Advisory Opinion: 1162

Year Issued: 1988

RPC(s): RPC 1.8(e)

Subject: Advancing funds to client after settlement but before settlement proceeds received

The Committee was of the opinion, that based upon the facts in your memorandum, a lawyer could advance funds to a client after a settlement of lawsuit but before the funds due the client had been received, based upon the assumption that the amount of the settlement or recovery is known and not subject to further proceedings and the only event which needs to occur so that the client receives the money is the actual transmittal of the funds. The Committee based this opinion on its conclusion that, as presented, there was no contemplated or pending litigation and therefore such an advance would not be prohibited by RPC 1.8(e).

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.