Florida Chiropractic Laws and Rules (FCLR) Practice Exam

Under what condition can a chiropractor withdraw funds from a trust account?

1. To pay for personal expenses

2. To cover the commercial bank account expenses

3. Only when authorized by a patient

4. To invest in practice-related activities

The correct answer is: To cover the commercial bank account expenses

The ability for a chiropractor to withdraw funds from a trust account is specifically governed by regulations that ensure the integrity and purpose of that account. A trust account is designed to hold funds on behalf of clients or patients, often for services yet to be rendered, and its use is strictly regulated to protect the interests of those clients. Withdrawing funds to cover legitimate expenses related to the commercial bank account, which typically includes fees or charges incurred for maintaining that account, is acceptable because it directly relates to the operational costs of managing the funds. This ensures that the financial obligations related to the trust account itself are met, allowing for the proper administration of patient funds. On the other hand, personal expenses or practice-related investments do not align with the intended use of a trust account, as these activities could compromise the fiduciary responsibility that a chiropractor holds. Authorizations from patients might be necessary for certain actions but do not generally apply to the administrative costs of keeping the trust account active. Thus, the focus is on maintaining the trust account's integrity rather than on personal or unrelated business expenses.