legal ethics - st. louis paralegals association - june 2017
TRANSCRIPT
LegalEthics
MichaelDowneyDowneyLawGroupLLC
BasicsofProfessionalLiability
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Negligence Breach ofFiduciaryDuty LegalMalpractice
Duty Fiduciaryrelationship Attorney-clientrelationship
Breach Breach(offiduciaryduty)
Breach(of dutyowedclient)
Causation Causation Causation
Damages Damages Damages
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5/10/17
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9
LegalInnovations
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BreachofFiduciaryDuty
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ElementsofBreachofFiduciaryDuty
Whethercharacterizedasbreachoffiduciarydutyorconstructivefraud,theelementsofsuchaclaimare:(1) anattorney-clientrelationship(2) breachofafiduciaryobligationbytheattorney(3) proximatecausation(4) damages totheclient(5) nootherrecognizedtortencompassesthefacts
alleged
Klemmev.Best,941S.W.2d493,496(Mo.1997)”
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LawyerasFiduciary
Principal(Client)
Agent(Lawyer)
FiduciaryDutiesOwedtoClientsLoyalty
Confidentiality
SafekeepingPropertyIndependentJudgment
Communication
Candor
LegalMalpractice
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ElementsofLegalMalpracticeThefouressential elements ofa legalmalpractice actionare:’(1) thatanattorney-clientrelationshipexisted;(2) that[theattorney]actednegligentlyorinbreach ofcontract;(3) thatsuchactsweretheproximatecauseofthe[client's]
damages;(4) thatbutfor[theattorney's]conductthe[client]wouldhave
beensuccessful intheprosecutionof[the][underlying]claim.'"
Boatrightv.Shaw,804S.W.2d795,796(Mo.App.E.D.1990)
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FormationofClient-LawyerRelationship
Arelationshipofclientandlawyerariseswhen:1. apersonmanifeststoalawyertheperson’sintent
thatthelawyerprovidelegalservices fortheperson;andeither(a) thelawyermanifeststothepersonconsenttodoso;or(b) thelawyerfailstomanifestlackofconsenttodoso,and
thelawyerknowsorreasonablyshouldknowthatthepersonreasonablyreliesonthelawyertoprovidetheservices;or
2. atribunalwithpowertodosoappointsthelawyertoprovidetheservices.
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“TrialWithinaTrial”
• Not “Didthelawyerdosomethingwrong?”but
• “Didlawyerdosomethingwrongthatcausedyoutolose?”
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11.3
8.9
8.8
8.6
6.7
6.6
5.9
5.4
5.3
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0 2 4 6 8 10 12
FailuretoKnow/ApplyLaw
PlanningError
InadequateDisc/Investigation
FailuretoFileDocuments/NoDeadline
FailuretoCalendar
FailuretoKnowDeadline
Procrastination
FailuretoObtainClientConsent
ConflictofInterest
Fraud
10MostCommonLegalMalpracticeErrorAllegations
Source:ABAStandingCommitteeonLawyers’ProfessionalLiability
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Duty=EthicsRules(?)
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Missouri Supreme Court
Board of LawExaminers The Missouri Bar Attorney Discipline
SystemJudicial
Commission
MissouriOrganizationalChart
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EthicsRulesinMalpracticeCasesMissouriRule4Scope[7]–
ViolationofaRuleshouldnot itselfgiverisetoacauseofactionagainstalawyernorshoulditcreateanypresumptioninsuchacasethatalegaldutyhasbeenbreached....TheRulesaredesignedtoprovideguidancetolawyersandtoprovideastructureforregulatingconductthroughdisciplinaryagencies.Theyarenotdesignedtobeabasisforcivilliability.…ThefactthataRuleisajustbasisforalawyer'sself-assessment,orforsanctioningalawyerundertheadministrationofadisciplinaryauthority,doesnotimplythatanantagonistinacollateralproceedingortransactionhasstandingtoseekenforcementoftheRule.Accordingly,nothingintheRulesshouldbedeemedtoaugmentanysubstantivelegaldutyoflawyersortheextra-disciplinaryconsequences ofviolatingsuchaduty.
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StructureoftheEthicsRules4-1.X Client-lawyerrelationship(18rules)4-2.XCounselor(3rules)4-3.XAdvocate(9rules)4-4.XTransactionswithPersonsOtherthanClients(4rules)4-5.X LawFirmsandAssociations(7rules)4-6.XPublicService(5rules)4-7.X InformationaboutLegalServices(6rules)4-8.X MaintainingtheIntegrityoftheProfession(5rules)
EthicalObligationstoClients
4-1.1– competence4-1.3– diligence4-1.4– communication4-1.6– confidentiality4-1.7to4-1.12– loyalty(noconflicts)4-1.15– safeguardpropertyandmoney
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LegalMalpracticev.BreachofFiduciaryDuty
• Legalmalpractice– breachofdutyofcompetence(4-1.3)ordiligence(4-1.3)
• Breachoffiduciaryduty– breachofanotherfiduciaryobligation(suchasthoseinRules4-1.2and4-1.4through4-1.18)
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Competence– Rule4-1.1
“Alawyershallprovidecompetentrepresentationtoaclient.Competentrepresentationrequiresthelegalknowledge,skill,thoroughness andpreparationreasonablynecessaryfortherepresentation.”
