What Is an Attorney Paymaster and When Do You Need One?
A plain English explanation of the paymaster role, the written agreement behind it, and the situations where it is useful.
California Attorney · Client Trust Account
Attorney Paymaster & Attorney Escrow Services
Bahram Madaen, a licensed California attorney, receives transaction funds into the firm's client trust account and pays each beneficiary according to a signed written agreement, for clients in the United States and abroad.
Licensed California attorney
IOLTA client trust account
Signed written agreement
Identity & sanctions checks
Secure online portal
What the firm does
One documented place for the money in your transaction
Large trades often connect buyers, sellers, mandates and brokers who have never met, each expecting to be paid when the deal closes. The Law Office of Madaen acts for its client under a written Paymaster Agreement: the paying party wires the funds to the firm's client trust account, and the firm pays each beneficiary as the signed instructions provide.
A California attorney must keep client money separate from the firm's own funds, keep a record of every deposit and payment, and account to the client, under rules overseen by the State Bar of California.
See how it worksAttorney Paymaster
Proceeds received into trust and paid to each beneficiary under a signed agreement.
Transactions
Paymaster services for commodity and international deals
Bitcoin & Crypto Related Deals
For transactions involving digital assets where the payment is made in U.S. dollars by bank wire.
Learn more →Oil & Petroleum
Receipt and payment of proceeds and broker commissions for crude and refined product transactions.
Learn more →Gold & Precious Metals
Funds held in trust until the documented delivery conditions in the agreement are met.
Learn more →Currency Transactions
Large U.S. dollar payments received and divided among several beneficiaries under a signed agreement.
Learn more →Medical Supplies & PPE
Purchase price held in trust until agreed shipping and inspection documents are received.
Learn more →Business & asset sales
Holdbacks, commission agreements and other transactions where a client wants its own attorney to hold the funds.
Learn more →
The process
Five steps from first call to final payment
Everything is in writing, and every client completes the Client Information Sheet and signs the agreement through the secure client portal.
Open a client account- Call or write to the attorney. Describe the transaction. The attorney confirms whether the firm can help and quotes the fee.
- Open your secure client account with a confirmed email and two-step sign in.
- Complete the Client Information Sheet and upload identification and tax forms.
- Sign the Paymaster Agreement online. It names who pays, who is paid and when.
- Funds are received and paid by wire after wire instructions are confirmed by telephone.
A licensed lawyer, retained by a client under a written agreement, who receives transaction proceeds into the firm's client trust account and pays them according to the signed instructions.
The client who signs the Paymaster Agreement and retains the firm, usually the beneficiary who is to be paid. The firm does not represent the other parties to the transaction, who should consult their own counsel.
No. Your information is confidential under the attorney client relationship and is shared only as the law requires (for example with the firm's bank for compliance) or with your written permission.
The firm confirms receipt in writing. The bank does not discuss trust account activity with third parties, so confirmation always comes from the attorney.
The firm aims to send payments the same or next business day after all conditions in the agreement are met and every party's documents are complete. A bank may hold a large wire for its own review.
The online Client Information Sheet, a driver's license or passport, IRS Form W-9 (U.S. persons) or W-8BEN / W-8BEN-E (others), company records for companies, the transaction contract and bank details for payment. All are completed or uploaded in the secure client portal.
Articles
All articles
Guides for paymaster and escrow clients
Attorney Paymaster vs. Escrow Company: Which One Fits Your Deal?
Escrow companies and attorney trust accounts both hold money for transactions, but they work differently and suit different deals.
Wire Fraud: How to Verify Wire Instructions Before You Send Money
Criminals send fake wire instructions that look exactly like real ones. A single phone call is the best defense.
Discuss your transaction with the attorney
Call or write to Bahram Madaen. Fees quoted per transaction. Please contact Bahram Madaen directly for a price. Every fee is set out in a written agreement before any funds are received.