Welcome to the Alabama Law Foundation. IOLTA program Scholarships, The Cabaniss, Johnston Scholarship Fund, and Kid's Chance Scholarships.

The IOLTA (Interest On Lawyer’s Trust Accounts) program is the financial foundation for the Alabama Law Foundation. From IOLTA funds, the Alabama Law Foundation awards grants for law-related charitable projects that help advance the foundation’s mission of making access to justice in Alabama a reality for all Alabama citizens.

THE NEED

There is a great need for legal aid in Alabama. According to recent statistics, Alabama ranks 51st—below even Puerto Rico—in spending for legal aid (from all sources) to the poor. Studies show that spending currently stands at less than $10 a person compared to the national average of $23 per person. The Alabama Law Foundation works to meet the growing need for civil legal aid.

HOW IT WORKS

Foundation Board member Irving Silver presents a grant check to Henry Callaway, board chair of the Mobile Bar Association Volunteer Lawyers Program. The program provides low income residents of Mobile with assistance from lawyers who take cases on a volunteer basis.

IOLTA is based on the practice that attorneys routinely receive funds to be held in trust for future use. Funds of a substantial amount or those that are to be held for a long period of time are usually placed in an interest-bearing account for the individual client’s benefit. Funds of small amounts or those to be held for short periods of time are usually deposited in non-interest bearing checking accounts because the interest generated by these funds would not be enough to benefit the individual client. IOLTA allows attorneys to convert their client’s trust accounts to interest-bearing accounts. This interest then is disbursed to the Alabama Law Foundation for use in its IOLTA grant program.

The Alabama Law Foundation’s largest IOLTA grantees are Legal Services Alabama (LSA) and volunteer lawyer programs in Montgomery, Mobile, and Birmingham. These programs provide legal assistance for civil cases to citizens who are in need of, but cannot afford to pay for legal work.

“Really Helping”

Mr. Merlin George gratefully describes the Mobile Bar Association Volunteer Lawyers Program in Mobile as “a wonderful program.” While on business in Birmingham, Merlin and Martha George’s adult, single son was seriously injured in an automobile accident. He lay in a coma at the hospital of the University of Alabama in Birmingham for nearly a year before he recovered to the point that his parents could transport him home to Mobile. However, his prolonged and severe medical problems brought Mr. and Mrs. George to the realization that they needed to be appointed their son’s guardian. They consulted with several professionals, but found that their stressed financial situation, compounded by their son’s continued and extensive medical expenses, put the cost for this legal assistance beyond their resources. The George’s contacted the Mobile Bar Association Volunteer Lawyers Program where a volunteer lawyer obtained the needed guardianship for them. The guardianship easily solved a complicated set of problems ranging from business to health care. Mr. George, breathing a sigh of relief, explains that “the whole process was very pleasant and professional, and it really helps.”

Since 1989, the Alabama Law Foundation has provided over 13.1 million dollars in grants through the IOLTA program. Thousands of people like Merlin and Martha George receive legal help from LSA and volunteer lawyer programs thanks to the foundation’s IOLTA grants. Through IOLTA, the Alabama Law Foundation helps those in need and makes a difference in Alabama.