The purchase or sale of real estate is financially complicated and a largely risky operation. The buyer becomes the owner of a house or apartment only at the moment of registration with the Land Register. If the Land Register refuses to register the new owner and the buyer has already transferred the purchase price to the seller, the buyer may have trouble getting the money back. If the seller does not cooperate, the buyer may of course take the case to court, but, on average, such court proceedings are a rather time consuming process. Such cases can be easily avoided. A simple tool to perform such a transaction is to deposit the purchase price in the attorney’s escrow. The purchase price is deposited by one party in the special bank account. Only when all conditions of the contract are met (usually the registration of the ownership with the Land Register), is the purchase price released and transferred to the seller. Until then, neither party may access the money held in escrow.

The attorney’s escrow is governed in accordance with Act no. 85/1996 Coll., On Advocacy, as amended, and in accordance with the Resolution of the Czech Bar Association No. 7/2004 of the Journal, on the implementation of escrows, securities or other of a client’s assets by the lawyer, based on a written agreement on the escrow concluded between the attorney and client.