ABA Resolution 100 Revamps Legal Ethics to Combat Money Laundering

On August 8, the American Bar Association’s House of Delegates passed the revised Resolution 100. The voting outcome was decisive, with 216 in favor and 102 against. This milestone in legal framework has revamped the ABA Model Rule of Professional Conduct 1.16, defining more clearly the responsibilities of a lawyer during a representation. As per this revision, attorneys now have an unequivocal duty to not only evaluate the backdrop of a representation during engagement, but also maintain this evaluation throughout their tenure, ensuring their expertise isn’t being leveraged to facilitate or conceal fraudulent activities, including money laundering.

According to legal experts at Ballard Spahr, the updated resolution successfully maneuvers a delicate balancing act – it both acknowledges an attorney’s duty to cease representation that may facilitate illicit activities, and simultaneously safeguards the sanctity of attorney-client relationships and state-based regulation of the law profession. The more explicit language of the directive is likely to ensure that lawyers are absolutely aware of the ethical demands of their profession, whilst preserving the integrity of client interactions.

For further details and an in-depth analysis of the revised Resolution 100 and its potential implications, you are encouraged to examine the original article at law360.com.