what does conflict of interest mean in law
Conflict of interest In the legal profession, the duty of loyalty owed to a client prohibits an attorney (or a law firm) from representing any other party with interests adverse to those of a current client. The few exceptions to this rule require informed written consent from all affected clients, i.e., an "ethical wall". In some circumstances, a conflict of interest can never be waived by a client. In perhaps the most common example encountered by the general public, the same firm should not represent both parties in a divorce or child custody matter. Found conflict can lead to denial or disgorgement of legal fees, or in some cases (such as the failure to make mandatory disclosure), criminal proceedings. In the United States, a law firm usually cannot represent a client if its interests conflict with those of another client, even if they have separate lawyers within the firm, unless (in some jurisdictions) the lawyer is segregated from the rest of the firm for the duration of the conflict. Law firms often employ software in conjunction with their case management and accounting systems in order to meet their duties to monitor their conflict of interest exposure and to assist in obtaining waivers.[3]
Federalist No. 10 No. 10 addresses the question of how to reconcile citizens with interests contrary to the rights of others or inimical to the interests of the community as a whole. Madison saw factions as inevitable due to the nature of man â€“ that is, as long as men hold differing opinions, have differing amounts of wealth and own differing amount of property, they will continue to form alliances with people who are most similar to them and they will sometimes work against the public interest and infringe upon the rights of others. He thus questions how to guard against those dangers.[citation needed]