Sunday, February 11, 2007

Georgia's Unauthorized Practice of Law Decision

Unauthorized Practice of Law

On November 10, 2003, in a per curiam opinion, S03U1451. IN RE UPL ADVISORY OPINION 2003-2, (277 Ga. 472) the Supreme Court of Georgia adopted the State Bar of Georgia’s Formal Disciplinary Opinion. The following is my outline of significant points within the Court's decision.

We granted the State Bar of Georgia’s petition for discretionary review to consider the opinion of the Standing Committee on the Unlicensed Practice of Law that

1. “[T]he preparation and execution of a deed of conveyance on behalf of another and facilitation of its execution by anyone other than a duly licensed Georgia attorney constitutes the unauthorized practice of law.”

2. “[O]nly a licensed Georgia attorney may prepare or facilitate the execution of a deed of conveyance.”

3. “[W]e approve UPL Advisory Opinion 2003-2.”

4. “[A] lawyer cannot delegate responsibility for the closing of a real estate transaction to a non-lawyer and required the physical presence of an attorney for the preparation and execution of a deed of conveyance (including, but not limited to, a warranty deed, limited warranty deed, quitclaim deed, security deed, and deed to secure debt).”

5. “[I]t is the unauthorized practice of law for someone other than a duly-licensed Georgia attorney to close a real estate transaction or to prepare or facilitate the execution of such deed(s) for the benefit of a seller, borrower, or lender.”

6. “[A]s it distinguishes a professional service from a purely commercial enterprise, we continue to believe that the public interest is best protected when a licensed Georgia attorney, trained to recognize the rights at issue during a property conveyance, oversees the entire transaction.

7. “If the attorney fails in his or her responsibility in the closing, the attorney may be held accountable through a malpractice or bar disciplinary action.” * * * “It is thus clear that true protection of the public interest in Georgia requires that an attorney licensed in Georgia participate in the real estate transaction”

8. “[S]ince at least 1932 it has been the statutory policy in the State of Georgia that only attorneys properly licensed in Georgia are authorized to close real estate transactions.

9. The “practice of law includes conveyancing, preparation of legal instruments of all kinds whereby legal right is secured, rendering of opinions as to the validity or invalidity of titles to real or personal property, and giving of any legal advice.”

10. “[O]nly an attorney duly licensed in this State can prepare and facilitate the execution of a deed of conveyance.”

11. “Accordingly, we hereby approve UPL Advisory Opinion 2003-2.”

UPL Advisory Opinion approved. All the Justices concur.

Decided November 10, 2003 – Reconsideration denied December 12, 2003.

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