Conflict of Interest Presentation

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    Canon 15:A lawyer shall observe candor,

    fairness and loyalty in all hisdealings and transactions with his

    clients

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    Rule 15.01A lawyer in conferring with prospective

    client, shall ascertain as soon as

    practicable whether the matter would

    involve a conflict of interest, and if so,

    shall forthwith inform the prospective

    clients.

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    What is conflict of interest? A term used to describe the situation in which a

    public official or fiduciary who, contrary to the

    obligation and absolute duty to act for the benefit ofthe public or a designated individual, exploits the

    relationship for personal or pecuniary benefit.

    The appearance of a conflict of interest is present if

    there is a potential for the personal interests of anindividual to clash with fiduciary duties

    Incompatibility of professional duties and personal

    interests

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    Tests to determine conflict of

    interests : (hornilla vs. salunat) Whether or not, in behalf of one client, it is the

    lawyers duty to fight for an issue or claim but it is his

    duty to oppose it for another client

    If the acceptance of the new retainer will require theattorney to perform an act which will injuriouslyaffect his first client in any matter which herepresents him and also whether he will be calledupon his new relation to use against his first clientany knowledge acquired through their connection

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    Tests to determine conflict of

    interests : (hornilla vs. salunat) Whether the acceptance of a new relation will

    prevent the attorney from the full discharge of his

    duty of undivided fidelity and loyalty to his client orinvite suspicion of unfaithfulness or double dealing in

    the performance thereof

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    Duty to decline employmentGen. Rule: A lawyer shall not, as a rule, refuse his

    services to the needy.

    Exceptions:

    If its acceptance will involve violation of the rules of

    legal profession

    If he is not in position to carry it out effectively or

    competently or he labors under a conflict of interest

    between him and the client.

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    Duty to decline employmentSuch as:

    If the acceptance of employment will adversely affect

    the interest of the client with respect to theconfidence reposed by the client

    In case where handling will nullify a contract which

    he prepared

    In an employment where acceptance would render

    the lawyer an advocate in any matter which he has

    intervened while in the government service

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    Duty to decline employmentSuch as:

    Acceptance of employment the nature of which

    might easily be used as a means of advertising hisprofessional service or skill

    If acceptance of employment would render the client

    an advocate and a witness for a client in a case .

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    Rule when employment was

    declinedRule 15.02

    A lawyer shall be bound by the rule on

    privilege communication in respect of

    matters disclosed to him by a

    prospective client.

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    Lawyer acting as mediatorRule 15.04

    A lawyer may, with the written consent

    of all concerned, act as a mediator,

    conciliator, or arbitrator in settling

    disputes.

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    Responsibility of Lawyer acting as

    Mediator (a) Before accepting a mediation, an individual who is

    requested to serve as a mediator shall:

    (1) make an inquiry that is reasonable under the

    circumstances to determinate whether there are anyknown facts that a reasonable individual would considerlikely to affect the impartiality of the mediator, including afinancial or personal interest in the outcome of themediation and any existing or past relationship with a party

    or foreseeable participant in the mediation; and

    (2) disclosure to the mediation parties any such fact knownor learned as soon as is practical before accepting amediation.

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    Responsibility of Lawyer acting as

    Mediator (b) If a mediation learns any fact described in

    paragraph (a) (1) of this section after accepting a

    mediation, the mediator shall disclose it as soonas practicable.