Can a lawyer become an affiliate member of a local board of realtors?
State Bar of California Formal Opinion 1968-15: Affiliate Membership in a Board of Realtors
Short answer: On the facts presented, the committee concluded it would be ethical for a lawyer to become an affiliate member of a local board of realtors, because the inquiry concerned only joining the group and showed no purpose of soliciting business from the membership.
Currency note
This opinion was issued in 1968, before the State Bar of California's adoption of the November 1, 2018 revisions to the Rules of Professional Conduct. The opinion interprets former California Rule 2 and former ABA Canon 27; outside business activities and law-related services are today addressed by Model Rule 5.7 and the current solicitation rules (Model Rule 7.3). Subsequent rule amendments may have changed the analysis. Treat this page as historical context, not current guidance. Verify against current rules before relying on any specific rule or requirement mentioned here.
Disclaimer: This is an advisory ethics opinion. Advisory opinions are not binding; they interpret the State Bar of California's rules of professional conduct and are persuasive authority. This summary is for research purposes only and is not legal advice. Verify current rules before acting on any specific guidance.
About this page: The plain-English summary and Q&A below were written by Ezel based on the official opinion. The opinion text is reproduced at the bottom; the official source (linked) controls.
Plain-English summary
A lawyer asked whether he could become an affiliate member of a suburban board of realtors. The bylaws provided three membership classes (realtor, associate, and affiliate), with affiliates being individuals not eligible as realtors or associates but interested in supporting the organization's interests, whose objectives were to unite people in the real estate business, promote high standards, and advocate or oppose legislation affecting real estate. The request did not state the nature of the lawyer's practice or his reasons for joining.
Drawing on Drinker, the committee noted that the ultimate test for outside business activities is whether, under all the circumstances, the activity involves some form of solicitation of professional employment, and that the truly difficult cases involve lawyers acting in a dual capacity such as attorney-CPA or attorney-realtor. The committee treated this request, involving mere affiliate membership in a local business group, as an easy case raising no serious ethical question, citing ABA informal decision No. C-488 (1961), which approved lawyers' membership in chambers of commerce.
The committee explained that if the request had evidenced a desire to affiliate for the purpose of gaining profitable business connections among the membership, there would be reason to find a violation of former Rule 2 and former ABA Canon 27, both of which make it improper for an attorney to solicit employment. But because the inquiry involved only the propriety of joining the group, and there could be many legitimate reasons to do so, the committee had no hesitancy in concluding that affiliate membership would be ethical on the facts presented.
Common questions
Q: Could a lawyer join a local board of realtors as an affiliate member?
A: Yes, on the facts presented. The committee concluded affiliate membership would be ethical because the inquiry concerned only joining the group and showed no purpose of soliciting business.
Q: When would such membership be improper?
A: If the lawyer affiliated for the purpose of gaining profitable business connections among the membership, the committee said there would be reason to find a violation of former Rule 2 and former ABA Canon 27 against solicitation.
Background and rules framework
The opinion interprets former California Rule of Professional Conduct 2 (solicitation) and former ABA Canon 27 (advertising), applying the general principles governing lawyers' outside business activities. Those concepts are now addressed by Model Rule 5.7 (law-related services) and Model Rule 7.3 (solicitation).
Citations and references
Rules of Professional Conduct:
- Former California Rule 2; former ABA Canon 27
- Current analog: Model Rules 5.7 and 7.3
Other opinions cited:
- ABA Committee on Professional Ethics informal decision No. C-488 (1961)
Other authorities:
- Drinker, Henry S., Legal Ethics (1953) pp. 221-228.
See also
- CA Ethics Op. 1968-13: Lawyer as Agent Soliciting Athlete Management Contracts
- CA Ethics Op. 1995-141: Rendering Non-Legal Services to a Client
Source
- Landing page: https://www.calbar.ca.gov/legal-professionals/ethics-compliance-practice-resources/ethics/ethics-opinions
- Original opinion: https://www.calbar.org/ethics/Opinions/1968-15.htm
Original opinion text
Reproduced from the official source for research purposes. The linked source is authoritative.
Ethics Opinions - FORMAL OPINION NO. 1968-15
Editor's Note: Please refer to the California Rules of Professional Conduct Cross Reference Chart for a table indicating the corresponding current operative rule. There, you can also link to the text of the current rule.
Is it proper for a member of the State Bar to become an affiliate member of a board of realtors?
Rule 2 of the Rules of Professional Conduct of the State Bar.
The opinion of this Committee is sought on the propriety of a member of the State Bar becoming an affiliate member of a board of realtors in a suburban area of approximately 100,000 population.
This request for an opinion is accompanied by a copy of the bylaws of the organization in question. These bylaws provide for three classifications of membership: realtor, associate and affiliate. Realtor members are licensed real estate brokers; associate members are licensed real estate salespersons; and affiliate members are individuals not eligible for membership as either realtors or associates but "interested in supporting the interests of [the] organization." Finally, the bylaws indicate that the objectives of the organization are, in general, to unite people in the real estate business to effectively influence matters affecting their interests; to promote high standards of conduct; to advocate legislation beneficial to real estate; and to oppose legislation detrimental thereto.
This request does not set forth any facts concerning the nature of the requesting attorney's practice or his reasons for wishing to join the organization.
While his discussion is focused on the question of the propriety of a lawyer actively conducting a separate business, Drinker, in his well-known text, sets forth the general ethical principles which govern the topic of outside business activities and interests of attorneys. Drinker states that the ultimate test must be whether or not, under all of the circumstances, the outside business activity or interest of an attorney involves some form of solicitation of professional employment. (Drinker, Legal Ethics (1953) at pp. 221-228.) As Drinker points out, the really difficult cases in this area involve fact situations where, for example, the attorney in question acts in a dual capacity as an attorney-CPA or an attorney-realtor and, in such fact situations, the limits of ethical conduct are often extremely difficult to define. We consider a case such as the one before us, where the facts available indicate that the attorney merely wishes to become an affiliate member of a local business group, such as a realty board, to be an easy one involving no serious ethical question. (Note ABA Committee on Prof. Ethics, informal decision No. C-488 (1961) approving membership by lawyers in chambers of commerce.)
If this request evidenced any desire by the requesting attorney to become affiliated with the realty board for the purpose of gaining profitable business connections among the membership, then there would be reason for us to find a violation of rule 2 of the Rules of Professional Conduct of the State Bar and of [former] canon 27 of the Canons of Professional Ethics of the American Bar Association, both of which provide, in substance, that it is improper for an attorney to solicit employment. However, this particular inquiry involves the propriety of joining or affiliating with the group, and no more, and we confine our opinion to this point. There may be any number of legitimate reasons why an attorney would wish to become affiliated with a local board of realtors. On the facts presented, this Committee has no hesitancy whatsoever in stating that it would be ethical for the requesting attorney to become an affiliate member of a local board of realtors.