Bar Rules

RULE 15-201. MANAGEMENT AND DISBURSEMENT OF IOLTA FUNDS; INTERNAL PROCEDURES OF FOUNDATION.

State Bar Programs / Part XV - Georgia Bar Foundation / CHAPTER 2 - INTERNAL RULES / RULE 15-201. MANAGEMENT AND DISBURSEMENT OF IOLTA FUNDS; INTERNAL PROCEDURES OF FOUNDATION.

     (a)  Mandatory Grants.  The Georgia Bar Foundation, Inc. (the “Foundation”), which is the charitable arm of the Supreme Court of Georgia, is the named recipient of IOLTA funds. The Foundation shall pay to the Georgia Civil Justice Foundation (“GCJF”) a grant of ten percent (10%) of all IOLTA revenues received, less administrative costs, during the immediately preceding calendar quarter. GCJF must maintain its tax-exempt charitable/educational status under Sections 115 and 170(c)(1) or under Section 501(c)(3) of the Internal Revenue Code, and the purposes and activities of the organization must remain consistent with the exempt purposes of the Foundation. If GCJF is determined either by the Internal Revenue Service or by the Georgia Department of Revenue to be a taxable entity at any time, or its purposes and activities become inconsistent with the exempt purposes of the Foundation, then the Foundation shall retain all IOLTA funds which would have been granted to GCJF.

     (b)   Reporting by Organizations. As a condition to continued receipt of IOLTA funds, the Foundation and GCJF shall each present a report of its activities including an audit of its finances to the Supreme Court of Georgia annually. GCJF shall also send to the Foundation a copy of its annual report and audit.

     (c)   Discretionary Grants. The Foundation shall develop procedures for regularly soliciting, evaluating, and funding grant applications from worthy law- related organizations that seek to provide civil legal assistance to needful Georgians, to improve the working and the efficiency of the judicial system, to provide legal education to Georgia’s children, to provide assistance to children who are involved with the legal system, to provide educational programs for adults intended to promote a better understanding of our democratic system of government, or to foster professionalism in the practice of law.

     (d)  IOLTA Account Confidentiality. The Foundation will protect the confidentiality of information regarding a lawyer’s or law firm’s trust account obtained in the course of managing IOLTA operations.

     (e)   Report to the Office of the General Counsel. The Foundation will provide the Office of the General Counsel with a list of approved financial institutions which have agreed to abide by the requirements of this Part XV of the Rules of the State Bar of Georgia. Such list will be updated with such additions and deletions as necessary to maintain its accuracy.



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