LEGAL ETHICS

Branch of Moral Science which treats of the duties an attorney owes to the court, to his

client, to his colleagues in the profession and to the public as embodied in the Constitution,

Rules of Court, the Code of Professional Responsibility, Canons of Professional Ethics,

jurisprudence, moral law and special laws.

A. PRACTICE OF LAW

1. Concept

Any activity, in or out of the court, which requires the application of law, legal procedure,

knowledge, training and experience. (Cayetano vs Monsud, GR 100113, Sept 3, 1991)

Practice of Law is more than an isolated appearance for it consists in frequent or customary

action.

2. Qualifications for Admission to the Bar

Who may practice law

Any person heretofore duly admitted as a member of the bar, or hereafter admitted as

such in accordance with the provisions of the rule, and who is in good and regular standing, is

entitled to practice law (Sec. 1, Rule 138, Rules of Court).

“Private practice of law” contemplates a succession of acts of the same nature habitually or

customarily holding one’s self to the public as a lawyer.

 QUALIFICATIONS
C21-GRENAPOS

1. A Citizen of the Philippines;

2. At least 21 years of age;

3. Of Good moral character;

4. A Resident of the Philippines;

5. Must produce before the SC satisfactory Evidence of good moral character;

6. No charges against him, involving moral turpitude, have been filed or are pending in
any court in the Philippines (Sec. 2, Rule 138, RRC)

7. Must have complied with the Academic requirements;

8. Must Pass the bar examinations;

9. Take the lawyer’s Oath; and

10. Sign the Roll of Attorneys.

Passing the Bar examination is not sufficient for admission of a person to the Philippine
Bar. He still has to take the oath of office and sign the Roll of Attorney’s as prerequisites to
admission.

Bar Matter No. 1153

Re: Letter of Atty. Estelito P. Mendoza Proposing Reforms in the Bar Examinations Through
Amendments to Rule 138 of the Rules of Court.

The Court Resolved to APPROVE the proposed amendments to Sections 5 and 6 of Rule 138.

SEC. 5.Additional Requirement for Other Applicants. — All applicants for admission other than
those referred to in the two preceding sections shall, before being admitted to the
examination, satisfactorily show that they have successfully completed all the prescribed
courses for the degree of Bachelor of Laws or its equivalent degree, in a law school or
university officially recognized by the Philippine Government or by the proper authority in the
foreign jurisdiction where the degree has been granted.

No applicant who obtained the Bachelor of Laws degree in this jurisdiction shall be admitted
to the bar examination unless he or she has satisfactorily completed the following course in
a law school or university duly recognized by the government : civil law, commercial law,
remedial law, criminal law, public and private international law, political law, labor and social
legislation, medical jurisprudence, taxation and legal ethics.

A Filipino citizen who graduated from a foreign law school shall be admitted to the bar
examination only upon submission to the Supreme Court of certifications showing: (a)
completion of all courses leading to the degree of Bachelor of Laws or its equivalent degree;
(b) recognition or accreditation of the law school by the proper authority; and (c) completion
of all the fourth year subjects in the Bachelor of Laws academic program in a law school duly
recognized by the Philippine Government.

SEC. 6. Pre-Law. — An applicant for admission to the bar examination shall present a
certificate issued by the proper government agency that, before commencing the study of law,
he or she had pursued and satisfactorily completed in an authorized and recognized university
or college, requiring for admission thereto the completion of a four-year high school course, the
course of study prescribed therein for a bachelor's degree in arts or sciences.

A Filipino citizen who completed and obtained his or her Bachelor of Laws degree or
its equivalent in a foreign law school must present proof of having completed a separate
bachelor's degree course.

3. Continuing requirements for membership in the bar

a. Filipino citizenship is a requirement for admission to the bar and is, in fact, a continuing
requirement for the practice of law.

b. Good moral character is a continuing requirement.

Well-settled is the rule that good moral character is not only a condition precedent for
admission to the legal profession, but it must also remain intact in order to maintain one’s good
standing in that exclusive and honored fraternity.

