S T A T E O F N E W Y O R K
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6253
2017-2018 Regular Sessions
I N A S S E M B L Y
March 1, 2017
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Introduced by M. of A. WALKER -- read once and referred to the Committee
on Banks
AN ACT to amend the banking law, in relation to attorney trust accounts
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The banking law is amended by adding a new section 9-x to
read as follows:
§ 9-X. ATTORNEY TRUST ACCOUNTS. NOTWITHSTANDING ANY OTHER PROVISION OF
LAW OR RULE OR REGULATION TO THE CONTRARY, NO BANK OR TRUST COMPANY
REGULATED BY THE STATE OF NEW YORK SHALL CHARGE A SERVICE FEE OR REQUIRE
A MINIMUM BALANCE ON AN ATTORNEY TRUST ACCOUNT, PROVIDED THAT NO MORE
THAN FIFTEEN DEBIT OR CREDIT TRANSACTIONS PER MONTH ARE MADE IN
CONNECTION WITH SUCH ACCOUNT AND PROVIDED, FURTHER, THAT SUCH ATTORNEY
TRUST ACCOUNT IS NON-INTEREST BEARING OR IS AN IOLA (INTEREST ON LAWYER
ACCOUNTS) ACCOUNT. FOR THE PURPOSES OF THIS SECTION, AN ATTORNEY TRUST
ACCOUNT SHALL MEAN A SPECIAL BANKING OR CHECKING ACCOUNT REQUIRED BY LAW
OR A RULE OF COURT FOR THE DEPOSIT OF FUNDS BELONGING TO LAW CLIENTS OR
OTHER PERSONS IN THE PRACTICE OF LAW.
§ 2. This act shall take effect on the thirtieth day after it shall
have become a law.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06177-01-7