Posted by Stamper_WI on 9/9/09 9:58am
Msg #303250

Ethics Memo

Came across this interesting memo on the CA State Bar site. So many of the loan mod companies claim they have an attorney.Note #3

A California lawyer may not pay a referral or marketing fee to a foreclosure consultant or other person for referring distressed homeowners to the lawyer.10
• A California lawyer may not directly or indirectly split any attorney’s fees that the lawyer earns from a distressed homeowner client with the foreclosure consultant or any other non-lawyer.11
• A California lawyer may not aid a foreclosure consultant or anyone else in the unauthorized practice of law. A lawyer may not form a partnership or joint venture
with a foreclosure consultant or other non-lawyer if any of the activities of the business would involve providing legal services. A lawyer may not, under the guise of serving as in-house counsel for a foreclosure consultancy business, perform legal services for a
distressed homeowner.

http://calbar.ca.gov/calbar/pdfs/ethics/Ethics-Alert-Foreclosure.pdf