06-02.

• Case Date: September 01, 2006
• Court: Kansas

Kansas Ethics Opinion 2006. 06-02. September 1, 2006KBA Legal Ethics Opinion No. 06-02September 1, 2006 TOPIC: Does participation in a lawyer referral arrangement with a nationwide internet-based advertising service linking consumers with bankruptcy counsel violate the ethical standards of the Kansas Rules of Professional Conduct? DIGEST: A not-for-profit referral service that requires an attorney to advertise in a legal directory run by a separate entity, and a referral fee to be paid to a different entity, lacks the independent not-for-profit status required for payment of reasonable fees under KRPC 7.2(c). REFERENCE: KRPC 7.2. The function of the Kansas Bar Association's ethics advisory service is to respond to inquiries from KBA members concerning proposed conduct. The limitations on the service do not allow us to render an opinion regarding past conduct or the conduct of someone other than the requesting attorney. The following constitutes only the opinion of the KBA Professional Ethics Advisory Committee, and is not in any way intended to be a guarantee of a particular result or a conclusion by appropriate authorities. Furthermore, this document constitutes the committee's opinion based on the facts and information contained in correspondence from the requesting attorney. It is based on a review of the Kansas rules of professional conduct and applicable case law. This opinion is not a grant of immunity from any form of legal or disciplinary proceeding. The opinion herein is that of a KBA committee without official government status. The Kansas Bar Association expressly disclaims any liability in connection with issuing this opinion. FACTS: Requesting attorney has asked whether participation in a nationwide internet-based lawyer referral service violates the Kansas Rules of Professional Conduct. The service, Consumer Legal Referrals of San Diego, CA, (CLR) is an internet-based, non-profit California corporation that has applied for 501(c)(3) status. It seeks to link consumers with bankruptcy lawyers and it will also provide other services, such as credit counseling required under the bankruptcy reform law passed in 2005. At some point in the future, it will also cover non-bankruptcy areas of law. Participating attorneys will have to provide proof of competence in the field and malpractice insurance. The referral service will provide consumers with a choice of three attorneys and will not be compensated by consumers. The service requires attorneys to place an advertisement with a legal directory operated by a third party, not owned...