Insurer Offers Advice on Avoiding Legal Malpractice Claims in 'Safe' Business Transactions
Posted Jun 29, 2012 05:35 pm CDT
Many lawyers think of business transactions as a “safe” practice area not likely to result in malpractice claims.
But more than two-thirds of all such claims are brought against attorneys who say such work generates 5 percent or less of their annual revenue, a legal claims study (PDF) by the risk control division of CNA insurance has found.
However, while lawyers for whom business transactions comprise 25 percent or more of their practice face fewer claims, the claims they face are more expensive, explains a CNA insurance press release.
Among the advice the study offers for avoiding claims is to represent only one side in a business transaction.