Video Clip: Click to Watch

Attorney Ed Sherman, founder of the self-help law movement and Nolo Press, speaks out on proposed legislation that has passed through the California State Assembly and has been assigned to the Senate Judiciary Committee.

Sherman says the proposed bill is patently unfair in part and a potential threat to consumers.

This new bill, AB 888, introduced by Roger Dickinson, chairman of the California State Assembly Banking and Finance Committee, would, in essence, pay the California State Bar for doing what they have always done: investigate and enforce the Unauthorized Practice of Law.

Fines collected from violators would be diverted to the Bar, a matter of a few thousand dollars in each case. But, in successful civil actions brought by the Bar, the violator can also be ordered to reimburse the Bar for costs of the investigation, which can amount to tens of thousands or hundreds of thousands of dollars—a whopping huge increase in the penalty.

Sherman says this is unfair. There is no limit on the Bar's claimed expenses nor any test for reasonableness or proportion compared to the alleged wrong. Worse, there is no reciprocal protection for people who are unjustly accused, which has often been a problem with the Bar. If an accused individual somehow prevails against the powers of the Bar and the State, they cannot recover the costs of their defense. This is one-sided and patently unfair.

Sherman also says the bill lacks needed consumer protection. The Bar is to be commended for its efforts to combat fraud and unscrupulous pretenders who prey on the public. But, at the same time, the Bar has historically been overzealous in bringing actions against reputable Legal Document Assistants (LDAs), often without merit. Since the inception of legal typing services in 1973 (which Nolo Press initiated), the Bar has been steadfast in its determination to drive these people out of business, even when they are performing a valuable and conscientious public service.

Before the advent of LDAs, attorneys would typically charge high legal rates for performing simple secretarial services, such as filling out forms. The overwhelming success and proliferation of LDAs is proof that consumers have great need of such services and that such services are of great benefit to millions for whom typical legal fees are unaffordable.

AB 888 does nothing to restrict the Bar from continuing to sponsor unwarranted attacks on Legal Documents Assistants. In fact, members of the Bar would now be paid and rewarded for doing so. Without some limits on the reasonableness of the Bar's enforcement efforts, this Bill is a threat to California consumers.

Sherman concludes: Do not pass AB 888 until fairness and balance are restored.