The prescribed circumstances in which you can withdraw client money from client account to pay to a charity of your choice


Rule 5.1 (c) of the SRA Accounts Rules

Status

Rule 5.1 (c) of the SRA Accounts Rules (Accounts Rules) provide that client money can only be withdrawn from a client account on the SRA's prior written authorisation or in prescribed circumstances.

This mandatory statement prescribes the circumstances in which such withdrawals can be made without our prior written authorisation. These circumstances are limited to withdrawals of residual client account balances of less than £500 on any one client matter provided the balance is paid to a charity of your choice and if you have met the conditions set out

This statement must be complied with by all SRA authorised firms and their staff.

This statement may be revised or updated from time to time.

Introduction

The SRA Accounts Rules (Accounts Rules) require you to return client money promptly to the client, or third party for whom the money is held, (including refunds received after the client has been accounted to) as soon as there is no longer a proper reason to hold those funds (Rule 2.5).

A residual client account balance is money that you have not returned to your client at the end of a retainer and it is now difficult for you to do so as you cannot identify or trace the client.

Firms should, therefore, very rarely be holding residual client account balances.

However, you may withdraw residual client balances of less than £500 on any one client matter in the prescribed circumstances set out below.

Open all

The prescribed circumstances in which you can withdraw client money from client account to pay to a charity of your choice

You are reading current version in effect from 25 November 2019
Print this section Copy highlighted section to clipboard
Back to
You are reading current version in effect from 25 November 2019