4. Appearance of Non-Lawyers

A. Law student practice rule (Rule 138-A)

i. Has successfully completed his third year of the regular four-year prescribed law curriculum.

ii. Enrolled in a recognized law school’s clinical legal education program approved by the

Supreme Court.
 iii. Appear without compensation in any civil, criminal or administrative case before any

trial court, tribunal, board or officer, to represent indigent clients accepted by the legal clinic

of the law school

iv. Appearance of the law student is under the direct supervision and control of a member

of the Integrated Bar of the Philippine duly accredited by the law school.

v. Any and all pleadings, motions, briefs, memoranda or other papers to be filed , must be

signed by the supervising attorney for and in behalf of the legal clinic.

vi. The law student shall comply with the standards of professional conduct governing

members of the Bar. Failure of an attorney to provide adequate supervision of student

practice may be a ground for disciplinary action

B. Non-Lawyers in Courts

i. Cases before the MTC: A

party to the litigation,
may conduct his own case or
litigation in
person, with the aid of an agent
or friend
appointed by him for that
purpose (Sec. 34,
Rule 138, RRC);
ii. Criminal case before the
MTC in a locality
where a duly licensed member of
the Bar is not
available, the judge may appoint a
non- lawyer
who is a:
a. Resident of the province; and
b. Of good repute for probity and
ability to aid
the accused in his defense
iii. Before any other court, a
party may conduct
his litigation personally but if he
gets someone
to aid him, that someone must
be authorized
member of the Bar (Sec. 34, Rule
138, RRC);
i. Cases before the MTC: A party to the litigation, may conduct his own case or litigation in

person, with the aid of an agent or friend appointed by him for that purpose (Sec. 34, Rule

138, RRC);

ii. Criminal case before the MTC in a locality where a duly licensed member of the Bar is not
available, the judge may appoint a non- lawyer who is a:
a. Resident of the province; and

b. Of good repute for probity and ability to aid the accused in his defense

iii. Before any other court, a party may conduct his litigation personally but if he gets

someone to aid him, that someone must be authorized member of the Bar (Sec. 34, Rule 138,

RRC);

iv. Any official or other person appointed or designated to appear for the Government of

the Philippines in accordance with law (Sec. 33, Rule 138, RRC).

v. Under the Labor Code, non-lawyers may appear before the NLRC or any Labor Arbiter, if:

a. They represent themselves; or

 b. They represent their organization or members thereof (Art. 222, PD 442, as amended) (2002
Bar); or

c. If they are duly accredited members of any legal aid office duly recognized by the Department
of Justice, or the Integrated Bar of the Philippines in cases referred to by the latter .

vi. Under the Cadastral Act, a non-lawyer can represent a claimant before the Cadastral

Court (Sec. 9, Act No. 2259).

C. Proceedings where lawyers are prohibited from appearing as counsels

i. Proceedings before the Small Claims Court - No attorney shall appear in behalf of or

represent a party at the hearing, unless the attorney is the plaintiff or defendant (Sec. 17, Rule

of Procedure for Small Claims Cases).

ii. Proceedings before the Katarungang Pambarangay - During the pre-trial conference

under the Rules of Court, lawyers are prohibited from appearing for the parties. Parties must

appear in person only except minors or incompetents who may be assisted by their next of kin

who are not lawyers (P.D. No. 1508, Formerly Sec. 9; Local Government Code of 1991, R.A.

7160, Sec. 415).

5. Prohibited practice of non-lawyers and appearance without authority.

Limits on the appearance of non-lawyers

1. He should confine his work to non-adversary contentions; 2. He should not undertake

purely legal work, such as the examination or cross- examination of witnesses, or the presentation

of evidence; and 3. His services should not be habitually rendered. He should not charge or

collect attorney’s fees (PAFLU v. Binalbagan Isabela Sugar Co., G.R. No. L-23959, November 29,

1971)
 Public officials and the practice of law; prohibitions and disqualifications.

Public Officials Includes elective or appointive officials and employees, permanent or

temporary, whether in the career or non-career service, including military and police personnel,
whether or not they receive compensation, regardless of amount (Sec. 3 (b), R.A. No. 6713,
Code of Conduct and Ethical Standards for Public Officials and Employees)

Prohibited acts or omissions of public officers

1. Accepting or having any member of his family accept employment in a private enterprise

which has pending official business with him during the pendency thereof or within one year

after termination. (Sec. 3[d], RA 3019);

2. Own, control, manage or accept employment as officer, employee, consultant,

counsel, broker, agent, trustee or nominee in any private enterprise regulated, supervised or

licensed by their office unless expressly allowed by law (Sec. 7[b], RA 6713);

3. A lawyer shall not, after leaving a government service, accept engagement or

employment in connection with any matter in which he had intervened. while in said service (Rule

6.03, CPR); and

4. A lawyer should not accept employment as an advocate in any matter upon the

merits which he has previously acted in a judicial capacity (Canon 36, CPE).

