Section 61 Protection of banks.C1

Subject to the provisions of this section, no bank F1or building society shall, in connection with any transaction on any account of a solicitor F2or an F3incorporated practice authorised legal business kept with it or with any other bank or building society—

which it would not incur, or be under, or be deemed to have (as the case may be) in the case of an account kept by a person entitled absolutely to all money paid or credited to it; but nothing in this subsection shall relieve a bank or building society from any liability or obligation under which it would be apart from this Act.

In subsection (1) “account” does not include an account kept by a solicitor or an F4incorporated practice authorised legal business as trustee for a specified beneficiary.

Notwithstanding anything in the preceding provisions of this section a bank or building society at which a solicitor F5or an F6incorporated practice authorised legal business keeps a special account for clients’ money shall not, in respect of any liability of the solicitor or, as the case may be, the incorporated practice authorised legal business to the bank or building society (not being a liability in connection with that account) have or obtain any recourse or right, whether by way of set-off, counter-claim, charge or otherwise, against money standing to the credit of that account.