Question: May Attorney accept payment of a client’s fee from someone other than the client? If so, to whom should Attorney refund any unearned fee at the termination of representation?
Answer: Attorney must not accept compensation for representing a client from someone other than the client (including a co-client or indemnitor) unless Attorney complies with Rule 4 dash–1.8(f). The client must give informed consent, the arrangement must not interfere with Attorney’s independence of professional judgment or with the client-lawyer relationship, and the client’s confidential information must be protected as required by Rule 4 dash–1.6. In obtaining the client’s informed consent, Attorney should discuss with the client all information that will allow the client to make an informed decision, including, but not limited to: to whom any necessary refund should be issued at the termination of representation; that Attorney will follow the procedure in Rule 4 dash–1.15(e) and Comment [8] for the handling of disputed funds if both the client and the third-party payer claim an interest in the funds; and the possible impact on the representation if the payer demands a return of the funds before the scope of the representation is concluded. If the fee arrangement creates a conflict of interest for Attorney, Attorney must comply with Rule 4 dash–1.7(b). It should be noted that not all conflicts of interest are consentable. See Rule 4 dash–1.8, Comments [11] and [12].

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