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2 Prof. Law. 1 (1990-1991)

handle is hein.journals/proflw2 and id is 1 raw text is: THE PROFESSIONAL LAWYER Special Coordinating Committee on Professionalism American Bar Association Center for Professional Responsibility Concerns over confidentiality, conflicts of interest remain Debate continues on lawyers' role in ancillary businesses Some of the current discussion about lawyers' involvement in non- traditional business activities is represented here-in the interim report of the Working Group to the Special Coordinating Commit- tee on Professionalism, in Dennis J. Block's dissent to that report, and in a letter written by sole practi- tioner Wesley P. Hackett, Jr. point- ing out the wide-ranging nature of the non-traditional activities. These contemporary views are followed by a speech given in the middle of the Depression by Harlan Stone, also addressing lawyers' relationship to business and to society. Working Group counsels further study Working Group on Ancillary Business Activities' Interim Report to the Special Coordinating Committee on Professionalism Summary The undersigned Working Group was assembled in August 1989 by the Special Coordinating Commit- tee on Professionalism to study and report on lawyers' nonpractice business activities, or ancillary business. Our recommendations are (1) that the Special Coordinating Com- mittee co-sponsor and support the recommendations proposed by the Standing Committee on Ethics and Professional Responsibility, calling for deferral of the House of Dele- gates' consideration of the subject of lawyers' ancillary business activ- ities until after both Committees have had a full opportunity to con- sider the subject in consultation with other interested bodies of the Association and the public; and (2) that, in the event the Section of Liti- gation's Recommendation and Re- port on Law Firms' Ancillary Business Activities is nonetheless brought to the House of Delegates at the Annual Meeting in August 1990, the Special Coordinating Committee oppose adoption of the recommendations of that report. Our Interim Report in support of these recommendations follows in four parts: Part I discusses the background of our assignment and our general approach to the professional is- sues raised. Part II describes the Working Group's study and analysis to date. We have concluded that when a nonpractice business or service is sufficiently connected to a lawyer or firm, certain profes- sional concerns are potentially raised. The ABA Commission on Professionalism focused on con- flicts of interest arising in the oper- ation of ancillary businesses. We agree and would add as further concerns the need to protect confi- dential information and the need to avoid confusion on the part of consumers of the nonpractice ser- vice as to the role of the lawyer. Part Ill discusses the Litigation Section proposals. The Working Group has concluded that these proposals are unsound and unjusti- fied on the merits. Moreover, they are procedurally premature for consideration by the House of Del- egates, having not had the benefit of study by the Standing Commit- tee on Ethics and Professional Re- sponsibility (hereafter the Ethics Committee). Part IV describes our unfinished business. We are continuing to re- fine our formulation of the issues and possible responses to them in a way that will be useful to the As- sociation's entities primarily re- sponsible for reviewing changes to the professional conduct rules. We (continued on page 3) The involvement of lawyers in owning or operating busi- nesses that provide services going beyond what is viewed as the traditional practice of law provokes deeply held feelings, and challenges accepted beliefs and assumptions. Volume 2, Number 1, 1990

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