Classify money received and the account it must be paid into
Key facts
- Human involvement
- YellowClose supervision
- How AI is used
- From the receipt record, list whether the money was cash, whether there is a written direction and who signed it, and whether the file describes the money as controlled money, transit money, or money held under a power. Name the account the practice proposes to use. Do not decide which account the law requires.
- What the lawyer must review
- The lawyer decides the account. Section 137 requires trust money other than cash to be deposited in the general trust account as soon as practicable, unless there is a written direction by a person legally entitled to provide it to deal with the money otherwise, or the money is controlled money or transit money, or it is the subject of a power given to the practice or an associate to deal with the money for another person. The civil penalty is 100 penalty units. Section 143 requires cash trust money, other than controlled money, to be deposited in the general trust account as soon as practicable even where there is a written direction to deal with it another way. Once deposited, it may be dealt with under that direction. Controlled money received as cash must be deposited in a controlled money account and dealt with under the Uniform Rules. Each of those duties carries a civil penalty of 50 penalty units. Rule 34 defines written direction money as trust money the practice has a written direction to deal with otherwise than by deposit in a general trust account, and that is not controlled money. The text opened is the New South Wales consolidation. The lawyer confirms it is the text in force for the practice. How transit money is banked, beyond the section 137 exception, was not opened.
- Written for / version
- US
Open a jurisdiction version of this task to see which instruments apply: US
Who does what
| Role | What they do |
|---|---|
| Assistance | From the receipt record, list whether the money was cash, whether there is a written direction and who signed it, and whether the file describes the money as controlled money, transit money, or money held under a power. Name the account the practice proposes to use. Do not decide which account the law requires. |
| Lawyer | Set the scope, supervise the work closely, verify every part relied on, resolve omissions and exceptions, and approve the exact output. |
Checklist
- Compare the receipt to the bank trace, not to the narration typed later.
- Do not treat a written direction as an answer for cash. Section 143 still requires the general trust account first.
- Leave transit money and powers for the lawyer. The section 137 words were opened. The banking mechanics were not.
Sources
- Legal Profession Uniform Law (NSW) s 137, deposit of trust money other than cash · 2026-10-22
- Legal Profession Uniform Law (NSW) s 143, trust money received as cash · 2026-10-22
- Legal Profession Uniform General Rules 2015 r 34, written direction money · 2026-10-22
These are suggested working checks. Confirm the required checking with the responsible lawyer before work starts; the checking approach does not establish permission to use AI.