Ohio Board Advisory Opinion Op 00-005

The Supreme Court of Ohio
BOARD OF COMMISSIONERS ON GRIEVANCES AND DISCIPLINE
41 SOUTH HIGH STREET-SUITE 3370, COLUMBUS, OH 43215-6105
(614) 644-5800 FAX: (614) 644-5804
OFFICE OF SECRETARY
OPINION 2000-5
Issued December 1, 2000
[CPR Opinion-provides advice under the Ohio Code of Professional Responsibility which is superseded
by the Ohio Rules of Professional Conduct, eff. 2/1/2007.]
SYLLABUS: If an online lawyer referral service is in compliance with the DR 2-103 of
the Ohio Code of Professional Responsibility and with the Lawyer Referral and
Information Services Regulations, an attorney may pay the lawyer referral service a
membership or registration fee as well as a fee calculated on a percentage of the legal fee
earned. DR 2-103(C)(2)(a), DR 2-103(C)(1)(c), DR 2-103(B), and DR 3-102(A)(4)
expressly permit both the payment of a membership or registration fee to a lawyer
referral service as well as a fee calculated on a percentage of the legal fee earned. Before
participating in a lawyer referral service, an Ohio attorney should determine whether the
referral service meets the requirements of DR 2-103(C)(1)(a) through (j) and complies
with the Lawyer Referral and Information Services Regulations.
Whether it is proper for an Ohio attorney to enter a referral agreement with an out-of-
state law firm operating an online referral service on the World Wide Web depends upon
whether the lawyer referral service is in compliance with DR 2-103(C) of the Ohio Code
of Professional Responsibility and with the Lawyer Referral and Information Services
Regulations.
OPINION: This opinion addresses two questions regarding attorney participation in
online attorney referral services.
1. Is it proper for an Ohio attorney to participate in an online lawyer
referral service that requires the attorney to pay the service a
percentage of legal fees earned from the clients referred?
2. Is it proper for an Ohio attorney to participate as a “referral affiliate
attorney” for an out-of-state law firm operating an online referral
service on the World Wide Web?
Question One
Is it proper for an Ohio attorney to participate in an online lawyer referral
service that requires the attorney to pay the service a percentage of legal
fees earned from the clients referred?

Op. 2000-5 2
In Ohio, lawyers are expressly permitted under DR 2-103(D)(3) of the Ohio Code of
Professional Responsibility to participate in a lawyer referral service that complies with
DR 2-103(C). An online lawyer referral service, like any other lawyer referral service,
must comply with the requirements of the rule.
DR 2-103(C)(1) (a) to (j) lists the mandatory requirements that a lawyer referral service
must meet in order for an attorney to ethically participate.
DR 2-103(C) A lawyer shall not request a person or organization to
recommend or promote the use of the lawyer’s services or those of the
lawyer’s partner or associate, or any other lawyer affiliated with the
lawyer’s firm, as a private practitioner, except that:
(1) The lawyer may request referrals from a lawyer referral service
that refers the lawyer to prospective clients but only if the
lawyer referral service conforms to all of the following:
(a) Operates in the public interest for the purpose of referring
prospective clients to lawyers, pro bono and public service
programs, and government, consumer, or other agencies
who can provide the assistance the clients need in light of
their financial circumstance, spoken language, any
disability, geographical convenience, and the nature and
complexity of their problem;
(b) Calls itself a lawyer referral service or a lawyer referral
and information service;
(c) Is open to all lawyers who are licensed and admitted to the
practice of law in Ohio who maintain an office in the
geographical area to be served by the service and who meet
reasonable, objectively determined experience
requirements established by the service; pay the reasonable
registration and membership fees established by the
service; and maintain in force a policy of errors and
omissions insurance in an amount established by the
service.
(d) Establishes rules that prohibit lawyer members of the
service from charging prospective clients to whom a client
is referred, fees and or costs that exceed charges the client
would have incurred had no lawyer referral service been
involved;
(e) Establishes procedures to survey periodically clients
referred to determine client satisfaction with its operations
and to investigate and take appropriate action with respect
to client complaints against lawyer members of the service,
and the service and its employees;

