May a Vermont lawyer use a collection agency to collect a former client's unpaid bill and disclose information about the representation?

Plain-English summary

A lawyer asked whether she could refer a former client's past-due bill to a professional collection agency. The committee relied on former DR 4-101(C)(4), which permitted disclosure of client confidences or secrets necessary to establish or collect a fee.

The committee allowed use of the agency, but said information about the representation could be shared only to the extent necessary to establish the fee claimed. It held the lawyer legally and ethically responsible for the agency's collection conduct, including maintaining client confidences and limiting use of disclosed information to collection.

Currency note

This opinion was issued in 1997 under Vermont's former Code of Professional Responsibility. The Vermont Supreme Court's rules history states that the Rules of Professional Conduct applied to lawyer conduct after September 1, 1999. Later amendments or opinions may have changed the analysis. Treat this opinion as historical context and verify current rules before relying on it.

Common questions

Q: Does confidentiality prevent use of a collection agency?

A: The committee said former DR 4-101(C)(4) allowed disclosure necessary to establish or collect the lawyer's fee, and therefore permitted use of an agency for the former client's unpaid bill.

Q: What information could be disclosed to the agency?

A: Only information about the representation needed to establish the fee claimed. The committee said the lawyer must ensure the agency preserves client confidences and does not use the information for another purpose.

Background and rules framework

The opinion quoted former DR 4-101's definitions and confidentiality limits, including its fee-collection exception and the duty of reasonable care concerning employees, associates, and others whose services the lawyer uses. It cited ethics opinions from Georgia, New York, Ohio, and Pennsylvania as consistent authority.

Citations and references

Rules of Professional Conduct:

• Vermont Code of Professional Responsibility DR 4-101(C)(4) and DR 4-101(D)

Other opinions cited:

• Georgia Ethics Opinion 49 (1985)
• New York State Ethics Opinion 608 (1990)
• Ohio Supreme Court Ethics Opinion 91-16 (1991)
• Pennsylvania Bar Association Opinion 96-09

See also

• Vermont Ethics Op. 96-09: Prospective-client inquiry
• Vermont Ethics Op. 96-11: Initial bankruptcy consultation

Source

• Landing page: Vermont Bar Association fees opinions
• Original PDF: Opinion 97-04
• Vermont Supreme Court rules history, “These rules apply to lawyer conduct after September 1, 1999.”