New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-12-15
RAPS TRICKS OF
AGENCY LAWYERS
Bar Association Takes up
Violation of Law by
Big Companies.
COMMITTEE REPORTS
AFTER LONG PROBE
Suggests New Act to Protect
Public from Young Clerks
Used as Attorneys.

The Bar Association will take deci-
sive measures tonight on its commit
tees report. after a three-year investl-
cation. on the violation in New YORK
County of Section 280 Of the Penal
Code. which prohibits the practice OF
law by corporations.
Exhaustive testimony. taken with tne
aid Of the New YORK County Lawyers
Association, shows, according to the
report, that the practice of law is IN
dertaken by three classes OF corpora
tions-trust and title companies, IN
surance companies and COLLECTION
agencies. These bodies, the report de-
ciares. not only interfere with the
business of qualified lawyers, but IN
trust weighty legal problems 10 youhg'
inexperienced and underpald attorneys
who work for them as clerks. a
The violation Of the statute, con-
tinues the report, has also led, IN the
case of collection agencies, 70 gross III,
efficiency and actual corruption, but al
efforts to check the evil have been
nullifed by the joker appended TO the
statute. which defeats the purpose OF
the law.
Section 280 Of the Code says that
anv corporation found guilty OF prac-
Using law shall be fined not more than
S. 600. and "every officer, trustee, d.
rector, agent or employe directly or IN
directly engaging in any Of the acts
herein prohibited is guilty OF ms
demeanor." The fact that such officers
NAV be duly authorized attorneys does
not permit the corporation to violate
the statute nor constitute a defence II
they do.
The Joker which has so far broken
the aim of the law provides that the
section shall not apply to any corpora,
ton engaged in a business authorized
bv the provisions of any existing stat
ute, nor TO a corporation lawfully en-
gagged in the examination and insurlng
of titles to real property" nor shall u
prohibit corporation from employing
attorneys i'm It's own immediate affairs
or i'm any litigation to which it may be
a party. II also excuses the appllca-
ton of the law to charitable organlza-
tiOns.
As a remedy the committee would
substitute for the joker a paragraph
declaring that the law "shall not apply
to any corporation lawfully engaged IN
any business within the provisions OF
its incorporation" provided that the
acts of a professional character so au-
thorized shall be intrusted 10 capable
attorneys-at-law who shall receive the
compensation paid therefor.
The committee asks authority to urge
this amendment before the Legislature
and requests the appointment of an
other committee to report on what leg
islative enactment, if any, is necessary
TO curb the practice of law by corpora.
tions or individuals not duly authorized
for such work.
The report shows further that title
and trust companies. taking advantage
of the statute, have been conducting
through their own law departments
the general practice of the law, and
this in matters not within the scope of
their own legitimate business.
"a number of trust companies have
advertised that they would draw wills
free of charge" it says, "for those per-