LEO: Letterhead - Client  LE Op. 586

 

Letterhead - Client Utilization/Attorney's Fees-Credit to

Client's Account.

 

June 14, 1984

 

It is improper for an attorney to allow his client to use his letterhead

and a signature stamp for the purpose of sending to delinquent account

holders a ten-day demand letter, whether or not the letter is a form

previously approved by the attorney, and despite the fact that the

attorney received no compensation for furnishing the letterheads and

stamp.

 

It is not improper for an attorney to credit to his client's account

attorney's fees received by court action, when the client is liable for

remaining legal fees not covered by the credits at the end of the billing

cycle, and when any excess amounts are credited to the client's next

billing cycle and no portion of the attorney's fees collected by the

attorney are actually forwarded to the client unless the payment is a

direct reimbursement to the client for the cost of the legal service

provided by the attorney. [ DR:3-101(A), Opinion 80-26, New York City;

Opinion 508, New Jersey; LE Op. 534, LE Op. 541]

 

Committee Opinion June 14, 1984