BARRATRY NO CORPORATE PRACTICE OF LAW

The offense of frequently exciting and stirring up quarrels and
suits, either at law or otherwise.
The rules which penalize barratry are the following:
1. A lawyer shall not, for any corrupt motive or interest,
encourage any suit or proceeding or delay any man's
cause. (Rule 1.03, Canon 1, CPR)
2. A lawyer shall encourage his clients to avoid, end or settle
a controversy if it will admit of a fair settlement. (Rule 1.04,
Canon 1, CPR)
3. It is unprofessional for a lawyer to volunteer advice to bring
law suits, except in rare instances where ties of blood,
relationship or trust makes it his duty to do so. (Canon 28,
Code of Professional Ethics)
BARRATRY vs AMBULANCE CHASING
The following are some of the distinctions between barratry and
ambulance chasing:
1. Barratry, which is more general in scope, is the act of
fomenting suits and legal strife among persons. Thus,
barratry refers to any action while ambulance chasing
refers to personal injury cases.
2. Barratry may refer to suits before judicial or non-judicial
bodies while ambulance chasing refers to cases brought
before judicial fora.
Practice of law is limited to natural persons.
 A partnership for the practice of law is not a legal entity.
It is a mere relationship or association for a particular
purpose. ... It is not a partnership formed for the
purpose of carrying on trade or business or of holding
property." Thus, it has been stated that "the use of a
nom de plume, assumed or trade name in law practice
is improper.
PROBLEM AREA 6:
A group of businessmen organized a corporation “Legal
Services Inc.”. Services to be provided are full range of legal
services to the public and intended to hire lawyers and
paralegals. The SEC denied its the registration. Was the SEC
correct?
SUGGESTED ANSWER: Yes, the SEC was justified in
denying registration.
A corporation cannot practice law because it cannot meet the
conditions required for the practice of law, like taking an oath,
becoming an officer of the Supreme Court, being subject to
the disciplinary power of the Court and observing the
relationship of trust and confidence between itself and its
clients.

PROBLEM AREA 5:
A and B, brothers, are heirs to their father’s land. C is their first
cousin who is a lawyer. C suggested extra-judicial partition to
equally divide the land. B wanted a bigger share and said legal
advice was not carried. C suggested that A go to court for judicial
partition of property. B filed before the IBP a case against C for
improper conduct based on Barratry.

SUGGESTED ANSWER: No. the complaint against C will not

prosper. Ties of blood impelled C to give advice to his cousins.
This is the one of the exceptions under Canon 28 of the Code
of Professional Ethics.

C was not stirring up litigation as in fact he tried to advise his

cousins, A and B, as to how the property should be divided in
order to avoid litigation.

It is assumed that the lawyer exerted all efforts as it is his duty

to avoid a court case between brothers. But if said efforts are
of no avail and to avoid any untoward incident, it was proper
for him to suggest that they submit the case to a court of law
as a resort of preventing the parties in taking the law in their
own hands.