Ethics Opinion Topic Index

Federal Practice

Applicability of ethics rules

Fee Splitting

For-profit matching services

Fees

Consultation fees
Discounts
Donations
Fee schedule
"No fee unless recovery"
Accounting to client
Adjustments in fee agreement after work performed
Ambiguous in fee agreement
Apportionment among third parties benefited by services
Assisting client to proceed pro se
Billing multiple clients for work during same time period
Charging fee for grievance defense
Charging for withdrawal
Court-awarded sanctions
  •  73 MBJ 1085 (Oct 1994),
Disciplined lawyer
Division of fee with out-of-state attorney
Divorce case, "results obtained" or "value added" provision
Duty to review reasonableness of fee before collection
"Earned" portions of fixed fee
Fixed fee refund
Installment recovery
Interest on past due accounts
  •  70 MBJ 948 (Sep 1991),
  •  76 MBJ 986 (Sep 1997),
Interrupted representation
  •  75 MBJ 294 (Mar 1996),
Mixed fee, hourly/percentage/fixed
No-fault insurance representation
"Nonrefundable" retainer refund
Out-of-state attorney, division of fee
PIP claims
Present value of pension benefits
Property execution against client exceeds fee owed
"Quantum meruit" calculated
"Reasonableness" of fee
Reviewability by court
Scope of representation affects calculation
Setting aside settlement
Settlement negotiation on merits
Surcharges
Assignment of receivables while representing debtor
Bypassing trust account
Court-appointed receiver charging to defend grievance
Court-awarded fees
Court awarded sanctions
Credit card arrangement for client fees
Disciplined lawyer
Disputed fees—court awarded sanctions execution against client property
Hospital charged for no-fault representation
Insufficient funds to pay client judgment and fee award
Litigation while still representing client prohibited
Pursuing fee award when client judgment unsatisfied
Receiver charging fees to defend grievance
Sanctions ordered by court—division with client
Written fee agreement—court awarded sanctions
Accounts receivable information disclosed to bank
Fee arrangement
  •  75 MBJ 822 (Aug 1996),
Reporting cash transactions over $10,000
Revealing amount to opposing party as part of settlement negotiation of client's matter
Attorney fee as part of negotiated settlement on merits
Commission from real estate broker for referring customers
Court awarded sanctions
Disputed fees—court awarded sanctions
Forwarding client to nonlawyer for services, collecting fee
No-fault claim and medical providers
Sanctions ordered by court—division with client
Screening disqualified lawyer from participation in fee
Segregating transferred lawyer from fee
Transferring lawyer screened
Use of subsidiary firm to limit fees
Written fee agreement—court awarded sanctions
Appeal, no extra charge
Arbitration clause as part of agreement
Client consent to referral service portion
Contested referral fee
Contingent fee agreement, portion for successor lawyer
Deposit in interest-bearing trust account until earned
Disbursing trust funds
Failure to perform when not paid
  •  In Re Daggs,
  •  384 Mich 729 (1971),
Judicial objection to attorney fee
Lawyer testifying; firm disqualification
Liens, charging
  •  68 MBJ 856 (Sep 1989),
  •  73 MBJ 690 (Jul 1994),
Liens, retaining
  •  68 MBJ 856 (Sep 1989),
  •  73 MBJ 690 (Jul 1994),
Liens, security interest
  •  RI-040,
  •  68 MBJ 856 (Sep 1989),
  •  73 MBJ 690 (Jul 1994),
Notice to medical providers on no-fault claim
Property execution exceeds fee owed
Stipulation for withdrawal when not paid
Unearned fees deposit in trust account
When available only on percentage basis
Assignments of receivables
Calculation dispute
Court award against client real estate
Credit card arrangement for clients
Disbursement dispute
Failure to perform when lawyer not paid
  •  In Re Daggs,
  •  384 Mich 729 (1971),
Insurance policy on life of client to secure fee
Interest on unpaid accounts
  •  76 MBJ 986 (Sep 1997),
Liens, charging
  •  68 MBJ 856 (Sep 1989),
  •  73 MBJ 690 (Jul 1994),
Liens, judgment
Liens, retaining
  •  68 MBJ 856 (Sep 1989),
  •  73 MBJ 690 (Jul 1994),
Liens, security interest
Mortgage interest to secure
Remedies
  •  68 MBJ 856 (Sep 1989),
  •  73 MBJ 690 (Jul 1994),
Reporting unpaid bills to credit reporting agency permissible only under certain conditions
Security interest
Stipulation for withdrawal when not paid
Suit for unpaid fees against current client
Appeal, no provision for taking
Arbitration clause in attorney/client fee agreement
Bequest to particular beneficiary
Bypassing trust account
Client agreeing to pay lawyer's malpractice premium
Consent of client for division of fee
Conservator as client/contingent fee
Contingency fee re-negotiating with client
Contingent fee agreement silent concerning appeal
Contingent fee divided with out-of-state attorney
Contingent fee divided with suspended lawyer
Contingent fee for independent contractor
Contingent fee for insurance benefits owed fiduciary client
Disclosure of details of fixed fee for representing insured not required
Discounts for special clients
Discounts for specific services
Discounts as incentives for membership in organization
Divorce case, "results obtained" or "value added" provision
Donation of fee to charitable purpose
Escheated funds
Fee division with law firm
Fees paid by third party
Fixed fees
Flat fee, insufficient for adequate representation
Hourly/percentage rate, greater of
Hourly/percentage rate, lesser of
Independent judgment—fees paid by third party
Insurance policy on life of client to secure fee
Installment recovery
Insurer paying fixed fee cannot require lawyer not to disclose fee basis to client
Interest charged on unpaid client accounts
  •  70 MBJ 948 (Sep 1991),
Lawyer departing firm
Lawyers in different firms
Limited to specific advice
Limiting liability in retainer agreement
Mixed fee, client pays greater of two calculations
Mixed hourly/percentage rate
Mortgage on client property to secure fee
Parent paying for representation of minor child
Partnership agreement
Probate and wrongful death action charged at different rates
"Reasonableness" of fee agreement
Reduced billing for limiting liability of lawyer
Re-negotiating contingency fee agreement
Reviewable by court
Set by contract with referral agency
Stipulation for withdrawal if fee not paid
Third party limiting advice or services
Transportation time to and from court
Accepting credit card payments for advance legal fees
Advising client of available fee options
Allocating attorney fees to class action clients
Attorney fees allocated to class action clients
Costs, client responsible for court costs
Conflict of interest and acceptance of referral fee
Foreclosure exceeds fee owed
Installment recovery, how fee paid
Insurance policy, lawyer beneficiary on client life
Interest on unpaid client accounts
  •  70 MBJ 948 (Sep 1991),
Limited to specific advice
Mortgage on client property to secure fee
Set by contract with referral agency
Third party limiting advice or services
Witness fees
Alimony, collection of
Collection cases taken on percentage basis
Commission from nonlawyer for referring business
Contingency fee—re-negotiating with client
Consultant contract with law firm
Contingent fee agreement, portion for successor lawyer
Contingent fee for renegotiating settlement
Contingent fee in collection case
Contingent fee in domestic relations cases
Court-awarded sanctions
  •  73 MBJ 1085 (Oct 1994),
Divorce case, "results obtained" or "value added" provision
"Earned" portions of fixed fee
Fixed fee, refunds
Fixed fee arrangement terminated
Fixed fee for subsidiary firm
Hourly rate to submit to deposition
Interest on unpaid client account
  •  70 MBJ 948 (Sep 1991),
Late fees
Mixed fees consisting of hourly/percentage/referral
Nonrefundable retainers, criteria
Nonrefundable retainers deposited in operating account
Referral fee
Referral fee from insurance agent
Referral service participation
  •  70 MBJ 146 (Feb 1991),
Re-negotiating contingency fee agreement
Retainer, accepting without instruction concerning work
Retainer, nonrefundable
Retainers deposited in trust account
Statutory attorney fees
Subsidiary firm charging fixed fee
Surcharges
Transferred lawyer, screened from fee
Transportation time charged to client
Witness fees
Ambiguity interpreted for client
Appeal not covered in trial contract
Arbitration of fee disputes
Client agreeing to pay lawyer's malpractice premium
Contingent fee based upon future recovery
Interest charges
  •  70 MBJ 948 (Sep 1991),
Lawyer departing firm
Lawyers in different firms
Limiting liability in retainer agreement
Mixed fee arrangements
Nonrefundable retainer
Partnership agreement—division of fees
Reduced billing for limiting liability of lawyer
Security interest to secure fee

