LEO: Conflict of Interests/Discontinuing  LE Op. 475


Conflict of Interests/Discontinuing Multiple Representation.


September 20, 1982


Under the particular circumstances involved, there was no impropriety in

a law firm's continued representation of one corporate client (a

contractor) although another corporate client (a subcontractor) had

alleged a conflict of interests.


Originally, the law firm had represented both clients against a third

party. Disagreements arose, however, between the two clients before any

suit was actually filed against the third party. Also before suit, the

third party itself brought suit against the contractor. Although the law

firm withdrew from representing either client in any suit against the

third party because of the dispute between the two clients themselves, the

firm did agree to continue representing the contractor on a counterclaim

in the suit filed by the third party.


In view of the requirements of DR:5-105(B), this was not improper, as

the firm had withdrawn from any matters which would relate directly to

both corporate clients or which would require that the law firm use any

information obtained from one corporate client against that client.


Committee Opinion September 20, 1982