Business professionals in New Jersey might benefit from understanding whether a business transaction can be considered legal malpractice or not. When a lawyer enters a financial, property or business transaction, the conduct may be considered to be acting with a conflict of interest. This is primarily due to the confidence and trust that the client puts in legal counsel, as well as the training and proficiency involved with obtaining this status.
The protections do not apply to legal fees, but purchases, loans, investment and sales unrelated to the lawyer's practice may qualify for legal malpractice. Lawyers participating in the exchanges of good and services related to their particular practice of law may also be subject to legal malpractice if a conflict of interest is apparent. Lawyers purchasing property from estates they represent may also be found liable for acting on a conflict of interest.