WPC" UVbBcB;iZ㪀5 <7sιrA@bhPސ0. drw4M;zjB$I:|OI{Or=vi-}ݾ,Ů5M%!~(5^=hj.Fk)6/t¾-V3~LTzPےخǝQj RRFJ=%ZQ=^EU{i#Db ӅhWS\)hdOF-/5,zFD^|33Lp TXw@W`ȭ;pL!T(Ț2Vۂv3 %lvk벛.QbިiJbrL5%^RzͅFpDގlL󗵔Rg6t~!DZkh!Em;uy: 0nxb 0^  0wd 0h4 01 m 0U 0T 07 0 0 0 0 0y 0J 0C 0[ 0, 0 0 0 0R 0 0 0@ 0 0 0f 0. 0 0{ 00 0( D+  AQ8 0 0H 0 0#e U N&" %t"Mz"(~"N"UF"\  `&Times New Roman<:Default ParaXXX- -(2t$ 3!..      5XXX5XXXX5X  76s (2t$ 3!..      5XXX5XXXX5X  (2t$ 3!..      5XXX5XXXX5X  ݜa5yFiles(2t$ 3!..      5XXX5XXXX5X  U*+ (_2623  ..*D+J (_25   ," <DL,23  ..  2( 4 <DL2  *A+J (_24   ) <DL)23  ..  2( 4 <DL2  *>+J (_23  ` &<<DL&23  ..  2( 4 <DL2  *;+J (_22   #DL#23  ..  2( 4 <DL2  *8+J (_21    DL 23  ..  2( 4 <DL2  *5+J (_20  h DDL23  ..  2( 4 <DL2  *2+J (_19   L23  ..  2( 4 <DL2  */+J (_18    L23  ..  2( 4 <DL2  * (_1723  Ԁ*DJ (_16   ," <DL,23  Ԁ  2( 4 <DL2  *AJ (_15   ) <DL)23  Ԁ  2( 4 <DL2  *>J (_14  ` &<<DL&23  Ԁ  2( 4 <DL2  *;J (_13   #DL#23  Ԁ  2( 4 <DL2  *8J (_12    DL 23  Ԁ  2( 4 <DL2  *5J (_11  h DDL23  Ԁ  2( 4 <DL2  *2J (_10   L23  Ԁ  2( 4 <DL2  (/J &_9    L23  Ԁ  2( 4 <DL2  ( &_823  (DJ &_7   ," <DL,23   2( 4 <DL2  (AJ &_6   ) <DL)23   2( 4 <DL2  (>J &_5  ` &<<DL&23   2( 4 <DL2  (;J &_4   #DL#23   2( 4 <DL2  (8J &_3    DL 23   2( 4 <DL2  Ӄ Level 1 Level 2 Level 3 Level 4 Level 5(2t$ 3!..      5XXX5XXXX5X  (2t$ 3!..      5XXX5XXXX5X  ($'dxd%&'()C<< c(5J &_2  h DDL23   2( 4 <DL2  (2J &_1   L23   2( 4 <DL2  &/J $_    L23   2( 4 <DL2  #|x(r$..      5XXX5XXXX5XHP LaserJet 4000 Series PCL$,,,,$0(9 Z6Times New Roman Regular5X<\ 9Z+.Courier New Regular 3!..      5XXX5XXXX5X  _X:XIXXX855XXdd8  STANDINGCOMMITTEEONRULESOFPRACTICEANDPROCEDURE  @l l NOTICEOFPROPOSEDRULESCHANGES <   TheRulesCommitteehassubmittedaLetterReporttothe q  CourtofAppeals,transmittingtherebyproposednewRule16606.1 7  (AttorneyTrustAccountRecordKeeping)andproposedamendments M  toRules16602(Definitions)and16609(Prohibited  Transactions)andAppendix:MarylandLawyersRulesof  ProfessionalConduct,Rule1.15(SafekeepingProperty). O   TheCommitteesLetterReportandtheproposednewruleand e amendmentsaresetforthbelow. +   InterestedpersonsareaskedtoconsidertheCommittees  Reportandproposedruleschangesandtoforwardonorbefore g March5,2007anywrittencommentstheymaywishtomaketo: - }    `     h   SandraF.Haines,Esq. # #    `     h   Reporter,RulesCommittee % %    `     h   2011DCommerceParkDrive E'"'    `     h   Annapolis,Maryland21401  )[$)    `     h      p ALEXANDERL.CUMMINGS ,'- ЀClerk z-(.    `     h     CourtofAppealsofMaryland ].)/ Ї@,,"January22,2007  o TheHonorableRobertM.Bell, T     `     h ChiefJudge 7  TheHonorableIrmaS.Raker j  TheHonorableAlanM.Wilner M  TheHonorableDaleR.Cathell 0 TheHonorableGlennT.Harrell,Jr.  TheHonorableLynneA.Battaglia  TheHonorableClaytonGreene,Jr.,     `     h Judges l   TheCourtofAppealsofMaryland O   RobertC.MurphyCourtsof 2   AppealBuilding e   Annapolis,Maryland21401 H    `     h     Re:Rule1.15oftheMaryland  ЀLawyersRulesof  ЀProfessionalConductand  ЀTitle16,Chapter600 g Ѐ(AttorneyTrustAccounts) J ЀoftheMarylandRules - } YourHonors: "&"   TheRulesCommitteesubmitsthisLetterReportinresponse $$ totheCourtsrequestbyletterdatedOctober23,2006fromthe % % Hon.GlennT.Harrell,Jr.thattheCommitteeconsiderand b&!