Op. 2000-5 3
(f) Establishes procedures for admitting, suspending, or
removing lawyers from its roll of panelists and
promulgates rules that prohibit the making of a fee
generating referral to any lawyer who has an ownership
interest in, or who operates or is employed by the lawyer
referral service, or who is associated with a law firm that
has an ownership interest in, or operates or is employed by
the lawyer referral service;
(g) Establishes subject-matter panels, eligibility for which
shall be determined on the basis of experience and other
substantial objectively determinable criteria;
(h) Does not, as a condition of participation in the referral
service, limit the lawyer’s selection of co-counsel to other
lawyers listed with the referral service;
(i) Does not make a fee-generating referral to any lawyer who
has an ownership interest in or who operates or is
employed by the lawyer referral service or who is
associated with a law firm that has an ownership interest in
or operates or is employed by a lawyer referral service.
(j) Reports regularly to the Supreme Court Committee for
Lawyer Referral and Information Services and complies
with the record-keeping requirements of and regulations
adopted by the Committee.
The DR 2-103(C)(1)(j) requirement refers to the Supreme Court Committee for Lawyer
Referral and Information Services (LRIS). That committee was created under Gov. Bar
R. XVI §1(A) and (B) “for the purpose of adopting regulations for the operation of
lawyer referral services and ensuring compliance of lawyer referral services with the
provisions of DR 2-103.” The LRIS regulations are published in Appendix VII of the
Supreme Court Rules for the Government of the Bar. Under LRIS Reg 400(C), a lawyer
referral service must register with the Supreme Court Lawyer Referral and Information
Services Committee ninety days before beginning operation. Under LRIS Reg 300, a
lawyer referral service must file an annual report with the secretary of the Committee.
Under LRIS Reg 400, a lawyer referral service must comply with other additional
requirements [requirements in addition to DR 2-103] for the operation of a lawyer
referral service.
DR 2-103(C)(2)(a), DR 2-103(C)(1)(c), DR 2-103(B), and DR 3-102(A)(4) permit a
lawyer participating in a referral service to pay a membership or registration fee, as well
as a fee calculated as a percentage of legal fees earned.
DR 2-103(C)(2) A lawyer participating in a lawyer referral service
that meets the requirements of divisions (C)(1)(a) to (j) of this rule
may:

Op. 2000-5 4
(a) Be required, in addition to payment of a membership
or registration fee as provided in division (C)(1)(c) of
this rule, to pay a fee calculated as a percentage of legal
fees earned by any lawyer panelist to whom the lawyer
referral service has referred a matter. The income from
the percentage fee shall be used only to pay the reasonable
operating expenses of the service and to fund public
service activities of the service or its sponsoring
organization, including the delivery of pro bono public
services; (Emphasis added).
(b) As a condition of participation in the service, be required to
submit any fee disputes with a referred client to mandatory
fee arbitration;
(c) Participate in moderate and no-fee panels and other special
panels established by the service that respond to the
referral needs of the consumer public, eligibility for which
shall be determined on the basis of experience and other
substantial objectively determinable criteria.
DR 2-103(C)(1) The lawyer may request referrals from a lawyer referral
service that refers the lawyer to prospective clients but only if the lawyer
referral service conforms to all of the following:
(c) Is open to all lawyers who are licensed and admitted to the
practice of law in Ohio who maintain an office in the
geographical area to be served by the service and who meet
reasonable, objectively determined experience requirements
established by the service; pay the reasonable registration
and membership fees established by the service; and
maintain in force a policy of errors and omissions insurance in
an amount established by the service; (Emphasis added).
DR 2-103(B) A lawyer shall not compensate or give any thing of value to
a person or organization to recommend or secure the lawyer’s employment
by a client, or as a reward for having made a recommendation resulting in
the lawyer’s employment by a client, except that the lawyer may pay the
usual and reasonable fees or dues charged by any of the organizations
listed in DR 2-103(D). [DR 2-103(D)(3) lists “A lawyer referral service
that complies with division (C) of this rule.”]. (Emphasis added).
DR 3-102(A) A lawyer or law firm shall not share legal fees with a non-
lawyer except that:
(4) A lawyer participating in a lawyer referral service that satisfies
the requirements of DR 2-103(C) may pay to the service a fee
calculated as a percentage of legal fees earned by the lawyer in

