What's wrong with giving a law firm a trade name?

| Thursday, July 09, 2009
In Texas, a law firm must include the name of one or more of the firm's attorneys.

Rule 7.01(a) specifically states:
A lawyer in private practice shall not practice under a trade name, a name that is misleading as to the identity of the lawyer or lawyers practicing under such name, or a firm name containing names other than those of one or more of the lawyers in the firm, except that the names of a professional corporation, professional association, limited liability partnership, or professional limited liability company may contain "P.C.," "P.A.," "L.L.P.," "P.L.L.C.," or similar symbols indicating the nature of the organization, and if otherwise lawful a firm may use as, or continue to include in, its name the name or names of one or more deceased or retired members of the firm or of a predecessor firm in a continuing line of succession. Nothing herein shall prohibit a married woman from practicing under her maiden name.

In other states, such as Massachusetts, a law firm can be identified by a trade name. Consider, for example, Exemplar Law.

Massachusetts Rule of Disciplinary Conduct 7.5(a) specifically states:
A lawyer shall not use a firm name, letterhead, or other professional designation that violates Rule 7.1. A trade name may be used by a lawyer in private practice if it does not imply a connection with a government agency or with a public or charitable legal services organization and is not otherwise in violation of Rule 7.1

Are you wondering which of these two states follows the Model Rules of Professional Conduct? Massachusetts does.

Rule 7.5 of the Model Rules provides:
(a) A lawyer shall not use a firm name, letterhead or other professional designation that violates Rule 7.1. A trade name may be used by a lawyer in private practice if it does not imply a connection with a government agency or with a public or charitable legal services organization and is not otherwise in violation of Rule 7.1.

So why does Texas not allow law firms to use trade names?

An interpretive comment from 2006 does not provide any useful insight:
Rule 7.01(e) prohibits a lawyer from advertising in the public media or seeking public employment by any communication under a “trade or fictitious name.” Texas Professional Ethics Opinion 529 authorizes the use of firm names such as “Jones, Smith & Doe,” “Jones, Smith & Doe, P.C.,” and “Law Offices of Jones, Smith & Doe.” Firm names such as “JonesLaw,” “Jones Law,” and “Jones Law, P.C.” are not permissible because the name claims or implies a quality of the firm beyond the fact that the firm renders legal services. Among other things, the use of the term “Law” as a noun, or as a part of a noun in a firm name constitutes –in the absence of a firm lawyer named “Law”—an impermissible trade name.

Uniform Resource Locator’s (URL’s) cannot be used as a trade name, but can be advertised as the Internet address for the lawyer or law firm as long as the requirements of the Rules are met.

Opinion 529 weakly concludes that a trade name is a "misleading communication because words in a trade name claiming or implying qualities of a firm's legal services necessarily would be incomplete and would not be subject to verification on an ongoing basis."

In my opinion, it is time to re-evaluate Texas' position on law firm trade names which was established in 1979 by Opinion 529 - especially when the Model Rules allow it.

1 comments:

Christopher Marston said...

Amen! Let me know if I can help! Nice post.