accounting systems
  • test procedures, 42(2)
  •  see also Computerised accounting systems
• Member of limited liability partnership (recognised body)
  • accountant's reports, 35n(va)
  • application of rules to, 4(1)(a)(vi)
  • practice acts for, 13n (xii)(c)
  • see also Recognised bodies
• Misconduct, employees, 4n(i)
• Mistakes, accounts, 47n(iv)–(v)
• Mixed money, treated as client money, 32n(iv)
• Mixed payments
  • legal aid practitioners, 21(1)(b), 21n(iii)
  • meaning, 20(1)
  • receipt and transfer, 20(2)–(5)
  • receipt from Legal Services Commission, 20(5), 21n(vi)
• Money
  • held for stamp duty, 13n(i)(c)
  • held in client accounts
    • aggregation, 15n(viii)
    • availability, 14n(vii), 25n(v)
  • held in personal capacity, app.1
  • held or received by solicitor, app.1
  • held to sender's order, 13n(v)
  • not held in client accounts, interest, 24(2), 24(6), 25
  • paid into client accounts, 15
  • subject to a trust, 13n(i)(aa), 24n(iv)
  • transfers between general client accounts, 23(2)
  • withdrawn from client account, on SRA's authority, 22(1)(h), 22n(viii) – (ix)
  • withdrawn without SRA authorisation, 22(1)(ga), 22(2A)
  • withheld from client account, on Society's authority, 17(f), 17n(iv)
• Money laundering, 15n(ix)
• Money not held by solicitor, 11, 16(1)(b), 24n(iii)
• Money paid into wrong account, withdrawal from client account, 22(1)(g)
• Money received by solicitor
  • fees, 19
  • paid disbursements, 19n(ii)
  • unpaid professional disbursements, 19(1)(a) – (b), 19n(ii) – (iii) and (vi)
• Money received from third parties, 21(3)
  • outstanding costs of previous solicitor, 21n(v)
  • unpaid professional disbursements, 21n(v)
• Money withheld on client's instructions
  • client accounts, 16, 32(9)(d), 32n(xii)
  • interest, 24(6)
• Monitoring of compliance, by SRA, 34
• Monthly payments from Legal Services Commission, legal aid practitioners, 21(2), 21n(vii)–(x)
• Mortgage advances, acting for both lender and borrower, 13n(xii)(a), 32(6), 32n(vii) – (viii)

• Names, client accounts, 14(3)
• Negligence, disqualification of accountant, 37(3)
• Nominee company, 31(2), 32(9)(f), 32(14)
• Non–receipt of telegraphic transfer, 22n(vi)
• Non–solicitor employer, meaning, 2(2)(o)
• Notes, form part of rules, mandatory, 2(1)
• Notice of disqualification of accountants, 37(4)–(5)

• Occupational pension schemes, trustees of
  • client money, 9n(iii), 13n(i)(a), 13n(iii), app.1, app.2
  • compliance with rules, 9
  • interest, 24n(viii)
  • record–keeping, 32(9)(c), 32(12), 32n(ii)(a)
  • register of appointments, 32(12)
  • reporting accountant, test procedures, 42(1)(l)
  • retention of accounting records, 32(9)(c)
• Office accounts
  • agreed fees, 19(5)
  • entries, maintenance of, app.3 (para. 2.8)
  • master list, to be maintained, app.3 (para. 5.3)
  • meaning, 2(2)(p)
  • provision of details to reporting accountant, 41
  • test procedures, 42(1)(i)
• Office money
  • accounting records, 32(1)(c), 32(4)
  • meaning, 13(b), 13n(xi), app. 1
  • mixed payments, 20
  • payments from Legal Services Commission, 21(1), 21n(vi), 21(2), 21n(vii), 32n(v)
  • payments from third parties, legally aided cases, 21(3)
  • receipt of costs 19(1), 32n(v)
  • regular payments, 21(2)(a)
  • solicitor's own transaction, 13n(xii)
  • withdrawal from client account, 22(3), 23(3)
