Secure and cost-effective escrow servicethrough attorneys-at-law
Escrow provided by attorneys-at-law is a service that protects contractual parties when buying or selling. Transactions using escrow are popular, for example, in the purchase of real estate, when the contractual amount is released from the escrow account only after the agreed conditions are met (e.g., after registering the buyer as a new property owner).
The escrow service fee at Mašek, Kočí, Aujezdský, Attorneys-At-Law is contractual and depends on the amount in escrow as follows:
|Amount in Escrow||Fee|
|Up to CZK 1,000,000||CZK 3,800 + VAT (CZK 4,598 incl. VAT)|
|CZK 1,000,001 to CZK 5,000,000||CZK 5,800 + VAT (CZK 7,018 incl. VAT)|
|CZK 5,000,001 to CZK 10,000,000||CZK 9,800 + VAT (CZK 11,858 incl. VAT)|
|CZK 10,000,001 to CZK 20,000,000||CZK 14,800 + VAT (CZK 17,908 incl. VAT)|
|CZK 20,000,001 to CZK 50,000,000||CZK 21,800 CZK + VAT (CZK 26,378 incl. VAT)|
|More than CZK 50,000,000||Individual Price|
We’ve been providing escrow services at Mašek, Kočí, Aujezdský, Attorneys-At-Law since 2003 for Czech and foreign clients. Our attorneys have professional liability insurance up to the amount of CZK 70,000,000. Do you require assistance with opening an escrow or are you looking for legal advice in the Czech Republic?
Three main reasons to use escrow services at our law firm.
We protect your transaction and your money
Escrow ensures the transaction is only released when all of the terms of an agreement are met. Since 2003, we have provided hundreds of escrows. In addition, our lawyers have professional liability insurance up to the amount of CZK 70 million.
We solve non-standard situations and we are available online and immediately
Escrow with us can be arranged quickly and it can be prepared for non-standard types of agreements between parties (e.g., time limits or special types of documents, etc.). If necessary, and upon delivery of all necessary documents, we can draft the escrow agreement by the next working day.
Escrow at our law firm is financially advantageous
In most cases, the escrow service through our law firm is fundamentally more cost-effective for both parties involved in the transaction than through a notary. Our fee is based on the amount of money in escrow.
Escrow is suitable for the following types of transactions:
Escrow can be arranged within two working days.
We start by specifying conditions of the transaction you need to secure, including the conditions for releasing funds from the escrow account. Based on your input, we draft the contractual documentation and arrange the signing of the escrow agreement.
Usually, we sign the escrow agreement in a personal meeting. Meanwhile, we also verify the identity of the parties and agree on how we will update you about the status of the escrow. We follow all the rules and act to prevent financial crimes (Anti-Money Laundering) and terrorism.
After signing the escrow agreement, we ask the relevant contracting party to deposit funds to the escrow bank account, which is set up separately for each specific escrow. As soon as the funds are credited to the escrow account, we notify the contracting parties and send a bank statement from the escrow account.
After all the conditions from the escrow agreement are fulfilled, we will transfer the escrowed funds to the bank account specified in the agreement and notify the parties. We will once again send a bank statement from the escrow account. This step completes the escrow.
The escrow service fee depends on the amount in escrow according to our table.
For example, if you plan to buy a property worth CZK 4,000,000 and you need to arrange escrow for this amount, the service fee for the escrow through our law firm will be CZK 5,800 + VAT (CZK 7,018 including VAT).
In comparison, the service fee for the escrow of CZK 4,000,000 through a notary office is CZK 11,600 + VAT (CZK 14,036 including VAT).
Escrow through our law firm is a safe and cost-effective way to carry out your transaction.
How much does escrow cost?
The escrow service fee is contractual and depends on the amount in escrow according to our table. Some typical examples of transactions and fees to get a better idea:
Purchase of real estate for CZK 4,000,000. The escrow service fee for CZK 4,000,000 will be CZK 5,800 + VAT (CZK 7,018 including VAT).
Sale of company shares for CZK 9,000,000. The escrow service fee for CZK 9,000,000 will be CZK 9,800 + VAT (CZK 11,858 including VAT).
Domain transfer for CZK 100,000. The escrow service fee for CZK 100,000 will be CZK 3,800 + VAT (CZK 4,598 including VAT).
Is this the total price or are there any other charges?
The fee (according to our table) is the total price of the escrow service through our law firm and we will not charge you any additional fees. If you want to use our other legal services (e.g. the draft of a purchase contract), we will agree on the price of our services individually.
Who pays the escrow service fee?
The fee is paid according to the agreement of the parties, i.e. by one or the other party or both parties in equal parts.
How is escrow through law firms regulated?
Escrow of money, securities or other property of the client through a lawyer is regulated in detail by RESOLUTION OF THE BOARD OF DIRECTORS OF THE CZECH BAR ASSOCIATION No. 7/2004 of the Bulletin. In addition, each escrow is recorded in the special register kept by the Czech Bar Association.
What bank account is used for the escrow?
A separate escrow bank account, which is open for each specific escrow transaction.
Are you verifying the parties in any way?
Yes, we are verifying that the obligations to prevent financial crimes and terrorism are met. We always verify the identity of the contracting parties, the source of the money and we monitor the source of the funds transferred to the escrow account.
Is it possible to arrange the escrow service remotely (e.g., from abroad)?
In justified cases, yes, but it is always necessary to comply with the obligations to prevent financial crimes and terrorism.
Is there a time limit of an escrow?
The time of an escrow is not fundamentally limited. An individual fee would apply for an exceptionally long escrow.
In addition to money, is it possible to hold, e.g., valuables, bills of exchange, contracts, shares, computer programs, etc. in escrow?
Yes, practically anything.