Board of Governors Meeting Late Meeting Materials January 14-15, 2021 Webcast and Teleconference Board of Governors BOARD OF GOVERNORS MEETING Late Materials January 14-15, 2021 Webcast and Teleconference Page Description Number Executive Director’s Report – Supplemental LM-3 Executive Summary – Membership Survey on COVID-19 Impact LM-80 1325 4th Avenue | Suite 600 | Seattle, WA 98101-2539 800-945-WSBA | 206-443-WSBA | [email protected] | www.wsba.org LM-2 TO: WSBA Board of Governors FROM: Interim Executive Director Terra Nevitt DATE: January 11, 2021 RE: Executive Director’s Report - Supplemental 2022 License & Client Protection Fees At its last meeting in November, the Board of Governors acted to maintain the active attorney license fee at $458 and the active Limited Practice Officer (LPO) license fee at $200 for 2022. The Board also acted to increase the active Limited License Legal Technician (LLLT) license fee from $229 to $240 and to lower the Client Protection Fund assessment for active attorneys and LLLTs from $25 to $20. Under General Rule 12.2(b)(22) license fees established by WSBA are subject to review by the Supreme Court of Washington for reasonableness, while the Client Protection Fund assessment is set by the Court under APR 15. By order dated January 8, 2021, the Supreme Court of Washington determined that the active lawyer and active LPO license fees are reasonable, but that increasing the license fee for active LLLTs is not reasonable. The order notes that maintaining the current LLLT license fee of $229 would be reasonable. The Court also set the Client Protection Fund assessment at $20 as recommended by the Board. RPC and LLLT RPC Title 7 Amendments Adopted In June 2015, the Association of Professional Responsibility Lawyers (APRL) issued a groundbreaking report following a two-year study of the regulation of lawyer advertising in the United States. Taking into account constitutional and antitrust concerns, technology change, globalization, and the impact of overregulation, the report concluded that the rules of professional conduct governing lawyer advertising are outdated and unworkable in the current legal environment. The report recommended substantial reform of the American Bar Association’s Model Rules of Professional Conduct (ABA Model Rules) relating to lawyer communications and advertising. In the wake of this initiative, the ABA Model Rules were amended in 2018. See the attached order no. 25700-B-655. In early 2016, the Board of Governors convened a work group to evaluate the APRL report and report to the Board regarding possible amendments to the rules governing lawyer advertising and communications in Title 7 of Washington’s Rules of Professional Conduct (RPC). After considering the work group’s analysis and recommendation, the Board referred the issue to the WSBA Committee on Professional Ethics (CPE) to develop amendments to Washington’s ethics rules governing lawyer advertising and communications. The CPE’s draft amendments— designed to simplify the regulation of lawyer advertising, promote innovation in legal marketing, and improve access to legal services—were considered and approved by the Board in March 2018. The LLLT Board also submitted to the Court counterpart amendments to the LLLT RPC. Following a public comment period, including publication of a proposed alternative to RPC 7.3, the Court adopted the RPC and the LLLT amendments as originally proposed on January 6, 2021. The amendments will be effective on publication. See attached orders no. 25700-A-1333 and 25700- A-1334 for more information. Suggested Amendment to APR 26 and RPC 1.4 Regarding Malpractice Insurance There is currently a proposed amendment to APR 26 before the Supreme Court of Washington to require that active lawyer members of the Bar engaged in the private practice of law (with some exceptions) be covered by professional liability insurance. The Board has submitted a public comment opposing this proposed amendment and submitted 1325 4th Avenue | Suite 600 | Seattle, WA 98101-2539 | 800-945-WSBA | 206-443-WSBA | [email protected] | www.wsba.org LM-3 – as an alternative – a proposed amendment to RPC 1.4 to require affirmative disclosure and informed consent regarding professional liability insurance. On December 23, 2020, Pres. Sciuchetti wrote a letter to the Court requesting that both proposals be considered in tandem. The Court, through then Chief Justice Stephens confirmed that the matter of APR 26 has been referred back to the Rules Committee, with the intent of considering both that rule and the proposal of the Board of Governors at the same time. The Board of Governors’ proposal is currently published for comments, which are due by April 30, 2021. Suggested Amendment to APR 11 to Mandatory Continuing Legal Education Published for Comment The Mandatory Continuing Legal Education Board, with support from the Board of Governors, suggested an amendment to the Admission to Practice Rule 11 to require that one of the required ethics credits be in the category of equity, inclusion and the mitigation of bias. Comments are due no later