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Posts Tagged ‘WSBA Board of Governors’

44 years after apparently being the first state to consider implementing a mandatory malpractice insurance program, the nannies at the Washington State Bar Association (WSBA) are at it again. In an article in the current NW Lawyer, the WSBA governors “recently took up the question of whether requiring malpractice insurance for lawyers as a condition of licensing is an appropriate mechanism to help fulfill the regulatory duty to protect the public.”

Invoking the latest governance-consultant babble, the board held “a generative discussion” on the topic at its May meeting. A decision whether to create a mandatory malpractice insurance task force is set for its September 28-29 meeting.

Ironically, it matters little that the same article mentioned that 85% of Washington private practice lawyers already carry malpractice insurance. Apparently, it’s time to round-up the 15%.

https://upload.wikimedia.org/wikipedia/commons/thumb/d/d4/The_Cr%C3%A8che.jpg/320px-The_Cr%C3%A8che.jpgBecause mandatory bar membership weaponizes governing boards to over-regulate and interfere with member personal choice and member financial interest, governors deem their latitudes unbounded. And when they claim guidance from the holy spirit of public protection, they feel empowered with the grace to do almost anything. Moreover, given the Washington Bar’s history, there’s hardly a doubt the WSBA will again ‘make friends’ among its restive members. It will march down the same liberty and property infringing road as its Pacific Northwest predecessors Oregon and Idaho, the only jurisdictions in the U.S. that currently force their lawyers to buy malpractice insurance.

A Scarlet Letter

https://upload.wikimedia.org/wikipedia/commons/thumb/2/2e/The_Scarlet_Letter_%281917%29_1.jpg/302px-The_Scarlet_Letter_%281917%29_1.jpg“Forcing an attorney to have malpractice insurance to protect those who would use his services, or forcing him to disclose that he doesn’t have such coverage, will predominantly adversely impact new solo and small-firm lawyers, punishing them for a being new and financially tight. Instead of branding new uninsured attorneys with a Scarlet Letter, why not simply educate the consumer on the benefits of having a lawyer who is insured. If they are litigious, they’ll seek out the insured attorneys, I promise.

“As a profession, we already have certain protections in place to help the victims of malfeasance. Let the state Client Security Fund reimburse qualified victims. Let the Statewide Grievance Committee disbar irresponsible or criminal lawyers. Then let the criminal courts take it from there.” – Attorney Susan Cartier Liebel writing at Build a Solo Practice, LLC, “Mandatory Malpractice Insurance Only Hurts Law-Abiding Lawyers”

In 2008, the Virginia State Bar also considered mandating malpractice insurance. According to opponents in addition to the high cost on solos and small firms, “The most troubling aspect of the proposal is the concern that it would allow insurance companies to dictate who gets to practice law. While insurance might be available to lawyers with a poor claims history or a lawyer in a high-risk area of practice, the cost of that insurance might be prohibitive.

“A significant hardship would be imposed on a lawyer who is denied coverage because of a pending disciplinary complaint when ultimately the lawyer is exonerated of wrongdoing. If in the meantime his or her license to practice law is suspended because of an inability to obtain insurance coverage as a result of the pending complaint, the lawyer may suffer irreparable harm.” See “Mandatory Malpractice Insurance—It’s Time To Call The Question”

More recently, a well-heeled Nevada personal injury lawyer opined in an “Open Letter” that in addition to mandatory disclosure, Nevada’s Bar and Supreme Court need to create “a not-for-profit professional liability insurance provider for Nevada attorneys to provide competitive low-cost malpractice insurance for its members.” And if his proposal happens to exclude “some lawyers from practicing in Nevada because they may not be able to obtain malpractice insurance” — so be it.

“. . . if a lawyer’s record is so bad that they are unable to obtain malpractice insurance because the risk is too high for the insurer, is it not better that they are precluded from practicing law in Nevada than putting consumers at risk for their malpractice?” The Nevada Bar’s governing board is currently task forcing the matter. And if Oregon’s Professional Liability Fund is any barometer, don’t look for “competitive low-cost” coverage for Nevada lawyers. This year, Oregon lawyers were each assessed $3,500.00 for less bang-for-the-buck $300,000 per claim and $300,000 aggregate coverage.

