Services
Paymaster & Escrow
Keeler Legal LLC offers Paymaster and Escrow services to both domestic and foreign clients. In certain large transactions involving real estate as well as in various commodities, parties desire an intermediary escrow agent to hold funds pending inspection of goods. For Keeler Legal LLC’s involvement all such transactions must be compliant with federal authorities including the U.S. Treasury Department and Homeland Security. We assist and work with such clients to ensure prompt payment of their fees within the guidelines of governmental authorities and regulations.
What is a Paymaster and what services does he/she provide?
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A Paymaster Attorney acts as a neutral third party to receive funds from any transaction between two separate individuals or businesses. The Paymaster maintains an escrow account and disburses funds to the seller per the sales agreement. The paymaster reconciles the escrow account and fills out any necessary IRS paperwork.
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Paperwork must include the following for all parties seeking to employ Keeler Legal LLC as their paymaster and escrow provider: a copy of valid driver’s license and/or passport; complete IRS form W-9 for U.S. citizens involved; completed IRS form W-8BEN for non-U.S. citizens, copy of all transactional documents, including payment agreement, etc.
Does a Paymaster have to be an attorney?
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Paymasters do not have to be attorneys. However, attorneys often serve in the role of a Paymaster because they are able to use Attorney’s Trust Accounts (also known as IOLTA accounts, which are used for short term escrow transactions). These are monitored by the state bar where the attorney is licensed and provide an additional measure of security for handling large sums of money.
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As a licensed attorney, the Paymaster is subject to heavy penalties and stands to be disbarred if any funds are misappropriated. And the Paymaster may not provide legal services for any of the Paymaster clients, since it is considered to be a conflict of interest.
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As Paymaster, Keeler Legal LLC is not a party to the transaction. Paymaster services facilitate the transfer of commodities and financial instruments without the inconvenience that can arise through using Letters of Credit. No credit scores or bank references are required of either party.
