Code of Virginia § 55.1-804. Accounting for moneys and property.
231 words·~1 min read·
/va/title-55-1/chapter-8/55-1-804·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
A. Every exchange facilitator shall hold all property related to the exchange client, including the exchange funds, other property, and other consideration or instruments received by the exchange facilitator, on behalf of the client, except funds received as the exchange facilitator's compensation. Exchange funds shall be held in accordance with the requirements of § 55.1-802 .
B. An exchange facilitator shall not:
1. Commingle exchange funds with the operating accounts of the exchange facilitator; or
2. Lend or otherwise transfer exchange funds to any person or entity affiliated with or related (as described in Internal Revenue Code § 267(b) or 707(b)) to the exchange facilitator, except that this subsection shall not apply to a transfer or loan made to a financial institution that is the parent of or related to the exchange facilitator or to a transfer from an exchange facilitator to an EAT as required under the exchange contract.
C. Exchange funds are not subject to execution or attachment on any claim against the exchange facilitator. An exchange facilitator shall not keep or cause to be kept any money in any financial institution under any name designating the money as belonging to an exchange client of the exchange facilitator unless the money equitably belongs to the exchange client and was actually entrusted to the exchange facilitator by the exchange client.
2010, c. 409 , § 55-525.5; 2019, c. 712 .