HomeMy WebLinkAbout86-528 LascowPaul Lascow, Esquire
Rohert Morris Ruilding
Suite 1100
17th & Arch Streets
Philadelphia, PA 19103
STATE ETHICS COMMISSION
308 FINANCE BUILDING
P.O. BOX 11470
HARRISBURG, PA 17108-1470
TELEPHONE (717) 783 -1610
March 17, 1986
ADVICE OF COUNSEL
86 -528
Re: Attorney, Chief Counsel, Department of Insurance, Representation,
Section 3(e)
Dear Mr. Lascow:
This responds to your letter of Fehruary 11, 1986, in which you
requested advice from the State Ethics Commission.
Issue: You have requested advice regarding the permissihle scope of your
practice of law upon termination of your employment with the Pennsylvania
Department of Insurance.
Facts: You have advised that effective January 31, 1986, you terminated your
employment with the Commonwealth of Pennsylvania, Insurance Department. You
served as Chief Counsel to that department. As Chief Counsel to the
Pennsylvania Insurance Department you were responsible for providing legal
advice and representation to the Insurance Department and its commissioner.
You generally managed the legal division for the Insurance Department and
directed and supervised the Deputy Chief Counsel, the Chief of Litigation and
Assistant Counsel.
Effective February 3, 1986, you began employment with the Insurance
Federation of Pennsylvania Incorporated. This corporation has, as its stated
purpose, the advancement of the welfare of insurance policy holders and those
engaged in all branches of the insurance business in Pennsylvania. You are
employed as counsel to the federation. Your duties with the federation,
therefore, include all aspects of rendering legal services to the federation
including in administrative actions, the rendering of legal opinions on
specific questions, advocacy of the federation's legal position.
Paul Lascow, Esquire
March 17, 1986
Page 2
You have now requested the advice of the State Ethics Commission as to
the extent of any restrictions that may he imposed upon you within the purview
of the State Ethics Act.
As you have indicated in your letter of request, you are familar with the
Supreme Court decision in Pennsylvania Puhlic Utility Rar 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 applicahility of Section
3(e) of the Ethics Act to attorneys in the regulation of their practice of
law. However, you seek clarification of the question of the applicahility of
the Ethics Act to your situation and any restrictions that might he placed
upon your conduct with respect to your practice of law and new work or
employment.
Discussion: In light of the recent decision in Pennsylvania Public Utility
Commission Rar 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 Section 3(e) of the Ethics Act upon your conduct insofar as that conduct
constitutes the practice of law.
Therefore, insofar as your conduct before the Insurance Department, 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 he 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 he regulated hy 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 Insurance Department or
otherwise, Section 3(e) of the Ethics Act would not operate to bar such
activity.
If, however, the activities that you intend to undertake hefore the
Insurance Department -- the governmental hody with which you have been
associated while employed hy the Commonwealth of Pennsylvania -- do not fall
within the category of the "practice of law" the prohibitions of Section 3(e)
of the Ethics Act might he applicable. Activities which might he considered,
by the Commission not to constitute the "practice of law" or to he 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 intend to undertake your new employment only in the capacity
of lawyer - client, that these activities would constitute the practice of law,
and that the provisions of Section 3(e) of the Ethics Act, pursuant to the
mandates of the Supreme Court's ruling would, therefore, he inapplicable.
Paul Lascow, Esquire
March 17, 1986
Page 3
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 Insurance Department -- the "governmental body"
with which you are "associated" while employed by the Commonwealth of
Pennsylvania. Therefore, any representation which you might undertake with
respect to a client or employer before any entity other than the Insurance
Department would not be restricted by Section 3(e) of the Ethics Act in any
event.
Conclusion: Section 3(e) of 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
enforcement proceeding initiated by the Commission, and evide
conduct in any other civil or crimi nal proceedi ng, providi ng
disclosed truthfully all the material facts and committed the
of in reliance on the Advice given.
defense in any
nce of good faith
the requestor has
acts complained
This letter is a public record and will be made available as such.
Finally, if you disagree with this Advice or if you have
challenge same, you may request that the full Commission revi
personal appearance before the Commission will be scheduled a
Opinion from the Commission will be issued. Any such appeal
writing, to the Commission within 15 days of service of this
to 51 Pa. Code 2.12.
Si nc
onti no
Gen- al Counsel
any reason to
ew this Advice. A
nd a formal
must be made, in
Advice pursuant