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Attorneys have an ethical obligation to serve their client’s interests rather than their own. When they put their own interests ahead of their client’s, they may be engaging in negligent representation or intentional misconduct that may constitute legal malpractice.
What Constitutes a Conflict of Interest?
A lawyer may operate under a conflict of interest when they owe fiduciary duties to one party who has an opposing interest to the lawyer’s client or when the lawyer’s interests conflict with the client’s. Common examples of conflicts of interest in legal representation include:
- Simultaneously representing two or more clients with opposing interests, such as counterparties in a contract negotiation
- Representing a client who has interests adverse to the lawyer’s prior client, which puts the lawyer in a conflict over maintaining their duties of confidentiality to their previous client with their present duty to provide vigorous legal advocacy to their current client.
- Having personal or financial interests that could influence the lawyer’s advice to their client.
Courts may assess whether a conflict of interest led to legal malpractice by evaluating whether an attorney violated a rule of professional conduct governing attorneys or breached fiduciary duties owed to a client, which caused the client to suffer financial or legal losses.
How a Conflict of Interest Can Lead to Legal Malpractice
A lawyer’s conflict of interest can lead to legal malpractice when the conflict causes the lawyer to breach their fiduciary duties or ethical obligations which harms the client’s case. A lawyer’s fiduciary duties include undivided loyalty and confidentiality to clients. These duties ensure that a lawyer always acts in their client’s best interest and does not benefit themselves or third parties at the client’s expense. Conflicts of interest may lead to attorneys inadvertently or intentionally engaging in malpractice by:
- Providing incomplete, inaccurate, or compromised legal advice
- Steering the legal matter toward a result other than the client’s preferred outcome
- Disclosing the client’s confidential information
- Usurping the client’s legal or financial opportunities
Signs of a Conflict of Interests
Common red flags that may indicate a lawyer has a conflict of interest include:
- The attorney previously represented an opposing party in the legal matter
- The attorney discloses information they obtained in a prior legal representation
- The attorney may financially benefit from the client’s matter (aside from earning legal fees)
- The attorney represents other parties involved in the legal matter
- The attorney fails to disclose their prior representation of other parties involved in the matter
Client Rights and Legal Remedies
A client who believes their attorney has acted under a conflict of interest can pursue relief for the harm they suffered as a result. First, a client may report their attorney to the state bar, which may open an investigation that may lead to disciplinary proceedings against the attorney. The client can also initiate a legal malpractice claim against their attorney. A legal malpractice claim requires a client to prove their attorney owed them a legal duty, breached that legal duty, and that breach caused them to suffer financial or legal harm.
A legal malpractice claim can provide a client with various forms of relief, such as financial compensation for losses caused by the attorney’s operating under a conflict of interest or reinstatement of legal rights lost due to the attorney’s conduct.
Preventing Legal Malpractice from Conflicts of Interest
Clients can protect themselves from conflicts of interest that could lead to legal malpractice through best practices such as:
- Conducting due diligence when hiring attorneys, including confirming that the attorney has conducted a conflicts check
- Carefully reading client engagement letters and having independent counsel review proposed conflict waivers
- Seeking a second opinion if you suspect your attorney has a conflict of interest
Contact a Legal Malpractice Attorney Today
Have you been the victim of legal malpractice caused by your attorney’s conflict of interest? If so, you need dedicated advocacy and assistance to pursue relief and recovery for your losses. Contact Stanfield Bechtel Law today for an initial consultation with a knowledgeable legal malpractice attorney.