• Officers in the practice, not qualified to make accountant's report, 37(2)
• Operating client's own account, 11
• Operating joint account, 10
• Outside administrator of an estate or trust
  • record–keeping, 32n(ii)(d)
  • withdrawals from client account, 23n(v)
• Overdrawn client accounts, 22(8)
• Overseas, client accounts, 14(4)

• Paid disbursements
  • bill of costs, 32(8)
  • money received by solicitor, 19n(ii)
  • office money, 13n(xi)(c)(B)
• Paid cheques, 32(10), 32(15)(c)
  • digital images, 32(10)
• Partner
  • application of rules to, 4(1)(a)(ii), 4(1)(a)(vii)
  • meaning, (2)(2)(qa)
  • not qualified to make accountant's report, 37(2)
• Partnership
  • ceasing, accounting periods, 36(5), 36n(ii)
  • change in partnership, accounting periods, 36n(i)
  • meaning, (2)(2)(qb)
  • owning recognised body, accountant's reports, 35n(x)
  • splitting up, 36n(ii)
  • see also Principals; Recognised bodies
• Passbooks see Bank statements
• Payment of costs, legal aid practitioners, 21
• Payment of interest, 24
• Payment on account of costs, client money, 13n(i)(d), 19(4)
• Payments, test procedures 42(1)(c), 42(1)(h)
• Payments from Legal Services Commission, 21
• Payments on behalf of client, from client account, 22(1)(a)
• Person funding solicitor's fees, interest, 24
• Personal capacity, trustees, exemption from rules, 4n(iii)
• Personal representatives, meaning, 2(2)(y)
• Persons exempt
  • money held or received, 13n(x)
  • from rules, 5
• Persons governed by the rules, 4
• Place, client accounts, 14(4)
• Place of examination, accounting records, 34(1), 40
• Places of business, separate accountant's reports, 48(a)
• Posting in ledgers, test procedures, 42(1)(b)
• Power of attorney
  • client money, 13n(i)(a)
  • client's own account, operation by solicitor, 11, app.2
  • operation of donor's own account, 13n(ix), app.2
• Practising certificates, conditions on accountant's reports, 35n(i)
• Principals
  • acting for, 13n(xii)
  • delivery of accountant's reports, 35n(v)
  • duty to remedy breaches, 7(2)
  • meaning, 2(2)(r)
  • responsibility for compliance, 6
  • separate accountant's reports, 47n(ii)
• Principles of the rules, 1
• Private loans
  • meaning, 30n(i)
  • transfers between clients, 30(2)
• Privilege, overridden by SRA, 34n(ii)
• Privileged documents withheld from accountant, 45
• Process servers, fees, 2n(v)
• Production of records to SRA, 34
• Professional disbursement, meaning, 2(2)(s), 2n(v)
  •  see also Unpaid professional disbursements
• Professional Ethics Guidance Team
  • applications to withdraw money from client account, 22(1)(h), 22n(viii)–(ix)
  • applications to withhold money from client account, 17(f), 17n(iv)
• Professional misconduct, disqualification of accountants, 37(3)
• Professional privilege, overridden by SRA, 34n(ii)
• Professional support lawyers, application of rules to, 4(1)(a)(iii)
• Profit and loss account, 42n(i)
• Properly, meaning, 19n(ix)
• Public posts held by solicitors, exemption from rules, 5(c)

• Qualification and disqualification, accountants, 37

• Rate of interest, 25
• Reasons, monitoring of compliance, 34n(iv)
• Receipt and transfer, mixed payments, 20
• Receipt of costs, 19
• Receipts from Legal Services Commission, 21, 21n(vi)
• Receipt from third parties, in legal aid cases, 21(3)
• Receivers, Court of Protection see Deputies, Court of Protection
• Recognised bodies
