Can a lawyer advertise membership in a group like the Million Dollar Advocates Forum that is named for a verdict threshold?

Plain-English summary

A lawyer wants a yellow-pages ad stating membership in the Million Dollar Advocates Forum, described as limited to trial lawyers who have obtained a verdict, award, or settlement of $1 million or more, paired with a disclaimer that similar results are not promised and each case is evaluated separately. The question is whether Rule 7.1 permits the ad.

The opinion concludes the ad is permissible if it does not violate Rule 7.1, which bars false or misleading communications about a lawyer's services. A communication is misleading if it creates unjustified expectations about results or makes an unsubstantiated comparison with other lawyers (Rule 7.1(a)(2) and (3)), and verdict-record information can mislead if not given in context (citing 99 FEO 7 and 2000 FEO 1).

The opinion sets four conditions for advertising membership in an organization with a self-laudatory name: (1) the organization has strict, objective, verifiable admission standards that a reasonable lawyer would recognize as a legitimate basis for the skill or experience the designation implies; (2) the standards are explained in the ad or the ad says how to obtain them; (3) the organization has no financial interest in promoting the particular lawyer; and (4) it charges only reasonable membership fees. Where the membership information could create unjustified expectations, such as that the lawyer obtains a million-dollar verdict in every case, a disclaimer like the one in the inquiry must be included. The opinion leaves it to the lawyer to determine, before publishing, whether the Forum meets these conditions.

In practice

Under this opinion, as the North Carolina rule stood at the time, advertising a verdict-threshold membership is allowed only when the four conditions are met and, where unjustified expectations could arise, a results disclaimer is included. The opinion puts the burden on the lawyer to verify that the organization's standards and fee structure satisfy the conditions before the ad runs, rather than treating any verdict-named membership as automatically permissible or automatically misleading.

Common questions

Q: Can a North Carolina lawyer advertise membership in the Million Dollar Advocates Forum?

A: Yes, if it is not misleading under Rule 7.1. The opinion concludes the lawyer may advertise the membership when the organization's admission standards are strict and verifiable, those standards are disclosed or sourced in the ad, the organization has no financial interest in promoting the lawyer, fees are reasonable, and a results disclaimer is included where needed.

Q: When does advertising a verdict-based membership become misleading?

A: The opinion explains that under Rule 7.1(a)(2) and (3) a communication is misleading if it creates unjustified expectations about results or makes an unsubstantiated comparison; verdict-record information can mislead if presented without context.

Q: Is a disclaimer required?

A: Where the membership could create unjustified expectations, such as that the lawyer wins a million-dollar verdict in every case, the opinion states a disclaimer like the one in the inquiry must be included.

Background and rules framework

The opinion interprets Rule 7.1 of the North Carolina Rules of Professional Conduct (communications concerning a lawyer's services, the state counterpart to Model Rule 7.1), including subsections (a)(2) and (a)(3) on unjustified expectations and unsubstantiated comparisons. It builds on prior opinions 99 FEO 7 and 2000 FEO 1 about presenting verdict records in context.

Citations and references

Rules of Professional Conduct:

• Model Rule 7.1 (communications concerning a lawyer's services)
• N.C. Rule 7.1, including 7.1(a)(2) and (a)(3)

Other opinions cited:

• 99 FEO 7 and 2000 FEO 1: presenting a lawyer's verdict record in context

See also

• ABA Formal Op. 10-457: Lawyer Websites
• ABA Formal Op. 465: Daily-Deal Marketing

Source

• Landing page: https://www.ncbar.gov/for-lawyers/ethics-and-governing-rules/ethics-opinions/opinions/2003-formal-ethics-opinion-3/

Original opinion text

Reproduced from the official source for research purposes. The linked source is authoritative.

Inquiry:

Attorney would like to run an advertisement in the yellow pages that will include the following statement:
Member, Million Dollar Advocates Forum. Membership is limited to successful trial lawyers who have demonstrated exceptional skill, experience, and excellence in advocacy by achieving a trial verdict, award, or settlement in the amount of One Million Dollars or more.

The advertisement would also state, "We do not represent that similar results will be achieved in your case. Each case is different and must be evaluated separately."

May Attorney advertise his services in this way under the Rules of Professional Conduct?

Opinion:

Yes, provided advertising membership in such an organization does not violate Rule 7.1. Rule 7.1 prohibits a lawyer from making a false or misleading communication about the lawyer or the lawyer's services. A communication is misleading if it creates unjustified expectations about the results a lawyer can achieve or makes a comparison with the services of another lawyer that cannot be factually substantiated. See Rule 7.1(a)(2) and (3). Information about a lawyer's verdict record can be misleading if it is not provided in context. See 99 FEO 7 and 2000 FEO 1. Therefore, to avoid a misleading communication, a lawyer may only advertise his membership or participation in an organization with a self-laudatory name or designation if the following conditions are satisfied: 1) the organization has strict, objective standards for admission that are verifiable and would be recognized by a reasonable lawyer as establishing a legitimate basis for determining whether the lawyer has the knowledge, skill, experience, or expertise indicated by the designated membership; 2) the standards for membership are explained in the advertisement or information on how to obtain the membership standards is provided in the advertisement; 3) the organization has no financial interest in promoting the particular lawyer; and 4) the organization charges the lawyer only reasonable membership fees. Moreover, when the membership information may create unjustified expectations, such as the expectation that a lawyer obtains a million dollar verdict in every case, a disclaimer, similar to the one in this inquiry, must be included in the advertisement. Whether Million Dollar Advocates Forum satisfies these conditions must be determined by Attorney prior to the publication of the advertisement.