& recommendtotheCourtruleschangesthataddgreaterspecificity E'"' totherequirementsofRule1.15andrelatedRules,particularly ((x#( astorecordkeepingrequirements.  )[$)   ProposedamendmentstoRule1.15requirelawyerstocomply *!&+ withtherecordcreationandmaintenancerequirementsfor +', attorneytrustaccountsproposedtobeaddedtotheRulesin ,'- Title16,Chapter600.TheamendmentstoRule1.15alsorequire z-(. thecreationandmaintenanceofrecordspertainingtoalawyers ].)/ receiptanddistributionofpropertyotherthanfunds,changethe  retentionperiodforrecordsofattorneytrustaccountfundsand  otherpropertyto atleastfiveyearsafterthedatetherecord v wascreated,andconformtheprovisionsofRule1.15(b)tothe Y anticomminglingprovisionsofRule16607b. <   TheRulesinTitle16,Chapter600areproposedtobe  R changedbytheadditionofnewRule16606.1,AttorneyTrust  5 AccountRecordKeeping,andamendmentstotwoexistingRulesin   theChapter.      ProposednewRule16606.1setsforthminimumrecordkeeping q  requirementsforanattorneytrustaccounttohelpassurethat T  fundsofclientsandthirdpartiesarebeingmaintainedbythe 7  lawyerconsistentwiththecarerequiredofaprofessional j  fiduciary.Section(a)liststherecordsthatmustbecreatedas M  to(1)identificationofattorneytrustaccounts,(2)deposits 0 anddisbursements,(3)clientmatterrecords,and(4)fundsof  thelawyerheldinanattorneytrustaccountaspermittedbyRule  16607b.Section(b)requiresamonthlyreconciliationofthe  lawyersrecordswiththefinancialinstitutionsmonthend l statement.Section(c)requiresthatwhenevertherecords O requiredbytheRulearecreatedormaintainedusingelectronic 2 means,theremustbeanabilitytoprintapapercopyofthe e records.ACommitteenotefollowingsection(c)reminds H practitionersabouttheimportanceofregularlybackingup + electronicallystoredrecords.Section(d)requiresthatrecords  createdinaccordancewithsection(a)oftheRuleandrecords  pertainingtoanattorneytrustaccountthatareprovidedbythe  financialinstitutionbemaintainedbythelawyerforaperiodof g atleastfiveyearsafterthedatetherecordwascreated. J   ProposedamendmentstoRule16609expanduponthe !`  prohibitionagainstcashdisbursementsfromanattorneytrust !C! accountandmakeclearthattheonlymeansofdisbursementfrom "&" theaccountisbycheckorelectronictransfer.Newsection(c), # # proposedtobeaddedtotheRule,prohibitsanydisbursementfrom $$ anattorneytrustaccountthatwouldcreateanegativebalance % % withrespecttoallclientmattersintheaggregateorwith b&!& respecttoanyindividualclientmatter. E'"'   TheproposedamendmentstoRule16602arestylisticonly.  )[$)   FortheguidanceoftheCourtandthepublic,followingeach *!&+ proposedruleschangeisaReportersNotedescribingthereasons +', fortheproposalandanychangesthatwouldbeeffectedin ,'- currentlaworpractice.WecautionthattheseReportersNotes z-(. werepreparedinitiallyforthebenefitoftheRulesCommittee; ].)