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KeepingClientInformed– Rule4-1.4(a)
Alawyershall:(1) keeptheclientreasonablyinformedaboutthe
statusofthematter;(2) promptlycomplywithreasonablerequestsfor
information;and(3) consultwiththeclientaboutanyrelevantlimitation
onthelawyer’sconductwhenthelawyerknowstheclientexpectsassistancenotpermittedbytheRulesofProfessionalConductorotherlaw.
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Confidentiality– Rule4-1.6(a)
Alawyershallnotrevealinformationrelatingtotherepresentationofaclient unlesstheclientgivesinformedconsent,thedisclosureisimpliedlyauthorizedinordertocarryouttherepresentationorthedisclosureispermittedbyparagraph(b).
“Informationrelatingtotherepresentationofaclient...” Rule4-1.6
Client
Court Filings
Real Estate Records
Newspaper
Depositions
Pleadings
Opposing Party
Lawyer
(Anticipated)Rule4-1.6(c)
ProtectionofConfidences.
Model Rule1.6(c):"Alawyershallmakereasonableeffortstopreventtheinadvertentorunauthorizeddisclosureof,orunauthorizedaccessto,informationrelatingtotherepresentationofaclient."
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WhatAre"Reasonable"Precautions
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EvaluationofSafeguardsFactorstobeconsideredindeterminingthereasonablenessofthelawyer’seffortsinclude,butarenotlimitedto,
– thesensitivityoftheinformation– thelikelihoodofdisclosureifadditionalsafeguardsarenot
employed– thecostofemployingadditionalsafeguards– thedifficultyofimplementingthesafeguards (and)– theextenttowhichthesafeguardsadverselyaffectthelawyer’s
abilitytorepresentclients(e.g.,bymakingadeviceorimportantpieceofsoftwareexcessivelydifficulttouse)
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Conflicts(Loyalty&Confidentiality)Rule4-1.7(a)Exceptasprovidedinparagraph(b),alawyershallnotrepresentaclientiftherepresentationinvolvesaconcurrentconflictofinterest.Aconcurrentconflictofinterestexistsif:
(1) therepresentationofoneclientwillbedirectlyadversetoanotherclient;or
(2) thereisasignificantriskthattherepresentationofoneormoreclientswillbemateriallylimitedbythelawyer'sresponsibilitiestoanotherclient,aformerclientorathirdpersonorbyapersonalinterestofthelawyer.
Rule4-8.4
Itisprofessionalmisconductforalawyerto:(a) violateorattempttoviolatetheRulesof
ProfessionalConduct,knowinglyassistorinduceanothertodoso,ordosothroughtheactsofanother ...
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DutytoSupervise– Rule4-5.3Withrespecttoanonlawyeremployedorretainedbyorassociatedwithalawyer:
(a) apartner,andalawyerwhoindividuallyortogetherwithotherlawyerspossessescomparablemanagerialauthorityinalawfirmshallmakereasonableeffortstoensurethatthefirmhasineffectmeasures givingreasonableassurancethattheperson’sconductiscompatiblewiththeprofessionalobligationsofthelawyer;
(b) alawyerhavingdirectsupervisoryauthorityoverthenonlawyershallmakereasonableefforts toensurethattheperson’sconductiscompatiblewiththeprofessionalobligationsofthelawyer;and...
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DutytoSupervise– Rule4-5.3Withrespecttoanonlawyeremployedorretainedbyorassociatedwithalawyer:...(a)(b)
(c) alawyershallberesponsible forconductofsuchapersonthatwouldbeaviolationoftheRulesofProfessionalConductifengagedinbyalawyerif:(1) thelawyerorders or,withtheknowledgeofthespecific
conduct,ratifies theconductinvolved;or(2) thelawyerisapartnerorhascomparablemanagerial
authority inthelawfirminwhichthepersonisemployed,orhasdirectsupervisoryauthorityovertheperson,andknowsoftheconductatatimewhenitsconsequencescanbeavoidedormitigatedbutfailstotakereasonableremedialaction.
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Levelsof(Formal)Discipline• Disbarment• Suspension– Indefinite(IL/MO)orspecificperiod(IL)
• StayedSuspension• Probation• Reprimand(IL"Censure")
– Public– Private
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Other"Discipline"
• Admonition(MO)orReprimand(IL)– Temporary– Lesspublic– Oftensomelevelofchoice
• Diversion
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ProblemswithDiscipline• Disciplinesystemmayemployvolunteerlawyers• Manytypesofconductexcluded
– Feedisputes– Incivility
• Disciplinedlawyersaredisproportionatelysoloorsmallfirmpractitionersandminorities
• Clientsreportmostmisconduct,butmanytypesofproblemsescapeclientnotice
• Lackofinformationgiventocomplainant/client• Mostdisciplineispunitive,notrehabilitative
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