HomeMy WebLinkAbout84-603 ThompsonSTATE ETHICS COMMISSION
308 FINANCE BUILDING
P.O. BOX 11470
HARRISBURG, PA 17108 -1470
TELEPHONE (717) 783 -1610
September 4, 1984
ADVICE OF COUNSEL
Lawrence M. Thompson, Jr. 84 -603
Assistant Counsel
Department of Revenue
P.O. Box 1874
Harrisburg, PA 17105
Re: Attorney, Representation, Former Governmental Body, Department of Revenue
Dear Mr. Thompson:
This responds to your letter of August 30, 1984, in which you requested
advice from the State Ethics Commission.
Issue: You have requested advice regarding the permissable scope of your
practice of law since termination of your employment with the Commonwealth of
Pennsylvania.
Facts: You indicate that you have resigned your position with the Department
of Revenue, hereinafter, the Department, as of August 8, 1984. While employed
with the Department, you served as one of the attorneys in the Department's
Office of Chief Counsel. As such, you were generally responsible for:
1. serving as staff attorney for the General Legal Division of the
Office of Chief Counsel;
2. working under the supervision of and receiving assignments and
projects from Assistant Chief Counsel, General Legal Division, and from the
Chief Counsel;
3. drafting and composing legal memoranda, interpreting, summarizing and
memorializing results of legal research in a concise and logical style; and
4. assisting Bureau of Administrative Services - escheat division's
counsel.
Lawrence M. Thompson, Jr.
September 3, 1984
Page 2
As of August 8, 1984, you will be employed as General Counsel and
Corporate Secretary for Penn Savings Bank. As such your duties will include:
a. serving as corporate secretary and performing all applicable duties
including attending all official bank meetings; preparing and maintaining
official minutes and coordinating annual and special meetings of members,
including required notifications;
b. serving as the Bank's first and primary source of legal advice
including coordinating files of all legal and regulatory notices; reviewing
and advising on all bank contracts, leases, agreements, forms and documents,
and new products; and, representing the Bank in foreclosures, bankruptcies,
and other minor litigation;
c. working with outside Counsel on special assignments; and
d. serving as Bank Compliance Officer.
You are probably aware of the case entitled Pennsylvania Public Utility
Bar Association v. Thornburgh, 434 A.2d 1327, 62 Pa. Cmwlth. 88 (1981),
affirmed per curiam 450 A.2d 613, 498 Pa. 589 (1982) which deals with the
applicability of the Ethics Act to attorneys in the regulation of their
practice of law. However, you seek clarification of the question of the
applicability of the Ethics Act to your situation and any restrictions that
might be placed upon your conduct with respect to your practice of law and
new employment.
Discussion: In light of the recent decision in Pennsylvania Public Utility
Commission Bar Association, supra, where the Court held that Section 3(e) of
the Ethics Act, 65 P.S. 403(e), was an impermissible intrusion upon the
Supreme Court's authority to regulate an attorney's conduct, the State Ethics
Commission has applied this decision to mean that there are no prohibitions
under the Ethics Act upon your conduct insofar as that conduct constitutes the
practice of law.
Therefore, insofar as your conduct before the Department of Revenue in
particular, the agency with which you were associated, would constitute the
practice of law, Section 3(e) of the Ethics Act cannot be applied to restrict
that proposed activity. Particular reference should be made to the decision
of the Commonwealth Court at footnote 7, 434 A.2d at page 1331 - 1332. In
this note, the Court indicates that any activity in which the attorney
proports to render professional services to a client may only be regulated by
the Supreme Court. The State Ethics Commission, therefore, must conclude that
to the extent that you would represent a client, as a lawyer, before the
Department of Revenue or otherwise, Section 3(e) of the Ethics Act would not
operate to bar such activity.
Lawrence M Thiolmison, Jr.
eptember M.
Page 3
If, however, the activities that you intend to undertake before the
Department of Revenue -- the governmental body with which you have been
associated while employed by the Commonwealth -- do not fall within the
category of the "practice of law" the prohibitions of Section 3(e) might be
applicable. Activities which might be considered, by the Commission, not to
constitute the "practice of law" or to be undertaken in the capacity as
lawyer - client, might include activities such as lobbying and negotiating on
contracts. However, we will assume, for the purposes of this Advice, that you
are intending to undertake activities in the capacity of lawyer- client and
that these activities would constitute the practice of law and that the
provision's of Section 3(e) of the Ethics Act, pursuant to the mandates of the
Supreme Court's ruling would, therefore, be inapplicable.
In any event, you should be advised that your activity, even if Section
3(e) of the Ethics Act were to be applicable, would not regulate your conduct,
except with respect to the Department -- the "governmental body" with which
you are "associated" while employed by the Commonwealth. Therefore, any
representation which you might undertake with respect to a client or employer
before any entity other than the Department of Revenue would not be restricted
by Section 3(e) of the Ethics Act in any event.
Conclusion: The Ethics Act does not restrict your representation or your
activities, as outlined above, insofar as those activities constitute the
practice of law.
Pursuant to Section 7(9)(ii), this Advice is a complete defense in any
enforcement proceeding initiated by the Commission, and evidence of good
faith conduct in any other civil or criminal proceeding, providing the
requestor has disclosed truthfully all the material facts and committed the
acts complained of in reliance on the Advice given.
This letter is a public record and will be made available as such.
Finally, if you disagree with this Advice or if you have any reason to
challenge same, you may request that the full Commission review this Advice.
A personal appearance before the full Commission will be scheduled and a
formal Opinion from the Commission will be issued. Any such appeal must be
made, in writing, to the Commission within 15 days of service of this Advice
pursuant to 51 Pa. Code 2.12.
SSC /na
cc: James Scheiner, Secretary, Revenue
John Greecher, Director, Personnel, Revenue
Sincerely,
Aleit I'
Sandra S. Christianson
General Counsel