/ theyarenotpartoftheRulesandhavenotbeendebatedor  approvedbytheCommittee;andtheyarenottoberegardedasany  kindofofficialcommentorinterpretation.Theyareincluded v solelytoassisttheCourtinunderstandingsomeofthereasons Y fortheproposedchanges. <    `     h   Respectfullysubmitted,  5    `     h   JosephF.Murphy,Jr. T     `     h   Chairperson 7     `     h   LindaM.Schuett     `     h   ViceChairperson  JFM/LMS:cdc  2 @ MARYLANDRULESOFPROCEDURE  @ APPENDIX:THEMARYLANDLAWYERSRULESOFPROFESSIONALCONDUCT v @ CLIENTLAWYERRELATIONSHIP <   AMENDRule1.15toaddtoparagraph(a)areferencetothe  5 recordscreationandmaintenanceprovisionsproposedtobeadded    totheRulesinTitle16,Chapter600;torequirethecreation q  andmaintenanceofrecordspertainingtothereceiptofproperty 7  otherthanfunds;tochangetherecordsretentionperiodset M  forthinparagraph(a);toconformparagraph(b)toRule16  607b;andtomakestylisticchangestoparagraphs(c),(d),and  (e);asfollows: O Rule1.15.SafekeepingProperty. H Ӏ(a)Alawyershallholdpropertyofclientsorthirdpersons  thatisinalawyerspossessioninconnectionwitha g representationseparatefromthelawyersownproperty.Funds - } shallbekeptinaseparateaccountmaintainedpursuanttoTitle !C! 16,Chapter600oftheMarylandRules,andrecordsshallbe # # createdandmaintainedinaccordancewiththeRulesinthat % % Chapter.Otherpropertyshallbeidentifiedspecificallyassuch E'"' andappropriatelysafeguarded,andrecordsofitsreceiptand  )[$) distributionshallbecreatedandmaintained.Completerecords *!&+ of such theaccountfundsandofotherpropertyshallbekeptby ,'- thelawyerandshallbepreservedforaperiodofatleastfive ].)/ yearsafter terminationoftherepresentation thedatetherecord  wascreated. v Ѐ(b)Alawyermaydepositthelawyersownfundsinaclient < trustaccount forthesolepurposeofpayingbankservicecharges  R onthataccountbutonlyinanamountnecessaryforthepurpose    onlyaspermittedbyRule16607b.    Ѐ(c)Unlesstheclientgivesinformedconsent,confirmedin T  writing,toadifferentarrangement,alawyershalldepositlegal j  feesandexpensesthathavebeenpaidinadvanceintoaclient 0 trustaccount legalfeesandexpensesthathavebeenpaidin  advance,tobewithdrawnbythelawyer andmaywithdrawthose l fundsforthelawyersownbenefitonlyasfeesareearnedor 2 expensesincurred. H Ѐ(d)Uponreceivingfundsorotherpropertyinwhichaclient  orthirdpersonhasaninterest,alawyershallpromptlynotify  theclientorthirdperson.ExceptasstatedinthisRuleor J otherwisepermittedbylaworbyagreementwiththeclient,a !`  lawyershall promptly deliverpromptlytotheclientorthird "&" personanyfundsorotherpropertythattheclientorthird $$ personisentitledtoreceiveand,uponrequestbytheclientor b&!& thirdperson,shall promptly renderpromptlyafullaccounting ((x#( regardingsuchproperty. )>%* Ѐ(e)Whenalawyerinthecourseof representationalawyer  +', representingaclientisinpossessionofpropertyinwhichtwo z-(. ormorepersons(oneofwhommaybethelawyer)claiminterests,  thepropertyshallbekeptseparatebythelawyeruntilthe v disputeisresolved.Thelawyershall promptly distribute < promptlyallportionsofthepropertyastowhichtheinterests  R arenotindispute.   @HH'COMMENT      [1]Alawyershouldholdpropertyofotherswiththecare T  requiredofaprofessionalfiduciary.Securitiesshouldbekept 7  inasafedepositbox,exceptwhensomeotherformofsafekeeping j  iswarrantedbyspecialcircumstances.Allproperty thatisthe M  property ofclientsorthirdpersons,includingprospective 0 clients,mustbekeptseparatefromthelawyer'sbusinessand  personalpropertyand,if monies money,inoneormoretrust  accounts.Separatetrustaccountsmaybewarrantedwhen  administeringestate monies moneyoractinginsimilarfiduciary l capacities.Alawyershouldmaintainonacurrentbasisbooks O andrecordsinaccordancewithgenerallyacceptedaccounting 2 practiceandtheRulesinTitle16,Chapter600andcomplywith e anyotherrecordkeepingrulesestablishedbylaworcourtorder. H   [2] Whilenormally Normallyitisimpermissibletocommingle  thelawyer'sownfundswithclientfunds,andparagraph(b)  providesthatitispermissible whennecessarytopaybank g servicechargesonthataccount onlyaspermittedbyRule16607 J b.Accuraterecordsmustbekeptregardingwhichpartofthe - } fundsarethelawyer's. !`    [3]Paragraph(c)ofRule1.15permitsadvancesagainst "&" unearnedfeesandunincurredcoststobetreatedaseitherthe # # propertyoftheclientorthepropertyofthelawyer.Unlessthe $$ clientgivesinformedconsent,confirmedinwriting,toa % % differentarrangement,theRule'sdefaultpositionisthatsuch b&!& advancesbetreatedasthepropertyoftheclient,subjecttothe E'"' restrictionsprovidedinparagraph(a).Inanycase,atthe ((x#( terminationofanengagement,advancesagainstfeesthathavenot  )[$) beenincurredmustbereturnedtotheclientasprovidedinRule )>%* 1.16(d). *!&+   [4]Lawyersoftenreceivefundsfromwhichthelawyer'sfee ,'- willbepaid.Thelawyerisnotrequiredtoremittheclient z-(. fundsthatthelawyerreasonablybelievesrepresentfeesowed. ].)/ However,alawyermaynotholdfundstocoerceaclientinto  acceptingthelawyer'scontention.Thedisputedportionofthe  fundsmustbekeptinatrustaccountandthelawyershould v suggestmeansforpromptresolutionofthedispute,suchas Y arbitration.Theundisputedportionofthefundsshallbe <  promptly distributedpromptly.  o   [5]Paragraph(e)alsorecognizesthatthirdpartiesmay  5 havelawfulclaimsagainstspecificfundsorotherpropertyina   lawyer'scustody,suchasaclient'screditorwhohasalienon    fundsrecoveredinapersonalinjuryaction.Alawyermayhavea    dutyunderapplicablelawtoprotectsuchthirdpartyclaims q  againstwrongfulinterferencebytheclient.Insuchcases,when T  thethirdpartyclaimisnotfrivolousunderapplicablelaw,the 7  lawyermustrefusetosurrenderthefundsorpropertytothe j  clientuntiltheclaimsareresolved.Alawyershouldnot M  unilaterallyassumetoarbitrateadisputebetweentheclientand 0 thethirdparty,but,whentherearesubstantialgroundsfor  disputeastothepersonentitledtothefunds,thelawyermay  fileanactiontohaveacourtresolvethedispute.    [6]TheobligationsofalawyerunderthisRuleare O independentofthosearisingfromactivityotherthanrendering 2 legalservices.Forexample,alawyerwhoservesonlyasan e escrowagentisgovernedbytheapplicablelawrelatingto H fiduciarieseventhoughthelawyerdoesnotrenderlegalservices + inthetransactionandisnotgovernedbythisRule.  ModelRulesComparison.Rule1.15issubstantiallysimilarto  thelanguageoftheEthics2000AmendmentstotheABAModelRules g ofProfessionalConduct,withtheexceptionofchangestoRule J 1.15(c),theadditionofComment[3],andtheomissionofABA - } Comment[6]. !