Files of Client

Access to information about client of former firm
"Client property"
Copying costs
Damaged client files
Declined representation
Departing lawyer
File is property of lawyer
Held by discharged lawyer until costs paid
Microfilm in lieu of paper file
Lien
  •  68 MBJ 856 (Sep 1989),
  •  70 MBJ 1196 (Nov 1991),
  •  73 MBJ 690 (Jul 1994),
Notice regarding disposition of closed representation files
Ownership of representation file
Record retention plan
Referral agreement—new client against firm
Retaining lien
Retiring lawyer
Returning file to client
Successor counsel not responsible for client's arrearages
Withholding file until fee is paid
  •  RI-203,
  •  70 MBJ 1196 (Nov 1991),
  •  68 MBJ 856 (Sep 1989),
  •  68 MBJ 360 (May 1989),

Financial Interests

Accepting referral from investment firm
Alternate dispute resolution business, waiver of liability
Attorney advocate in matter
Collateral for law firm bank loan
Disclosure by judge
Disqualification of judge—firm purchasing Judge's former practice
Divestiture by judge
Financial connection between judge and advocate
Judge as landlord to lawyers
Judge failing to report outside income
  •  Matter of Jenkins,
  •  437 Mich 15 (1991),
Judge negotiating personal loan from estate
  •  In Re Graham,
  •  366 Mich 268 (1962),
Judge receiving pro bono legal services
Law firm buying Judge's former practice appearing before judge
Lawyer named as personal representative without bond
Loan for law firm, revealing accounts receivable
Pension plan of judge
Referral fee from investment firm
Regular or one-time disbursements to judge
Spouse of judge as landlord to lawyers
Waiver of liability, nonlaw business

