Attorney-Client Privelidge for Transactional Attorneys

Attorney-Client privilege is a particularly tricky issue for attorneys who handle business transactions in Phoenix, as they so often have clients for both legal and non-legal services. A client who requires legal services is protected by quite strict attorney-client privilege ethics rules. However, a client who is provided strictly non-legal services cannot be protected by attorney-client privilege. The ambiguous part comes when a client uses both legal and non-legal services. Transactional attorneys repeatedly face this situation.

The Rules

• A lawyer may not act unfavorably to a current client.

• A lawyer may act unfavorably to a former client only if the new issue is clearly unrelated to the issue the lawyer previously handled.

• A conflict that affects one member of the firm affects all members in the firm.

• A client may waive conflicts if provided proper disclosure and consent. The court usually takes the client’s expected level of sophistication and understanding into account when judging the validity of waivers.......

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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