Craig S. Hudson, Esquire Marshall, Dennehey, Warner, Coleman & Goggin

1. A Primer on Professional Liability Issues for Florida Attorneys Presented By Craig S. Hudson, Esquire Marshall, Dennehey, Warner, Coleman & Goggin 1 East Broward Boulevard, Suite 500 Fort Lauderdale, FL 33301 cshudson@mdwcg.com 954.847.4920 -------------------------------- Main Offices - 1845 Walnut Street, Philadelphia, PA 19103

2. 2007 ABA Study re: Claims by Practice area • Personal Injury (Plaintiff) – 22% • Real Estate – 20% • Estate Probate – 10% • Family – 10% • Bankruptcy - 7% • Criminal – 5% • Corporate – 10% • Insurance Defense – 3% • IP, Labor, Tax, International, other – 11% A Primer on Professional Liability Issues for Florida Attorneys

3. 2007 ABA Study re: Claims by Practice area Since 2003 study claims have risen by 33% A Primer on Professional Liability Issues for Florida Attorneys

4. 2007 ABA Study re: Claims by Practice area Claims wherein no indemnity payments are issued or claim abandoned dropped from 61% to 51% A Primer on Professional Liability Issues for Florida Attorneys

5. 2007 ABA Study re: Claims by Practice area Claims with payments over $2,000,000 have risen 41% (1 out of every 930 claims) A Primer on Professional Liability Issues for Florida Attorneys

6. 2007 ABA Study re: Claims by Practice area Small firms have disproportionate amount of claims • Solo – 37% • firms with 2-5 attorneys – 33% • firms with 6-10 attorneys – 9% • firms with 11-39 attorneys – 10% • Firms with 40+ attorneys 11% A Primer on Professional Liability Issues for Florida Attorneys

7. 2007 ABA Study re: Claims by Practice area New lawyers with less than two years practice reported the least amount of claims while lawyers in practice 11 to 20 years reported the most. A Primer on Professional Liability Issues for Florida Attorneys

8. 2007 ABA Study re: Claims by Practice area Most disturbing increase involves claims of intentional wrongs (fraud, abuse of process, libel, etc.) increased from previous high of 9.8% to 13.8% A Primer on Professional Liability Issues for Florida Attorneys

9. Problems with certain areas of practice Personal injury: • Dabbling • Docket Control • Late filings • Out of state practice • Medical liens and tax consequences A Primer on Professional Liability Issues for Florida Attorneys

10. Problems with certain areas of practice Real estate: • Drafting mistakes • Reliance on third party searches • Volume • Lien, zoning and inspection issues A Primer on Professional Liability Issues for Florida Attorneys

11. Problems with certain areas of practice Family law: • Identification and evaluation of marital assets • Promises • Reliance on prior counsel evaluations • Lack of communication A Primer on Professional Liability Issues for Florida Attorneys

12. Problems with certain areas of practice General business: • Failure to identify "real" client • Deal going bad • Ownership interest in entity A Primer on Professional Liability Issues for Florida Attorneys

13. Problems with certain areas of practice Estates: • Drafting errors • Competency of client issues • Tax implications • Possible third party beneficiaries A Primer on Professional Liability Issues for Florida Attorneys

14. Common Allegations against Attorneys Bad result = professional negligence • Clients often view an attorney's performance by the outcome of the case • High settlement demands set expectations A Primer on Professional Liability Issues for Florida Attorneys

15. Common Allegations against Attorneys Not active as my attorney (failure to communicate) • "If it isn't in the file, it didn't happen" • If client feels abandoned by attorney, claim is inevitable A Primer on Professional Liability Issues for Florida Attorneys

16. Common Allegations against Attorneys Lack of informed consent • Settlements • Trial strategies and decisions A Primer on Professional Liability Issues for Florida Attorneys

17. Common Allegations against Attorneys Rules of Professional Conduct • Not basis for civil liability • However, if there are DB findings, may be used as evidence A Primer on Professional Liability Issues for Florida Attorneys

18. Common Allegations against Attorneys Comparative results • Clients view legal system as means for recovery • Compare recovery to others (whether or not similar) A Primer on Professional Liability Issues for Florida Attorneys

19. Top 10 ways to get sued for malpractice 10. Make promises to the client "this case is a slam-dunk" A Primer on Professional Liability Issues for Florida Attorneys

20. Top 10 ways to get sued for malpractice 9. Allow client to have (and keep) unrealistic expectations "Your case is worth One Million Dollars" (with pinky raised to lips Austin Powers style) A Primer on Professional Liability Issues for Florida Attorneys

21. Top 10 ways to get sued for malpractice 8. Miss a filing deadline "Oops – sorry but I was counting on my paralegal to get that filed" A Primer on Professional Liability Issues for Florida Attorneys

22. Top 10 ways to get sued for malpractice 7. Inappropriate relations with clients and/or family members These relationships always end bad for the licensed professional A Primer on Professional Liability Issues for Florida Attorneys

23. Top 10 ways to get sued for malpractice 6. Puff regarding relationship with other counsel and/or court "the judge and I go way back" A Primer on Professional Liability Issues for Florida Attorneys

24. Top 10 ways to get sued for malpractice 5. Don't return calls, letters or e-mails The client who won't stop calling A Primer on Professional Liability Issues for Florida Attorneys

25. Top 10 ways to get sued for malpractice 4. Dabble in area of law not familiar with as a favor to friend/family Sure I can help with that, it's easy A Primer on Professional Liability Issues for Florida Attorneys

26. Top 10 ways to get sued for malpractice 3. Cookie-cutter approach If it worked once, it has to work again A Primer on Professional Liability Issues for Florida Attorneys

27. Top 10 ways to get sued for malpractice 2. Abandon your client If you withdraw, the client will hold you responsible for everything that happens afterward A Primer on Professional Liability Issues for Florida Attorneys

28. Top 10 ways to get sued for malpractice 1. Sue your client for fees Analyze the possible recovery of the outstanding fees against the loss of your deductible and the costs associated with defending a suit A Primer on Professional Liability Issues for Florida Attorneys

29. Conclusion **** REMEMBER **** Your entire file (and everything in it and not in it) may be used as an exhibit against you at some later date. Practice defensively - document everything and watch what you say. A Primer on Professional Liability Issues for Florida Attorneys