Board to consider ancillary business rule October 22.

A first look at a proposed rule governing lawyers involved in ancillary businesses will be presented to the Board of Governors at its October 22 meeting.

The Special Committee on MDP/Ancillary Businesses in August voted to recommend a rule similar to one approved by the Pennsylvania Bar Association. The proposed rule only applies to ancillary businesses engaged in by lawyers, and not multidisciplinary practices where lawyers partner with or work for nonlawyers and share fees.

The proposal will appear on first reading on matters reviewed by, the Rules Committee, and will come back to the board for debate and final action at its December meeting in Miami. The rule provides that lawyers are subject to Bar disciplinary rules when engaging in ancillary businesses that are not distinct from provided legal services, or if the lawyer does not fully inform the client that the ancillary services are not legal services and not protected by the attorney-client privilege.

The committee is planning to make several recommendations around the end of the year on ancillary businesses and: MDPs, which some see as a threat to lawyer independence and others see as a better way to provide efficient services.

Also being presented to...