A lawyer is representing a client in a divorce case. The client reveals during a confidential conversation that they have been deliberately hiding substantial assets from their spouse throughout the marriage, and intends to continue doing so during the divorce proceedings. The lawyer advises the client that this constitutes fraud and could have severe legal consequences. The client, however, insists on proceeding with the fraudulent concealment. What is the lawyer's primary ethical obligation in this situation?
- AThe lawyer must continue to represent the client but avoid any direct involvement in the asset concealment.
- BThe lawyer must disclose the client's fraudulent intent to the court or the opposing party.
- CThe lawyer may disclose the fraudulent intent if it would prevent substantial financial harm to the spouse.
- DThe lawyer must withdraw from representation to avoid assisting in the client's fraudulent conduct.
Show answer & explanationAnswer & explanation
Correct answer: D. The lawyer must withdraw from representation to avoid assisting in the client's fraudulent conduct.
A lawyer cannot counsel a client to engage, or assist a client, in conduct that the lawyer knows is criminal or fraudulent. If a client insists on pursuing a course of action involving the lawyer's services in fraud, the lawyer must withdraw from the representation. While Model Rule 1.6(b)(2) permits disclosure to prevent substantial financial injury, withdrawal is mandatory to avoid assisting the fraud, and is often the primary obligation when a client insists on using the lawyer's services for fraud.
Why the other options are wrong
- A. Continuing representation while knowing the client is committing fraud, even if not directly involved, could be seen as implicitly assisting the fraud.
- B. Disclosure is permissive, not mandatory, under Model Rule 1.6(b)(2), and withdrawal is a more direct way to avoid assisting the fraud.
- C. While this is a permissive exception under Model Rule 1.6(b)(2), the mandatory duty to withdraw from assisting fraud takes precedence when the client insists on using the lawyer's services for the fraud.
Mandatory Withdrawal (Client Fraud)
A lawyer must withdraw from representation if the client insists upon pursuing an objective that the lawyer knows is criminal or fraudulent, or if the lawyer's services would be used by the client to commit a crime or fraud.
- Lawyer cannot assist client in criminal/fraudulent conduct.
- Withdrawal is mandatory if client insists on using lawyer's services for fraud.
- This duty overrides client confidentiality in this specific context.
- Distinguish from permissive disclosure.
Memory trick: Fraud's path? Withdraw, don't math (assist).