[textbook]Traversing the Ethical Minefield Problems, Law, and Professional Responsibility by Susan R. Martyn (z-lib.org)(1) (1)

40. MR 2.3; RLGL § 95.
41. McIntosh County Bank v. Dorsey & Whitney, LLP, 745 N.W.2d 538 (Minn. 2008) (lawyer must be aware of
client’s intent to benefit a third party for third party to establish it was a direct and intended beneficiary).
42. E.g., RLGL §51(3); Estate of Schneider v. Finmann, 933 N.E. 2d 718 (N.Y. 2010) (estate’s personal
representative may sue decedent’s lawyer for estate planning malpractice).
43. See, e.g., Capitol Indem. Corp. v. Fleming, 58 P.3d 965 (Ariz. App. 2002) (surety who posted bond for an
estate’s conservator incidental, not intended beneficiary of services provided by conservator’s lawyer).
44. See, e.g., Estate of Albanese v. Lolio, 923 A.2d 325 (N.J. App. 2007); but see Perez v. Stern, 777 N.W.2d 545
(Neb. 2010) (lawyer hired by estate’s personal representative to pursue wrongful death action owed duty of care to
decedent’s children and intended beneficiaries).
45. Connely v. McColloch, 83 P.3d 457 (Wyo. 2004).
46. Restatement (Second) of Torts § 552; RLGL § 51(2)(b).
47. See, e.g., Orshoski v. Krieger, 2001 WL 1388037 (Ohio App.) (prospective buyers who relied on negligent
misrepresentations of lawyer for developer concerning subdivision’s restrictive covenants could sue for negligent
misrepresentation, but not for legal malpractice).
48. E.g., Rubin v. Schottenstein, Zox & Dunn, 143 F.3d 263 (6th Cir. 1998) (en banc) (lawyer who represented
seller in a securities transaction assumes a duty to provide complete and nonmisleading information with respect to
subjects on which he undertakes to speak under 17 C.F.R. § 240.10b-5).
49. Ultramares Corp. v. Touche, Niven & Co., 174 N.E. 441 (N.Y. 1931).
50. Restatement (Second) of Torts § 552. See, e.g., RLGL § 51(2).
51. Douglas R. Richmond, Lawyer Liability for Aiding and Abetting Clients’ Misconduct Under State Law, 75 Def.
Couns. J. 130 (2008).
52. See, e.g., Chem-Age Industries, Inc., v. Glover, 652 N.W. 2d 756 (S.D. 2002) (twenty-year representation of
client in failed business ventures created jury question of what lawyer’s constructive knowledge about client’s intent).
53. RLGL § 51(4).
54. See, e.g., LeRoy v. Allen, Yurasek & Merklin, 872 N.E. 2d 254 (Ohio 2007) (lawyer for close corporation
allegedly colluded with beneficiaries in preparing a will and stock transfer for elderly relative).
* Mr. Proud was suspended from practice for one year, from May 1, 1990 to May 1, 1991.
https://www.iardc.org/ldetail.asp?id=891824192.
* As amended, ORS 166.725(7)(a) provides:
“Any person who is injured by reason of any violation of the provisions of ORS 166.720 (1) to (4) shall have a
cause of action for three-fold the actual damages sustained and, when appropriate, punitive damages:
(A) If a criminal conviction for the racketeering activity that is the basis of the violation has been
obtained, any rights of appeal have expired and the action is against the individual convicted of the
racketeering activity; or
(B) If the violation is based on racketeering activity . . .
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