Paymaster and Escrow Services
FULL LIST OF SERVICES
Secure, Compliant Handling of High-Value International Transactions
Abrams Law provides regulated Paymaster and Escrow services for clients engaging in high-value transactions across corporate, real estate, financial, and commodities markets. Acting as a neutral third party, we offer a reliable and secure way to manage and disburse funds in complex, high-risk transactions.
With offices in both the UK and the United States, we serve clients worldwide, ensuring full compliance with U.S. federal and local regulations, including anti-money laundering (AML) and know-your-customer (KYC) requirements. Our Paymaster and Escrow services are particularly suitable for cross-border transactions involving M&A, commodities trading, note transfers, and investment agreements.
What Is a Paymaster and What Do We Do?
A Paymaster Attorney acts as a neutral third party in financial transactions involving two or more parties. Funds are received into a regulated escrow account, held securely until the conditions of the agreement are satisfied, and then disbursed accordingly.
Abrams Law maintains an attorney escrow (IOLA/IOLTA) account and operates within strict legal and ethical standards. We ensure:
- Funds are held securely and neutrally.
- Transactions comply with U.S. law and international standards.
- Disbursements occur only in accordance with the governing Escrow Agreement.
- Accurate reconciliation and IRS reporting is completed.
We do not represent either party legally in the underlying transaction, preserving our independence and neutrality at all times.
Types of Transactions We Support
Our Paymaster and Escrow services are most commonly used in high-value, cross-border transactions, including:
Corporate and Financial Transactions
- M&A purchase price payments.
- Capital contributions and investment disbursements.
- Large invoice payments or retainer arrangements.
Commodities and Instruments
- Oil, jet fuel, gold, diamonds, and precious metal transfers.
- Bank guarantee and note transactions.
- Crypto asset transfers (subject to legal compliance).
Real Estate and Dispute Settlements
- Holding funds in property acquisitions.
- Escrow for dispute resolution or settlement disbursements.
In each case, the Paymaster holds funds securely and ensures payment is made promptly upon satisfaction of contractual conditions.
Why Use Escrow Services in High-Value Deals?
Escrow protects both buyer and seller by introducing a regulated, neutral third party to manage funds. This structure ensures:
- Sellers have assurance that sufficient funds are available before delivering goods or executing transfer documents.
- Buyers gain protection in the event of a defect, delay, or breach by the counterparty.
- Brokers and agents can be properly compensated based on documented agreements, subject to applicable laws.
Escrow reduces reliance on Letters of Credit and eliminates many of the procedural delays and administrative challenges involved in cross-border bank dealings.
Legal and Compliance Requirements
All Paymaster and Escrow services provided by Abrams Law are fully compliant with applicable U.S. regulations, including:
- U.S. Treasury Department rules.
- Department of Homeland Security (DHS) protocols.
- Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF) legislation.
- FATCA compliance and IRS reporting requirements.
We require full transparency from all parties involved and will not proceed without complete KYC documentation and valid transactional paperwork.
We require that all parties have separate legal representation for the purposes of understanding the escrow arrangement detail and to support our KYC processes.
Required Documentation
Before initiating any Paymaster or Escrow engagement, we require the following:
- Valid, in-date passport or driving licence from all parties.
- IRS Form W-9 (U.S. citizens) or Form W-8BEN (non-U.S. citizens).
- Copies of all executed transactional documents, including payment agreements.
- Signed Abrams Law Escrow Agreement.
- A record of any other pending transactions involving Abrams Law.
All payments must be made by federal wire transfer or SWIFT. We do not accept cash, bank cheques, or money orders under any circumstances.
Do Paymasters Have to Be Attorneys?
No, a Paymaster does not need to be a licensed attorney. However, engaging an attorney for this role provides significant additional safeguards:
- Regulated Trust Accounts: Attorneys use IOLA/IOLTA escrow accounts, monitored by their respective state bar associations.
- Legal Accountability: Attorneys are subject to disbarment and legal sanctions for any misconduct, adding a layer of trust.
- Compliance Leadership: Attorneys are better placed to understand, implement, and manage cross-border regulatory obligations.
Abrams Law only acts as Paymaster in strict compliance with U.S. bar standards and under the terms of a formal agreement.
What to Expect from Our Escrow Agent and Paymaster Service
As your Escrow Agent and Paymaster:
- We are not party to the transaction, and our role is purely administrative and neutral.
- We do not represent either party legally in the transaction, avoiding any conflict of interest.
- We disburse funds only upon satisfaction of the terms set out in the Escrow Agreement.
- We do not disclose the identities of parties where confidentiality provisions apply (e.g. brokered commodity deals).
- We do not require credit scores or bank references—but we do require full and honest disclosure of all parties and agents.
Our process is discreet, secure, and designed to give all parties peace of mind in sensitive, high-value transactions.
How to Instruct Abrams Law for Paymaster or Escrow Services
To begin, please complete our Paymaster Client Information Sheet and submit scanned copies of the required KYC documentation:
By email to: Jonathan@abrams.law
With the Subject: “ESCROW AGENT SERVICE”
Upon review, we will provide the necessary agreements and initiate setup of the escrow account.
Trusted Legal Oversight for Complex Transactions
If you’re involved in a large corporate, financial, or commodities transaction and need a secure and compliant way to handle disbursements, Abrams Law offers a regulated, reliable Paymaster and Escrow solution.
Contact us today to discuss your requirements in confidence.
Escrow Agent and Paymaster Service FAQs
What does a Paymaster Attorney do?
A neutral third party holding and disbursing funds via regulated escrow accounts in cross‑border, high‑value transactions.
Why choose Abrams for escrow services?
We offer secure, compliant paymaster and escrow services with attorney trust accounts, AML/KYC adherence, and IRS reporting.
Footnotes:
IRS Forms To Use:
W-9 – U.S. entity or U.S. citizen or resident
W-8BEN (Individual) or Form 8233 – A foreign individual
W-8BEN-E (Entity) or Form 8233 – A foreign entity
W-8ECI – A foreign individual or entity claiming that income is effectively connected with the conduct of trade or business within the United States (unless claiming treaty benefits)
W-8IMY – A foreign partnership, a foreign simple trust, or a foreign grantor trust (unless claiming treaty benefits) (see instructions for exceptions)
W-8ECI or W-8EXP – A foreign government, international organization, foreign central bank of issue, foreign tax-exempt organization, foreign private foundation, or government of a U.S. possession claiming that income is effectively connected U.S. income or that is claiming the applicability of section(s) 115(2), 501(c), 892, 895, or 1443(b) (unless claiming treaty benefits) (see instructions for other exceptions)
W-8IMY – Any person acting as an intermediary (including a qualified intermediary acting as a qualified derivatives dealer)