Can a lawyer share fees with or associate with a nonlawyer who represents Social Security claimants?

Plain-English summary

According to the inquiring lawyer, a Social Security claimant may be represented on claims in the Social Security system by nonlawyers. The lawyer had been approached by a nonlawyer to associate on Social Security cases, most likely on a fee-sharing basis, but possibly with the nonlawyer simply paying the lawyer a set fee for the lawyer's work. The question was whether the RPCs permit lawyers to enter such an arrangement with nonlawyers.

The committee concluded that the described arrangement is barred by the express language of RPC 5.4(a), 5.4(b), and 7.2(c), that the language is unambiguous, and that no exception applies even though nonlawyers may legally practice before the Social Security Administration.

Currency note

This opinion was issued in 1997, before the Washington State Bar Association's adoption of the 2006 revisions to the 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 Treat this page as historical context, not current guidance.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. Washington's cited rules correspond to ABA Model Rules 5.4 (professional independence, including the bars on sharing fees with and forming a partnership with a nonlawyer) and 7.2 (advertising and payment for recommending services).

Common questions

Q: Can a lawyer share fees with a nonlawyer Social Security representative?

A: No. The committee concluded the arrangement is barred by the express language of RPC 5.4(a), 5.4(b), and 7.2(c).

Q: Does it matter that nonlawyers may legally represent Social Security claimants?

A: No. The committee said no exception applies even though nonlawyers may legally practice before the Social Security Administration.

Q: What if the nonlawyer just pays the lawyer a set fee instead of splitting fees?

A: The committee treated the described arrangement, which included that possibility, as barred by the same rules.

Background and rules framework

The opinion applied RPC 5.4(a) (sharing fees with a nonlawyer), 5.4(b) (forming a partnership with a nonlawyer where any activities are the practice of law), and 7.2(c), corresponding to ABA Model Rules 5.4 and 7.2, to a proposed association between a lawyer and a nonlawyer Social Security representative. The committee rested on the rules' express, unambiguous language and held that the federal allowance for nonlawyer practice before the SSA creates no exception to the state fee-sharing bars.

Citations and references

Rules of Professional Conduct:

• ABA Model Rule 5.4 (professional independence of a lawyer); Washington RPC 5.4(a), 5.4(b)
• ABA Model Rule 7.2 (advertising); Washington RPC 7.2(c)

See also

• WA Ethics Op. 1747: Lawyer at a Nonlawyer Trust Firm
• WA Ethics Op. 1730: Preferred-Provider Fee Sharing
• WA Ethics Op. 1716: Giving Part of a Fee to Charity

Source

• Landing page: https://ao.wsba.org/print.aspx?ID=832

Original opinion text

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

Advisory Opinion: 1768
Year Issued: 1997
RPC(s): RPC 5.4(a); 5.4(b); 7.2(c)
Subject: Professional independence; division of fees with nonlawyer practicing before Social Security Administration

Facts/Information Presented: According to the inquiring lawyer, a Social Security claimant may be represented on claims in the Social Security system by nonlawyers. The inquiring lawyer has been approached by a nonlawyer for association on Social Security cases. The inquirer states this would most likely be on a fee-sharing basis, but may involve simply the nonlawyer paying the inquirer a set fee for the lawyer's work.

Question Presented: Do the RPCs permit lawyers to enter such an arrangement with nonlawyers?

Applicable Rules: RPC 5.4(a), 5.4 (b), 7.2(c).

RPC Committee Opinion: The described arrangement is barred by the express language of RPC 5.4(a), 5.4(b) and 7.2(c). That language is unambiguous. Therefore, no exception applies even though nonlawyers may legally practice before the Social Security Administration.