Chapter 27 NCAC 01D

NC-NCAC-27 NCAC 01D .0800 27 NCAC 01D .0800 Section .0800 - Reserved

SECTION .0900 – PROCEDURES FOR THE ADMINISTRATIVE COMMITTEE 27 NCAC 01D .0901 Transfer to Inactive Status (a) Petition for Transfer from Active to Inactive Status Any active member who desires to be transferred to inactive status shall file a petition with the secretary addressed…

27 NCAC 01D .0902 Reinstatement from Inactive Status (a) Eligibility to Apply for Reinstatement Any member who has been transferred to inactive status may petition the council for an order reinstating the member as an active member of the North Carolina State Bar. (b) Definition …

27 NCAC 01D .0903 Suspension for Failure to Fulfill Obligations of Membership (a) Procedure for Enforcement of Obligations of Membership. Whenever a member of the North Carolina State Bar fails to fulfill an obligation of membership in the State Bar, whether established by the ad…

27 NCAC 01D .0904 Reinstatement from Suspension (a) Compliance Within 30 Days of Service of Suspension Order. A member who receives an order of suspension for failure to comply with an obligation of membership may preclude the order from becoming effective and shall not be requir…

27 NCAC 01D .0905 Pro Bono Practice by Out of State Lawyers (a) A lawyer licensed to practice in another state but not North Carolina who desires to provide legal services free of charge to indigent persons may file a petition with the secretary addressed to the council setting f…

Section .1000 - Rules Governing Reinstatement Hearings Before the Administrative Committee 27 NCAC 01D .1001 Reinstatement Hearings (a) Notice: Time and Place of Hearing: (1) Time and Place of Hearing. The chairperson of the Administrative Committee shall fix the time and place o…

27 NCAC 01D .1002 REVIEW AND ORDER OF COUNCIL (a) Review by Council of Recommendation of Hearing Panel. (1) Record to Council: (A) Compilation of Record. The member will compile a record of the proceedings before the hearing panel, including a legible copy of the complete transcr…

27 NCAC 01D .1003 REFERRAL FROM THE BOARD When the board refers a matter to the council for determination after a hearing by the committee, the board shall transmit to the committee: (1) a notice of referral from the board to the committee, clearly identifying the member whose li…

27 NCAC 01D .1004 TIME OF HEARING A matter referred to the committee for hearing shall be heard not less than 30 days and not more than 90 days after the date the notice of referral is received from the board by the committee. History Note: Authority G.S. 84-23; Order of the NC S…

27 NCAC 01D .1005 NOTICE OF HEARING (a) Time of Notice to Member - A member with respect to whom a matter has been referred for hearing shall receive notice of the hearing at least 20 days prior to the hearing. (b) Service of Notice on Member - The notice of hearing shall be serv…

27 NCAC 01D .1006 THE HEARING (a) Nature of Inquiry: Suspension - When the matter being heard involves the question of whether a member's license shall be suspended for noncompliance, the purpose of the hearing shall be to determine, as a matter of fact: (1) whether the member wa…

27 NCAC 01D .1007 THE PANEL (a) Assignment of Matter to Panel - A matter referred by the board for hearing and determination shall be assigned to a panel for hearing. (b) Members of the Panel - A hearing panel shall consist of three members of the committee. (c) Designation of Me…

27 NCAC 01D .1008 SUSPENSION HEARING: PROCESS FOR DETERMINING A MATTER INVOLVING THE QUESTION OF SUSPENSION When the matter before the panel is one involving the question of whether a member shall be suspended for failing to comply with the requirements of the rules, the panel sh…

27 NCAC 01D .1009 REINSTATEMENT HEARING: PROCESS FOR DETERMINING A MATTER INVOLVING THE QUESTION OF REINSTATEMENT When the matter before the panel is one involving the question of whether a suspended member shall be reinstated following a suspension for noncompliance with the rul…

27 NCAC 01D .1010 REPORT BY THE PANEL TO THE COMMITTEE (a) Report by the Panel - At the first meeting of the committee following a panel's hearing a matter, the panel shall report to the committee its determinations and recommendations. (b) When Report Recommends Reinstatement or…

