                                 CODE OF VIRGINIA

ACCOUNTING FOR MONEYS AND PROPERTY (§ 55.1-804)

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&#8217;s compensation. Exchange
funds shall be held in accordance with the requirements of &#xA7; 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 &#xA7;
   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.

HISTORY: 2010, c. 409, § 55-525.5; 2019, c. 712.