The Florida Bar’s Board of Governors gives final approval to Bar Rule 4-1.5(f) amendment related to resolution of extraordinary liens in contingency matters

Hello and welcome to this Ethics Alert blog which will discuss the recent approval by The Florida Bar’s Board of Governors (BOG) of an amendment to Florida Bar Rule 4-1.5(f) related to extraordinary liens in contingency matters.  I previously blogged about the proposed revisions to Bar Rule 4-1.5(f) in my 6/6/13 and 9/5/13 Ethics Alerts.

At its meeting on December 4, 2015, the BOG waived second reading of the proposed rule and took final action and the proposed rule amendment will be filed in the existing case: In Re: Amendments to Rule Regulating The Florida Bar 4-1.5 – Fees and Costs for Legal Services, Case No. SC14-2112 on January 15, 2016, pursuant the Supreme Court’s order in that case.

The BOG had previously approved an amendment to the rule allowing the retention of attorneys to handle medical and other liens under a reverse contingency fee with the consent of the client; however, the Florida Supreme Court rejected that rule amendment and opined that it is the responsibility of the lawyer as part of the original contingency contract to resolve the liens.

The rule amendment that was approved by the BOG on December 4, 2015 addresses the use of lien modification attorneys at the end of a personal injury or wrongful death case to handle negotiations over extraordinary liens.

Under the proposed amendment, attorneys can be employed in extraordinary cases with full disclosure and written approval of the client and with a judge’s approval. The judge would also be authorized to review and adjust the fees both of the main tort attorney and attorneys handling the liens.

Bottom line:  As I previously stated, it is the general practice of lawyers in Florida to resolve client liens on behalf of the client as part of the representation; therefore, this revision will not generally impact lawyers in most cases; however, if there are extraordinary circumstances, the proposed rule revision would require the client to give written approval the retention of the attorney to handle the extraordinary liens.  A judge would also have to give approval and would be authorized to review and adjust the fees both of the main tort attorney and attorneys handling the liens.

Be careful out there!

Disclaimer:  this e-mail is not an advertisement, does not contain any legal advice, and does not create an attorney/client relationship 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

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 ethics, Florida Bar ethics, Florida Bar rule 4-1.5 resolution of extraordinary liens in contingency cases, Florida Bar Rules, Florida Bar Rules contingent fee agreements, joe corsmeier, joseph corsmeier, Lawyer Ethics, Lawyer fee agreements, Lawyer lien resolution, Uncategorized and tagged , , , , , , , , . Bookmark the permalink.

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