California bar adopts 'snitch' rule, lawyers sanctioned for using fake ChatGPT cases, lawyers in Meta data privacy case seek $181 million, and more ??
Illustration: Meriam Telhig/REUTERS

California bar adopts 'snitch' rule, lawyers sanctioned for using fake ChatGPT cases, lawyers in Meta data privacy case seek $181 million, and more ??

?? Good morning from The Legal File! Here are today's top legal stories:

??'Snitch' rule adopted by California bar amid ethics scandals

Men carry briefcases as they climb the stairs
REUTERS/John Schults

The California Supreme Court on Wednesday adopted a lawyer professional misconduct?reporting rule?that brings it in line with every other state.

Lawyers in California starting on Aug. 1 will be required to report fraud, misappropriation of funds and other criminal acts or conduct that raise "a substantial question" about another lawyer's "honesty, trustworthiness, or fitness as a lawyer."

Adoption of the so-called “snitch rule” comes after intense debate within the State Bar of California, which?recommended?the rule change to the court earlier this month. It received nearly 200 comments from attorneys opposed to the rule, who warned that it would overwhelm the state bar’s disciplinary system with complaints and inhibit the lawyer and client relationship.

The State Bar has been under mounting pressure to bolster attorney oversight in the wake of the Tom Girardi scandal and a longstanding backlog in attorney discipline cases. Girardi, the founder of now-defunct law firm Girardi Keese, was the subject of?205 attorney ethics complaints?beginning in 1982 with more than half accusing him of misusing client funds, according to a state bar investigation.


??New York lawyers sanctioned for using fake ChatGPT cases in legal brief

A response by ChatGPT, an AI chatbot developed by OpenAI, is seen on its website in this illustration picture
A response by ChatGPT, an AI chatbot developed by OpenAI, is seen on its website in this illustration picture taken February 9, 2023. REUTERS/Florence Lo/Illustration/File Photo

A U.S. judge on Thursday imposed sanctions on two New York lawyers who submitted a legal brief that included six fictitious case citations generated by an artificial intelligence chatbot, ChatGPT. U.S. District Judge P. Kevin Castel in Manhattan ordered lawyers Steven Schwartz, Peter LoDuca and their law firm Levidow, Levidow & Oberman to pay a $5,000 fine in total.

The judge found the lawyers acted in bad faith and made 'acts of conscious avoidance and false and misleading statements to the court.'

Schwartz?admitted?in May that he had used ChatGPT to help research the brief in a client's personal injury case against Colombian airline Avianca?and unknowingly included the false citations. LoDuca's name was the only one on the brief that Schwartz prepared.

The judge wrote in Thursday's sanctions order that there is nothing "inherently improper" in lawyers using AI "for assistance," but he said lawyer ethics rules "impose a gatekeeping role on attorneys to ensure the accuracy of their filings."


??Plaintiffs lawyers in Facebook data privacy case seek $181 million in fees

Facebook app logo is seen in this illustration
Facebook app logo is seen in this illustration taken, August 22, 2022. REUTERS/Dado Ruvic/Illustration/File Photo/File Photo

Plaintiffs' lawyers have asked a San Francisco federal judge to award more than $181 million in legal fees as part of a $725 million data privacy?settlement?with Facebook parent company Meta Platforms?resolving claims over sharing of user information with third parties.

Co-lead counsel at plaintiffs law firms Keller Rohrback and Bleichmar Fonti & Auld said in a?motion?filed late Wednesday the fees would represent 25% of the settlement fund which is "within the range awarded in comparably sized cases."

The lawyers said in the filing that the $725 million settlement is the largest data-privacy recovery in history and the largest private settlement Facebook has ever agreed to. Class counsel worked more than 149,000 hours on the case over nearly five years, they said.

The long-running lawsuit was sparked by revelations in 2018 that Facebook had allowed British political consulting firm Cambridge Analytica to access data of as many as 87 million users.


??Court says former judge Posner should face some claims in wage case

Federal Judge Richard Posner speaks during an interview in his Chambers in Chicago.
Federal Judge Richard Posner speaks during an interview in his Chambers in Chicago July 2, 2012.

Former U.S. Circuit Judge Richard Posner should have to face some claims in a lawsuit filed by an Indiana man who says he is owed $170,000 for working at Posner Center of Justice for Pro Se's, a short-lived center for self-represented litigants founded by the prominent jurist, a magistrate judge said.

U.S. Magistrate Judge Joshua Kolar of the U.S. District Court for the Northern District of Indiana said in a?written recommendation?filed on Wednesday that Brian Vukadinovich's fraud claim against Posner should be dismissed, because it echoes another count in the lawsuit. However, Kolar recommended that Posner's?bids to dismiss?claims of breach of contract and unjust enrichment should be denied.

Kolar's recommendation is not binding, and the parties have two weeks to file objections to his report. A U.S. district judge will issue the final ruling on the motion to dismiss.

Posner, appointed to the Chicago-based 7th U.S. Circuit Court of Appeals by former Republican President Ronald Reagan in 1981, was one of the country's most prominent judges when he abruptly announced his retirement from the bench in September 2017 at age 78. He founded the center in mid-2018.


?? That's all for today! Thank you for reading?The Legal File! Have a great weekend!

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Eric Eaton

Account Manager. I figure things out so my clients don't have to.

1 年

Complaints that the "Snitch Rule" would overwhelm the disciplinary system with the sheer number of complaints sort of prove the point that it is necessary, don't they?

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