FAQs
To be an eligible claimant, a person must prove the existence of an attorney-client relationship with a Minnesota lawyer in Minnesota (or a fiduciary relationship such as trustee arising from an attorney-client relationship), and the loss of money or property by the dishonesty of the lawyer, such as theft. Review the rules for complete requirements.
The Fund considers paying clients for the actual loss of money or property resulting from the dishonest conduct by their lawyer. The Fund may cover most situations in which lawyers have stolen clients’ money or other property entrusted to them. The attorney in question must be a Minnesota lawyer, the matter must be in Minnesota, and the lawyer must have served the client as an attorney, in a fiduciary capacity (as administrator, executor, trustee of an express trust, guardian, or conservator arising from an attorney-client relationship), or as an escrow agent arising from an attorney-client relationship. The maximum amount the Board may pay on a claim is $150,000. Payment by the Board is a matter of grace, not of right.
Claims involving professional negligence or malpractice, fee disputes, consequential damages, and unfortunate or ill-advised investments placed through attorneys are not eligible. The Fund does not typically pay interest on claims. The Board does not have the authority to discipline attorneys for misconduct, to resolve fee disputes, or to determine legal malpractice claims. Such matters should be reported to the Office of Lawyers Professional Responsibility or may be the subject of civil lawsuits against the lawyer.
There is a limit of $150,000 per claim.
Claims must be filed within five (5) years of the date a claimant knew or should have known of the attorney’s dishonest conduct.
Claims can be submitted online or by mail or by email. If you wish to file your claim online, please go to File A Claim. Please be sure to upload your supporting documents when you submit your claim. If you wish to submit your claim by mail or email, you must print and complete the claim form and mail it to: Minnesota Client Security Board, Minnesota Judicial Center, Suite 105 25 Rev. Dr. Martin Luther King Jr. Blvd St. Paul, MN 55155, Telephone: (651) 296-3952, or email it to: CSBgeneral@courts.state.mn.us. Please include your supporting documents with the claim form if you opt to submit your claim via mail or email. Do not submit original documents. You may be asked to complete additional documents, such as a subrogation agreement, if your claim is approved.
A claimant is not required to be represented by a lawyer to file a claim. Lawyers who assist a claimant to file a claim are encouraged to do so pro bono (for free).
You must establish that the money or property you are seeking to have reimbursed actually came into the hands of the attorney and that the attorney acted dishonestly by keeping the money or property. You will need to be as detailed as possible in describing what you believe the attorney did that was dishonest and provide copies of documents that you believe support your claim. Examples of helpful documents include, but are not limited to, proof of payment/property transfer to the lawyer, retainer agreements, letters, settlement documents, billing statements, and court documents. Examples of proof of payment/property transfer to the lawyer include, but are not limited to, canceled checks, bank statements, receipts, electronic transfer information, deposit slips, credit card statements, loan documents, trust documents, and escrow documents. These are not complete lists and if you have other documents that you believe support your claim, you should send them in as well. Please do not send originals.
No, there is no charge to make a claim with the Fund.
After you file your claim, you will receive a letter acknowledging receipt of the claim. The lawyer will receive a copy of the claim and be asked to respond. Claims are then investigated, and a written report will be submitted to the Board. The Board determines the merit of all claims and the amount of any reimbursement. You will be notified in writing of the Board’s determination. All files and information of the Board, with limited exceptions, are confidential.
The Board meets to consider claims four times a year. The length of time it takes to investigate and analyze a claim varies. Typically, the Board will wait until any pending disciplinary complaint against the attorney has been resolved before proceeding with the investigation and recommendation of the claim, but you must still file your claim within the five (5) year time limit. It is important that claimants keep the Board informed as to their current mailing address and telephone number.
If your claim is denied or reduced by the Board, you may request reconsideration of the determination within 30 days by submitting a written request to the Board. No other appeals are available. Decisions of the Board after reconsideration are final.
The Minnesota Client Security Fund was established by the Minnesota Supreme Court to reimburse clients for the loss of money or other property as a result of the dishonest conduct of their attorney. The Fund is a remedy of last resort for clients who cannot be repaid from other sources, such as from insurance or from the attorney involved or from others who may have caused or contributed to the loss. Claimants are expected to make reasonable efforts to collect from these other sources as well.
The Minnesota Supreme Court established the Fund in 1987 to compensate victims of lawyer theft. Since that time, the Fund has compensated hundreds of victims and reimbursed more than $8 million in losses. The legal profession depends upon the trust of clients. When attorneys betray that trust by taking client funds, it is important that the legal profession steps forward to fairly compensate clients who have been victimized by attorney theft.
The Fund is financed by license fees paid by all active Minnesota lawyers. None of the money in the Fund comes from clients’ fees and no tax dollars are used. The Fund demonstrates the genuine desire of the Minnesota legal profession to compensate clients for the dishonest actions of a few of its members.
The Fund is administered by a Board appointed by the Minnesota Supreme Court. The Board has five lawyer members and two non-lawyer public members. All serve without compensation as a public service. The Office of Lawyers Professional Responsibility provides staff services for the Board.
Yes, the Minnesota Supreme Court has adopted written rules for the Client Security Board. The Board follows these rules in its procedures and decisions. The Board is allowed discretion in deciding what claims to pay and deny, and the amount of payment. The Rules of the Minnesota Client Security Board (RMCSB) may be viewed here.