What becomes of escrowed money? Safety and release of the funds

Entrusting a sum to an escrow agent raises a natural question: where does this money go, and how is it protected until it is released? When the escrow is entrusted to a lawyer, the journey of the funds is closely regulated.

A dedicated, ring-fenced sub-account

The funds are deposited on the CARPA account (the French bar's fund-handling body), on a sub-account opened specifically for your file. They are never mixed with other sums or used for any other purpose. This ring-fencing guarantees that they remain earmarked for your operation alone.

Controlled handling of funds

Every movement — the deposit as well as the release — is checked by CARPA as to its origin and destination, and documented. This traceability, combined with the lawyer's professional secrecy, ensures both the safety and the confidentiality of the funds.

Release, solely on the agreed conditions

The funds are released only upon fulfilment of the conditions set out in the agreement: a date, an event, conditions precedent, or the agreement of the parties. No release takes place outside this framework, and no party can dispose of the funds unilaterally in the meantime. Once the conditions are met, the funds are paid to the designated beneficiary.

Are escrowed funds safe from creditors?

Because they are ring-fenced and earmarked for a specific file, funds held in escrow on the CARPA account are not mixed with either the lawyer's own assets or those of other files. They are therefore not exposed to the escrow agent's creditors. This watertight separation is one of the essential guarantees of an escrow entrusted to a lawyer: the money remains intended for the operation, whatever else may happen.

Do you wish to secure funds? Fidens holds them on a dedicated CARPA account and releases them upon fulfilment of the agreed conditions.