27 NCAC 01D .1011 REPORT BY THE COMMITTEE TO THE COUNCIL At the first meeting of the council following the committee's receiving the report of a panel on a matter, the committee shall report to the council for final action the committee's recommendation in the matter. History Not…

SECTION .1100 - RESERVED FOR FUTURE CODIFICATION

SECTION .1200 - RESERVED FOR FUTURE CODIFICATION

section .1300 - RULES GOVERNING THE ADMINISTRATION OF THE PLAN FOR INTEREST ON LAWYERS' TRUST ACCOUNTS (IOLTA) 27 NCAC 01D .1301 Purpose (a) The IOLTA Board of Trustees (board) shall carry out the provisions of the Plan for Interest on Lawyers' Trust Accounts and administer the I…

27 NCAC 01D .1302 Jurisdiction: Authority The Board of Trustees of the North Carolina State Bar Plan for Interest on Lawyers' Trust Accounts (IOLTA) is created as a standing committee by the North Carolina State Bar Council pursuant to Chapter 84 of the North Carolina General Sta…

27 NCAC 01D .1303 OPERATIONAL RESPONSIBILITY The responsibility for operating the program of the board rests with the governing body of the board, subject to the statutes governing the practice of law, the authority of the council and the rules of governance of the board. History…

27 NCAC 01D .1304 SIZE OF BOARD The board shall have nine members, at least six of whom must be attorneys in good standing and authorized to practice law in the state of North Carolina. History Note: Authority G.S. 84-23; Readopted Eff. December 8, 1994.

27 NCAC 01D .1305 LAY PARTICIPATION The board may have no more than three members who are not licensed attorneys. History Note: Authority G.S. 84-23; Readopted Eff. December 8, 1994.

27 NCAC 01D .1306 APPOINTMENT OF MEMBERS; WHEN; REMOVAL The members of the board shall be appointed by the Council of the North Carolina State Bar. The council will make appointments for upcoming vacancies occurring at the end of a member's term prior to the term ending on August…

27 NCAC 01D .1307 TERM OF OFFICE Each member who is appointed to the board shall serve for a term of three years beginning on September 1. History Note: Authority G.S. 84-23; Readopted Eff. December 8, 1994.

27 NCAC 01D .1308 STAGGERED TERMS It is intended that members of the board shall be elected to staggered terms such that three members are appointed in each year. History Note: Authority G.S. 84-23; Readopted Eff. December 8, 1994.

27 NCAC 01D .1309 SUCCESSION Each member of the board shall be entitled to serve for two full three-year terms. No member shall serve more than two consecutive three-year terms, in addition to service prior to the beginning of a full three-year term, without having been off the b…

27 NCAC 01D .1310 APPOINTMENT OF CHAIRPERSON The chairperson of the board shall be appointed from time to time as necessary by the council. The term of such individual as chairperson shall be for one year. The chairperson may be reappointed thereafter during his or her tenure on …

27 NCAC 01D .1311 APPOINTMENT OF VICE-CHAIRPERSON The vice chairperson of the board shall be appointed from time to time as necessary by the council. The term of such individual as vice chairperson shall be one year. The vice-chairperson may be reappointed thereafter during tenur…

27 NCAC 01D .1312 Source of Funds Funding for the program carried out by the board shall come from funds remitted from depository institutions by reason of interest earned on trust accounts established by lawyers pursuant to Rule 1.15 of the Rules of Professional Conduct and Rule…

27 NCAC 01D .1313 Fiscal Responsibility All funds of the board shall be considered funds of the North Carolina State Bar, with the beneficial interest in those funds being vested in the board for grants to qualified applicants in the public interest, less administrative costs. Th…

27 NCAC 01D .1314 MEETINGS The board by resolution may set regular meeting dates and places. Special meetings of the board may be called at any time upon notice given by the chairperson, the vice-chairperson or any two members of the board. Notice of the meeting shall be given to…

27 NCAC 01D .1315 ANNUAL REPORT The board shall prepare at least annually a report of its activities and shall present same to the council one month prior to its annual meeting. History Note: Authority G.S. 84-23; Readopted Eff. December 8, 1994.

