The governing body of the New Jersey State Bar Association (NJSBA) met virtually in February and took action on issues ranging from arbitration clauses to supporting legislation.
The Board of Trustees agreed to submit comments to the Advisory Committee on Professional Ethics about required disclosures when including an arbitration clause in a retainer agreement pursuant to Delaney v. Dickey. In that case, the state Supreme Court upheld the use of arbitration clauses in retainer agreements but concluded attorneys must provide clients with additional information to ensure clients are fully aware of the differences between arbitration and a judicial trial.
The NJSBA will urge the ACPE to recommend adoption of the guidelines contained in the Delaney decision, but not recommend any additional required disclosures. The NJSBA will also encourage the ACPE to recommend that the requirements be included in the Rules of Professional Conduct and indicate that model language on arbitration clauses should be included in those updates. The NJSBA will offer to submit proposed language as a supplement.
“The NJSBA believes that the general guidelines provided by the Court are clear and unambiguous and will provide clients with the information they need to make a decision about whether to agree to arbitrate disputes without being overly burdensome on attorneys at the start of an attorney-client relationship,” NJSBA President Kimberly A. Yonta wrote. “To ensure that all attorneys are aware of what is expected, the NJSBA believes it is important to include the disclosure requirements in the Rules of Professional Conduct, and that model language would dispel any further confusion about what is required.”
The Association appeared as an amicus party in Delaney v. Dickey and offered to submit proposed language as a supplement.
The board also gave its seal of approval to a pair of pending measures in Trenton. The NJSBA will support A-4260/S-2878, which would revise requirements concerning reported cases of abuse, neglect or exploitation of vulnerable adults. However, the Association will reach out to legislators to suggest ways to address issues about decriminalization, how it might impact attorney-client privilege and reporting requirements. The board also voted to support A-4837, which authorizes a surviving spouse or family member to use a person’s motor vehicle registration certificate until it expires.
Additionally, the trustees approved the selection of Intelliscan to serve as a third-party administrator should an election be necessary this spring.