Transition: the long goodbye, Part I

Short and sweet, or long and tearful? Which kind of goodbye fits your typical modus operandi? If you like the short and sweet variety, you'll have to rethink your habits when it's time to say goodbye to your law practice. Whether you are retiring completely or merely selling your practice to delve into another area of the law, you will have tidying up to do in terms of the loose ends. Those chores fall into two main areas: ethics and business. In this week's column, we'll examine ethics concerns. - Records You'll need to gather all your old records to create a database of former and current clients. This will be useful for two purposes: one, to satisfy the rules of professional conduct about notifying current clients of new counsel; two, to create databases for marketing the new practice and assuring the highest future revenue of the firm. - Letters of instruction You'll need to notify current clients that the practice is going to be sold. Send the notification via certified mail, return receipt requested, to the client's last known address. Create an organization system to keep track of all client notification letters sent in accordance with the rules of professional conduct and to track responses received. Send out a letter of instruction, to be completed and signed by the client and returned to the attorney, that will explain how the client wants matters handled. Make sure that you receive letters of instruction from all clients. - Client files Whether closed or open, all client files must be dealt with appropriately. For any clients who elect not to go with the buying attorney, assist them in obtaining new legal representation. Offer the names of three competent attorneys as well as the name of your local bar association's lawyer referral service. Keep records of what was sent to whom as well as their responses. Make sure that you get receipts from clients who pick up their files, in accordance with their requests to take matters to another attorney. Take into account your jurisdiction's file-retention policies, if any, before shredding files on clients who no longer want the firm to represent them. Review closed files and contact the clients whose matters are in them, covering both current and former clientele. Depending on clients' instructions, or lack thereof, destroy all old files - except original documents - as appropriate under your jurisdiction's file-retention policy. Review and prioritize all open files, with an emphasis on time-sensitive issues, such as statutes of limitations, trial dates, filing deadlines, etc. Also, confirm that open client files can withstand the scrutiny of public or outside review. File appropriate pleadings - including substitution of attorneys, motion to withdraw, motion for continuance, and the like - as may be appropriate for all litigated matters. - Client trust accounts Your clients and employees will have many concerns about your transition, and many of those will be about either money or discretion. You should transfer client trust accounts to the purchasing attorney, and emphasize to the clients your obligation to ensure that their interests and confidences will be protected in perpetuity. Fulfill your fiduciary obligations regarding safekeeping client property and be sure to address any other related needs or fears to assure a smooth transition. No matter how anxious you may be to start the next chapter in your life, transitioning from your law practice cannot be done quickly. It must be handled with the utmost forethought, and concern for clients' peace of mind must be uppermost in yours. ----- Edward Poll is the principal of LawBiz Management. He coaches lawyers and is the creator of "Life After Law," a program that helps attorneys plan for profitable exits. He can be contacted at edpoll@lawbiz.com. Published: Wed, Apr 01, 2015