Trust Fund Interest for Purposes Approved by the Supreme Court

Plain English Breakdown

The bill summary does not provide specific details on the exact uses of funds beyond free legal services, leaving some uncertainty in this area.

Using Trust Fund Interest for Court-Approved Purposes

This bill allows financial institutions to hold trust funds in interest-bearing accounts and requires the interest earned to be used for specific purposes approved by the Supreme Court, such as providing free legal services to low-income individuals.

What This Bill Does

• Allows banks to keep money from lawyers or law firms in special savings accounts that earn interest.
• Requires the interest earned on these accounts to go to an entity set up by the Supreme Court for specific uses, including providing free legal services to low-income individuals.
• Specifies that the bank must pay interest at a rate based on the Wall Street Journal prime rate minus 300 basis points, with a floor of 0.25 percent and a ceiling of 1.5 percent.

Who It Names or Affects

• Lawyers and law firms who have trust accounts in banks.
• Financial institutions that hold these special trust accounts.
• Low-income individuals who may receive free legal services funded by the interest earned.

Terms To Know

Trust account

A bank account where money is kept for a specific purpose, like holding funds until they are needed or used for a particular reason.

Interest-bearing account

An account that earns interest over time as the balance grows.

Limits and Unknowns

• The bill does not specify all possible uses of the funds beyond free legal services.
• It is unclear how much money will be available for these purposes each year.

Official Summary Text

Trust Fund Interest for Purposes Approved by the Supreme Court; Authorizing financial institutions to hold funds in specified trust accounts used for specified purposes expressly authorized by Supreme Court rule; requiring certain entities to use interest and dividends for specified purposes; requiring certain financial institutions to pay specified interest or dividends, etc.

Current Bill Text

Florida Senate
-
2026

SB 1000

By
Senator Grall

29-01212D-26 20261000__
1 A bill to be entitled
2 An act relating to trust fund interest for purposes
3 approved by the Supreme Court; creating s. 655.98,
4 F.S.; authorizing financial institutions to hold funds
5 in specified trust accounts used for specified
6 purposes expressly authorized by Supreme Court rule;
7 requiring certain entities to use interest and
8 dividends for specified purposes; requiring certain
9 financial institutions to pay specified interest or
10 dividends; providing an effective date.
11
12 Be It Enacted by the Legislature of the State of Florida:
13
14 Section 1. Section 655.98, Florida Statutes, is created to
15 read:
16
655.9
8

Lawyer or law firm trust account interest rates
.—
A

17
financial institution may hold funds in an interest-bearing

18
trust
account of a lawyer or law firm in which the institution

19
remits interest or dividends on the balance of the deposited

20
funds to an entity established by the Supreme Court
.
Such entity

21
shall
use
the
interest or dividends to provide or facilitate the

22
provision of free legal services to low-income
individuals
or

23
for such other purposes as may be expressly authorized by rule

24
of the Supreme Court
. If the
financial
institution
holds such an

25
account, it must
p
ay, net
of
all fees and charges assessed by

26
the financial institution,
interest or dividends at t
he Wall

27
Street Journal
p
rime
r
ate in effect on the
first
business day of

28
each month
,
less 300 basis points
,
with a floor of 0.25
percent

29
and a ceiling of 1.5
percent
.

30 Section 2. This act shall take effect July 1, 2026.