Regulation 9 - LIMITATIONS ON REIMBURSEMENT(a) The Trustees may, at their discretion, set limitations on the amount of reimbursement.(b) The maximum allowable amount of a gift is $150,000. There is no limit on the number of gifts that can be made to reimburse clients for the wrongful acts of any one lawyer, LLLT, or LPO.(c) Applications approved for $5,000 or less shall be paid in full upon approval by the Client Protection Board (and the Trustees, if required under these Rules and Regulations). Applications approved for more than $5,000 shall be paid $5,000 upon approval by the Client Protection Board (and the Trustees, if required under these Rules and Regulations); payment of the remaining balance approved shall be deferred until fiscal year end and shall be subject to any proration which may be approved by the Trustees.(d) At the last meeting of the Trustees for each fiscal year, the Client Protection Board shall report the total outstanding balance on approved gifts and shall recommend whether the outstanding balance should be paid in full or prorated. When approved gifts are prorated, the prorated payment shall reflect the total amount of the gift, less the initial $5,000 payment made upon approval by the Client Protection Board. By way of illustration: Example 1: The application is for an amount in excess of $150,000. The Client Protection Board recommends and the Board of Governors, as Trustees, approves a gift in the maximum allowable amount of $150,000. $5,000 is paid upon approval by the Trustees. At fiscal year end, the Client Protection Board recommends and the Board of Governors, as Trustees, approves using a prorating formula that would result in applicants receiving 20% of their unpaid gifts. 20% of $145,000 is $29,000, so a second payment of $29,000 is issued to the applicant.
Example 2: In the same fiscal year another applicant applies for and receives a gift in the amount of $7,500. $5,000 is paid upon approval. At fiscal year's end, a second payment is issued for $500.
Wash. Admi. And. Prac. R., APR 15, reg. 9
Adopted effective 7/18/1995; Amended effective 1/1/2014;9/1/2017.