Tina is a paralegal at a mid-size firm that provides legal services to small- and mid-size businesses. Tina works for Patricia Wilson, who provides legal services to start-up companies. One of the firm’s client’s is Robert Hammersmith. Under Patricia’s direction, Tina has arranged for the formation of three companies owned by Hammersmith, all of which are telephone sales operations. Patricia stated to Tina, however, that she does not trust Hammersmith and thinks he is “scummy.” Three months later, Tina receives a call from Tom Billings, who was hired by Hammersmith to manage the companies. Tina assisted Billings with routine corporate status matters, but Billings also mentioned that neither he nor any of the other employees have been paid by Hammersmith. One week later, Billings shows up at the firm and asks to speak with Tina. When Tina meets with Billings, Billings states that he and all of the employees have quit the company, and Billings asks Tina if she or the firm can assist in wage claim and/or lawsuit against Hammersmith and the company. From the options listed below, what is Tina’s best response?
Explanation
Answer: C - Tina should advise Billings that the firm represents Hammersmith and his companies and that neither she nor anyone else at the firm can speak with Billings about the claims. Under the Model Rules of Professional Conduct, an attorney has a duty of loyalty and a duty to avoid conflicts of interest. As employees of the attorney, paralegals are subject to these duties. Here, Billings has requested legal assistance with a claim against Hammersmith and his companies, but Tina’s firm is ethically prohibited from giving any legal advice to Billings on his claim because the firm represents Hammersmith and his companies. The only permissible advice Tina can give is to tell Billings to obtain legal advice from another law firm. Answers A and B directly violate the two ethical rules mentioned above, and Answer D would breach client confidentiality.