Firm Name

Common name not previously affiliated with firm
"Continuing succession"
Deceased lawyer
Employee of firm in name of firm
Former shareholder remaining with firm as employee
Franchising firm name as trade name
Inferring multiple offices
Historical landmark in firm name
"Honorable" being used by former judge
Lawyer and medical professionals
Lawyer no longer associated with firm
Lawyer not in fact partner or shareholder
Liability when office-sharers use joint name
  •  American Casualty Co. v. Costello,
  •  174 Mich App 1 (1989),
Limited Liability Company
Misleading ads, inferring more than one lawyer
"Of counsel"
Professional corporation held out as partnership
Professional corporation with name of out-of-state lawyer
Retaining title "Honorable" when entering private practice
Retired shareholder
Shareholder name in PC name
Subsidiary firm
Trade names
Unassociated lawyers
Using "Honorable" in letterhead
Domain Name

Forgery

Client fraud
Conduct as lawyer results in removal
  •  Matter of Loyd,
  •  424 Mich 514 (1986),
Misconduct as attorney resulting in removal from office
  •  Matter of Ryman,
  •  394 Mich 637 (1975),

Former Client

Former defense counsel becomes prosecutor
Insurance defense counsel transfers to plaintiff firm
Screening
Address of former client
Collection of judgment affected by prospective case
Consultation not resulting in representation
Current client's alleged fraud against former client
Disqualified prosecutor may not select special prosecutor
Joint client privilege vis-a-vis each other
Likelihood that confidential information will be used or disclosed
Nonpublic information relevant to subsequent case
Adverse to former client's recovery under judgment
Real estate claim against former client's property settlement
Judicial discretion in granting motions
Tactical motions
Access to information about client of former firm
Adversary of
Arising out of same incident with same parties
Assisting prospective client against
Changed circumstances as affecting
Child custody dispute with former client as interested person
City attorney presiding as hearing officer in matters related to city client's insurer
Confidentiality breach inevitable, disqualification
Confidentiality breach possible
Confidentiality duties to prospective client
Conflict screening
Consent to related representation
Corporation objecting to former counsel's representation
Custody dispute, spouse of former client
Defending client against
Disclosure of illegal activity
Discrimination suit against company lawyer formerly represented in discrimination matter
Divorce and land foreclosures
Divorce matter against same opponent
Divorce representation against former divorce client
Firm of transferring lawyer
Former prosecutor serving as judge
Hearing matter as referee
Illegal conduct of
Imputed disqualification after initial consultation
Initial consultation triggering disqualification
Initial interview by nonlawyer employee
Insured's claim against insurer formerly represented with insured
Insurer which regularly forwards business as adverse party in unrelated matter
Interference with ability of client to collect judgment
Joint clients in new dispute
Judgment for former client affected in current representation
Lawyer changing firms
lawyer's duty to prove no conflict
Likelihood that confidential information is relevant
Of former firm
Of former firm, representing adversary
Overlap of factual or legal issues with current representation
Property dispute awarded to former client
Prospective client causing later disqualification
Real estate claim against former client's property settlement
Representing unrelated client against insurer who regularly forwards business
Scope of representation makes unintentional breach of confidences inevitable
Shareholder against former client corporation
Subject matter same as current representation
Subsequent representation depleting assets available to satisfy client's judgment
Time passage as affecting
Transferring lawyer
Transferring nonlawyers
Will beneficiaries against former client personal representative
Witness in former client's proceeding
Adequacy
Imputation to assistant prosecutors
Not acceptable once conflict arises
Consultation not resulting in representation
Screening does not avoid duty
Timeliness
Unavailability of substitute counsel not an excuse

Former Law Firm

For-Profit Matching Services

Participation is unethical

Forwarding Business

From independent document preparation service
From lawyer's document preparation service
From lawyer's financial planning business
From lawyer's insurance business
From nonlaw business
  •  74 MBJ 438 (May 1995),
From lawyer's title insurance company
From marital counseling service
From physician
Financial planning business owned by lawyer
Insurance business owned by lawyer
lawyer's total fee in contingency matter limited to 1/3
Payment to lawyer
Percentage of nonlawyer's fee charged to client
Real estate brokerage
Title insurance company owned by lawyer

Fraud

Assisting client's illegal or fraudulent act
Bankruptcy fraud
client's fraudulent acts
Fraudulent alteration of deeds before becoming judge
  •  Matter of Ryman,
  •  394 Mich 637 (1975),
Fraudulent conveyance, duty to rectify
Investment fraud, identifying victims
Set aside divorce judgment for fraud
Submitting applications in name of deceased person
  •  Matter of Hotchkiss,
  •  411 Mich 1135 (1981),
Suspicion of client fraud insufficient to allow disclosure
Tax fraud of parties, Judge's reporting duty
  •  A/O 89,

Frivolous Suits

Duty to dismiss
Duty to investigate
"Reasonable investigation"
Relying on client's version of facts