Terms of Estrangement

As for Washington, it’s not like its Board of Governors hasn’t already sufficiently estranged itself from its members. In 2015, it inflicted unwelcome competitive pressures on underemployed lawyers by spearheading non-lawyer delivery of legal services by Limited License Legal Technicians. The technicians compete for lawyers’ income-generating work — without the toil and treasure invested by lawyers to obtain a Juris Doctor degree. “Who says you need a law degree to practice law?” So much for lip service paid to the unauthorized practice of law — not when you can pucker those lips around a convenient ‘access-to-justice’ exemption.

And more lately, the Board increased licensing fees from $325 in 2016 to $458. And to further pickle the wound, the Board punctuated the increase by obtaining court sanction to ignore a licensing fee referendum petition signed by 2,180 members that would have rejected the astounding 141% increase.

Evidently, member criticism doesn’t faze WSBA leadership. Despite repeated lawsuits and attempts to rein them in legislatively, the Washington Bar’s tin-eared imperiousness is seemingly boundless. Indeed, their arrogance may even exceed that of the State Bar of Arizona.

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Credits: snugglebunny, by parian, at Flickr Creative Commons attribution; The Crèche, by Albert Anker, Wikimedia Commons, public domain; The Scarlet Letter (1917), Wikimedia Commons, public domain; Sooooooooooooooooooooopa Tramp!!!!!!!!!!!!!!!!, by AndYaDon’tStop, at Flickr Creative Commons attribution.

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Day 196 - Kicking Ass | by lintmachineIn 2012, a member referendum cut Washington State Bar Association (WSBA) dues from $480 to $325. Members were thrilled. Lawyers elsewhere were envious. From WSBA leaders, teeth-gnashing and underwear-twisting ensued. But truth be told, the panty-twisting began well ahead of the referendum. The sky was gonna fall. The Seattle Starks said “Winter is coming.”

The Big Payback.

Four years later on September 29, 2016, it was payback time. On that day, the WSBA Board of Governors and its executive director got their ‘gimme back.’ The Board approved substantial lawyer licensing fee increases starting next year and running through 2020. The first jump of 138% raises dues from $325 to $449 in 2018. Fees then bump up to $452 in 2019 before riding the Up escalator again in 2020 to $458. The hikes amount to a 141% increase over current fees.

Back on top.

As soon as 2018, the first increase to $449 puts Washington back in the top ten of highest mandatory bar dues states topping Idaho, Utah, Louisiana and California. Of the total 32 mandatory bar states, only Alaska, Oregon, New Hampshire, Hawaii, Wisconsin, Nevada and of course, Arizona are higher.

Although the WSBA Board approved the increases last September, it wasn’t until this past January 5, 2017 that the score was truly evened. On that date the Washington Supreme Court approved the dues increases declaring them without explanation “reasonable” and in the alternative, ruled in the same Order again without explanation that the fees proposed through a new member license fee rollback petition “would not be reasonable.”

40+118 POW!! | by barkLicense fee rollback petition.

Following the WSBA Board’s dues vote last September, members took immediate steps under WSBA Bylaws that provide that within 90 days of a final decision of the Board of Governors, any active member may file a referendum to reverse or modify that decision. Consequently, a license fee rollback petition was timely filed to reject the 2018-2020 fees approved by the Board and to alternatively require that the fee amount for a given year not be increased by a greater percentage than the consumer price index (CPI) increased during the calendar year ending 12 months previous to the effective date of the increase.

Only 1,604 or 5% of the active membership were needed to qualify the petition. A total 2,180 WSBA members signed the petition. The Court gave no explanation other than the conclusory statement: “That the lawyer license fees proposed by the license fee rollback petition, if the petition were to pass, would not be reasonable both as to the level of fees that it proposes and as to the requirement that future license fee increases be tied to the consumer price index.”

Giving my bro a "good old kick up the arse" (AKA a "Bishop Brennan") outside Parochial House, County Kerry,Ireland. | by 2thin2swim

Later this month, the WSBA’s Board of Governors meets to decide whether or not to hold the referendum vote given the Court’s order rejecting the petition.

I’m not a Washington lawyer but they should still hold the vote — because even while the Board applauds the Court’s action while sitting on their hands, WSBA members will still want to kick some ass of their own.

 

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Credits: Day 196 – Kicking Ass, by lintmachine at Flickr via Attribution-NonCommercial-ShareAlike 2.0 Generic license; 40 + 118 POW!!, by bark at Flickr Creative Common Attribution license; Giving my bro “a good old kick up the arse,” by 2thin2swim at Flickr Creative Common Attribution license.

 

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