Bar Ethics Committee will decide whether to modify or withdraw Ethics Op. 87-4 which allows lawyers to offer 2 contracts to PI clients

Hello everyone and welcome to this Ethics Alert blog which will discuss the recent Notice in the April 30, 2013 issue of The Florida Bar News advising that the Bar’s Professional Ethics Committee (PEC) will consider whether to modify or withdraw current Florida Bar Ethics Opinion 87-4, which states that lawyers may offer personal injury clients a choice between two contingent fee contracts with differing percentage fees depending on whether the client or the lawyer will assume responsibility for submitting the client’s medical bills for payment as long as neither percentage exceeds the maximum allowed under the contingency fee requirements of the Rules Regulating The Florida Bar.  The Florida Bar’s Notice is at http://www.floridabar.org/DIVCOM/JN/jnnews01.nsf/8c9f13012b96736985256aa900624829/39825807a56dd34185257b5500458f47!OpenDocument and Ethics Opinion 87-4 is at: http://www.floridabar.org/tfb/tfbetopin.nsf/SearchView/ETHICS,+OPINION+87-4?opendocument

The PEC will consider whether to withdraw or modify Ethics Opinion 87-4 at its meeting at 2 pm on June 28, 2013 at the Boca Raton Resort & Club in conjunction with The Florida Bar Annual Convention.  The review of the Ethics Opinion for potential withdrawal or modification is in conjunction with the recent Notice that the Bar Board of Governors intends to take final action on proposed changes to the Florida Bar rules at its May 31, 2013 meeting in Sarasota.

The proposed Bar rule changes include proposed new Rule 4-1.5(f)(4)(E), which would prohibit a lawyer from charging any additional fee to the client for providing “ordinary lien resolution” and, if all fees for the personal injury matter plus lien resolution exceed the contingent fee schedule, “extraordinary services for subrogation and lien resolution” may be referred to another only with the client’s informed consent.  Further, any additional fees by the other lawyer must comply with all provisions of the fee rule and that the lawyer providing the extraordinary subrogation and lien resolution services may not divide fees with the lawyer handling the personal injury or wrongful death claim.  The Comment to the Rule “explains what lien resolution services are required as part of the original fee contract and what extraordinary services entail.”

Comments regarding the proposed modification or withdrawal can be directed to Elizabeth Tarbert, Bar Ethics Counsel in Tallahassee or by e-mail to the Bar Ethics Department at eto@flabar.org.

Bottom line:  This proposed Bar rule would impose (for the first time) a duty on Florida lawyers to provide “ordinary lien resolution” services in all personal injury and wrongful death matters.  If the proposed rule is implemented, one of the questions will be what is “ordinary lien resolution” and what constitutes “extraordinary services for subrogation and lien resolution”  As I have previously explained, if there are disputes regarding distribution of PI/wrongful death settlement funds, including disputes by third party lien holders, the lawyer can consider an interpleader action and placing the funds in the registry of the court.

Be careful out there!

Disclaimer: this e-mail does not contain any legal advice and the comments herein should not be relied upon by anyone who reads it.

Joseph A. Corsmeier, Esquire

Law Office of Joseph A. Corsmeier, P.A.

2454 McMullen Booth Road, Suite 431

Clearwater, Florida 33759

Office (727) 799-1688

Fax     (727) 799-1670

jcorsmeier@jac-law.com

www.jac-law.com

About jcorsmeier

Joseph A. Corsmeier is an “AV” rated attorney practicing in Clearwater, Florida. He concentrates his practice primarily in the areas of defense of attorney disciplinary matters before The Florida Bar, attorney admission matters before the Florida Board of Bar Examiners, and professional license and disciplinary matters before the Boards of the State of Florida. He provides expert analysis and opinion on conflict of interest and other attorney disqualification and legal malpractice issues and he testified as an expert in the Florida courts. He served as an Assistant State Attorney in the Sixth Judicial Circuit from 1986 to 1990 where he prosecuted felonies exclusively from June 1987, and as Bar Counsel for The Florida Bar’s Department of Lawyer Regulation from 1990 to 1998. He also practices in the areas of estate planning and Medicaid qualification, workers’ compensation, and labor law. Mr. Corsmeier is the author of numerous articles for various bar publications, has spoken at numerous local and statewide seminars on various topics, including ethics and professionalism, and was an instructor of legal ethics for paralegals at Rollins College until the Tampa campus closed. He received his undergraduate degree from Florida State University and his J.D. from Mercer University. He is admitted to practice in all Florida Courts, the Supreme Court of the United States, the United States Court of Appeals for the Eleventh Circuit, and the Middle District of Florida. He is a member of The Florida Bar, American Bar Association, the Association of Professional Responsibility Lawyers, and the Clearwater and St. Petersburg Bar Associations.
This entry was posted in Attorney discipline, Attorney ethics, Florida Bar discipline, Florida Bar ethics, Florida Bar Rules, joe corsmeier, joseph corsmeier, Lawyer Ethics, Lawyer ethics opinions, Lawyer fee agreements, Lawyer Professional Responsibility and tagged , , , , , , , , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s