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Board of Trustees Approves Measures to Advance Equity in Attorney Discipline

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Thursday, July 16, 2020
   Categories: News Releases

At its July 16 meeting, the State Bar Board of Trustees approved an action plan designed to improve equity in the attorney discipline system, following up on the agency’s first-ever study on racial disparities in the disciplinary system. The first group of reforms aim to expand representation by counsel when an attorney faces a disciplinary investigation.

“The State Bar is moving forward with concrete, specific actions that we believe will not only target the disparities noted in Professor Farkas’s research, but also make the discipline system work better for everyone.” said Donna S. Hershkowitz, Interim Executive Director.

The Farkas study found that lack of representation by counsel when an attorney is being investigated by the State Bar was a statistically significant predictor of later discipline, and that African American respondents were represented by counsel about half as frequently as other groups in the study. The State Bar will:

  • Measure and report data on representation for attorneys in the discipline system;
  • Pilot-test messages informing respondent attorneys of the value of representation by counsel in disciplinary proceedings to evaluate the most effective method of encouraging representation; and
  • Work with the Association of Discipline Defense Counsel to develop and distribute a roster of attorneys who could provide low-cost and pro bono case evaluations to respondent attorneys.

The Farkas study also found that African American male attorneys received more complaints than their white counterparts—a difference that contributed to disparities in discipline. The Board directed the State Bar to implement an interim reform that closed complaints more than five years old should not ordinarily be considered in evaluating and investigating a new complaint. Staff was directed to return to the next Board meeting in September with reforms changing how low-level issues with client trust accounts are tracked and handled. The State Bar will also further evaluate complaints closed without discipline for issues that may present opportunities for proactive regulation.

In a related action, the Board approved development of a program of online attorney self-assessments designed to help practitioners identify gaps in practice management and compliance with professional responsibilities and enhance competent practice. The program will be voluntary, permit anonymous use, offer MCLE credit, and collect only nonpersonalized, aggregated data. The program’s first topic will be client trust accounting practices.

Other actions taken by the Board of Trustees:

Stabilizing 2020 Funding for Legal Aid Providers: Trustees approved keeping the 2020 distribution to legal services providers from the Interest on Lawyers’ Trust Accounts (IOLTA) program stable, at $55.3 million. The State Bar will draw down reserves, prudently managed since the IOLTA fund’s recovery from the Great Recession, in order to stabilize this year’s funding and support funding for 2021. Stable funding is always critical to the health and survival of the legal aid organizations— approximately 100 statewide—that depend on IOLTA funding. Demand for legal aid is increasing because of the pandemic and its economic impacts. Even with commitments by some banks to maintain IOLTA interest rates above the minimum required, interest revenue has dropped dramatically and is now projected at approximately half earlier estimates for the year. This is due to the precipitous drop in the Federal Funds Rate made earlier this year to offset the impact of COVID-19 on the economy. The Board approved a 2021 distribution amount of $23.5 million.

Working Group Charters and Nominations: The Board approved charters and plans to solicit members for two important initiatives:

  • The joint Blue Ribbon Commission on the Future of the California Bar Exam, established in partnership with the California Supreme Court. Following approval of the charter by the Supreme Court, nominations will be solicited for appointments by the Supreme Court so that the commission can begin its work in fall 2020 and present its final report no later than June 30, 2022.
  • The Closing the Justice Gap Working Group, created to follow up on recommendations of the Task Force on Access Through Innovation of Legal Services (ATILS). Because this group will be exploring significant and innovative approaches to the practice of law, nominations will be solicited to ensure that the group includes a wide variety of perspectives. The Board is expected to finalize appointments at its September 2020 meeting, and the working group is expected to make its final recommendations no later than September 2022.

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