SEPTEMBER 1973

Page 16

Continued from pege 189 benefits under the plans offered . It is estimated that the cost of administration in the first year shall not exceed $100 ,000 .00 ; there is no reliable means to estimate costs of benefits for that year. They are now attempting to raise the $100 ,000 .00 in advance from sources other than premium payments, such as state and federal governmental agencies, local and national foundations , and private contributors, including non-participating attorneys. Each attorney participating in the pilot program shall be assessed a fee not in excess of $50.00. The National Consumer Center for Legal Services began with full time staff in January, 1973. For the last 3 months 80% of its effort has been devoted to lobbying on Section 302 (C) of Taft Hartley and 20% to fund raising . It represents 37 consumer organizations, including cooperatives. farm groups, senior citizens. and the National Consumer Federation of America. It is becoming an effective gathering point for consumer action . The ABA has good relations now and we have cooperated on exchange of information and joint lobbying efforts re 302 (C) o f Taft Hartley . Although it has not yet announced any positions, because of its occupation with lobbying and finances. it must necessarily lean towards publicized positions on low cost, specialization, paraprofessionals. fee bargaining , vigorous public education programs and advertising of availability of service. class action and ombudsman functions . When appropriate, it should also support the underpinning by federal funds of the entire range of legal services to the public. To illustrate how things are catching on, the Postal Workers Union of 750 ,000 members less than two months ago filed a request asking for a plan of legal services and that representatives of the American Bar Association assist in designing such a plan . 20,000 of California's 36 ,000 lawyers responded to a state bar survey. 91 % supported prepaid legal services. Curiously enough . in Colorado 91 % of those responding favored prepaid legal services. 52 % responded . 82% of these were willing to partIcipate. The percentages were uniform as between urban and rural communities. I must speak a word of caution . Any organization setting up a plan of prepaid legal services must keep an awareness of anti-trust implications, i.e., does the plan illegally set prices and fix fees? The California Lawyers Service, which is the corporation

Page 190

organized by the California State Bar to provide prepaid legal services plan, has written to the Anti-Trust Division, asking for a statement of position. No response has been made as yet. Any state or local bar going into this matter should keep in constant touch with the ABA Special Committee on Prepaid Legal Service, its chairman as mentioned . Wm . McCalpin, or its staff director, Philip J. Murphy of Montecito, California. in order to be apprised of developments, particularly with respect to anti-trust matters. I would close with the statement of our ABA president Robert Meserve : 路路Exploration of and action on the

problem of providing legal services to the client of moderate means is of bedrock importance to all lawyers. The American Bar Association has never raised a war chest to support intransigent opposition to the changing needs of society. It has relied on the great common sense of lawyers to discern when change IS needed and to make changes that preserve the essence of our independence as a profession serving the public. We want to achieve or at least approach the goal of being an advoca te and counselor to al l persons in our society. To do this we must live in this century, not the last. " ,,_ .~

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The Arkansas Lawyer


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