Judges are bound by a code of conduct in the jurisdiction where the judge sits. Like the code governing attorneys, judicial codes vary somewhat from state to state. There are ramifications for judges who break this code, some can be very severe. In the more common scenario, a judge may face criticism for conduct that may be perceived as an inappropriate use of the bench also known as “black robe disease,” when a judge lets her authority over the court go to …
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Beware of the Referral Website
Professionals love a good referral source. Some attorneys and others use referral service-providers to reach a wider audience via the internet. But these services are not without risk. A recent Indiana decision demonstrates the ethical pitfalls inherent in referral websites. In this decision, an attorney was held accountable for an improper advertising model utilized by the referral website.
In a decision issued last week, an attorney found himself on the wrong end of an ethics debate when the Indiana Supreme Court concluded that the American …
Continue ReadingNCAA Sports Probe Triggers Ethics Complaint
The NCAA has established strict rules to regulate the activities of student-athlete representatives, aka “boosters.” If a booster violates collegiate rules, the NCAA can take action to hold an athlete ineligible from competition or impose other sanctions upon the school. In a recent unexpected development, the NCAA was put on the defensive when its investigation of the University of Miami football program revealed that one of its own attorneys may have violated Florida’s ethics rules.
This story begins with a former Miami booster …
Continue ReadingAlternative Litigation Financing Sparks Malpractice Claim
A modern-day offshoot of the contingency fee arrangement is “alternative litigation financing.” Also known as third-party litigation financing, A.L.F. is the practice of making cash advances, usually to a litigant, to be repaid from the proceeds from the litigation. There is plenty of room for debate the pros and cons of this developing trend. Supporters may argue that this practice allows an injured plaintiff to take an “advance” on an anticipated recovery to address financial hardship before reaching a settlement or verdict. This is particularly …
Continue ReadingRecent Decision: Impeaching an Expert Witness
Attorneys and litigants would love a peek behind the curtain to develop a better understanding of their adversary’s case. Of course discovery provides the parties with various tools to identify and narrow the issues prior to trial. But discovery can only reach so far. In light of various privileges and exceptions, litigants often grapple over those materials that are discoverable and those that remain protected. In a recent New Jersey Superior Court decision, the court evaluated the extent of the attorney work-product doctrine as it …
Continue ReadingClosing Arguments: It’s Business, Nothing Personal
If trial is a performance, than the closing arguments is clearly the final act. Attorneys channel their inner-actor and perform for the jury with an eye toward persuading the fact-finders to rule in their client’s favor. Every attorney has a personal style during closings. Some are assertive, some conservative. Many attorneys look for creative ways to convey their points. However, there is significant risk that unusual closings may go too far and jeopardize the case, or worse. Take for example the recent reversal of …
Continue ReadingFailure to Disclose Health Condition is Grounds for Malpractice
Attorneys have an ethical duty to keep a client reasonably informed about the status of the representation. The rules of professional conduct generally require a lawyer to provide the client with sufficient information to participate intelligently in decisions concerning the objectives of the representation. Fulfilling this ethical obligation, however, may sometimes require the attorney to inform the client about personal matters that may affect the attorney’s ability to represent the client’s interest. For example, an attorney may be obligated to disclose her own health condition …
Continue ReadingCy-“Burned” – The New Importance of Cyber Insurance
Data breaches that result in the unwanted dissemination of personal information are prevalent in the news of late, particularly given the rapid growth of electronically stored information and online commerce. A data breach can be very, very expensive even for the smallest of companies. On average, a relatively small breach that involves less than 10,000 records reportedly costs about $2.4 million in out-of-pocket expenses, $3 million in lost revenue, and no small amount of lost client confidence. Despite this risk, another recent study found that …
Continue ReadingProfessionals Targeted in Shareholder Suits
It is generally well settled that shareholders may sue a corporation’s board of directors. When business transactions go awry or in the wake of questionable (or certainly fraudulent) business practices shareholders have standing to sue directors and officers under theories of breach of fiduciary duty and the like. But shareholders may have other targets as well. Many corporations rely upon third-party advisors before making corporate decisions. May a shareholder target financial advisors, accountants, attorneys and other third-party professionals in this scenario? A recent decision suggests …
Continue ReadingInsider Trading at Law Firms? You Bet.
Law firms house a treasure trove of sensitive documents, confidential information, trade secrets and other materials of immeasurable value. Most professionals are aware of these risks and take steps to safeguard cyber and hard copy materials. Yet, the frightening ease with which materials land in the wrong hands was made public recently when a stock broker and a law firm employee were arrested on charges of fraud in connection with a $33 million insider trading scheme.
According to reports, here is how the scheme …
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