Practice of law
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In its most general sense, the practice of law involves giving legal advice to clients, drafting legal documents for clients, and representing clients in legal negotiations and court proceedings such as lawsuits, and is applied to the professional services of a lawyer or Attorney at Law, barrister, solicitor or civil law notary. However, there is a substantial amount of overlap between the practice of law and various other professions where clients are represented by agents. These professions include real estate, banking, accounting, and insurance. Moreover, a growing number of independent paralegals are offering services which have traditionally been offered only by lawyers and their employee paralegals. Many documents may now be drafted by computer assisted drafting libraries, where the clients are asked a series of questions posed by the software in order to construct the legal documents.
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United States perspective
In the United States, the practice of law is conditioned upon admission to the bar of a particular state or other territorial jurisdiction. The American Bar Association and the American Law Institute are among the organizations that are concerned with the interests of lawyers as a profession and the promulgation of uniform standards of professionalism and ethics, but regulation of the practice of law is left to the individual states.
Unauthorized practice of law
The "unauthorized practice of law" (UPL) is prohibited by statute or court rules in every state in the U.S.A. except Arizona. For example, Texas law provides (in part):
- § 38.123. UNAUTHORIZED PRACTICE OF LAW. (a) A person commits an offense if, with intent to obtain an economic benefit for himself or herself, the person:
- (1) contracts with any person to represent that person with regard to personal causes of action for property damages or personal injury;
- (2) advises any person as to the person's rights and the advisability of making claims for personal injuries or property damages;
- (3) advises any person as to whether or not to accept an offered sum of money in settlement of claims for personal injuries or property damages;
- (4) enters into any contract with another person to represent that person in personal injury or property damage matters on a contingent fee basis with an attempted assignment of a portion of the person's cause of action; or
- (5) enters into any contract with a third person which purports to grant the exclusive right to select and retain legal counsel to represent the individual in any legal proceeding.
- (b) This section does not apply to a person currently licensed to practice law [ . . . ]
- (c) Except as provided by Subsection (d) of this section, an offense under Subsection (a) of this section is a Class A misdemeanor.
- (d) An offense under Subsection (a) of this section is a felony of the third degree if it is shown on the trial of the offense that the defendant has previously been convicted under Subsection (a) of this section.
Texas Gov't Code section 38.123 (excerpt) (emphasis added).
Some states (such as Texas) also criminalize the separate behavior of falsely claiming to be lawyer in certain circumstances. Texas law provides (in part):
- § 38.122. FALSELY HOLDING ONESELF OUT AS A LAWYER. (a) A person commits an offense if, with intent to obtain an economic benefit for himself or herself, the person holds himself or herself out as a lawyer, unless he or she is currently licensed to practice law [ . . . ]
- (b) An offense under Subsection (a) of this section is a felony of the third degree.
Texas Gov't Code section 38.122 (excerpt) (emphasis added).
Interpretations of "unauthorized practice" vary widely
Interpretations of the term "unauthorized practice of law" vary among jurisdictions. For example, the use of independent paralegals in California is tolerated to a high degree. Many of the activities paralegals perform in California may be considered the "unauthorized practice of law" if performed in New York.
Common violators
Most unauthorized practice of law may be unintentional. Probably the most common violators are accountants, paralegals, public notaries, and people who formerly worked for an attorney. Many times what seems to them to be "common knowledge" or "just helping out a friend" in fact crosses the line into practice of law. For instance, many accountants who represent small businesses will "fill out some forms" to create a corporation. They are drafting legal documents, which requires a law license. A notary public who reads instructions, asks questions, and tells a person which forms to use and how to fill them out may be giving legal advice. Buying a legal form in a store and helping a friend fill it out involves giving legal advice and drafting legal documents. Lawyers often begin drafting documents by modifying forms obtained from form books rather than drafting "from scratch."
Enforcement
In most states, unauthorized practice of law is a criminal offense. However, while there are cases of individuals being prosecuted for the unauthorized practice of law, absent fraud, theft, or serious violations of consumer protection laws, common practice is simply to explain to the person that the questioned activities constituted unauthorized practice of law and get an agreement that the person will desist.