![]() The notice must include: the IOTA account number as assigned by the eligible institution the name of the lawyer or law firm on the IOTA account the eligible institution name the eligible institution address and the name and Florida Bar number of the lawyer, or of each member of The Florida Bar in a law firm,practicing from an office or other business location within the state of Florida that has established the IOTA account. Such notice shall include: the IOTA account number as assigned by the eligible institution the name of the lawyer or law firm on the IOTA account the eligible institution name the eligible institution address and the name and Florida Bar attorney number of the lawyer, or of each member of The Florida Bar in a law firm, practicing from an office or other business location within the state of Florida that has established the IOTA account. Lawyers or law firms shall advise the Foundation, at Post Office Box 1553, Orlando, Florida 32802-1553, of the establishment of an IOTA account for funds covered by this rule. The notice must include: the IOTA account number as assigned by the eligible institution the name of the lawyer or law firm on the IOTA account the eligible institution name the eligible institution address and the name and Florida Bar number of the lawyer, or of each member of The Florida Bar in a law firm, practicing from an office or other business location within the state of Florida that has established the IOTA account. Lawyers or law firms must advise the foundation, at its current location posted on The Florida Bar’s website, of the establishment of an IOTA account for funds covered by this rule. Only trust funds that are nominal or short term shall be deposited into an IOTA account. ![]() Only trust funds that are nominal or short term must be deposited into an IOTA account. The Lawyers Trust Fund encourages lawyers with questions about FDIC coverage to access an FDIC insurance booklet that briefly covers IOLTA and Fiduciary accounts here. This means that if a client also banks with the institution where the lawyer has their IOLTA account, the other funds the client has on deposit at the institution will be counted toward the coverage limit along with the amount of the client’s funds in the IOLTA account. Second, the coverage limit of $250,000 applies to the amount of funds the client has at the same financial institution. In the IOLTA context, it must be clear from the bank’s account records that the account is an IOLTA account, and each client’s ownership of relevant deposits must be clear from a record maintained by the attorney or bank. However, to qualify for coverage it is critically important that the fiduciary nature of the account is disclosed in the bank’s account records, and that the name and ownership of the deposited funds can be ascertained from the account records maintained by the bank or the attorney. ![]() If the account and deposits are properly documented, each client’s deposit should be insured up to the FDIC limit of $250,000. The Federal Deposit Insurance Corporation provides “pass-through” insurance coverage on deposits in fiduciary accounts, including IOLTA accounts. Are the client funds in IOLTA accounts covered by FDIC insurance? The short answer is that these funds likely are covered, subject to some important conditions.
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