As the year draws to a close, it’s the perfect time for law office administrators to take stock of compliance practices and ensure the firm is on solid ground heading into the new year. From trust accounting to CLE compliance, a thorough review can help identify any overlooked details, maintain regulatory standards, and set a strong foundation for the months ahead. Use this comprehensive checklist to guide your year-end review and keep your office running smoothly and efficiently.

1. Trust Accounting Compliance

• Reconcile all trust accounts monthly and for the year-end.
• Review trust account balances to ensure no commingling of funds.
• Verify that all client trust ledger balances match the total trust account balance.
• Ensure accurate documentation of all trust account transactions.
• Confirm compliance with jurisdiction-specific trust accounting rules.

2. Financial Recordkeeping

• Review accounts payable and receivable for any outstanding balances.
• Reconcile operating accounts for accuracy.
• Ensure proper categorization of expenses for tax purposes.
• Verify that all invoices have been sent and payments have been recorded.
• Conduct an internal audit of financial records for errors or inconsistencies.

3. CLE Compliance for Attorneys

• Confirm that all attorneys have met Continuing Legal Education (CLE) requirements for the year.
• Ensure certificates of completion are stored in the appropriate personnel files.
• Create a tracking system for upcoming CLE deadlines and requirements.
• Schedule CLE programs or courses for attorneys who are behind on hours.

4. Regulatory and Licensing Requirements

• Confirm all attorneys and staff have current licenses and certifications.
• Ensure bar membership dues are paid and up to date.
• Verify that the firm complies with any jurisdiction-specific legal practice rules.

5. Data Security and Privacy

• Conduct a review of the firm’s cybersecurity policies and protocols.
• Ensure all client data is securely stored and backed up.
• Review access permissions for staff to sensitive data or systems.
• Schedule a cybersecurity training session for all employees.

6. Client and Case Management

• Review active cases for upcoming deadlines and court dates.
• Audit closed cases to ensure all files are archived correctly.
• Confirm proper retention and destruction policies are followed for old case files.
• Check that client contact information is current in case management systems.

7. Employee and HR Compliance

• Review staff training records to ensure compliance with any mandatory requirements.
• Verify completion of annual performance reviews.
• Ensure all employee personnel files are up to date and complete.
• Confirm compliance with workplace policies, such as anti-discrimination and harassment training.

8. Office Operations and Technology

• Conduct an inventory of office equipment and software to identify items needing replacement or updates.
• Ensure all software licenses are current and compliant.
• Review the effectiveness of case management and billing software.
• Create a plan for implementing technology upgrades in the upcoming year.

9. Insurance Coverage

• Review professional liability insurance to ensure adequate coverage.
• Confirm renewal of business insurance policies, including general liability and cyber liability.
• Verify coverage limits align with the firm’s needs.

10. Plan for the New Year

• Identify key compliance tasks for the first quarter of the new year.
• Develop a training calendar for staff on compliance-related topics.
• Schedule a firm-wide meeting to review compliance achievements and upcoming goals.