Doug Cornelius at Compliance Building writes today about borrowers paying the legal fees of lender's counsel:
Of course there is a conflict with the law firm. That too is a conflict that has been in place for decades. The bank’s lawyers know they represent the bank. They also know the borrower is paying their bill. Until banks start paying for their own lawyers, there will be no resolution to this conflict.
Here in California, the Rules of Professional Conduct prohibit a lawyer from receiving compensation from someone who is not his or her client unless certain conditions are met:
A member shall not accept compensation for representing a client from one other than the client unless:
(1) There is no interference with the member’s independence of professional judgment or with the client-lawyer relationship; and
(2) Information relating to representation of the client is protected as required by Business and Professions Code section 6068, subdivision (e); and
(3) The member obtains the client’s informed written consent, provided that no disclosure or consent is required if:
(a) such nondisclosure is otherwise authorized by law; or
(b) the member is rendering legal services on behalf of any public agency which provides legal services to other public agencies or the public.
A New Day
This is a big week for holidays. It is Holy Week, Purim began on Wednesday evening and Norooz began last Sunday. I'm still working my way through the Shahnameh, the Persian Book of Kings. This mammoth poem was composed by Abolqasem Ferdowsi over 1,000 years ago. The origin of Norooz is described early in the work:
Although Jamshid [the fourth king of the world] had accomplished all of these things, he strove to climb even higher. With his royal farr [divinely given glory] he constructed a throne studded with gems, and had demons raise him aloft from the earth into the heavens; there he sat on his throne like the sun shining in the sky. The world's creatures gathered in wonder about him and scattered jewels on him, and called this day the New Day, or No-Ruz. This was the first day of the month of Farvardin, at the beginning of the year, when Jamshid rested from his labors and put aside all rancor. His nobles made a great feast, calling for wine and musicians, and this splendid festival has been passed down to us, as a memorial to Jamshid.
Translation by Dick Davis.
Painting of Jamshid