Informal Opinion Number: 20010050

QUESTION: Attorney is representing Client in a suit to recover damages that were the result of a motor vehicle accident. The accident was caused by a hit and run driver, therefore Attorney pursued Client’s personal injury claim to settlement as an uninsured motorist claim against Client’s insurance carrier. However, a subsequent police investigation located the driver of the hit and run vehicle. Attorney sent a letter to the driver and received a response from an insurance carrier purportedly covering the other vehicle. That letter indicates that the matter is under investigation by them under a full reservation of rights. Attorney has not notified Client’s insurance carrier that there is a possibility that coverage exists on the other motor vehicle involved in the accident. Attorney is at a loss to know what Attorney’s ethical obligations are in this situation. Does Attorney have an obligation to advise the uninsured motorist carrier of the possibility of insurance coverage on the other motor vehicle? May Attorney pursue the claim against the liability carrier to a settlement on behalf of Client, if so, if a settlement is reached with the liability carrier, does Attorney have an obligation to reimburse the uninsured motorist carrier out of such settlement if Client were to object to doing this?
ANSWER: Attorney’s first step should be to review Client’s legal obligations to Client’s insurance company. Attorney should then advise Client on Client’s legal obligations and options. If Client chooses to proceed in a manner that Attorney believes will involve dishonesty or fraud, Attorney should seek to withdraw. Attorney does not have an independent obligation under Supreme Court Rule 4 to notify Client’s insurance company of the claim against the other insurance company, regardless of the outcome.

Informal Opinions are ethics advisory opinions issued by the Office of Legal Ethics Counsel to members of the Bar about Rule 4 (Rules of Professional Conduct), Rule 5 (Complaints and Proceedings Thereon), and Rule 6 (Fees to Practice Law) pursuant to Missouri Supreme Court Rule 5.30(c). Written summaries of select Informal Opinions are published for informational purposes as determined by the Advisory Committee of the Supreme Court of Missouri pursuant to Rule 5.30(c). Informal opinion summaries are advisory in nature and are not binding. These opinions are published as an educational service and do not constitute legal advice.

To request an Informal Opinion, please visit: http://mo-legal-ethics.org/for lawyers/requesting-an-informal-advisory-opinion/.

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