highlights of the aba’s legal malpractice claims study 2008 - 2011 midwest lawyers, llc
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Highlights of the ABA’s Legal Malpractice Claims Study 2008 - 2011
Midwest Lawyers, LLC
In the latest study, “Profile of Legal Malpractice Claims” 2008 – 2011, published by the American Bar Association’s Standing Committee on Lawyers’ Professional Liability, law firms continue to be targets of professional liability claims
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The study showed that there was a decrease in lower-dollar amount claims and increases in higher dollar amount claims similar to what occurred in the 1999 - 2003 and 1985 – 1995 studies which were also periods of economic recession in the United States.
Midwest Lawyers, LLC
In the ABA’s profile of legal malpractice claims : 2008 – 2011 Personal Injury Plaintiff fell to second place behind Real Estate. This was attributed in the study to a decline in Personal Injury Plaintiff claims of 5.97 percent in 2011 and 4.37 percent overall since 1985 while an Overall growth of Real Estate claims of 3.8 percent occurred.
AS REPORTED IN THE ABA’S PROFILE OF LEGAL MALPRACTICE CLAIMS : 2008 – 2011 SEPTEMBER 2012
Top 5 Number of Claims by Area of Law
Real Estate 20.33% Personal Injury Plaintiff 15.59% Family 12.41%Estate, Trust, Probate 10.67% Collection/Bankruptcy 9.20%
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Most Common Alleged ErrorsAS REPORTED IN THE ABA’S PROFILE OF LEGAL MALPRACTICE CLAIMS : 2008 – 2011 SEPTEMBER 2012
Failu
re to
Know
or A
pply th
e La
w 1
3.6%
Proc
rast
inat
ion in
Per
form
ance
/Followup 1
0%
Inad
equat
e Disc
over
y/ In
vest
igat
ion 9
.2%
Plan
ning E
rror-P
roded
ure C
hoice
8%
Lost
File
, Doc
umen
t Eviden
ce 8
%
0.0%2.0%4.0%6.0%8.0%
10.0%12.0%14.0%16.0%
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Most notably was an increase in claim expense payments in the $10,001 - $25,000 category and the indemnity paid category of $10,000 - $50,000. The largest decrease in both the defense or indemnity payments was in the $0 to $10,000 category.
Indemnity Payments
$0 $1 - $10,000$10,000 - $50,000 $50,000 - $100,000$100,001 - $250,000 $250,001 - $500,000Over $500,000
Expense Payments
$0 -$10,000 $10,001 - $25,000$25,001 - $50,000 $50,001 - $100,000Over $100,000
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