(1) Solicitor to pay interest on monies held as stakeholder
Where an Advocate and Solicitor holds money as a stakeholder (whether or not such money is paid by a client of the Advocate and Solicitor) the Advocate and Solicitor shall pay interest in accordance with the Solicitors’ Accounts (Deposit Interest) Rules 1990, to the person to whom the stake money is paid unless otherwise agreed.
(2) Fee for acting as stakeholder
A Solicitor is entitled to charge a fair and reasonable fee for acting as a stakeholder.
(3) Terms of stakeholding to be strictly adhered to
A Solicitor acting as stakeholder for 2 or more parties must strictly adhere to the terms of the stakeholding at all times. No money or document held by a Solicitor as stakeholder shall be released, utilised, applied or otherwise dealt with by such Solicitor except in accordance with the terms of the stakeholding or with the express written consent of all relevant parties. For example, a Solicitor holding the final 5% of the purchase price under a sale and purchase agreement prescribed by the Housing Development (Control and Licensing) Regulations 1989 must not (for whatever reason) release the same before the expiry of the stakeholding period(s) and/or in contravention of Schedule G Agreement or Schedule H Agreement as the case may be.
(Updated as at 8 June 2015)