Regulatory
Conflict of Interest
A situation in which an attorney's duties to one client, a former client, or the attorney's own interests are adverse to or potentially adverse to the interests of another client. Failure to identify and properly address conflicts of interest is a leading cause of legal malpractice claims and disciplinary actions. Robust conflict-checking systems are a key risk management tool.
Related terms
Risk Management CreditA premium discount offered by malpractice carriers to law firms that implement approved risk managem...Trust AccountA separate bank account maintained by a law firm to hold client funds, settlement proceeds, and othe...Fiduciary DutyThe highest standard of care imposed by law, requiring an attorney to act in the best interest of th...