Opinion 1812

The Committee researched and reviewed your inquiry concerning fee splitting when the referring lawyer has a conflict of interest and determined the following:

1. Where the referring lawyer/firm indicates that it cannot handle the case because of a conflict of interest, is the referring firm entitled to a fee from any contingent fee earned by the accepting lawyer when the referring lawyer will have no continuing participation in the representation of the client after the referral?
RPC 1.5(e) and l.8 would not allow such an arrangement.

2. Where the referring lawyer/firm simply refers the case to the accepting lawyer and has no conflict with the client, may the referring lawyer/firm receive a share of the contingent fee charged the client even though they do not continue to be actively participating in the representation of the client?
RPC 1.5(e) would not allow such an arrangement.

3. Is it permissible for the lawyers to agree to a fee sharing arrangement of the contingent fee when the fee is not based upon actual services provided by the referring lawyer/firm?
RPC l.5(e) would not allow such an arrangement. See also Formal Opinion 10.

Advisory Opinions are provided for the education of the Bar and reflect the opinion of the Committee on Professional Ethics (CPE) or its predecessors. Advisory Opinions are provided pursuant to the authorization granted by the Board of Governors, but are not individually approved by the Board and do not reflect the official position of the Bar association. Laws other than the Washington State Rules of Professional Conduct may apply to the inquiry. The Committee's answer does not include or opine about any other applicable law other than the meaning of the Rules of Professional Conduct.