NSW Taking money out from a Solicitor Trust Account after the property was sold

[smallcat]

Can my ex-wife (living with our kid) take the money out from the trust account without my consent, for their living expense?

This is my ex-wife's solicitor's trust account, which keeps the money received from the sales of our joint property.

We were divorced but have not started the property settlement yet.

Thank you very much for your help.

 

[Rod]

Whose name was on the title of the property?

Was the solicitor aware property settlement was going to happen?

How much of the money was taken?

 

[smallcat]

Both names.
Yes.
Not yet, may be few hundreds a week? She didn't tell me.

 

[Rod]

I'd writing to the solicitor telling them no more withdraws without your express permission in writing, and that he will be abusing his solicitor trust account conditions if he allows any more withdraws without your consent. Note I do not know if you have already signed something as part of the conveyancing agreement allowing the withdraws to occur.

Give thought to only consenting IF the money is considered as part of a property settlement owed to her. And this would need her express agreement in writing.

 

[Nighthelyn]

Rod was quite correct but I want to suggest if there is a family law dimension to this issue.

How long ago was the joint property sale? Has there been delay in property settlement with your ex-wife and is there evidence the delay was caused by one party in particular? Why if property settlement is in the card shortly would a regular withdrawal for someone and her child’s living expenses be something you wish to stop - normally the sum withdrawn would be made a deduction? Maybe talk to your lawyer if this will look poor on your part if the matter go before family court.

Good luck@
-Nighthelyn

 

[smallcat]

Finally we both agreed to use this money to pay off another mortgage, so the trust money was being cleared off now.

Anyway, I found some related info here: Trust money: handle with care

When can trust money or controlled money be paid out?​

Payments of trust money can only be made in the circumstances prescribed by the Legal Profession Uniform Law and General Rules including:
1. under the direction of the person who is beneficially entitled to the money [1].
If the money is held on trust on behalf of more than one person or entity i.e., joint beneficiaries, each and every person or entity must consent to the withdrawal of money from the trust account;
2. making an authorised payment for the practitioner’s legal costs; or [2]
3. under an order of a court or authorised by law[3].