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E-Lawyering Creates Ethical and Legal Risks

WARREN, NJ, February 20, 2007 - From describing their practices to offering legal advice over the Internet, e-lawyering has created new ethical and legal risks, according to underwriters at the Chubb Group of Insurance Companies.

In response, Chubb's new handbook, "A Lawyer's Guide to Managing E-Lawyering Risks," explains how lawyers and law firms can utilize new technologies while mitigating the associated risks.  E-lawyering includes activities ranging from sending an email to a client to online chatting or negotiating with clients or other parties.  Some firms even have abandoned their bricks-and-mortar approach to become virtual law firms.  

"The Internet and other technologies can help law firms serve clients, but these same tools can create risks that must be monitored closely," said James Rhyner, vice president, Chubb & Son, and global lawyers professional liability product manager, Chubb Specialty Insurance.  "Lawyers must be able to operate on the Internet without violating ethical and legal rules, including confidentiality, duties owed to prospective clients and the unauthorized practice of law in jurisdictions where they are not admitted."

Chubb's handbook reviews a variety of risks that lawyers need to consider when conducting business over the Internet, including unintended client engagements, disclosure of confidential information, premature destruction of electronic documents, unauthorized practice of law and security breaches.  It also explains how software packages can help law firms better manage their business and enhance their risk management efforts. A copy of the handbook can be downloaded at www.chubb.com/businesses/chubb3331.html.

The member insurers of the Chubb Group of Insurance Companies form a multi-billion dollar organization providing property and casualty insurance for personal and commercial customers worldwide through 8,000 independent agents and brokers. Chubb's global network includes branches and affiliates throughout North America, Europe, Latin America, Asia and Australia.