KBA E-370

Question: May Kentucky Lawyers enter into an arrangement with LAWCARD, a credit card program that finances the payment of legal fees?

Answer: Yes

References: ABA Op. 338 (1972); KBA Op. E-172 (1974); Main Op. 138 (1994); Alabama Op. 93-19 (1993).

OPINION

LAWCARD is a credit card plan and not a for-profit lawyer referral service. Use of LAWCARD has been accepted in a number of jurisdictions, and there are several ethics opinions explicitly approving of LAWCARD. See Main Op. 138 (1994); Alabama Op. 93-19 (1993).

ABA and KBA opinions allow law firms to accept credit cards as a method of payment for legal services performed by that firm. ABA Formal Op. 338 (1974); KBA Op. E-172 (1977). So long as LAWCARD and the lawyer participating in the LAWCARD program comply with KBA E-172, as well as all governing laws and rules (e.g., Rule 5.4(a) prohibiting fee-splitting with non-lawyers), the Committee finds no reason to answer the question in any way but the affirmative.

We do note that our opinion does not and cannot constitute legal advice or a legal opinion to the lawyer, to LAWCARD, or to any other person, nor an endorsement or certification of LAWCARD or lawyers accepting LAWCARD. The Committee does not give legal advice; nor does it review and certify compliance with the law.

For the convenience of the reader we append KBA E-172 (1977).

RICHARD H. UNDERWOOOD

ETHICS COMMITTEE CHAIR

9/17/94