Third party interference conflcits Flashcards
third party interference arises when
third party interest interferes with client interest. concern relates to ind judgement to be exercised on behalf of client
3rd party payments such as
insurance costs
analyze rule 1.7
current client conflicts
specific provisions under 1.8f
clients consents to consultation, no inference with lawyers independence or with relationship, client confidences are preserved.
insurance defense work and conflicts
liability insurance is a type of third party paymen.t.
in insurance rep there is a
triparte relationship. duty of indiluted loyalty to insured.
insurer duties under liability policy
pay covered claims, defend covered claims,
the insurer should
disclose conflicts, use reservation of rights letters.nonwaivers, reserve rights to stand on terms of policy, disclose when exclusions apply, no nwaiver for sophisiticated clients.
types of insurance related conflicts
i. Demand in excess of policy limits
ii. Demand within limits
iii. Settlement conflict
iv. Coverage disputes
if conflict with insurer and insured loyalty goes to
insurer
1.7
current client conflcits of interest
under 1.8 f. donT; accept pay from
accept pay from someone other than client without consent,
always protect
client, dont let third party conflcits interferee
loss containment guidelines for insurer
i. Avoid interference with independent judgement to be exercised on behalf of the insured.
an aggregate settlement is..
related cases being settled simultaneously 1.8g
