
Martina Šumavská | 27.2.2025
GT verdict: The “Musk letter” or When liberalisation jumps a legislative thresholdTaxes, accounting, law and more. All the key news for your business.
The Czech Bar Association has decided to increase the security of transactions carried out using attorney’s custody because there have been several very unpleasant cases of embezzlement by attorneys.
Specific ways that could prevent or at least make it more difficult for dishonest attorneys to embezzle are not yet firmly established.
In the area of monitoring and control, measures could be taken to break the bank secrecy of the escrow accounts towards the Czech Bar Association so that the Control Board could obtain information on balances, movements or other relevant information. In the area of prevention, considerations are directed towards limiting the rights of disposal of the amounts in the account, where the lawyer will be allowed to pay out funds only to predetermined accounts.
Limiting the right of disposal would clearly lead to an increase in the security of attorney’s custody. Therefore, we can only wait to see whether and in what form a proposal will emerge that would be submitted for adoption in the legislative process in Parliament.
Martina Šumavská | 27.2.2025
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