If a lawyer personally guarantees an arbitrator's fee and the client then refuses to pay, is the lawyer still on the hook?

Plain-English summary

The inquiry concerned payment of an arbitrator's fees. During an arbitration proceeding and on the record, the parties agreed that each would pay one half of the arbitrator's fees. After the lawyer's client objected to paying the fees, the lawyer wrote to the arbitrator that if the client did not pay, the lawyer would personally make the payment and then bill the client for the advancement of costs. The client subsequently again instructed the lawyer not to pay the fees.

The committee was of the opinion, based on these facts, that if the lawyer guaranteed to pay the funds to the arbitrator, the lawyer is obligated to pay.

Currency note

This opinion was issued in 1990, before the Washington State Bar Association's adoption of the 2006 revisions to the Washington Rules of Professional Conduct. Subsequent rule amendments or later opinions may have changed the analysis. Treat this page as historical context, not current guidance. Verify against current rules before relying on any specific rule, deadline, or requirement mentioned here.

Common questions

Q: Can a client's later instruction relieve a lawyer who guaranteed payment to an arbitrator?

A: Under this 1990 opinion, no; the committee was of the opinion that if the lawyer guaranteed to pay the funds, the lawyer is obligated to pay despite the client's subsequent instruction not to.

Q: What had the lawyer told the arbitrator?

A: That if the client did not pay, the lawyer would personally make the payment and then bill the client for the advancement of costs.

Background and rules framework

The committee resolved this inquiry on the facts presented, without citing a specific Rule of Professional Conduct. It treated the lawyer's written guarantee to the arbitrator as creating an obligation to pay that the client's later instruction could not undo.

Citations and references

The opinion does not cite a specific Rule of Professional Conduct.

See also

• WA Ethics Op. 1375: Trust-Account Funds Left by a Bank Error
• WA Ethics Op. 1355: Hold Harmless Agreement on Medical Bills

Source

• Landing page: https://ao.wsba.org/print.aspx?ID=459

Original opinion text

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

The Committee reviewed your inquiry concerning payment of arbitrator's fees. As the Committee understood the facts, during an arbitration proceeding and on the record, the parties agreed that each would pay one half of the arbitrator's fees. Subsequently, after your client objected to payment of the fees, you wrote to the arbitrator that if payment was not accomplished by your client, you would personally make payment to him and subsequently bill your client for the advancement of costs. The client subsequently again instructed you not to pay the fees. The Committee was of the opinion based upon these facts that if you guaranteed to pay the funds to the arbitrator, you are obligated to pay.