Disclaimer: This information is provided to give a general overview of Internal Revenue Code Section 1031. However, as a result of changing tax laws and IRS interpretations, First American Exchange cannot and does not make any guarantees as to its application. First American Exchange is not rendering tax or legal advise. Where tax or legal advice is deemed appropriate, the services of a competent professional knowledged in Section 1031 should be sought.
Washington state law, RCW 19.310.040, requires an exchange facilitator to either maintain a fidelity bond in an amount of not less than one million dollars that protects clients against losses caused by criminal acts of the exchange facilitator, or hold all client funds in a qualified escrow account or qualified trust.