LEO Num | Topics | Summary | Date |
1645
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| [WITHDRAWN] A lawyer represented a bank in collecting a loan. Under the terms of the loan, the borrower was obligated to pay the lawyer's fees, and asked for an itemized accounting. The Bar held that the lawyer had no duty to itemize fees to a non-client, even if the non-client is paying the fees (although other provisions of the Code apply whether or not the lawyer is acting in a professional capacity for those with whom the lawyer deals). | 9/8/1995 |
1151
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| A bank may insist that a specific law firm handle a real estate transaction as a condition for approval of a mortgage loan. | 11/22/1988 |
1661
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| A City Attorney may represent a police officer in a case in which both compensatory damages and punitive damages are sought, even though the city would not be responsible for the payment of any punitive award. The city and the officer agree on the basic underlying facts and believe that they will advance consistent defenses. Still, the City Attorney must advise the officer in writing that the officer has the right to seek independent counsel to defend the punitive damage claim, and that the lawyer "would be required to withdraw from representation if discovery reveals the appropriateness of antagonistic defenses or that the officer acted contrary to City policy or outside the scope of his employment." The Bar analogized the situation to a lawyer hired by an insurance company representing an insured -- "although paid by the insurer, the lawyer must represent the insured with undivided loyalty;" may not disclose or use confidences or secrets "which may create a policy defense for the insurance company;" and must withdraw if the insured and insurer disagree about whether to settle the case. | 2/28/1996 |
1631
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| A lawyer being paid by a serviceman's parents to represent him in a divorce matter nevertheless owes a duty to the serviceman instead of the parents. When the serviceman filed a bankruptcy petition that seems inconsistent with the lawyer's understanding of who is paying the lawyer's bill, the lawyer must attempt to communicate directly with the serviceman or his bankruptcy counsel to obtain the true facts. The lawyer need not withdraw yet, but depending on what the lawyer discovers may be obligated to withdraw from representing the client. If so, the lawyer must take reasonable steps "for the continued protection of client's interests." | 2/7/1995 |
1276
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| A lawyer employed by a student legal services organization may not let the organization decide what level of legal services the lawyer's clients will receive, but rather must make that decision himself or herself. Any guidelines about limitations on such legal services must be explained to potential clients before the representation begins. | 10/3/1989 |
0546
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| A lawyer for an industrial authority may be paid by the applicant for reviewing the application. | 3/1/1984 |
0335
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| A lawyer may accept a fee from an unincorporated association to represent an association member. | 9/18/1979 |
0912
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| A lawyer may charge a noteholder an amount in excess of the 5% trustee's fees to handle a foreclosure as long as the debtor's payment is limited to the amount specified in the deed of trust. | 6/11/1987 |
0229
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| A lawyer may not accept payment to represent a class representative proceeding in forma pauperis unless the client and the court consent. | 9/20/1973 |
ABA-355
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| A lawyer may participate in a for-profit prepaid legal services plan as long as the lawyer remains completely loyal to the client, maintains client confidences, avoids conflicts and assures that the plan does not violate the advertising or solicitation rules. | 12/14/1987 |
1557
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| A lawyer may represent a minor in an action brought through a "next friend" even if the minor's interests may diverge from the next friend's interests, because there is no attorney-client relationship between the lawyer and the next friend (the lawyer must not allow the lawyer's duty to the minor to be compromised by directions from the next friend). | 10/20/1993 |
1878
