Four Corners Community Savings no longer eligible for trust fund deposits
The BC Community Financial Services Corporation, doing business as Four Corners Community Savings in Vancouver, is no longer eligible for the deposit of lawyers' trust funds under the Law Society Rules.
Rule 3-51(4), as previously drafted, described the types of institutions into which lawyers could deposit trust funds, and these included an institution "guaranteed under the Community Financial Services Act RSBC 1996, c. 61, s. 19."
This reference was removed from the trust accounting rules on December 12, 2003. The Benchers adopted this rule change on recommendation of the Trust Assurance Reform Task Force.
Accordingly Four Corners Community Savings, which is structured and guaranteed under the Community Financial Services Act, is no longer eligible for the deposit of lawyers' trust funds. The provincial government has also recently announced that Four Corners Community Savings will cease operations as of February 27, 2004 on the basis that the institution has incurred unsustainable operating losses.
Any lawyer who holds trust funds with Four Corners Community Savings must immediately transfer the funds into a designated savings institution unless his or her client has instructed otherwise in writing: see Rules 3-49 and 3-50 as revised.