  • delivery of accountant's reports, 35n(va)–(vi)
  • delivery of one accountant's report, 31(1)(b), 47n(iia)
  • executor, trustee or nominee companies, see Executor, trustee or nominee companies
  • governed by rules, 4(1)(c)
  • holding money as executor, trustee or nominee, 31
  • legal professional privilege, managers not legally qualified, 45(n)
  • meaning, 2(2)(t)
• Recognised sole practitioner, meaning, 2(2)(ta)
  • See also Sole Practitioner
• Reconciliation
  • accounting records, 32(7), 32n(ix) – (x)
  • money held by solicitor–trustee, in passbook–operated account, 32(7)
  • money withheld from client account under rule 17(ca) to be included, 17n(iia)
  • netting off of debits and credits not allowed, 32n(x)
  • partner to check, app.3 (para. 5.4(5))
  • passbook–operated accounts, 32(7)
  • test procedures, 42(1)(f) and (g)
• Record–keeping, joint accounts, 10, 32(9)(b)(ii), 32(13)
• Refund of solicitor's advance, 22(1)(f)
• Registered auditors, 37(1)(b)
• Registered European lawyers
  • authority for withdrawal from client account, 23(1)(a), app. 3 (para. 4.1.A)
  • governed by rules, 4(1)(a)
  • meaning, 2(2)(tb)
  • monitoring and investigation, 34(7)
• Registered foreign lawyers
  • authority for withdrawal from client account, 23(1)(d), app. 3 (para. 4.1.A)
  • delivery of accountant's reports, 35n(iii)
  • governed by rules, 4(1)(b)
  • meaning, 2(2)(u)
• Registers see Central registers
• Regular payments from Legal Services Commission, legal aid practitioners, 21(2), 21n(vii)–(x)
• Reimbursement of solicitor, paid from client account, 22(1)(c)
• Remedying breaches of rules, 7, 22(4), 22n(v) – (vi)
• Replacement money, paid into client account, 15(2)(c)
• Reporting accountants
  • check for compliance with guidelines, 29n(ii), 43, 44(e)
  • checklist, 46, app.4
  • disqualification, 37(3) – (5)
  • extraction of balances, 42(2)
  • form of report, 47, app.5
  • governed by rules, 4(2)
  • place of examination, 40
  • qualification, 37(1) – (2)
  • report direct to the Fraud and Confidential Intelligence Bureau, 38(1)(i)–(iii), 38n(i)
  • rights and duties, 38
  • terms of engagement, 38
  • whistleblowing, 38(1)(i)
• Residual client account balances, client cannot be traced, 22(1)(ga), 22(1)(h), 22(2A), 22n(viii)–(ix)
• Responsibility for compliance, principals, 6
• Resumed reports, accounting periods, 36(3)
• Retention of documents
  • accounting records, 32(9)–(15), 33(1), 33(3)
  • bank statements, 32(9)(b), 32(11), 32(13), 32n(xi)
  • cheques, 32(10)
  • clients' instructions, 32(9)(d)
  • clients' own accounts, 33
  • Court of Protection deputies, 32(9)(c), 32(12)
  • digital images of cheques, 32(10)
  • joint accounts, 32(9)(b)(ii), 32(13)
  • liquidators, 32(9)(c), 32(12)
  • deputies, 32(9)(c), 32(12)
  • nominee company, 31(2), 32(9)(f), 32(14)
  • reporting accountant's checklist, 38(1)(iv), 46, 46n(ii)
  • reporting accountant's terms of engagement, 38(1), 38n(ii)
  • trustees in bankruptcy, 32(9)(c), 32(12)
  • trustees of occupational pension schemes, 32(9)(c), 32(12)
• Retirement of sole practitioner, accounting periods, 36n(ii)
• Retiring solicitors, 4n(iv)
• Round sum withdrawals, 19n(x)

• Safety, client money, 1(b)
• Salaried partners, accountant's reports, 35n(v)
• Search fees, 19n(ii), 22n(ii)
• Securities, checks not required in accountant's reports, 44(b)
