Paralegal

Category - Ethics

An attorney represented a client in a case against the client’s former business partner. In her deposition, the client truthfully testified that she had lost her $100,000 investment in the partnership after her business partner negligently supervised the construction of a bistro (the business of the partnership). During the pretrial phase of the case, the business partner’s lawyer called the attorney and offered to settle the case for $15,000. The attorney became indignant, called the offer insulting, hung up the telephone, and did nothing further. What obligation, if any, did the attorney have under the Model Rules?
  1. An obligation to remind the lawyer of the amount of the client’s original investment.
  2. An obligation to accept the settlement offer to expedite resolution of the case.
  3. An obligation to convey the settlement offer to the client for consideration.
  4. The attorney has no obligation to take any action.
Explanation
Answer: C - An obligation to convey the settlement offer to the client for consideration. A lawyer must “reasonably consult with the client about the means by which the client’s objectives are to be accomplished; [and] keep the client reasonably informed about the status of the matter.” Model Rule 1.4(a). A lawyer must promptly notify a client of the substance of a settlement offer unless the client previously established acceptable and unacceptable settlement limits. Answer C is the best choice because the attorney did not convey the settlement offer to the client. Answer A is not the best choice because the attorney did not have any such obligation. Answer B is not the best choice because no such obligation to accept a settlement offer exists.
Was this helpful? Upvote!
Login to contribute your own answer or details

Top questions

Related questions

Most popular on PracticeQuiz