`  @hh#REPORTERSNOTE "&"   TheproposedamendmentstoRule1.15makethreechangesto $$ paragraph(a).Firstistheadditionofareferencetothe % % recordscreationandmaintenanceprovisionsproposedtobeadded b&!& totheRulesinTitle16,Chapter600(AttorneyTrustAccounts). E'"' Secondistheadditionofarequirementthatrecordsbekeptwith ((x#( respecttoalawyersreceiptanddistributionofproperty,other  )[$) thanfunds,ofclientsandthirdparties.Thirdisachangeof )>%* therecordsretentionperiodfromaperiodof fiveyearsafter *!&+ terminationoftherepresentationto atleastfiveyearsafter +', thedatetherecordwascreated. ,'-   ].)/   Paragraph(b)currentlyconflictswiththeprovisionsof  Rule16607bandisproposedtobeamendedtoconformtothat  Rule. v   Paragraphs(c),(d),and(e)containstylisticchanges. <    o @ MARYLANDRULESOFPROCEDURE  @ TITLE16COURTS,JUDGES,ANDATTORNEYS v @@ @ CHAPTER600ATTORNEYTRUSTACCOUNTS <   AMENDRule16602tomakeastylisticchange,asfollows:  5 Rule16602.DEFINITIONS      In theserules thisChapter,thefollowingdefinitions 7  apply,exceptasexpresslyotherwiseprovidedorasnecessary M  implicationrequires:  Ѐa.ApprovedFinancialInstitution.    " Approvedfinancialinstitution" meansafinancial O institutionapprovedbytheCommissioninaccordancewiththese e Rules. + Ѐb.Attorney.    " Attorney" meansanypersonadmittedbytheCourtof g Appealstopracticelaw. - } Ѐc.AttorneyTrustAccount. !C!   " Attorneytrustaccount" meansanaccount,includingan # # escrowaccount,maintainedinafinancialinstitutionforthe % % depositoffundsreceivedorheldbyanattorneyorlawfirmon E'"' behalfofaclientorthirdperson.  )[$) Ѐd.BarCounsel. *!&+   " BarCounsel" meansthepersonappointedbytheCommission ,'- astheprincipalexecutiveofficerofthedisciplinarysystem ].)/ affectingattorneys.AlldutiesofBarCounselprescribedby  theseRulesshallbesubjecttothesupervisionandprocedural v guidelinesoftheCommission. < Ѐe.Client.  R   " Client" includesanyindividual,firm,orentityforwhich   anattorneyperformsanylegalservice,includingactingasan    escrowagentorasalegalrepresentativeofafiduciary.The T  termdoesnotincludeapublicorprivateentityofwhichan j  attorneyisafulltimeemployee. 0 Ѐf.Commission.    " Commission" meanstheAttorneyGrievanceCommissionof l Maryland,asauthorizedandcreatedbyRule16711(Attorney 2 GrievanceCommission). H Ѐg.FinancialInstitution.    " Financialinstitution" meansabank,trustcompany,  savingsbank,orsavingsandloanassociationauthorizedbylaw J todobusinessinthisState,intheDistrictofColumbia,orin !`  astatecontiguoustothisState,theaccountsofwhichare "&" insuredbyanagencyorinstrumentalityoftheUnitedStates. $$ Ѐh.LawFirm. b&!&   " Lawfirm" includesapartnershipofattorneys,a ((x#( professionalornonprofitcorporationofattorneys,anda )>%* combinationthereofengagedinthepracticeoflaw.Inthecase +', ofalawfirmwithofficesinthisStateandinother z-(. jurisdictions, these theRulesinthisChapterapplyonlytothe  officesinthisState. v Source:ThisRuleisderivedfromformerRuleBU2. < @hh#REPORTERSNOTE  5   TheproposedamendmentstoRule16602arestylisticonly.         @ MARYLANDRULESOFPROCEDURE  @ TITLE16COURTS,JUDGES,ANDATTORNEYS v @@ @ CHAPTER600ATTORNEYTRUSTACCOUNTS <   ADDnewRule16606.1,asfollows:  5 Rule16606.1.ATTORNEYTRUSTACCOUNTRECORDKEEPING x     Ӏ(a)CreationofRecords 7    Thefollowingrecordsshallbecreatedandmaintainedfor M  thereceiptanddisbursementoffundsofclientsorofthird  persons:  Ѐ(1)AttorneyTrustAccountIdentification O   Anidentificationofallattorneytrustaccounts e maintained,includingthenameofthefinancialinstitution, + accountnumber,accountname,datetheaccountwasopened,date  theaccountwasclosed,andanagreementwiththefinancial g institutionestablishingeachaccountanditsinterestbearing - } nature. !C! Ѐ(2)DepositsandDisbursements # #   Arecordforeachaccountthatchronologicallyshowsall % % depositsanddisbursements,asfollows: E'"'   (A)foreachdeposit,arecordmadeatornearthetimeof  )[$) thedepositthatshows(i)thedateofthedeposit,(ii)the *!&+ amount,(iii)theidentityoftheclientorthirdpersonforwhom ,'- thefundsweredeposited,and(iv)thepurposeofthedeposit; ].)/ Ѐ(B)foreachdisbursement,includingadisbursementmadeby  electronictransfer,arecordmadeatornearthetimeof v disbursementthatshows(i)thedateofthedisbursement,(ii) < theamount,(iii)thepayee,(iv)theidentityoftheclientor  R thirdpersonforwhomthedisbursementwasmade(ifnotthe   payee),and(v)thepurposeofthedisbursement;    Ѐ(C)foreachdisbursementmadebyelectronictransfer,a T  writtenmemorandumauthorizingthetransactionandidentifying j  theattorneyresponsibleforthetransaction. 0 Crossreference:SeeRule16609c,whichprovidesthata  disbursementthatwouldcreateanegativebalancewithrespectto  anyindividualclientmatterorwithrespecttoallclient l mattersintheaggregateisprohibited. O Ӏ(3)ClientMatterRecords e   Arecordforeachclientmatterinwhichtheattorney + receivesfundsintrust,asfollows:  Ѐ(A)foreachattorneytrustaccounttransaction,arecord g thatshows(i)thedateofthedepositordisbursement;(ii)the - } amountofthedepositordisbursement;(iii)thepurposefor !C! whichthefundsareintended;(iv)foradisbursement,thepayee # # andthechecknumberorotherpaymentidentification;and(v)the % % balanceoffundsremainingintheaccountinconnectionwiththe E'"' matter;and  )[$) Ѐ(B)anidentificationofthepersontowhomtheunused *!&+ portionofafeeorexpensedepositistobereturnedwheneverit ,'- istobereturnedtoapersonotherthantheclient. ].)/ Ѐ(4)RecordofFundsoftheAttorney    Arecordthatidentifiesthefundsoftheattorneyheld v ineachattorneytrustaccountaspermittedbyRule16607b. < Ѐ(b)MonthlyReconciliation  R   Anattorneyshallcausetobecreatedamonthly   reconciliationofallattorneytrustaccountrecords,client    matterrecords,recordsoffundsoftheattorneyheldinan T  attorneytrustaccountaspermittedbyRule16607b,andthe j  adjustedmonthendfinancialinstitutionstatementbalance.The 0 adjustedmonthendfinancialinstitutionstatementbalanceis  computedbyaddingsubsequentdepositstoandsubtracting l subsequentdisbursementsfromthefinancialinstitutionsmonth 2 endstatementbalance. H Ѐ(c)ElectronicRecords    WhenevertherecordsrequiredbythisRulearecreatedor  maintainedusingelectronicmeans,theremustbeanabilityto J printapapercopyoftherecordsuponareasonablerequesttodo !