LEO: Conflict of Interest - Real LE Op. 679
Conflict of Interest - Real Estate-Attorney as Counsel for Maker of
Note and Trustee Under Deed of Trust.
April 5, 1985
An attorney who serves as counsel to the maker of a note also desires to
serve as trustee pursuant to the underlying deed of trust. The attorney
proposes that his client execute an agreement by which the maker of the
note waives any objection to the attorney proceeding against him under the
terms of the deed of trust.
It is the committee's opinion that it is not improper for the attorney to
obtain his client's agreement provided (1) the attorney makes full
disclosure of the conflict to both the client and to the lender and (2)
the attorney first advises the client to seek independent counsel
regarding the advisability of signing such an agreement. [ DR:5-105;
LE Op. 528]
Committee Opinion April 5, 1985