And certainly, if there are entities that perceive a need for such coverage, we'll have to respond. The next step would be to quantify it and price it. However, this will prove challenging as there is no loss data at this time. You may have a valid judgment against all the partners individually despite their best efforts to limit liability. There are also questions with regard to clients of the firm who may demand that the firm buy significantly increased limits of liability since the policy and any assets of the firm will be the only vehicle for funding malpractice claims.
Courts have the ultimate supervisory authority over lawyers.
He points out that clients have a reasonable expectation that the attorneys at the firm representing them all stand behind the decisions of each partner. Davis says there was a leading case in Georgia that upheld this position. Partners may not be willing to sit on such committees unless indemnified. They'll probably have to indemnify that person in some way. That agreement could get incredibly detailed and complex.