Site Tools

User Tools

Search

Trace:

Differences

This shows you the differences between two versions of the page.

Link to this comparison view

Both sides previous revisionPrevious revision
Next revision		Previous revision
firm:sop:trust-accounting [2025/11/03 04:56] – adminfirm:sop:trust-accounting [2025/11/12 17:05] (current) – [Withdrawals] admin
Line 56: Line 56:
  
 All transactions that add or remove funds from a trust account must be recorded, with all records being duplicated into and saved in Paperless. All transactions that add or remove funds from a trust account must be recorded, with all records being duplicated into and saved in Paperless.
 +
 +==== Transaction entry ====
 +
 +All trust transactions must be entered in Cosmolex and accompanied by the required documentation, even errors that must be reversed with further transactions.
  
 ==== Deposits ==== ==== Deposits ====
Line 63: Line 67:
 All methods of payment require a deposit slip, which must be created in Cosmolex, downloaded from Cosmolex, and saved into Paperless.  All methods of payment require a deposit slip, which must be created in Cosmolex, downloaded from Cosmolex, and saved into Paperless. 
  
-Deposits must be routed to the correct account. The deposit slip +Deposits must be routed to the correct account. The deposit slip must be cross-checked with the account to ensure that funds are being properly deposited. 
 + 
 +Once a deposit slip is entered in Cosmolex, it must be downloaded, initialled or signed by the person who created the slip, and uploaded to Paperless. 
 + 
 +If a deposit is made by credit card payment or certified funds, the following must appear on or be appended to the deposit slip before it is uploaded to Paperless: 
 + 
 +  * a credit card transaction reference number generated by LawPay; 
 +  * a scanned image of the bank draft or certified check; or 
 +  * a scanned image of the bank deposit slip signed by the teller and initialled by the person responsible for making the deposit. 
 + 
 +If a deposit is made by e-transfer, the e-transfer confirmation e-mail must be saved to PDF and uploaded to Paperless. The filename for this PDF must be: __e-Transfer - [CLIENT NAME] - DAY-MONTH-YEAR.pdf__. 
 + 
 +If a wire transfer is received, the wire transfer confirmation from the sending party must be obtained and saved in Paperless. 
 + 
 +==== Withdrawals ==== 
 + 
 +Any electronic withdrawal of funds from Cosmolex must be documented with a requisition to draw on trust funds, a copy of any relevant instrument used to draw on trust funds (i.e. an e-transfer, bank transfer, or wire transfer confirmation), and any other supporting documentation that defines the amount to be drawn or the authority under which it is drawn. 
 + 
 +If funds are drawn from trust via check, the check must be scanned, with the scanned document saved to Paperless to prove that the funds were transferred. 
 + 
 +=== Requisition to draw on trust funds ===
  
 +A requisition to draw on trust funds is obtained by using the following procedure:
  
 +  - confirm the value to be drawn with the lawyer responsible for the transaction;
 +  - create a Cosmolex entry for the draw with the correct value from the correct client matter;
 +  - confirm that the Cosmolex entry is accurate in all respects; 
 +  - download a requisition to draw on trust funds for the transaction from Cosmolex;
 +  - verify that the requisition is correct in all respects;
 +  - convert the requisition to PDF;
 +  - sign the PDF as the person who prepared the transaction;
 +  - obtain the lawyer's signature on the requisition; 
 +  - prepare the instrument required for the transaction (bank transfer, wire transfer, check, etc.); 
 +  - scan any paper instruments to PDF;
 +  - complete the transaction;
 +  - note the electronic transfer or check details on the requisition and append PDF images or wire confirmation as necessary;
 +  - combine the signed requisition with the PDF images or wire confirmation or, if applicable, with a copy of the invoice being paid from trust; and
 +  - file the combined requisition in Paperless.
  
 +These steps ensure that all withdrawals of trust funds can be tracked and accounted for as necessary.
  
 +If a situation arises in which a document other than an e-transfer confirmation, bank transfer confirmation, or wire transfer confirmation is relevant to the transaction, err on the side of caution: append the document to the requisition and file in Paperless.
  
 ===== Monthly reconciliations ===== ===== Monthly reconciliations =====
  
  

Page Tools