PROPOSED ADDITION TO RULE 1.15, SCRPC, SAFEKEEPING CLIENT
PROPERTY, RULE 407, SCACR.

(d) A lawyer shall not make disbursement of funds from an account containing the funds of more than one client or third person unless the funds are collected funds; provided, however, a lawyer may treat as equivalent to collected funds

(1)   Cash, electronic funds transfers, other deposits treated by the depositary bank as equivalent to cash, government checks, certified checks, cashiers’ checks,  or other checks drawn by a bank, and insurance company checks;

(2)   any instrument payable at or through a bank, if (i) the amount of such instrument does not exceed $5,000 and (ii) the lawyer has reasonable and prudent belief that the deposit of the instrument will be collected promptly.

As to such deposits described in (1) and (2), the disbursement is at the lawyer’s own risk and, if collection does not occur, the lawyer shall, as soon as practical but in no event more than five working days after notice of noncollection, deposit replacement funds in the account.