than April 30, 2021. See the attached order no. 25700-A-1336 for more information. Limited License Legal Technician Proposed Amended Admission to Practice Rules Published for Comment The Rules Committee of the Supreme Court of Washington has published suggested amendments to the Admission to Practice Rules relating to Limited License Legal Technicians to implement the Court’s action on July 8, 2020 to sunset the LLLT program. Comments are due no later than April 30, 2021. See the attached order no. 25700-A- 1335 for more information. Board Meeting Notice List In order to streamline our process of notifying interested stakeholders about Board meetings we have created a Board Meeting Notice list serve. Any person who would like to receive notice of upcoming Board meetings can use this online form found here and elsewhere on our website to add themselves to the list serve, which we have pre- populated with the approximately 90 stakeholders that were already on our list to receive meeting notices. 1325 4th Avenue | Suite 600 | Seattle, WA 98101-2539 | 800-945-WSBA | 206-443-WSBA | [email protected] | www.wsba.org LM-4 THE SUPREME COURT OF WASHINGTON IN THE MATTER OF THE 2022 WSBA ) ORDER LICENSE FEES AND CLIENT ) PROTECTION FUND ASSESSMENT ) NO. 25700-B-655 ) ) ______________________________________ ) General Rule 12.2(b)(22) provides that the Washington State Bar Association (WSBA) may establish the amount of all license fees, subject to review by the Supreme Court for reasonableness. The rule also provides that the license fees established by the WSBA may be modified by order of the Court if the Court determines that a fee is not reasonable. APR 15 provides that the Washington Supreme Court may establish the amount of the annual assessment for the Client Protection Fund upon the recommendation of the Board of Governors. In a letter dated December 29, 2020, from the Interim Executive Director of the WSBA, the Court was informed that at its November 13-14, 2020 meeting, the WSBA Board of Governors approved the following license fees and Client Protection Fund assessment: 1. maintaining the 2022 active lawyer license fee at $458.00; 2. maintaining the 2022 active LPO license fee at $200.00; 3. increasing the active LLLT license fee for 2022 from $229.00 to $240.00; 4. recommending that the Court enter an order reducing the CPF assessment for active lawyers and LLLTs from $25.00 to $20.00 effective January 1, 2022. LM-5 Page 2 ORDER 25700-B-655 The Court at its January 6, 2020 En Banc Conference considered the license fees as established by the Board of Governors and determined that maintaining the active lawyer license fee at $458.00 and active LPO license fee at $200.00 is reasonable, but that increasing the license fee for active LLLTs from $229.00 to $240.00 is not reasonable, though maintaining the LLLT license fee of $229.00 would be reasonable. The Court further determined, pursuant to APR 15(c) that the recommended Client Protection Fund assessment reduction from $25.00 to $20.00 should be approved. Now, therefore, it is hereby ORDERED: 1. The WSBA’s active lawyer license fee of $458.00 and active LPO license fee of $200.00 for 2022 are approved. 2. The WSBA’s active LLLT license fee of $240.00 for 2022 is disapproved as unreasonable, though a fee of $229.00 is reasonable. Beginning with the 2022 calendar year, the Client Protection Fund assessment shall be reduced to $20.00. DATED at Olympia, Washington this 8th day of January, 2021. LM-6 THE SUPREME COURT OF WASHINGTON ) IN THE MATTER OF THE SUGGESTED ) AMENDMENTS TO RULES OF PROFESSIONAL ) O R D E R CONDUCT (RPC) 5.5—UNAUTHORIZED ) PRACTICE OF LAW; MULTIJURISDICTIONAL ) NO. 25700-A-1333 PRACTICE OF LAW; RPC 7.1— ) COMMUNICATIONS CONCERNING A ) LAWYER’S SERVICES; RPC 7.2—ADVERTISING ) RESERVED; RPC 7.3—SOLICITATION OF ) CLIENTS; RPC 7.4—COMMUNICATION OF ) FIELDS OF PRACTICE AND ) SPECIALIZATIONRESERVED; RPC 7.5—FIRM ) NAME AND LETTERHEADS RESERVED ) ) ____________________________________________ ) The Washington State Bar Association, having recommended the adoption of the proposed amendments to Rules of Professional Conduct (RPC) 5.5—Unauthorized Practice of Law; Multijurisdictional Practice of Law; RPC 7.1—Communications Concerning a Lawyer’s Services; RPC 7.2—Advertising Reserved; RPC 7.3—Solicitation of Clients; RPC 7.4— Communication of Fields of Practice and Specialization Reserved; RPC 7.5—Firm Name and Letterheads Reserved, and the Court having considered the proposed amendments, and having determined that the proposed amendments will aid in the prompt and orderly administration of justice; Now, therefore, it is hereby LM-7 Page 2 ORDER IN THE MATTER OF THE SUGGESTED AMENDMENTS TO RULES OF PROFESSIONAL CONDUCT (RPC) 5.5—UNAUTHORIZED PRACTICE OF LAW; MULTIJURISDICTIONAL PRACTICE OF LAW; RPC 7.1—COMMUNICATIONS CONCERNING A LAWYER’S SERVICES; RPC 7.2—ADVERTISING RESERVED; RPC 7.3—SOLICITATION OF CLIENTS; RPC 7.4—COMMUNICATION OF FIELDS OF PRACTICE AND SPECIALIZATION RESERVED; RPC 7.5—FIRM NAME AND LETTERHEADS RESERVED ORDERED: (a) That the proposed amendments as attached hereto are adopted.