New Hampshire Agreement Acquiring Share of Retiring Law Partner
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FAQ
New Hampshire is NOT a community property state, which means that marital property is not automatically divided 50/50 between the spouses in a divorce case.
Post Retirement IncomeMany law firms offer some type of post-retirement benefit that will pay a partner some percentage of your pre-retirement income for some number of years. The significance and details of these plans vary wildly from firm to firm; however, it is very common for some type of plan to exist.
Whether they retire early or not, many partners still want to work in some capacity after they retire. What retirement means in this context is a partner gives up his or her equity in the firm and becomes an employee. Typically, retired partners are paid for their personal productivity and for new clients.
Professional responsibility is the area of legal practice that encompasses the duties of attorneys to act in a professional manner, obey the law, avoid conflicts of interest, and put the interests of clients ahead of their own interests.
The California Rules generally permit a lawyer to represent multiple clients with conflicting interests so long as all the clients have provided their informed written consent.
The federal conflict of interest rules are found at 18 U.S.C. § 208 with implementing regulations at 5 C.F.R. A§ 2635.402. Essentially, these rules prohibit you from taking official action in a particular matter involving any entity in which you, or someone whose interests are imputed to you, have a financial interest.
1 The Rules of Professional Conduct are intended to establish the standards for lawyers for purposes of discipline.
In long term marriages (ten years and longer) the court will look to divide the property based on equitable principles. An equitable division of assets, in a long term marriage, is presumed to be 50%.
Cond. 1.7. Rule 1.7 - Conflicts of Interest (a) Except as provided in paragraphs (b) and (c), a lawyer shall not represent a client if the representation involves a concurrent conflict of interest.
When senior partners leave a firm, they sell their equity back to the firm. Unlike most medical practices, which often sell to other doctors, law firms like to retain the partnership structure, so they usually buy back the shares or equity of the departing partner.