• Separate accountant's reports, several places of business, 48(a)
• Separate accounting periods, several places of business, 48(b)
• Separate designated client accounts
  • accounting records, 32(3)
  • interest, 24(1), 24(5)
    • test procedures, 42(1)(o)
  • meaning, 14(5)(a)
  • money held in, payment from general client account, 22(6)
  • overdrawn, 22(8)(a)
  • passbook–operated separate designated client accounts, 32(7)
  • rate of interest, client money, 25
  • reconciliations, 32(7)(a)
• Separation of client's and solicitor's money, 1(a)
• Serious Fraud Office, 34(7)
• Set off, solicitor's right against money in client account, 12
• Several places of business
  • separate accountant's reports, 48(a)
  • separate accounting periods, 48(b)
• Share accounts, permitted use of, 14(4) and (5)
• Shared client accounts, executor, trustee or nominee company, not permitted, 31(1)
• Shared operation
  • client's own account, 11(3)
  • joint account, 10(3)
• Shares
  • checks not required in accountant's reports, 44(b)
  • dividend payments, 31(2), 32(14)
  • purchase and sale, 15n(vii)
• Small amounts
  • client money, waiver of accountant's reports, 35n(ix), 49
  • interest, 24(3)(a) – (b), 24(4) – (5)
  • withdrawals where the rightful owner cannot be traced, without SRA authorisation, 22(1)(ga), 22(2A)
• Sole operation
  • client's own account, 11(2)
  • joint account, 10(2)
• Sole practitioner
  • application of rules to, 4(1)(a)(i)
  • death of, 22(8)(b)
  • name of client account, 14(3)(a)
  • retirement, accounting period, 36n(ii)
  • unattributable money in client account, 36n(iii)
• Solicitor
  • acting for self, 13n(xii)
  • meaning, 2(2)(x)
• Solicitor–manager
  • client account overdrawn, 22(8)(b)
  • meaning, 2(2)(xa)
• Solicitor of the Senior Courts, 2(2)(xb)
• Solicitor of the Supreme Court, meaning, 2(2)(xb)
• Solicitor–trustees
  • instructing outside administrator, 23n(v), 32n(ii)(d)
  • interest, 24(6)(aa), 25(5)
  • overdrawing a separate designated client account, 22(8)(a)
  • reconciliations, 32(7)
• Solicitors, governed by rules, 4(1)(a)
• Solicitors' Accounts Rules 1998
  • commencement, 50
  • flowchart of effects, app.1
  • geographical scope, 3
  • persons exempt, 5, app.2
  • persons governed, 4
  • special situations, chart, app.2
• Solicitors' Code of Conduct 2007
  • compliance with
    • rule 1, core duties, 1
    • rule 2.06, commissions, 13n(i)(e)
    • rule 10.07, professional obligation to pay foreign lawyers, 21n(ix)
• Solicitors' Compensation Fund, contributions, in–house solicitors, 14n(ii)
• Solicitors Disciplinary Tribunal
  • misconduct by employee of a solicitor, 4n(i)
  • report used in proceedings, 34(7)
• Solicitors Regulation Authority
  • authorisation of withdrawal from client account, 22(1)(h), 22n(viii)–(ix)
  • authority to withhold money from client account, 17(f), 17n(iv)
  • co–operation with checking compliance with rules, 1(h)
  • guidelines for accounting systems, 29, app.3
  • intervention, money in practice, 13n(viii)
  • investigation powers, 34, 34n(ii)–(iv)
  • meaning, 2(2)(xc)
  • monitoring of compliance, 34, 34n(iii)
  • reports from accountants to, 38(1)(i) and (iii), 38n(i)
  • see also SRA
• Solicitor's rights, against money in client account, 12
• Special situations chart, app.2
• Spent, meaning, 22n(ii)
• SRA
  • authorisation of withdrawal from client account, 22(1)(h), 22n(viii)–(ix)
