Avvo Webinar: Working on the Web -- Delivering Legal Services Online

Avvo, Inc. Confidential - ©2014

Working the Web: Delivering Legal Services Online

by Josh KingAvvo, Inc.


Josh King

General Counsel &

Vice President, Business Development

Avvo, Inc.

Twitter: @joshuamking

Email: [email protected]

Introduction


Overview

• Social Media as Advertising

• Performance-based Advertising

• Online “Deals”

• Unbundled Legal Services

• Cloud Considerations

• Conclusion and Q&A


Social Media as Advertising


Social Media is About Sharing


ABA Model Rule 7.1

• A lawyer shall not make a false or misleading communication about

the lawyer or the lawyer's services. A communication is false or

misleading if it contains a material misrepresentation of fact or law,

or omits a fact necessary to make the statement considered as a

whole not materially misleading.


How Not To Use Social Media


Social

Social Media Is Not a Billboard


Illustration: CA Ethics Opinion


Performance-Based Advertising


ABA Model Rule 5.4

(a) A lawyer or law firm shall not share legal fees with a nonlawyer . . .

(c) A lawyer shall not permit a person who recommends, employs, or

pays the lawyer to render legal services for another to direct or

regulate the lawyer's professional judgment in rendering such legal

services.


ABA Model Rule 7.2

(a)Subject to the requirements of Rules 7.1 and 7.3, a lawyer may

advertise services through written, recorded or electronic

communication, including public media.

(b)A lawyer shall not give anything of value to a person for

recommending the lawyer's services except that a lawyer may

(1)pay the reasonable costs of advertisements or communications

permitted by this Rule;

(2)pay the usual charges of a legal service plan or a not-for-profit

or qualified lawyer referral service. A qualified lawyer referral

service is a lawyer referral service that has been approved by

an appropriate regulatory authority


Zelotes v. Total Attorneys Cases


Comment to Rule 7.2

“Moreover, a lawyer may pay others for generating client leads, such

as Internet-based client leads, as long as the lead generator does not

recommend the lawyer, any payment to the lead generator is

consistent with Rules 1.5(e) (division of fees) and 5.4 (professional

independence of the lawyer), and the lead generator’s

communications are consistent with Rule 7.1 (communications

concerning a lawyer’s services).

To comply with Rule 7.1, a lawyer must not pay a lead generator that

states, implies, or creates a reasonable impression that it is

recommending the lawyer, is making the referral without payment

from the lawyer, or has analyzed a person’s legal problems when

determining which lawyer should receive the referral.”


Competitive Keyword Ads


Organic Results

Sponsored Listing


Online “Deals”



Groupon for Legal Services?


Issues Raised By Bars

• Is the fee split a reasonable cost of advertising?

• Does it violate prohibition on splitting fees with non-lawyers?

• How to comply with trust account rules?

• Is creation of attorney-client relationship being delegated?

• Could this be an excessive fee?

• How to deal with refunds?

• Where service isn’t appropriate for client

• Where lawyer isn’t competent to provide service

• Conflict Issues

• What of duties of competence and diligence?



Compliant Online Sales Would Include:

• An appropriate offer that the attorney is competent to provide

• Adequate disclosures

• Deposit of funds into client trust account

• (advance payment or earned retainer? Depends on state)

• A refund mechanism – and readiness to refund the whole thing

• Some assurance that the fee paid cannot be said to interfere with the

lawyer’s independent professional judgment (i.e., there is no way the

marketer can control the legal services provided by the attorney)

• Treatment of purchasers as “prospective clients” under ABA Model

Rule 1.18


ABA Model Rule 1.18

(a) A person who consults with a lawyer about the possibility of

forming a client-lawyer relationship with respect to a matter is a

prospective client.

(b) Even when no client-lawyer relationship ensues, a lawyer who

has learned information from a prospective client shall not use or

reveal that information, except as Rule 1.9 would permit with respect

to information of a former client.

(c) A lawyer subject to paragraph (b) shall not represent a client

with interests materially adverse to those of a prospective client in

the same or a substantially related matter if the lawyer received

information from the prospective client that could be significantly

harmful to that person in the matter, except as provided in

paragraph (d).


Unbundled Legal Services


ABA Model Rule 1.2(c)

(c) A lawyer may limit the scope of the representation if the

limitation is reasonable under the circumstances and the client gives

informed consent.


Limited Scope Representation

• Attorney handles discrete “chunks” of work

• Examples:

• Advice or form completion

• Coaching

• Drafting

• Court appearances

• States have rapidly started to adopt over last 10 years

• Opportunities abound for online/telephonic services


Even full scope in some areas


Cloud Considerations


Software-as-a-Service (“SAAS”)


Josh King

General Counsel &

Vice President, Business Development

Avvo, Inc.

Twitter: @joshuamking

Email: [email protected]

Questions?

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