These prohibitions shall continue to apply for a period of 1 year after resignation, or

separation from public office. The 1-year prohibition shall also apply in connection with any

matter before the office he used to be with.

Public officials not allowed to engage in law practice

 (ABSOLUTE PROHIBITION) [JOPPC2OMS]:

1. Judges and other officials and employees of the Supreme Court (Sec. 35, Rule 148, RRC);

2. Officials and employees of the OSG (Ibid.);

3. Government Prosecutors (People v. Villanueva, G.R. No. L-19450, May 27, 1965);

4. President, Vice-President, Members of the Cabinet, their deputies and assistants (Sec.

13, Art VII, 1987 Constitution);

5. Members of the Constitutional Commission (Sec. 2, Art IX-A, 1987 Constitution);

6. Civil Service Officers or employees whose duties and responsibilities require that their entire

time be at the disposal of the government (Ramos v. Rada, A.M. No. 202, July 22, 1975);

7. Ombudsman and his deputies (Sec. 8 [second par.], Art. IX, 1987 Constitution);

8. All governors, city and municipal Mayors (Sec. 90, R.A. No. 7160); and

9. Those prohibited by Special laws.

Restrictions on the Practice of Law on Certain individuals (RELATIVE PROHIBITION)

1. No Senator or member of the House of Representatives may personally “appear” as

counsel before any court of justice or before the Electoral Tribunals, or quasi-judicial and

other administration bodies (Sec. 14, Art. VI, 1987 Constitution).

2. Under the Local Government Code (Sec. 91, RA 7160), Sanggunian members may

practice their professions provided that if they are members of the Bar, they shall NOT:
 a. Appear as counsel before any court in any civil case wherein a local government unit or

any office, agency, or instrumentality of the government is the adverse party;

b. Appear as counsel in any criminal case wherein an officer or employee of the national or

local government is accused of an offense committed in relation to his office;

c. Collect any fee for their appearance in administrative proceedings involving the local

government unit of which he is an official; or

d. Use property and personnel of the government except when the Sanggunian member

concerned is defending the interest of the government.

3. Under Sec. 1, R.A. 910, as amended, a retired justice or judge receiving pension from the

government, cannot act as counsel:

a. In any civil case in which the Government, or any of its subdivision or agencies is the

adverse party; or

b. In a criminal case wherein an officer or employee of the Government is accused of an

offense in relation to his office; nor

c. Collect any fees for his appearance in any administrative proceedings to maintain an

interest adverse to the government, provincial or municipal, or to any of its legally constituted

officers (Sec. 1, R.A. 910).

4. Civil service officers and employees without permit from their respective department

heads (Noriega v. Sison, A.M. No. 2266, October 27, 1983).

 5. A former government attorney cannot, after leaving government service, accept

engagement or employment in connection with any matter in which he had intervened while in

the said service (Rule 6.03, CPR).

B. DUTIES AND RESPONSIBILITIES OF A LAWYER UNDER THE CODE OF PROFESSIONAL

RESPONSIBILITY

FOUR-FOLD DUTY OF A LAWYER

1. Public/Society – He must not undertake any action which violates his responsibility to

the society as a whole, he must be an example in the community for his uprightness as a

member of the society. The lawyer must be ready to render legal aid, foster legal reforms, be a

guardian of due process, and aware of his special role in the solution of special problems and

be always ready to lend assistance in the study and solution of social problems (Canon 1-6,

CPR).

2. Bar/Legal Profession – Observe candor, fairness, courtesy and truthfulness in his conduct

towards other lawyers, avoid encroachment in the business of other lawyers and uphold the

honor of the profession. (Canon 7-9, CPR)

INTEGRATED BAR OF THE PHILIPPINES

It is an official national body composed of all persons whose names now appear or may
hereafter be included in the Roll of Attorneys of the Supreme Court (Sec. 1, Rule 139-A, RRC).

It is a national organization of lawyers created on 16 January 1973 under Rule 139-A of the
Rules of Court, and constituted on 4 May 1973 into a body corporate by PD No. 181.
Fundamental purposes of the IBP

1. To elevate the standards of the legal profession; 2. Improve the administration of justice;

and 3. Enable the Bar to discharge its public responsibility more effectively (Sec. 2, Rule

139-A, RRC). Concept of IBP Membership To compel a member of the Integrated Bar is

not violative of his constitutional freedom to associate. Integration does not make a

lawyer a member of any group of which he is not already a member. He became a

member of the Bar when he passed the Bar Examinations. All that integration actually

does is to provide an official national organization for the well-defined but unorganized

group of which every lawyer is already a member.

