Which entity is typically responsible for keeping all trust accounts in order?

The firm itself is typically responsible for keeping all trust accounts in order because it holds the fiduciary duty to manage client funds responsibly and in compliance with legal and ethical standards. Trust accounts are used to maintain clients' funds securely, ensuring that they are separated from the firm's operating funds and managed according to applicable regulations. The firm must keep accurate records, perform reconciliations, and ensure that funds are used only for their intended purpose.

This responsibility includes maintaining organized financial documentation, regularly reviewing trust account balances, and ensuring that all transactions comply with state laws and regulations governing the handling of trust funds. While state regulators do monitor trust accounts and ensure compliance, the proactive management and maintenance of these accounts fall squarely on the firm. Clients whose money is held and third-party auditors may play roles in oversight or verification, but the firm's internal procedures and accountability are fundamental to the proper maintenance of trust accounts.