  • authority to withhold money from client account, 17(f), 17n(iv)
  • co–operation with checking compliance with rules, 1(h)
  • guidelines for accounting systems, 29, app.3
  • intervention, money in practice, 13n(viii)
  • investigation powers, 34, 34n(ii)–(iv)
  • meaning, 2(2)(xc)
  • monitoring of compliance, 34, 34n(iii)
  • reports from accountants to, 38(1)(i) and (iii), 38n(i)
  • see also Solicitors Regulation Authority
• Stakeholder
  • administrative charges, 27n(ii)–(iv)
  • contracting out of interest rules, 27(2), 27n(ii)–(v)
  • holding client money, 13n(i)(a), app.1
  • interest, 26
• Stamp duty land tax
  • client money, 13n(i)(c)
  • included with payment of costs, 19(1)(a)(iii)
• Standard monthly payments from Legal Services Commission, legal aid practitioners, 21(2), 21n(vii)–(x)
• Standard terms of business
  • client money held outside client account, 16(2)
  • contracting out by, 27n(i)
• Statutory rules
  • accounting records, 9, 32(9)(c), 32(12), 32(15)(b), 32n(ii)(a)
  • interest, 24n(viii)
• Statutory undertakers
  • exempt from rules, 5(a)(ii)
  • meaning, 5n(i)
• Stocks
  • checks not required in accountant's reports, 44(b)
  • purchase and sale, 15n(vii)
• Successive accounts, amount of interest, 25(3)
• Sum in lieu of interest, 24(2)–(5), 24(6)(b)
  • amount of interest, 25
  • checks not required by reporting accountant, 44(d)
  • payment into client account, 15(2)(d)
  • relevant period, 25(2), 25n(i)–(ii)
  • stakeholder money, 26
  • when to account to client, 25n(i)
• Surveyors, fees, 2n(v)
• Suspense ledger accounts, 32(16)

• Taxi fares, 19n(ii), 22n(ii)
• Telegraphic transfer
  • calculation of interest, 25n(iii)
  • for payment of costs, 19n(vi – viii)
  • not received, 22n(vi)
• Telegraphic transfer fees
  • client money, 13n(i)(c)
  • included with payment of costs, 19(1)(a)(iii)
• Telephone instructions, withdrawal from client account, 23n(i)
• Test procedures, accountant's reports, 42
• Third parties, payments to legal aid practitioners, 21(3), 21n(iv) – (v)
• Third party operation of joint account, 10(1), 10(3), 10(4)
• Time of accounting
  • for client money, no longer any proper reason to retain, 15(3)
  • sum in lieu of interest, 25n(i)
• Time of delivery, accountant's reports, 35(1), 36(5), 36n(ii)
• Titles, client accounts, 14(3), 14n(ii), 14n(v)
• Total liabilities to clients, 32(7), 42(1)(f)
  • netting off of debits and credits not allowed, 32(n)(x), 42n(ii)
• Transactions, small number of, waiver of accountant's reports, 35n(ix), 49
• Transfers between client accounts, 22(1)(d)
• Transfers between general client accounts, 23(2)
• Transfers between clients
  • general client account, 30(1)
  • private loans, 30(2)
• Transfers of costs, 19(3)
• Translators, fees, 30(2)
• Travel agents, charges, 2n(v), 19n(ii)
• Tribunal see Solicitors Disciplinary Tribunal
• Trivial breaches,  47n(iv)–(v)
  • alleged, but showing significant differences, 47n(vi)
• Trust
  • accounting records, 32
  • central registers, 32(13A)
  • interest, 24(1)–(3), 24(6)(aa), 24n(iv)–(v), 25(5)
  • meaning, 2(2)(y)
  • money held as trustee of a, use of, 1(d)
  • money withheld from client account, 17
  • outside administrator
    • record–keeping, 32n(ii)(d)
    • withdrawals from client accounts, 23n(v)
  • transfer of costs, trustees within firm, 19n(xi)
  • withdrawals from a client account, 22