2. Assuming that the questioned provision does in a sense compel a lawyer to be a member of

the Integrated Bar, such compulsion is justified as an exercise of the police power of the

State.

Procedure for voluntary termination of membership A member may terminate his

membership by filing a written notice to that effect with the Secretary of the Integrated

Bar, who shall immediately bring the matter to the attention of the Supreme Court.

Forthwith he shall cease to be a member and his name shall be stricken by the Court

from the Roll of Attorneys (Sec.11, Rule 139-A, RRC).

Membership Dues

Every member of the Integrated Bar shall pay such annual dues as the Board of

Governors shall determine with the approval of the Supreme Court. A fixed sum

equivalent to ten percent (10%) of the collections from each Chapter shall be set aside as
 a Welfare Fund for disabled members of the Chapter and the compulsory heirs of

deceased members thereof. (Sec. 9, Rule 139-A, RRC)

NOTE: Membership dues are not prohibited by the Constitution. The fee is imposed

as a regulatory measure, designed to raise funds for carrying out the purposes and

objectives of the integration (In the Matter of IBP Membership dues delinquency of

Atty. Marcial Edillon, A.M. No. 1928, August 3, 1978).

Effect of non-payment of dues

Default in the payment of annual dues for six months shall warrant suspension of

membership in the Integrated Bar, and default in such payment for one year shall be

a ground for the removal of the name of the delinquent member from the Roll of

Attorneys (Sec. 10, Rule 139-A, RRC) subject to the requirement of due process. (Funa,

2009)

3. Courts – A lawyer must maintain towards the court a respectful attitude, defend against

unjust criticisms, uphold the court’s authority and dignity, obey court orders and

processes, assists in the administration of justice (Canon 10-13, CPR).

4. Clients – The lawyer owes entire devotion to the interest of his client, warm and zeal in

the maintenance of the defense of his rights and exertion of utmost learning ability to

the end that nothing be taken or withheld from his client except in accordance with law.

He owes a duty of competent and zealous representation to the client, and should
preserve his client’s secrets, preserve his funds and property and avoid conflicts of

interest (Canon 14- 22, CPR).

a. Attorney’s Fees

It is well-settled that attorney's fee is understood both in its ordinary and

extraordinary concept. In its ordinary sense, attorney's fee refers to the reasonable

compensation paid to a lawyer by his client for legal services rendered.

Meanwhile, in its extraordinary concept, attorney's fee is awarded by the court to the

successful litigant to be paid by the losing party as indemnity for damages.

Generally, the amount of attorney’s fees due is that stipulated in the retainer

agreement which is conclusive as to the amount of lawyer’s compensation (Funa,

2009) unless the stipulated amount in the written contract is found by the court

to be unconscionable or unreasonable. In the absence thereof, the amount of

attorney’s fees is fixed on the basis of quantum meruit. (Sesbreno v. Court of

Appeals, G.R. No. 117438, June 8, 1995; Funa, 2009)

Acceptance Fee

i. Refers to the charge imposed by the lawyer for merely accepting the case.

This is because once the lawyer agrees to represent a client, he is

precluded from handling cases of the opposing party based on the

prohibition on conflict of interest. Thus, this incurs an opportunity cost by

merely accepting the case of the client which is therefore indemnified by

the payment of acceptance fee. Since the acceptance fee only seeks to
 compensate the lawyer for the lost opportunity, it is not measured by

the nature and extent of the legal services rendered.

ii. Contingency Fee Arrangements

One which stipulates that the lawyer will be paid for his legal services

only if the suit or litigation ends favorably to the client. (Taganas v. NLRC, G.R.

No. 118746, September 7, 1995)

It is like a contract subject to a suspensive condition wherein the

obligation to pay the counsel is based upon the outcome of the case.

Contingent fees are sanctioned by the CPE and by the CPR subject to certain

limitations. (Licudan v. CA, G.R. No. 91958, January 24, 1991)

iii. Attorney’s Liens

A retaining lien is the right of an attorney to retain the funds, documents

and papers of his client who have lawfully come into his possession and

may retain the same until his lawful fees and disbursements have been

paid, and may apply such funds to the satisfaction thereof.

