One kind of legal malpractice that you should know about is called commingling. Commingling is when a legal professional mingles their own funds with their beneficiary’s, client’s, ward’s or employer’s funds. Under the Rules of Professional Conduct, it is illegal to do this and subject to disciplinary action. Is Commiseratory a word? commiseratory drinks.

Is commingling allowed?

Is commingling legal? Commingling in general is legal and actually more common than you may think. Business partners who contribute their own personal funds into a joint account for the benefit of the creation or management of the business is a commingled fund.

Why is commingling prohibited?

Why is commingling illegal in real estate? Like in the legal profession, licensed real estate brokers, agents and other professionals who hold deposits for clients are strictly prohibited from commingling their clients’ funds with their own, because it may involve embezzlement and it’s difficult to detect.