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;
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.
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
Was this helpful?
Welcome to FindLaw's Cases & Codes
A free source of state and federal court opinions, state laws, and the United States Code. For more information about the legal concepts addressed by these cases and statutes, visit FindLaw's Learn About the Law.