rule 1.13 pa attorney what if organization is client, officer may be adverse

by Dr. Elmore Runte Sr. 10 min read

In dealing with an organization's directors, officers, employees, members, shareholders orother constituents, a lawyer shall explain the identity of the client when the lawyer knowsor reasonably should know that the organization's interests are adverse to those of theconstituents with whom the lawyer is dealing.

Full Answer

Can a lawyer bring to the attention of an organizational client?

204 Pa. Code Rule 1.13. Organization as Client. Rule 1.13. Organization as Client. (a) A lawyer employed or retained by an organization represents the organization acting through its duly authorized constituents. (b) If a lawyer for an organization knows that an officer, employee or other person associated with the organization is engaged in ...

When does a lawyer undertakes to represent the client on an ongoing basis?

Dec 25, 2021 · PDF. Current through Register Vol. 51, No. 52, December 25, 2021. Rule 1.13 - Organization as Client. (a) A lawyer employed or retained by an organization represents the organization acting through its duly authorized constituents. (b) If a lawyer for an organization knows that an officer, employee or other person associated with the organization is engaged …

Can a lawyer counsel or assist a client in Pennsylvania?

Rule 1.13: Organization as Client. ... If a lawyer for an organization knows that an officer, employee or other person associated with the organization is engaged in action, intends to act or refuses to act in a matter related to the representation that is a violation of a legal obligation to the organization, or a violation of law that ...

What are the rules of disciplinary enforcement in Pennsylvania?

Rule 1.13 Organization as Client (Rule Approved by the Supreme Court, Effective November 1, 2018) (a) A lawyer employed or retained by an organization shall conform his or her representation to the concept that the client is the organization itself, acting through its duly authorized directors, officers, employees, members, shareholders,

What is an organization client?

Organizational Client means an organization that purchases products or services where the decision maker at the client makes the purchase decision on behalf of people who are employees or members of, or otherwise actively affiliated with, the organization.

When an attorney represents an entity the attorney's client is?

An attorney who represents an entity generally has only one client, the entity itself. This is true when an attorney represents a private corporation, which acts through its directors, officers, and others.

Are employees constituents?

Officers, directors, employees and shareholders are the constituents of the corporate organizational client. ... "Other constituents" as used in this Comment means the positions equivalent to officers, directors, employees and shareholders held by persons acting for organizational clients that are not corporations.

Can a client consent to incompetent representation?

A lawyer cannot obtain an advance consent to incompetent representation. ... The lawyer must seek court approval where necessary and take steps to minimize harm to the clients. See rule 1.16. The lawyer must continue to protect the confidences of the clients from whose representation the lawyer has withdrawn.

Can an attorney date a former client?

Alberta's Code does not reference sexual relationships anywhere in its conflicts rules. ... It clarifies that “this Rule prohibits the lawyer from having sexual relations with a client regardless of whether the relationship is consensual and regardless of the absence of prejudice to the client” (Comm'y 17, emphasis added).Jul 3, 2018

Can a lawyer represent a client with interest adverse to those of a former client if yes when it can do so and if no state the reason behind it?

"It is never proper for a lawyer to represent clients with conflicting interest no matter how carefully and thoroughly the lawyer discloses the possible effects and obtains consents." ... Because of this constitutional injunction, there is absolutely no conflict between interest and duty in criminal cases.

Who are the corporations primary constituents?

The five key constituents in business are the Company, the Customer, the Team, the Stakeholders, and the Community.Jul 20, 2020

What is an Upjohn warning?

An attorney cautions company employees with an Upjohn warning when the company is involved in litigation or conducting an internal investigation. ... The company may choose to waive the privilege and disclose what the employee informs the attorney to a government agency or any other third party.

What are the internal constituents of the business Organisation?

The internal environment generally consists of those elements that exist within or inside the organization such as physical resources, financial resources, human resources, information resources, technological resources, organization's goodwill, corporate culture and the like.

What are the two types of legal conflicts?

What are the two kinds of legal conflicts are resolved in our legal system? Criminal and Civil cases.

What are the requirements for client consent to a possible conflict of interest?

The key in obtaining effective consent to a conflict of interest is that the lawyer must fully inform each affected client of the possible adverse consequences of the conflict, and each client must agree to waive the conflict.

What conflicts Cannot be waived?

Conflicts that are not consentable, therefore, are (1) conflicts in which the lawyer cannot reasonably believe he can provide competent and diligent representation to each affected client, (2) conflicts in which the representation is prohibited by law, and (3) conflicts in which the representation involves assertion of ...Nov 15, 2011

What is the purpose of Rule 1.13?

Any measures taken should, to the extent practicable, minimize the risk of revealing information relating to the representation to persons outside the organization. Even in circumstances where a lawyer is not obligated by Rule 1.13 to proceed, a lawyer may bring to the attention of an organizational client, including its highest authority, ...

