(a) Authorization and Application. Except as limited in this rule, persons or entities providing legal services may employ certain lawyers or former lawyers to perform those services that may ethically be performed by nonlawyers employed by authorized business entities. For purposes of this rule:(1) these lawyers and former lawyers are referred to as "individual(s) subject to this rule"(2) "individuals subject to this rule" includes lawyers who are on the inactive list due to incapacity or who are suspended or have been disbarred by a court or other authorized disciplinary agency of this or another jurisdiction;(3) the term "disbarred" includes disciplinary resignation and revocation, permanent retirement in lieu of discipline, or their substantial equivalents; and(4) An individual subject to this rule is considered employed by an entity providing legal services if the individual is a salaried or hourly employee, volunteer worker, or an independent contractor, or is engaged to provide services to the client arising from or related to the client's legal representation at the recommendation of the entity or any of its members or employees.(b) Employment by Former Subordinates Prohibited. An individual subject to this rule may not be employed or supervised by a lawyer whom the individual subject to this rule employed or supervised before the date of the suspension, disbarment, disciplinary resignation, or disciplinary revocation order.(c) Notice of Employment Required. The lawyer or entity employing any individual who will be subject to this rule must provide The Florida Bar with a notice of employment and a detailed description of the intended services to be provided by the individual subject to this rule before employment starts.(d) Prohibited Conduct.(1)Client Contact. Individuals subject to this rule must not have contact (including engaging in communication in any manner) with any client.(2)Trust Funds or Property. Individuals subject to this rule must not receive, disburse, or otherwise handle trust funds or property as defined in chapter 5 of these rules. Individuals subject to this rule must not act as fiduciaries for any funds or property of their clients or former clients, their employers' clients or former clients, or the clients or former clients of any entity in which an employer is a beneficial owner.(3)Practice of Law. Individuals subject to this rule must not engage in conduct that constitutes the practice of law and must not hold themselves out as being eligible to do so.(e) Quarterly Reports by Individual and Employer Required. The individual subject to this rule and employer must submit sworn information reports to The Florida Bar. These reports must be filed quarterly, based on the calendar year, and include statements that no aspect of the work of the individual subject to this rule has involved the unlicensed practice of law, that the individual subject to this rule has had no client contact, that the individual subject to this rule did not receive, disburse, or otherwise handle trust funds or property, and that the individual subject to this rule is not being supervised by a lawyer whom the individual subject to this rule supervised before the date of the suspension, disbarment, disciplinary resignation, or disciplinary revocation order.(f) Supervising Lawyer. An individual subject to this rule must be supervised by a member of The Florida Bar in good standing and eligible to practice law in Florida who is employed full-time by the entity that employs the individual subject to this rule and is actively engaged in the supervision of the individual subject to this rule in all aspects of the individual's employment.Amended March 16, 1990, effective 3/17/1990 558 So.2d 1008; 7/23/1992, effective 1/1/1993 605 So.2d 252; 9/24/1998, effective 10/1/1998 718 So.2d 1179; 5/20/2004 SC03-705, 875 So.2d 448, corrected opinion issued7/7/2004; 10/6/2005, effective Jan. 1 2006 SC05-206, 916 So.2d 655; 12/20/2007, effective 3/1/2008 SC06-736 978 So.2d 91; 11/19/2009, effective 2/1/2010, SC08-1890, 34 Fla.L.Weekly S628a. Amended April 12, 2012, effective 7/1/2012 SC10-1967; amended May 29, 2014, effective 6/1/2014 140 So.3d 541; amended May 28, 2020, effective 7/27/2020; amended March 3, 2022, effective 5/2/2022 SC20-1467; amended September 7, 2023, effective 11/6/2023 SC22-1293.Comment
Trust funds are defined in chapter 5 of these rules and include, but are not limited to, funds held in trust for clients or third parties in connection with legal representation in escrow, estate, probate, trustee, and guardianship accounts. The Supreme Court of Florida has held that lawyers acting as escrow agents have a fiduciary duty to protect the interests of all parties with an interest in the escrowed funds whether held in the lawyer's trust account or a separate escrow or fiduciary account. See Fla. Bar v. Marrero, 157 So. 3d 1020 (Fla. 2015); Fla. Bar v. Hines, 39 So. 3d 1196 (Fla. 2010). Individuals subject to this rule are prohibited from receiving, disbursing, or handling trust funds or property or acting as a fiduciary regarding funds or property of the current or former clients of these individuals, the entities employing them, or any other entity in which the employer is a beneficial owner.