• Trustee
  • holding client money, 13(a), 13n(i)(aa)
  • meaning, 2(2)(y)
  • personal capacity, exempt from rules, 4n(iii)
  • retirement, 4n(iv)
  • withdrawals from a client account, 22
• Trustee of a trust, use of money held as, 1(d)
• Trustees
  • occupational pension schemes, 9
    •  client money, 9n(iii), 13n(iii), app.1, app.2
    •  compliance with rules, 9
    •  interest, 24n(viii)
    •  record–keeping, 32n(ii)(a)
    •  register of appointments, 32(12)
    •  reporting accountant, test procedures, 42(1)(l)
    •  retention of accounting records, 32(9)(c)
  • personal capacity, exemption from rules, 4n(iii)
• Trustees in bankruptcy
  • client money, 13n(i)(a), 13n(iii), app.1, app.2
  • compliance with rules, 9
  • interest, 24n(viii)
  • record–keeping, 32n(ii)(a)
  • register of appointments, 32(12)
  • reporting accountant, test procedures, 42(1)(l)
  • retention of accounting records, 32(9)(c)
  • use of client accounts, 9(3)
• Two or more places of business
  • separate accountant's reports, 48(a)
  • separate accounting periods, 48(b)

• Unclaimed balances, 22n(ix), 36n(iii)
• Uncleared cheques, 22n(v)
• Undrawn costs, 19n(xii)
• Unidentified payments, 32(16)
• Unpaid disbursements
  • bill of costs, distinguishing, 32(8)
  • incurred, 13n(xi)(c)(C)
  • payment from client account, 22(1)(b), 22n(i)
  • see also Disbursements
• Unpaid professional disbursements
  • client money, 13n(i)(b)
  • included in payment of costs, 19(1), 19n(ii) – (vi)
  • received from third parties in legally aided cases, 21n(v)
  • payment from client account, 22(1)(b), 22n(i)
  • payments from Legal Services Commission, 21(1)(b)(ii), 21(2)(c) and (d), 21n(iii), 21n(viii)–(ix), 21n(vi)
  • see also Professional disbursement
• Unpresented cheques, 24n(vii)

• VAT, bill of costs, 19n(xiii)
  • in definition of "disbursement", 2(2)(k)
  • in definition of "fees", 2(2)(l)
  • office money, 13n(xi)(a)
• Verification, accounting records, 34(4)

• Waiver
  • of accountant's reports, small amounts of client money, 35n(ix), 49
  • of accountant's reports, small number of transactions, 35n(ix), 49
  • of solicitor's right to confidentiality from reporting accountant, 38
• Whistleblowing, reporting accountant, 38(1)
• Withdrawals
  • client accounts, 22, 23, app. 3 (para. 4.1.A)
  • authority, 22, 23,
  • CHAPS terminals, 23n(i)
  • client money, 22(1)
  • in favour of solicitor, 23(3)
  • internal authorisation, 23(1), 23n(v)
  • method, 23
  • office money, 22(3), 23
  • procedures and systems to ensure compliance by signatories, app. 3, para. 4.1.A
  • retention of authorities, 32(10)(b)
  • safeguards where no SRA authorisation, 22(2A), 22n(viii)
  • SRA's authorisation, 22(1)(h), 22n(viii–ix)
  • telephone instructions, 23n(i)
  • transfers between clients, 30
  • transfer of costs, 19(2), 19(3), 19n(ix) – (x)
  • without SRA authorisation, 22(1)(ga), 22(2A), 22n(viii)
• Withheld from client account
  • advance payments from Legal Services Commission, 21(1)(a), 21n(vi)
  • client money on client's instructions, 16
  • retention of instructions, 32(9)(d)
  • other categories of client money, 17
  • SRA's authorisation, 17(f), 17n(iv)
  • without SRA authorisation, 22(1)(ga), 22(2A), 22n(viii)
• Without delay, meaning, 2(2)(z)
• Wood and Burdett, 15n(ix)
• Wound up practices, money left in client account, 22n(ix), 36n(iii)