AFSCME 3357-HOF'S BLOG

Lawyer Escrow theft Rampant in New York

Johnny Carson had a joke: "It was so cold in Burbank today . . . [How cold was it?] I saw a lawyer with his hands in his OWN pockets.

Here's a New York Times article (free registration required) about a real estate lawyer who allegedly stole $3.6 million from client's escrow accounts. Amazingly the routine practice for closings is to require a 10% down payment that lawyers put in their escrow accounts. I don't see any good purpose for this practice, and I doubt if it is very common elsewhere.



The New York Times > Real Estate > When Lawyers Steal the Escrow