Can a law firm host a hospitality suite before a state bid letting and invite both existing clients and non-client contractors it knows will attend?

Plain-English summary

The North Carolina Department of Transportation awarded contracts monthly, and contractors and subcontractors often stayed at a Raleigh hotel the evening before a letting. A law firm wanted to host a hospitality suite at that hotel the night before a letting and to invite both existing clients in attendance and other contractors who were not existing clients.

On the first question, the opinion concluded that the firm may host the hospitality suite for persons or firms that are existing clients, because Rule 2.4 does not prohibit a lawyer's contact with existing clients.

On the second question, the opinion concluded that the firm may send an invitation to non-client contractors it knows will be attending the bid letting, so long as the firm does not solicit business from the non-clients who come to the suite. Rule 2.4(a) prohibits a lawyer's in-person or live telephone solicitation of professional employment from a prospective client with whom the lawyer has no family or prior professional relationship when a significant motive is the lawyer's pecuniary gain. Treating the hospitality suite as a means of promoting good will that could lead to future employment, the opinion held the firm may invite non-client contractors, while cautioning that the firm's members must be very careful to avoid soliciting professional employment from the non-clients at the suite.

Currency note

This opinion was issued in 1993, before the North Carolina State Bar's adoption of the 2003 revisions to the Rules of Professional Conduct. Subsequent rule amendments or later opinions may have changed the analysis. Treat this page as historical context, not current guidance. Verify against current rules before relying on any specific rule, deadline, or requirement mentioned here.

Common questions

Q: Can a law firm host a hospitality suite for its existing clients at a bid-letting site?

A: Yes. The opinion held that Rule 2.4 does not prohibit a lawyer's contact with existing clients, so the firm may host the suite for persons or firms that are existing clients.

Q: Can the firm invite non-client contractors it knows will be attending?

A: Yes. The opinion held the firm may invite known-attending non-client contractors as a goodwill effort that could lead to employment, provided it does not solicit business from them at the suite.

Q: Where is the line the firm cannot cross?

A: The opinion held that Rule 2.4(a) bars in-person or live telephone solicitation of professional employment from a prospective client lacking a family or prior professional relationship when pecuniary gain is a significant motive, so the firm's members must avoid soliciting the non-clients who attend.

Background and rules framework

The opinion applied North Carolina Rule 2.4, the solicitation provision then in force, and specifically Rule 2.4(a)'s bar on in-person and live telephone solicitation of professional employment for pecuniary gain from prospective clients lacking a family or prior professional relationship (corresponding to Model Rule 7.3). It distinguished permissible goodwill contact and contact with existing clients from prohibited in-person solicitation of non-clients.

Citations and references

Rules of Professional Conduct:

• MR 7.3 (solicitation of clients)
• North Carolina Rule 2.4 (solicitation of professional employment)
• North Carolina Rule 2.4(a) (in-person and live telephone solicitation for pecuniary gain)

See also

• NC Ethics Op. RPC 161: television commercials for legal services
• NC Ethics Op. RPC 164: television advertising of legal services

Source

• Landing page: https://www.ncbar.gov/for-lawyers/ethics-and-governing-rules/ethics-opinions/opinions/rpc-146/

Original opinion text

Reproduced from the official source for research purposes. The linked source is authoritative.

Inquiry #1:

The North Carolina Department of Transportation awards contracts on a monthly basis. Many contractors and subcontractors occupy rooms at the North Raleigh Hilton the evening prior to such letting.

Law Firm A is interested in hosting a hospitality suite at the North Raleigh Hilton the evening before such letting. Law Firm A wants to invite existing clients who may be in attendance as well as other contractors who are not existing clients.

Opinion #1:

Yes. The law firm may host a hospitality suite at the site of the bid letting for those persons or firms that are existing clients of the law firm. Rule 2.4 does not prohibit a lawyer's contact with existing clients.

Inquiry #2:

May Law Firm A send an invitation to nonclient contractors it knows will be attending?

Opinion #2:

Yes. Law Firm A may send an invitation to nonclient contractors it knows will be attending the bid letting as long as Law Firm A does not solicit business from the nonclients who come to the hospitality suite. Rule 2.4(a) of the Rules of Professional Conduct prohibits a lawyer's in-person or live telephone solicitation for professional employment from a prospective client with whom the lawyer has no family or prior professional relationship when a significant motive for the lawyer's doing so is the lawyer's pecuniary gain. Assuming that the hospitality suite function is a means of promoting good will, which could lead to employment of Law Firm A by the nonclients, Law Firm A may invite nonclient contractors. Again, members of Law Firm A must be very careful to avoid solicitation of professional employment from the nonclient contractors who come to the hospitality suite.