Opinion 1580

Subject: Lawyer wishes to distribute funds to client where previously advised third parties would retain funds until dispute resolved

The Committee reviewed your inquiry regarding return of trust account funds to a former client in a situation where you had previously advised third parties that funds would be maintained in your trust account until the dispute between the parties is resolved.

The Committee was of the opinion that because of your prior representation to the third parties, you cannot now return the funds to your former client without notifying the other side and providing them an opportunity to make a proper objection. The Committee based this opinion on RPC 8.4(c), RPC 4.1, Formal Opinion 185. You may also want to see In Re Williams 314 Or. 530, 840 P.2d 1280 (1992).

Advisory Opinions are provided for the education of the Bar and reflect the opinion of the Committee on Professional Ethics (CPE) or its predecessors. Advisory Opinions are provided pursuant to the authorization granted by the Board of Governors, but are not individually approved by the Board and do not reflect the official position of the Bar association. Laws other than the Washington State Rules of Professional Conduct may apply to the inquiry. The Committee's answer does not include or opine about any other applicable law other than the meaning of the Rules of Professional Conduct.