California's New 'Designated Licensee' IOLTA Rule: The July 1, 2026 Deadline Every Firm Must Hit (Step-by-Step Compliance Guide)

Effective January 1, 2026, California requires every client trust account to name a 'designated licensee' responsible for monthly reconciliations. Existing accounts must report that information to their bank between January 1 and July 1, 2026. Here is the step-by-step playbook to hit the deadline and stay compliant.