Marathon Records™ is your complete IOLTA resource. We provide IOLTA One™, the only application designed specifically to address the rules-compliant IOLTA record keeping needs of attorneys and title insurers. Our online bookkeeping application is your bridge to maintaining accurate records of each of your client's funds, and can be accessed and updated securely from any computer or device. We also provide a suite of consulting and audit services, and a robust library of IOLTA resources.

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Employee theft and IOLTA accounts

By terry@marathon-records.com

Employee theft from an IOLTA account is a major problem for a few different reasons. First, the lawyer is a fiduciary responsible for the safekeeping of the client funds held in an IOLTA ac-count. Second, the lawyer may be subject to discipline for failing to safeguard client funds and / or failing to properly supervise subordinate employees. Third, the lawyer will be responsible for making the client whole. Employee theft may, depending on the circumstances, be covered by malpractice insurance but if it isn’t the lawyer will need to reimburse the clients whose funds have been stolen by the employee. READ MORE...

Interest on Lawyer's Trust Account

The interest generated in an IOLTA account is transferred to the state IOLTA committee. Even though the interest is put in by the bank and transferred these transactions need to be recorded in the main register in order to produce an accurate reconciliation report. The practical problem with interest is that banks typically credit the interest on the last business day of a statement period then transfer the interest to the IOLTA committee the first business day of the next statement period. Most banks do this monthly although some do it quarterly. Since this money is in the account on the last day of a statement period it needs to be accounted for in order to produce an accurate reconciliation report. This application allows the lawyer to track interest in the IOLTA account by assigning a separate client identifier. Once a client identifier is assigned the lawyer simply needs to enter the amount of interest credited (and then debited) by the bank into the check register. By assigning a separate client identifier in the check register, the sort function will allow users to account for the interest and produce an accurate reconciliation report.