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To Disclose, or to Not Disclose: Cautionary Tales from Recent Cases

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A lawyer’s duty to disclose potential conflicts was tested in a couple recent cases. These cases involved lawyer-judge relationships that could impact the lawyer’s ability to zealously represent her client. This article explores the duty to disclose from the lawyer’s perspective and highlights the potential grievance and malpractice consequences when that duty is breached.

Two years ago, a federal court ordered a fee forfeiture of $21,230.61 due to a lawyer’s “clear and serious breach of duty to his client.” But that $21,000 forfeiture pales compared to the $1,200,000 malpractice judgment entered against the same lawyer.

In an even more recent and ongoing case, one of the nation’s busiest and most esteemed bankruptcy judges resigned because of events involving the failure to disclose a personal relationship that has ensnared one of Texas’ biggest law firms along with another large national law firm. Tens or hundreds of corporate bankruptcies lie in the…

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