What is an organizational client?

[1] An organizational client is a legal entity, but it cannot act except through its officers, directors, employees, shareholders and other constituents. Officers, directors, employees and shareholders are the constituents of the corporate organizational client.

Can a shareholder bring suit against a corporation?

[13] Under generally prevailing law, the shareholders or members of a corporation may bring suit to compel the directors to perform their legal obligations in the supervision of the organization. Members of unincorporated associations have essentially the same right. Such an action may be brought nominally by the organization, but usually is, in fact, a legal controversy over management of the organization.

When should a lawyer explain the identity of the client?

In dealing with an organization's directors, officers, employees, members, shareholders or other constituents, a lawyer shall explain the identity of the client when the lawyer knows or reasonably should know that the organization's interests are adverse to those of the constituents with whom the lawyer is dealing.

What is a lawyer who reasonably believes that he or she has been discharged?

A lawyer who reasonably believes that he or she has been discharged because of the lawyer's actions taken pursuant to paragraphs (b) or (c), or who withdraws under circumstances that require or permit the lawyer to take action under either of those paragraphs, shall proceed as the lawyer reasonably believes necessary to assure that the organization's highest authority is informed of the lawyer's discharge or withdrawal.

Who can a lawyer represent?

A lawyer representing an organization may also represent any of its directors, officers, employees, members, shareholders or other constituents, subject to the provisions of Rule 1.7.

The Entity as The Client

  • An organizational client is a legal entity, but it cannot act except through its officers, directors, employees, shareholders and other constituents. Officers, directors, employees and shareholders are the constituents of the corporate organizational client. The duties defined in this Comment apply equally to unincorporated associations. "Other constituents" as used in this Comment mea…
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Relation to Other Rules

  • The authority and responsibility provided in this Rule are concurrent with the authority and responsibility provided in other Rules. In particular, this Rule does not limit or expand the lawyer's responsibility under Rules 1.8, 1.16, 3.3 or 4.1. Paragraph (c) of this Rule supplements Rule 1.6(b) by providing an additional basis upon which the lawyer may reveal information relating to the re…
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Government Agency

  • The duty defined in this Rule applies to governmental organizations. Defining precisely the identity of the client and prescribing the resulting obligations of such lawyers may be more difficult in the government context and is a matter beyond the scope of these Rules. See Scope . Although in some circumstances the client may be a specific agency, it may also be a branch of government…
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Clarifying The Lawyer's Role

  • There are times when the organization's interest may be or become adverse to those of one or more of its constituents. In such circumstances the lawyer should advise any constituent, whose interest the lawyer finds adverse to that of the organization of the conflict or potential conflict of interest, that the lawyer cannot represent such constituent, and that such person may wish to ob…
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Dual Representation

  • Paragraph (g) recognizes that a lawyer for an organization may also represent a principal officer or major shareholder.
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Derivative Actions

  • Under generally prevailing law, the shareholders or members of a corporation may bring suit to compel the directors to perform their legal obligations in the supervision of the organization. Members of unincorporated associations have essentially the same right. Such an action may be brought nominally by the organization, but usually is, in fact, a legal controversy over manageme…
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The Entity as The Client

  • An organizational client is a legal entity, but it cannot act except through its officers, directors, employees, shareholders and other constituents. Officers, directors, employees and shareholders are the constituents of the corporate organizational client. The duties defined in this Comment apply equally to unincorporated associations. "Other constituents" as used in this Comment mea…
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Relation to Other Rules

  • The authority and responsibility provided in this Rule are concurrent with the authority and responsibility provided in other Rules. In particular, this Rule does not limit or expand the lawyer's responsibility under Rules 1.8, 1.16, 3.3, 4.1 or 8.3. Moreover, the lawyer may be subject to disclosure obligations imposed by law or court order as contemplated by Rule 1.6(b)(5). Paragra…
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Government Agency

  • The duty defined in this Rule applies to governmental organizations. Defining precisely the identity of the client and prescribing the resulting obligations of such lawyers may be more difficult in the government context and is a matter beyond the scope of these Rules. See Scope . Although in some circumstances the client may be a specific agency, it may also be a branch of government…
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Clarifying The Lawyer's Role

  • There are times when the organization's interest may be or become adverse to those of one or more of its constituents. In such circumstances the lawyer should advise any constituent, whose interest the lawyer finds adverse to that of the organization of the conflict or potential conflict of interest, that the lawyer cannot represent such constituent, and that such person may wish to ob…
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Dual Representation

  • Paragraph (g) recognizes that a lawyer for an organization may also represent a principal officer or major shareholder. Derivative Actions Under generally prevailing law, the shareholders or members of a corporation may bring suit to compel the directors to perform their legal obligations in the supervision of the organization. Members of unincorporated associations have essentiall…
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