If a dispute concerning trust funds arises and is not resolved, what must happen to the deposit?

In the context of property management and handling of trust funds in South Carolina, if a dispute arises regarding the trust funds and remains unresolved, the appropriate course of action is to hold the deposit in the trust account. This is important because it ensures that the funds are safeguarded and not disbursed until the dispute is resolved. Retaining the funds in the trust account protects the interests of all parties involved, as it preserves the funds' availability for rightful claims or distributions once a resolution is achieved.

Keeping the deposit in the trust account prevents any party from improperly benefiting from the funds while a dispute is ongoing. This approach aligns with the fiduciary responsibilities of the property manager or agent, ensuring compliance with state laws governing trust fund management and the ethical handling of client funds.