Nevada lawyers believe that the public has a right to hold the legal profession accountable for the actions of its individual members and on the rare occasions when a lawyer steals from a client, the Clients’ Security Fund compensates victims when all other forms of recovery have been exhausted. The Fund is primarily supported through an annual assessment of the active lawyers licensed to practice in Nevada.
The Clients’ Security Fund is administered by a volunteer committee that reviews claims for reimbursement made to the Fund. The Committee meets twice annually to evaluate claims and determine whether restitution can be made.
Who is eligible to receive funds?
Funds may be filed by a client who has lost money or property because of the dishonest conduct or mishandling of funds by a Nevada lawyer, provided that:
- The dishonest act occurred during the course of an attorney-client relationship;
- The attorney is no longer practicing due to death, mental incompetence, suspension or revocation of license, or whether the attorney disappeared;
- The attorney mishandled or stole your money and the loss was not due to malpractice or negligence; and
- You have made a reasonable attempt to recover the money from your lawyer within a reasonable amount of time.
Losses resulting from situations in which the attorney and client have entered into a personal business relationship outside the attorney-client relationship are not reimbursable from the Fund. Such matters may be reported to the State Bar of Nevada for disciplinary action or may be the subject of malpractice suits.
All reimbursements from the Fund are a matter of grace, in the sole discretion of the Clients’ Security Fund Committee, and not a matter of right.