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Role of The Lawyer: Sophisticated Client

This chapter discusses the role of lawyers and ethics in business. It notes that sophisticated clients understand when to hire, fire, and represent themselves, and know their legal rights. Lawyers can provide advice to help businesses comply with laws and minimize risks. The lawyer's role is to give advice while the client makes decisions. Lawyers should be hired for matters exceeding small claims limits or involving criminal law. Fees may be fixed, hourly, or contingent on outcomes. Businesses should establish codes of ethics regarding values, conflicts of interest, and legal compliance.

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75 views

Role of The Lawyer: Sophisticated Client

This chapter discusses the role of lawyers and ethics in business. It notes that sophisticated clients understand when to hire, fire, and represent themselves, and know their legal rights. Lawyers can provide advice to help businesses comply with laws and minimize risks. The lawyer's role is to give advice while the client makes decisions. Lawyers should be hired for matters exceeding small claims limits or involving criminal law. Fees may be fixed, hourly, or contingent on outcomes. Businesses should establish codes of ethics regarding values, conflicts of interest, and legal compliance.

Uploaded by

Veronica
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Chapter 1

Sophisticated client: A client who understands the role of the lawyer and of
the client and knows when to represent themselves, when to fire a lawyer, and
how to hire a lawyer. They also know what can be done if she is dissatisfied with
the conduct of their lawyer.
o The law will protect you from who try to take advantage of you.
o The law is sophisticated.
o So, too, must you be.
Good business decisions cannot be made without consideration of the
appropriate laws
Burden of proof borne by the plaintiff in a civil lawsuit is that he/she must prove
his case on a balance of probabilities

Role of the Lawyer

Client is the decision maker


o Client encountered a problem and must make a decision
o Client needs to collect info before making an informed decision
Lawyers advice will not be useful unless the client has provided all relevant info
to the lawyer
Solicitor-client privilege: The duty of the lawyer to keep info provided by the
client confidential
Legal advice will enable better decisions
Lawyers can provide info and advice to help businesses make decisions
appropriate for achieving their objectives, understand what is required to ensure
compliance with laws, and minimize potential risks and liabilities
Time and cost must be considered before consulting a lawyer
Lawyers should be hired if:
o The client cant access or understand the relevant info
o The small claims court maximum limit is exceeded (will take place in
superior court)
o There is a criminal prosecution
How to find a good lawyer:
o Make a list of possible lawyers
o Call for consultation
o Mutual trust is key (solicitor-client relationship)
Advantages of an ongoing relationship:
o Understanding of your business
o Efficient providing of legal advice reduced legal costs
o Customized legal advice more useful
o Requests for legal advice have priority important when urgent
o Comfortableness more likely to ask for legal advice

Billing

Always discuss fees during initial consultation

Lawyer may bill on basis of a fixed fee, time spent on an hourly rate, or as a
contingency fee
Contingency fee: Lawyer will receive a percentage of the amount the client
collects, through a settlement or court judgment
o I.e., Personal injury claims, product liability cases
Disbursements Out-of-pocket costs incurred by the lawyer on the clients
behalf
o I.e., Court fees for filing documents, courier charges, fees charged by an
expert for testifying
Retainer: A trust account holding the clients deposit for future legal work
Legal aid: Provided for people with low income for serious family, child
protection, or criminal law issues, or for immigration, mental health, and prison
law issues
o Client must meet financial guidelines involving household income and
assets
Duty counsel: Court lawyers who assist individuals who are not represented by
a lawyer
o May be available in criminal courts, family courts, immigration courts, and
hearings before housing tribunals or psychiatric facilities
o Legal advice, not legal representation
o Speak on your behalf in court on simple matters and attend family case
conferences
o Will not take on your whole case or represent you at trial
If there is a fee dispute and mediation is unsuccessful, the client can have the
bill reviewed by a court official
Conduct complaints are brought to the law societies that has a complaintresolution process
Complaints may be investigated and if mediation fails there may be a hearing

Ethics

Lawyers have ethical obligations governed by provincial law society mandates


Ethics: The principles of conduct governing an individual or group and implies
integrity, honesty, and professionalism
Take action that is appropriate, on a timely basis, if your lawyer is unethical
Businesses can make a commitment to ethical behaviour by preparing and
communicating a statement of values and principles of ethical conduct to
employees
o Referred to as a Code of Conduct or Code of Ethics
Code of business conduct: A formal statement adopted by a company that
sets out its values and standard of business practices
o Conflicts of interest
o Protection and proper use of corporate asses and opportunities
o Confidentiality of corporate info
o Fair dealing with the issuers security holders, customers, suppliers,
competitors, and employees
o Compliance with laws, rules, and regulations

The reporting of any illegal or unethical behaviour

Table 1.1 Core values and Ethical Principles


Core Ethical Supporting Ethical Principle
Values
Trustworthiness Truthfulness, sincerity, candour, integrity, promise keeping,
loyalty, honesty
Respect Respect, autonomy, courtesy, self-determination
Responsibility Responsibility, diligence, continuous improvement, self-restraint
Fairness Justice, fairness, impartiality, equity
Caring Caring, kindness, compassion
Citizenship Citizenship, philanthropy, voting

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