These are turbulent times. Like many businesses and individuals who are struggling to pay bills and stay afloat, clients may also be struggling to pay fees. Pursuing a fee claim under these circumstances would be problematic for a variety of reasons. Aside from the obvious destruction of the business relationship, fee claims typically elicit cross-claims for malpractice and breach of fiduciary duties.
The Covid-19 pandemic has altered how we interact with our clients, third parties and each other. It has required the legal profession to begin working from home virtually overnight. Naturally, this has led to a search for effective video conferencing technology that will allow lawyers to remotely hold meetings and conduct depositions. As with any technology, the use of video conferencing technology has its risks, especially for lawyers who have never used it before.
As the effect of the COVID-19 pandemic progresses, there is uncertainty surrounding how the impact of the virus on the economy will affect law firms in particular. To prepare for any potential interruption due to COVID-19, attorneys need to develop business continuity and business resiliency plans similar to those utilized in the event of natural disasters and other major disruptions.
It used to be that lawyers got sued very rarely, but that’s gone out the window, said Shelagh McCarthy Savino, assistant vice president of claims for insurer Berkley Select LLC, during a panel discussion on trends in insurance coverage for legal professional liability claims.
“The clients that you think are not going to sue you will in fact sue you,” she said.
Significance of Decision
This is yet another case where a court has held that attorneys are absolutely immune from liability to non-client third-parties for conduct which occurred within the scope of their representation.