A lawyer should never purchase a client's lawsuit. By purchasing lawsuits, a lawyer is taking advantage of the client.

Can I purchase my client's lawsuit?

Samuel C. Stretton. Samuel C. Stretton.

The answer is absolutely and emphatically no. In days of old, lawyers were not allowed to be involved in purchasing lawsuits in any way. Purchasing or investing in a lawsuit were serious matters. The actions of barratry and champerty prohibited such conduct. Some of these cases still exist in theory although they are rarely prosecuted.

A lawyer should not purchase a client's lawsuit. From a very practical standpoint the lawyer is supposed to be representing the client and protecting the client. By purchasing lawsuits, the lawyer is taking advantage of the client. The lawyer is doing business with a client and a lawyer can't do that unless and until there is a letter from the lawyer to the client about seeking independent legal advice and a letter back confirming the client is waiving that right. Rule of Professional Conduct 1.8(i) has an absolute prohibition of the lawyer acquiring a propriety interest in a cause of action that the lawyer is conducting for a client. There are two exceptions. A lawyer can acquire a lien authorized by law to secure the lawyer's fees or expenses. These are called retaining lien or legal lien. The other exception is a reasonable contingent fee in a civil case, which is allowed.

Comment 16 to Rule 1.8(i) notes as follows: "Like Paragraph E, the general rule has its basis in common law champerty and maintenance and is designed to avoid giving a lawyer too great an interest in the representation. In addition, when the lawyer acquires an ownership interest in the subject of the representation, it would be more difficult for a client to discharge the lawyer if the client so desires."

It is also noted that anytime a lawyer is going to do business with a client, they have to send a letter to the client advising them to seek independent counsel and of the nature of the conflict. That is Rule 1.8(a). This is a very important rule, which is often ignored by lawyers to their detriment.

It all comes down to what it means to be a professional. Purchasing a client's litigation, allowing nonlawyers to be part of a firm with an equity interest (Pennsylvania does not allow that, but several states do), is a very worrisome undermining of the professionalism of the legal practice.

If the client has not paid the legal fee, then the client must pay for the copying costs.

My client has discharged me and wants the file. Who pays for the copying costs?

The question is a very simple one. There is no Rule of Professional Conduct as to who pays the copying costs. The rule of thumb, which has has existed for several generations of lawyers has traditionally been that if the client has not paid the legal fee, then the client must pay the lawyer the monies to have the file copied. But if the client has already paid the legal fee then the copying is the lawyer's expense.

The better practice is to copy the client's file and give it to the client even if the client owes money. It is far better to bring the client in and then give the new lawyer the file than to have an angered client who can file multiple complaints against the attorney.

A good lawyer will know when to "smell out" a problem client. But the last thing a lawyer wants to do is to litigate or have multiple disputes with a problem client if it can be avoided.

Chester County lawyer Samuel C. Stretton has practiced in the area of legal and judicial ethics for more than 35 years. He welcomes questions and comments from readers. If you have a question, call Stretton directly at 610-696-4243 or write to him at 301 S. High St. P.O. Box 3231, West Chester, Pennsylvania, 19381.