Promote Your Attorney Profile on Law.net - Get Found / Earn More!
Jason Headley Nails Communication Problems in Video
Jason Headley Nails Communication Problems in Video
Knowing What to Ask and When to Ask It
Knowing What to Ask and When to Ask It
Dykema Grabs Product Liability Superstar
Dykema Grabs Product Liability Superstar
Iowa Law Students May Escape the Dreaded Bar Exam
Iowa Law Students May Escape the Dreaded Bar Exam
Job Listings

ABA Approves Model Rule for Ethical Disclosure of Client Information Between Law Firms

This week, the American Bar Association House of Delegates approved for the first time an amended model rule that allows ethical disclosure of client information when lawyers move from one firm to another law firm.

This has been a bone of contention for lawyers seeking to move from one law firm to another. Previously, ABA ethics rules did not specify whether lawyers involved in law firm merger talks were allowed to disclose identities of clients or client specific information like the amount of revenue generated by client matters. The new model rule asserts that such disclosures are required to determine whether client conflicts exist between a lawyer and the prospective firm. However, the model rule says these disclosures need to be confined only to the identities of clients and should not include detailed billing or other financial information.

Though the rule is only advisory, typically, state bars adopt the ABA model rules. Currently, many state bar associations, including the bars of New York, Illinois and California, do not have rules that address the issue or specify the nature of client information that may be disclosed during the hiring of lateral partners or during merger discussions between law firms.

However, some state and city bars including Colorado and Boston, have rules in this respect that are very close to the new ABA rule and confine client disclosures within a limited area to determine conflicts of interest.

What

 job title, keywords

Where

 city, state, zip



Get JD Journal in Your Mail
Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!


Jamie Gorelick, the co-chair of the ABA Commission on Ethics 20/20, which recommended the rule said “our hope is that with clear rules there will be less disclosure of client information that shouldn’t be disclosed.” Gorelick further said that this rule would bring “more certainty by both lawyers and clients as to what can be said.”

Michael Traynor, another co-chair of the commission, said that the rule was made to ensure a law firm can’t use client information from a lawyer during hiring or merger discussions as an “insidious device to open the door to any trade secrets.”

At the ABA meeting in Chicago, the new model rule regarding disclosure of client information between law firms drew opposition from the ABA litigation section. Critics of the new rule said that lawyers should receive consent from clients before disclosing any information pertaining to them. However, the ABA House of Delegates, rejected the opposition on Monday by a voice vote. Now, it depends upon the state bar associations whether they would adopt the new rule or not.

Lisa Bang-Jensen, a spokeswoman for the New York State Bar Association said “it’s a complicated change and we haven’t begun to study whether to advance it in New York.”

ABA Approves Model Rule for Ethical Disclosure of Client Information Between Law Firms by

Tagged:

Posted by on August 9, 2012. Filed under Home. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.

 

 

Job of the Day
Assistant Counsel
USA-CA-El Centro

The Imperial Irrigation District a public utility located in southeastern CA is seeking an Assistant Counsel, Energy to assist in the administration of District legal matters and provide legal advice ...