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| A lawyer replacing another lawyer who had been discharged "without cause from representation in a contingent fee matter" must advise the client of the discharged lawyer's possible lien — to which the discharged lawyer will be entitled on a quantum meruit basis. Among other things, such a replacement lawyer must advise the new client that she may be responsible for "combined fees in excess of the contingent fee" arranged with the now-discharged lawyer. The replacement lawyer should also include in a "proposed contingent fee agreement with the client" several provisions, including: the Virginia law "regarding perfection of attorneys' liens and quantum meruit awards available to attorneys discharged without cause;" the possibility of the client's possible obligation to pay both the discharged lawyer and the replacement lawyer; and "who bears the expense (legal fees and court costs, if any) of determining predecessor counsel's fee entitlement, to include the cost of adjudicating the validity and amount of any claimed lien, through an interpleader action or otherwise." It may be appropriate for the client to receive legal advice about these issues from a lawyer other than the replacement lawyer. Fee contracts are not treated in the same way as other contracts, because they "stand on a different footing" given lawyers' duties to their clients. The replacement lawyer may represent the client in negotiations with or litigation against the discharged lawyer, "but at no additional charge to the client" (if such negotiations will not increase client's recovery in the case, but instead only increase the replacement lawyer's contingent fee share). If the replacement lawyer's representation "is materially limited by a concurrent conflict of interest [because the replacement lawyer has a personal interest in such a negotiation], the client's informed consent must be obtained pursuant to [Virginia] Rule 1.7(b)." | 5/17/2021 |
0873
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| A lawyer who "from time to time" represents the same insureds may be adverse to one of the insureds if all parties consent (a lawyer representing an insured owes his "sole allegiance" to the insured). Although the Bar has "suggested" that "it may be improper" for a lawyer to represent a client while at the same time suing it, the Bar approved such an arrangement as long as: the clients consent after full disclosure; the matters are not "substantially related"; the lawyer has "learned nothing in one capacity which would help you in another"; and the lawyer's "independent ability to represent your client" is in "no way affected." | 2/2/1987 |
0248
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| A lawyer who receives double payment from a client and a third party must disclose the double payment. | 9/18/1974 |
1762
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| A mother who had an automobile accident in which her infant child was injured may not hire the same lawyer who represented her in a tort action against the other driver to also represent the child in the tort action, if there is a "non-frivolous claim" that could be filed against the mother in connection with the accident. Consent could cure this conflict, but the minor child cannot grant the consent, and the ability of the mother to grant the consent is a legal question beyond the Bar's purview. If there is no possible claim against the mother, then the mother can hire her lawyer to also represent the child, but must not direct or regulate the lawyer's professional judgment. | 2/4/2002 |
1177
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| A real estate purchaser's lawyer may arrange in advance for the seller to pay part of the lawyer's fee, but may not impose such a fee without the seller's prior consent. The lawyer must be careful not to use the communication to steer clients to the lawyer's firm. | 12/9/1988 |
0598
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| An in-house lawyer for an insurance company may represent an insured, but must remember that the insured is the client. Among other things, the insured's lawyer may not reveal information acquired from the insured that would allow the carrier to deny coverage. [Approved by the Supreme Court 3/8/85, effective 6/1/85.] | 6/1/1985 |
0563
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| As long as the client consents, a lawyer acting as a financial adviser may receive a fee from the third party who markets the investments. | 4/10/1984 |
0607
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| As long as the client consents, a lawyer may be paid by an inmate's wife to act as the inmate's guardian ad litem. | 9/18/1984 |
0747
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| In a real estate transaction, the seller's lawyer must advise the buyer that the lawyer represents only seller, even if the seller pays the buyer's closing costs. | 12/4/1985 |
1831
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| Just as the court appoints a guardian ad litem, so the court must approve payment of the guardian ad litem's fee by a third party such as an insurance carrier (neither the minor nor the guardian can consent to such payment by a third party). Any lawyer paid by a third party must "maintain professional independence from that third party payor" and fulfill the ethical duty of confidentiality to the client. | 9/6/2006 |
1645
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| Lawyers have no ethical duty to provide an “itemized accounting” of fees to non-clients who pay the lawyer. In contrast, lawyers must provide their clients “an itemized breakdown of legal fees” (declining to decide whether an attorney-client relationship existed between a borrower and a lawyer retained by the bank to handle a loan-related issue.) | 9/8/1995 |
1120
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| The Bar declines to determine whether a bank may properly select a lawyer for the borrower. | 9/9/1988 |