Legal Ethics Assignment

Issue

In acting for Twilight, Sally may not have done enough to ensure there was a proper basis for the action against Evelyn and for alleging fraud. She may have breached her duty not to be a mere mouthpiece for her client.

Additionally, if Sally is acting for Bruce as well as Twilight, this raises the possibility of conflict between their interests (concurrent client conflict) There may also be a lawyer/client conflict since she wants to ensure she gets paid and Bruce is offering to ensure this.

If Bruce is a client of Sally’s, their conversations may be covered by privilege.

Applicable legislation

The LIV rules apply to this scenario as they apply to practitioners (defined as a person entitled to practice law) and Sally is a practitioner.

The CPA overarching obligations apply to any aspect of a civil proceeding (s11). Given the documents have been settled, they would apply to this situation as the civil proceeding has commenced. They apply to practitioners and clients (Sally, Bruce and Twilight) (s_). They prevail over the duty to act in accordance with client instructions (13).

Who is Sally’s client?

Sally has an express retainer with Twilight. There is also a possible implied retainer with Bruce.

Is Bruce a client?

When Bruce asks Sally to look over the contract, she doesn’t say no and takes it from him. There is no monetary retainer or costs agreement, and she doesn’t ask questions about the contract or look at it thoroughly as a lawyer acting for a client in this circumstance would be expected to do. However, her acceptance of the contract could signify implicit agreement by her to act for Bruce.

It is likely that he would expect there was a relationship of lawyer to client given that she takes the contract, raises no objections to looking at it and keeps it with her at the end of the conversation. He isn’t acting in his capacity for the company, but is asking her to look at a contract for him personally so it is clearly...