Attorney did not have to advise prospective client on attorney-client arbitration clause
In the recently decided (2 to 1) May 27, 2010 Houston Court of Appeals opinion in Pham v. Letney, the court noted that Letney had hired a law firm to represent her in a personal injury case. The firm failed to timely file her lawsuit against the target defendant and thereafter Letney sought to maintain a legal malpractice lawsuit against the firm’s associate attorney Pham. The attorney – client contract however contained an arbitration provision and Letney argued among other things that the arbitration provision should not be enforced because it was unconscionable in an attorney – client relationship. The court however reiterated its prior opinion and stated that attorneys are not always required to inform prospective clients regarding the implications of an arbitration clause in an attorney – client contract and that arbitration provisions in attorney-client contracts are not inherently unconscionable. Arbitration was therefore required in this attorney – client dispute.