`  so. "&" Committeenote:Electronicrecordsshouldbebackedupregularly $$ byanappropriatestoragedevice. % % Ӏ(d)RecordstobeMaintained E'"'   Financialinstitutionmonthendstatements,anycanceled  )[$) checksorcopiesofcanceledchecksprovidedwithafinancial *!&+ institutionmonthendstatement,duplicatedepositslipsor ,'- depositreceiptsgeneratedbythefinancialinstitution,and ].)/ recordscreatedinaccordancewithsection(a)ofthisRuleshall  bemaintainedforaperiodofatleastfiveyearsafterthedate v therecordwascreated. < Committeenote:Anattorneyorlawfirmmaysatisfythe  R requirementsofsection(d)ofthisRulebymaintaininganyof  5 thefollowingitems:originalrecords,photocopies,microfilm,   opticalimaging,electronicrecords,oranyothermediumthat    preservestherequireddatafortherequiredperiodoftimeand    fromwhichapapercopycanbeprinted. q  Crossreference:Rule1.15(SafekeepingProperty)oftheMaryland 7  LawyersRulesofProfessionalConduct. j  Source:ThisRuleisnew. 0 @hh#REPORTERSNOTE    ProposednewRule16606.1setsforthminimumrecordkeeping O requirementstohelpassurethatfundsofclientsandthird 2 partiesarebeingmaintainedbythelawyerconsistentwiththe e carerequiredofaprofessionalfiduciary.  H @ MARYLANDRULESOFPROCEDURE  @ TITLE16COURTS,JUDGES,ANDATTORNEYS v @@ @ CHAPTER600ATTORNEYTRUSTACCOUNTS <   AMENDRule16609toexpandupontheprohibitionofcash  5 disbursements,toprohibitadisbursementthatwouldcreatea    negativebalance,andtomakestylisticchanges,asfollows: q  Rule16609.PROHIBITEDTRANSACTIONS j  Ӏa.Generally.    Anattorneyorlawfirmmaynotborroworpledgeanyfunds  requiredby these theRulesinthisChaptertobedepositedinan O attorneytrustaccount,obtainanyremunerationfromthe e financialinstitutionfordepositinganyfundsintheaccount,or + useanyfundsforanyunauthorizedpurpose.  Ѐb.NoCashDisbursements. g   Aninstrumentdrawnonanattorneytrustaccountmaynotbe - } drawnpayabletocashortobearer,andnocashwithdrawalmaybe !C! madefromanautomatedtellermachineorbyanyothermethod.All # # disbursementsfromanattorneytrustaccountshallbemadeby % % checkorelectronictransfer. E'"' Ѐc.NegativeBalanceProhibited.  )[$)   Nofundsfromanattorneytrustaccountshallbedisbursed *!&+ ifthedisbursementwouldcreateanegativebalancewithregard ,'- toanindividualclientmatterorallclientmattersinthe ].)/ aggregate.  Source:ThisRuleisderivedinpartfromformerRuleBU9andis v inpartnew. Y @hh#REPORTERSNOTE  R   TheproposedamendmentstoRule16609dividetheRuleinto   threesections.      Insectiona,theproposedchangeisstylistic,only. q    Theproposedamendmenttosectionbexpandsuponthe 7  prohibitionofcashdisbursementsfromattorneytrustaccountsby j  addingareferencetoautomatedtellermachinesandbyaddinga M  secondsentencethatstatestheonlytwoways,bycheckorby 0 electronictransfer,thatadisbursementfromanattorneytrust  accountmaybemade.    Newsectioncprohibitsanydisbursementfromanattorney l trustaccountthatwouldcreateanegativebalancewithregardto O anindividualclientmatterorallclientmattersinthe 2 aggregate. e   XXX:XI