Op. 2000-5 5
his or her capacity as a lawyer to whom the service has
referred a matter. This percentage fee is in addition to any
reasonable membership or registration fee established by the
service. (Emphasis added).
Based on these rules, it is unequivocal that if a lawyer referral service is in compliance
with the rules and regulations, an attorney may pay the lawyer referral service a
membership or registration fee as well as a fee calculated on a percentage of the legal fee
earned.
Thus, this Board advises that if an online lawyer referral service is in compliance with the
DR 2-103 of the Ohio Code of Professional Responsibility and with the Lawyer Referral
and Information Services Regulations, an attorney may pay the lawyer referral service a
membership or registration fee as well as a fee calculated on a percentage of the legal fee
earned. DR 2-103(C)(2)(a), DR 2-103(C)(1)(c), DR 2-103(B), and DR 3-102(A)(4)
expressly permit both the payment of a membership or registration fee to a lawyer
referral service as well as a fee calculated on a percentage of the legal fee earned. Before
participating in a lawyer referral service, an Ohio attorney should determine whether the
referral service meets the requirements of DR 2-103(C)(1)(a) through (j) and complies
with the Lawyer Referral and Information Services Regulations.
Question Two
Is it proper for an Ohio attorney to participate as a “referral affiliate
attorney” for an out-of-state law firm operating an online referral service
on the World Wide Web?
Ohio attorneys are being asked to enter referral agreements with an out-of-state law firm.
The out-of-state law firm operates an online referral service on the World Wide Web and
wants Ohio attorneys to serve as “attorney referral affiliates.” By clicking on “Talk to a
Lawyer” or “Free Accident and Injury Consultation” a Web site visitor will be referred to
an “attorney referral affiliate.” The “attorney referral affiliate” is an attorney licensed to
practice law in the state where the prospective client resides.
Referral agreements are regulated by the Ohio Code of Professional Responsibility
through the rules that govern the recommendation of attorneys by others. The rules
specify with whom it is proper for an attorney to cooperate and participate in referral
agreements and what type of compensation is appropriate.
Under DR 2-103(B) a lawyer is prohibited from compensating a person or entity for a
referral that results in employment by a client with the exception that an attorney may
pay fees or dues to any organization listed in DR 2-103(D).
DR 2-103(B) A lawyer shall not compensate or give any thing of value to
a person or organization to recommend or secure the lawyer’s employment
by a client, or as a reward for having made a recommendation resulting in
the lawyer’s employment by a client, except that the lawyer may pay the
usual and reasonable fees or dues charged by any of the organizations
listed in DR 2-103(D).

Op. 2000-5 6
Under DR 2-103(D) attorneys may participate with and be recommended by one of the
offices or organizations listed within the rule.
DR 2-103(D) A lawyer shall not knowingly assist a person or organization
that furnishes or pays for legal services to others to promote the use of the
lawyer’s services or those of the lawyer’s partner or associate or any other
lawyer affiliated with the lawyer or the lawyer’s firm except as permitted
in DR 2-101(B). However, this does not prohibit a lawyer or the lawyer’s
partner or associate or any other lawyer affiliated with the lawyer or the
lawyer’s firm from being recommended, employed, or paid by, or
cooperating with, assisting, and providing legal services for, one of the
following offices or organizations that promote the use of the lawyer’s
services or those of the lawyer’s partner or associate or any other lawyer
affiliated with the lawyer or the lawyer’s firm if there is no interference
with the exercise of independent professional judgment on behalf of the
lawyer’s client:
(1). A legal aid office or public defender office:
(a) Operated or sponsored by a duly accredited law school.
(b) Operated or sponsored by a bona fide non-profit
community organization.
(c) Operated or sponsored by a government agency.
(d) Operated, sponsored, or approved by a bar association.
(2) A military legal assistance office.
(3) A lawyer referral service that complies with division (C) of this
rule.
(4) Any bona fide organization that recommends, furnishes, or pays
for legal services to its members or beneficiaries provided all of
the following conditions are satisfied: [conditions (a) to (g)
omitted].
Thus, an attorney may enter a referral agreement with any of the organizations listed
under DR 2-103(D), provided the organizations comply with any applicable rules and
regulations.
As to the question raised, the threshold issue is whether the proposed referral agreement
is offered to attorneys by an appropriate organization listed under DR 2-103(D), such that
the attorney may ethically participate in the agreement. The proposed referral agreement
is definitely not an agreement with a DR 2-103(D)(1) legal aid office or a public defender
office. It is definitely not an agreement with a DR 2-103(D)(2) military legal assistance

Op. 2000-5 7
office. It is definitely not an agreement with a DR 2-103(D)(4) bona fide organization
that recommends, furnishes, or pays for legal services to its members or beneficiaries.
A possibility is that the proposed referral agreement might be with a law firm that is
operating a DR 2-103(D)(3) referral service that is in compliance with DR 2-103(C).
That would depend upon the facts and whether the referral service is actually in
compliance with DR 2-103(C) and the reporting and other requirements of the Lawyer
Referral and Information Services Regulations. The Supreme Court Committee for
Lawyer Referral and Information Services is available to ensure compliance of lawyer
referral services with the provisions of DR 2-103. Therefore, this Board defers from
making a fact specific determination as to whether a particular referral service is in
compliance with DR 2-103(C).
In conclusion, this Board advises that whether it is proper for an Ohio attorney to enter a
referral agreement with an out-of-state law firm operating an online referral service on
the World Wide Web depends upon whether the lawyer referral service is in compliance
with DR 2-103(C) of the Ohio Code of Professional Responsibility and with the Lawyer
Referral and Information Services Regulations.
Advisory Opinions of the Board of Commissioners on Grievances and Discipline are
informal, nonbinding opinions in response to prospective or hypothetical questions
regarding the application of the Supreme Court Rules for the Government of the
Bar of Ohio, the Supreme Court Rules for the Government of the Judiciary, the
Code of Professional Responsibility, the Code of Judicial Conduct, and the
Attorney’s Oath of Office.