NOTE: A lawyer is not entitled to unilaterally appropriate his client’s

money for himself by the mere fact alone that the client owes him

attorney’s fees. (Rayos v. Hernandez, G.R. No. 169079, February 12, 2007)

Requisites in order for an attorney to be able to exercise his RETAINING LIEN

[ALU] 1. Attorney-client relationship;

2. Lawful possession by the lawyer of the client’s funds, documents and

papers in his professional capacity; and

 3. Unsatisfied claim for attorney’s fees or disbursements.

Requisites in order for an attorney to be able to exercise his CHARGING

LIEN

1. Existence of attorney-client relationship;

2. The attorney has rendered services;

3. Favorable money judgment secured by the counsel for his client;

4. The attorney has a claim for attorney’s fees or advances; and

5. A statement of the claim has been duly recorded in the case with notice

thereof served upon the client and the adverse party.

Under this rule, this lien, whether retaining or charging, takes legal effect

only from and after, but not before, notice of said lien has been entered

in the record and served on the adverse party (Elena De Caiña, et al. v.

Hon. Victoriano, et al., G.R. No. L-12905, February 26, 1959).

C. SUSPENSION, DISBARMENT AND DISCIPLINE OF LAWYERS

Practice of law is in the nature of a privilege. Hence, the same may be

suspended or removed from the lawyer for reasons provided in the rules, law

and jurisprudence.

1. Nature and Characteristic of disciplinary actions against lawyers.

The power to discipline a lawyer is JUDICIAL in nature and can be exercised only by the

courts. It cannot be defeated by the legislative or executive departments.

NOTE: The power to disbar and to reinstate is an inherently judicial function

(Andres v. Cabrera, SBC- 585, February 29, 1984).

Administrative cases against lawyers belong to a class of their own (sui generis).

They are distinct from and may proceed independently of civil and criminal cases (In re

Almacen, G.R. No. L-27654, February 18, 1970; Funa, 2009).

The purpose and the nature of disbarment proceedings make the number of

defenses available in civil and criminal actions inapplicable in disciplinary

proceedings.

The defense of in pari delicto is immaterial in an administrative case which is sui

generis. The administrative case is about the lawyer's conduct, not the woman's.

“no investigation shall be interrupted or terminated by reason of the desistance,

settlement, compromise, restitution, withdrawal of the charges or failure of the

complainant to prosecute the same unless the Supreme Court motu proprio or

upon recommendation of the IBP Board of Governors determines that there is no

compelling reason to continue with the proceedings.

“ The Supreme Court has consistently held that a clear preponderant evidence is

necessary to justify the imposition of administrative penalty considering the serious

consequence of disbarment or suspension of a member of the Bar (Rose Bunagan-

Bansig v. Atty. Rogelio Celera, A.C. No. 5581, January 14, 2014; Atty. Clodualdo De

Jesus v. Atty. Risos-Vidal, A.C. No. 7961, March 19, 2014).

 There is NO prescriptive period for the filing of a complaint against an erring lawyer

Rule VII, Section 1 of the Rules of Procedure of the CBD-IBP, which provides for a

prescriptive period for the filing of administrative complaints against lawyers,

should be struck down as void and of no legal effect for being ultra vires.

2. Grounds

Specific grounds for suspension or disbarment of a lawyer

1. Deceit;

2. Malpractice;

3. Grossly immoral conduct;

4. Conviction of a crime involving moral turpitude;

5. Violation of oath of office;

6. Willful disobedience of any lawful order of a superior court;

7. Corrupt or willful appearance as an attorney for a party to a case without authority to

do so (Sec. 27, Rule 138, RRC);

8. Non-payment of IBP membership dues (Santos, Jr. v. Atty. Llamas, Adm. Case No.

4749, January 20, 2000).

The statutory enumeration is not to be taken as a limitation on the general power

of SC to suspend or disbar a lawyer (In Re: Puno, A.C. No. 389, February 28, 1967). HENCE,

the grounds enumerated are NOT exclusive.

3. Proceedings (Rule 139-B, Rules of Court, as amended) Refer to Illustration

4. Recoverable amounts; intrinsically linked to professional engagement

 D. READMISSION TO THE BAR

1. Lawyers who have been suspended

The lifting of a lawyer’s suspension is not automatic upon the end of the period stated in

the Court’s decision, and an order from the Court lifting the suspension at the end of the

period is necessary in order to enable [him] to resume the practice of his profession (J.K.

Mercado and Sons Agricultural Enterprises, Inc. et al. v. Atty. de Vera, et al. and Atty. de Vera v. Atty.

Encanto, et al.)

Guidelines to be observed in lifting an order of suspension of a lawyer

The following guidelines were issued by the Supreme Court, the same to be observed in

the matter of the lifting of an order suspending a lawyer from the practice of law: