Under South Carolina property management law, what must always happen to a trust fund if there is a dispute?

In South Carolina property management law, when there is a dispute regarding a trust fund, it is mandated that the funds be held until the dispute is fully resolved. This principle is in place to protect all parties involved—whether they are tenants, landlords, or property managers. By holding the funds, the law ensures that neither party unfairly benefits from the funds while the dispute is being sorted out, thereby maintaining fairness and integrity in the handling of trust funds.

The position of withholding the funds until resolution allows for a thorough examination of the circumstances surrounding the dispute, including any claims made by either party. This method promotes a fair and just process, allowing for an impartial determination regarding the distribution of the funds in accordance with the final outcome of the dispute.

In this context, the other options do not align with the requirement to maintain fairness in handling trust funds during disputes. Returning funds to a seller or refunding them to a tenant could lead to unjust enrichment or loss, depending on the circumstances, and using the funds to cover management fees would disregard the reasons for holding the trust fund in the first place.