27 NCAC 01D .1316 IOLTA ACCOUNTS (a) IOLTA Account Defined. Pursuant to order of the North Carolina Supreme Court, every general trust account, as defined in the Rules of Professional Conduct, must be an interest or dividend-bearing account. (As used herein, "interest" shall refe…

27 NCAC 01D .1317 Comparability Requirements for IOLTA Accounts (a) Comparability of Interest Rate. Eligible Banks that offer and maintain IOLTA Accounts must pay to an IOLTA Account the highest interest rate generally available from the bank to non-IOLTA Accounts (Comparable Rat…

27 NCAC 01D .1318 Confidentiality (a) As used in this rule, "confidential information" means all information regarding IOLTA account(s) other than (1) a lawyer's/law firm's or settlement agent's status as a participant, former participant, or non-participant in NC IOLTA, and (2) …

27 NCAC 01D .1319 Certification Every lawyer admitted to practice in North Carolina shall certify annually on or before June 30 to the North Carolina State Bar that all general trust accounts maintained by the lawyer or his or her law firm are established and maintained as IOLTA …

27 NCAC 01D .1320 Noncompliance Every lawyer must comply with all of the administrative requirements of this Rule, including the certification required in Rule .1319 of this Subchapter. A lawyer's failure to comply with the mandatory provisions of this Subchapter shall be reporte…

27 NCAC 01D .1321 Severability If any provision of this plan or the application thereof is held invalid, the invalidity does not affect other provisions or application of the plan which can be given effect without the invalid provision or application, and to this end the provisio…

SECTION .1400 - RULES GOVERNING THE ADMINISTRATION OF THE CLIENT SECURITY FUND OF THE NORTH CAROLINA STATE BAR 27 NCAC 01D .1401 PURPOSE; DEFINITIONS (a) The Client Security Fund of the North Carolina State Bar was established by the Supreme Court of North Carolina pursuant to an…

27 NCAC 01D .1402 JURISDICTION: AUTHORITY (a) G.S. 84 vests in the State Bar authority to control the discipline, disbarment, and restoration of licenses of attorneys; to formulate and adopt rules of professional ethics and conduct; and to do all such things necessary in the furt…

27 NCAC 01D .1403 OPERATIONAL RESPONSIBILITY The responsibility for operating the Fund and the program of the board rests with the board, subject to the Supreme Court orders, the statutes governing the practice of law, the authority of the council, and the rules of the board. His…

27 NCAC 01D .1404 SIZE OF BOARD The board shall have five members, four of whom must be attorneys in good standing and authorized to practice law in the state of North Carolina. History Note: Authority Orders of the NC Supreme Court, August 29, 1984, October 10, 1984; Readopted E…

27 NCAC 01D .1405 LAY PARTICIPATION The board shall have one member who is not a licensed attorney. History Note: Authority Orders of the NC Supreme Court, August 29, 1984, October 10, 1984; Readopted Eff. December 8, 1994.

27 NCAC 01D .1406 APPOINTMENT OF MEMBERS; WHEN; REMOVAL The members of the board shall be appointed by the council. Any member of the board may be removed at any time by the affirmative vote of a majority of the members of the council at a regularly called meeting. Vacancies occu…

27 NCAC 01D .1407 TERM OF OFFICE Each member who is appointed to the board, other than a member appointed to fill a vacancy created by the death, disability, removal or resignation of a member, shall serve for a term of five years beginning as of the first day of the month follow…

27 NCAC 01D .1408 STAGGERED TERMS It is intended that members of the board shall be elected to staggered terms such that one member is appointed in each year. History Note: Authority Orders of the NC Supreme Court, August 29, 1984, October 10, 1984; Readopted Eff. December 8, 199…

27 NCAC 01D .1409 SUCCESSION Each member of the board shall be entitled to serve for one full five-year term. A member appointed to fill a vacated term may be appointed to serve one full five-year term immediately following the expiration of the vacated term but shall not be enti…

27 NCAC 01D .1410 APPOINTMENT OF CHAIRPERSON The chairperson of the board shall be appointed from the members of the board annually by the council. The term of the chairperson shall be one year. The chairperson may be reappointed by the council thereafter during tenure on the boa…