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Confidentiality Controversy
By a slim 17-vote margin, the American Bar Association's House of Delegates during the association's annual meeting changed model rules governing the attorney-client privilege in the hopes of combating corporate fraud.
The proposal allows lawyers to breach the duty of confidentiality if a client uses the lawyer's advice to commit a crime or fraud. The rules were drawn up in the aftermath of the Enron, WorldCom and other corporate scandals that shook the nation's financial markets.
“We're talking about employees who lost their jobs and in some cases their pensions,” said ABA President-Elect Dennis Archer. “This is in the best interests of our profession. It is in the best interests of the country.”
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