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Using Staff Counsel to Defend Insureds
The Texas Supreme Court recently declared that insurance companies do not commit the unauthorized practice of law when they use lawyers they employ to provide a defense to their insureds. Unauthorized Practice of Law Comm. v. Am. Home Assurance Co., __ S.W.3d __, Case No. 04-0138, 2008 Tex. LEXIS 233 (Tex. Mar. 28, 2008).
The court's opinion demonstrates a pragmatic approach to a common situation and is interesting not so much for its direct result ' as the court notes, most states to have considered the issue have allowed insurers to use staff attorneys ' as it is for the implications of its rulings and the pragmatic grounds on which those rulings are based. Among other things, the opinion reinforces the ethical obligation of all defense counsel to their client, the insured. The opinion also suggests limits on the use of staff attorneys that could lead to a three-tier approach to defense counsel turning on the extent of congruence between the insured's and the insurer's interests. The court, however, provided little concrete guidance as to the situations in which the use of a staff attorney is not appropriate, placed on both insurers and their staff attorneys a burden of determining when such use is appropriate, and missed an opportunity to address the use of reservation-of-rights letters, which it admitted can often be “routine.” The court also warned of potential knowledge-imputation pitfalls that could accompany the use of insurer employees to defend insureds.
Law Firms are Reducing Redundant Real Estate by Bringing Support Services Back to the Office
A trend analysis of the benefits and challenges of bringing back administrative, word processing and billing services to law offices.
Bankruptcy Sales: Finding a Diamond In the Rough
There is no efficient market for the sale of bankruptcy assets. Inefficient markets yield a transactional drag, potentially dampening the ability of debtors and trustees to maximize value for creditors. This article identifies ways in which investors may more easily discover bankruptcy asset sales.
Bit Parts
Summary Judgment Denied Defendant in Declaratory Action by Producer of To Kill a Mockingbird Broadway Play Seeking Amateur Theatrical Rights
Risks of “Baseball Arbitration” in Resolving Real Estate Disputes
“Baseball arbitration” refers to the process used in Major League Baseball in which if an eligible player's representative and the club ownership cannot reach a compensation agreement through negotiation, each party enters a final submission and during a formal hearing each side — player and management — presents its case and then the designated panel of arbitrators chooses one of the salary bids with no other result being allowed. This method has become increasingly popular even beyond the sport of baseball.
Disconnect Between In-House and Outside Counsel
'Disconnect Between In-House and Outside Counsel is a continuation of the discussion of client expectations and the disconnect that often occurs. And although the outside attorneys should be pursuing how inside-counsel actually think, inside counsel should make an effort to impart this information without waiting to be asked.