MPRE Client-Lawyer Relationship 4 — Questions and Answers
Question 1: A lawyer represents a client whose case settles for $100,000. The lawyer's fee is 33% ($33,000). The client also owes a medical provider $15,000 under a valid lien. The client instructs the lawyer to ignore the lien and send the client the full $67,000. What must the lawyer do?
- Follow the client's instructions and send the full $67,000 to the client
- Pay the medical lien from the settlement funds before disbursing to the client (Correct answer)
- Withdraw from the representation due to the ethical conflict
- Interplead the disputed $15,000 with the court
Correct answer: Pay the medical lien from the settlement funds before disbursing to the client
Under Model Rule 1.15, a lawyer must protect the interests of third parties with valid claims against settlement funds and may not simply turn over disputed funds to the client.
Question 2: An attorney is asked to represent a client in litigation against a company. The attorney's spouse owns 500 shares of that company's stock, representing 0.001% of outstanding shares. Is this a conflict of interest?
- Yes, any financial interest in an adverse party creates a non-waivable conflict
- Yes, but the conflict is waivable with client consent after disclosure
- No, because the interest is not significant enough to materially limit the representation (Correct answer)
- No, because the interest belongs to the spouse, not the attorney
Correct answer: No, because the interest is not significant enough to materially limit the representation
Under Model Rule 1.7, a conflict exists only if a personal interest 'materially limits' the representation; a de minimis ownership stake in a publicly traded company typically does not rise to this level.
Question 3: A law firm represents a large bank. An individual client asks the firm to represent her in a foreclosure defense against the same bank. What should the firm do?
- Represent both clients with appropriate ethical screens between attorneys
- Represent only the individual client since she needs more help
- Decline to represent the individual because of the direct conflict with the existing bank client (Correct answer)
- Withdraw from representing the bank to take the foreclosure case
Correct answer: Decline to represent the individual because of the direct conflict with the existing bank client
Under Model Rule 1.7, a lawyer may not represent a client whose interests are directly adverse to another current client without both clients' informed consent, which is unlikely in adversarial litigation.
Question 4: A lawyer represented a pharmaceutical company in patent litigation five years ago. A former employee now asks the lawyer to represent her in a wrongful termination suit against the same company. The lawyer no longer represents the company. May the lawyer take the case?
- Yes, because the prior representation ended five years ago
- Only if the pharmaceutical company consents to the new representation
- Only if the new matter is not substantially related to the prior representation (Correct answer)
- No, former clients always create a permanent disqualification
Correct answer: Only if the new matter is not substantially related to the prior representation
Under Model Rule 1.9, a lawyer may not represent someone adverse to a former client in the same or a substantially related matter where the lawyer received confidential information relevant to the matter.
Question 5: A client calls her attorney in a panic and asks the attorney to help her shred documents relevant to pending litigation. What must the attorney do?
- Help shred the documents if the client insists
- Advise the client not to destroy the documents and refuse to assist (Correct answer)
- Withdraw from the representation without explanation
- Report the client to the state bar immediately
Correct answer: Advise the client not to destroy the documents and refuse to assist
Under Model Rules 1.2(d) and 3.4, a lawyer must not assist a client in obstructing access to evidence or destroying documents with litigation hold obligations, and must counsel against such conduct.
Question 6: A lawyer is representing a client in a negligence case. The client reveals that an important eyewitness saw the accident but has not been contacted by either party. The witness's testimony would be harmful to the client's case. What should the lawyer do?
- Contact the witness and instruct them not to speak to opposing counsel
- Suppress the witness information since it is harmful to the client
- Do not seek to improperly influence the witness but is under no obligation to disclose the witness to opposing counsel (Correct answer)
- Immediately disclose the witness to opposing counsel as required by the Model Rules
Correct answer: Do not seek to improperly influence the witness but is under no obligation to disclose the witness to opposing counsel
A lawyer has no general duty to disclose unfavorable witnesses to opposing counsel, but must not obstruct access to witnesses or improperly influence them under Model Rule 3.4.
Question 7: A lawyer's client is a real estate developer. The client asks the lawyer to prepare contracts that contain terms the lawyer knows are unenforceable under state law. The client says other lawyers do it all the time. What should the lawyer do?
- Prepare the contracts as requested since the client controls the objectives of the representation
- Refuse to prepare the contracts and withdraw from the representation
- Advise the client that the terms are unenforceable but prepare them if the client still insists (Correct answer)
- Prepare the contracts only if the client signs a waiver acknowledging the issue
Correct answer: Advise the client that the terms are unenforceable but prepare them if the client still insists
Under Model Rule 1.2, a lawyer must abide by the client's decisions about the objectives of representation and may prepare documents with terms the lawyer considers unwise, as long as the client is informed and the terms are not fraudulent.
A lawyer represents a client whose case settles for $100,000.
The lawyer's fee is 33% ($33,000).
The client also owes a medical provider $15,000 under a valid lien.
The client instructs the lawyer to ignore the lien and send the client the full $67,000.
What must the lawyer do?