SCR CHAPTER 23
REGULATION OF UNAUTHORIZED PRACTICE OF LAW
PREAMBLE
Every jurisdiction in the
The following rules are promulgated by the Wisconsin
Supreme Court pursuant to its inherent authority to define and regulate the
practice of law in this state. The
purpose of the rules is to protect the public from potential harm caused by the
actions of nonlawyers engaging in the unauthorized practice of law.
SCR 23.01 Definition of practice of law.
The
practice of law in
(1) Giving
advice or counsel to others as to their legal rights or the legal rights or
responsibilities of others for fees or other consideration.
(2) Selection,
drafting, or completion for another entity or person of legal documents or
agreements which affect the legal rights of the other entity or person(s).
(3) Representation
of another entity or person(s) in a court, or in a formal administrative
adjudicative proceeding or other formal dispute resolution process or in an
administrative adjudicative proceeding in which legal pleadings are filed or a
record is established as the basis for judicial review.
(4) Negotiation
of legal rights or responsibilities on behalf of another entity or person(s).
(5) Any
other activity determined to be the practice of law by the Wisconsin Supreme
Court.
SCR
23.02 License required to practice law; use of titles.
(1) Right of a person to practice law in
(2) Exceptions and exclusions. A license to practice law and active
membership in the State Bar of Wisconsin are not required for a person engaged
in any of the following activities in
(a) Practicing
law pursuant to SCR 10.03(4) by a non-resident counsel or registered in-house
counsel.
(b) Serving
as a courthouse facilitator pursuant to court rule.
(c) Appearing
in a representative capacity before an administrative tribunal or agency to the
extent permitted by such tribunal or agency.
COMMENT
A nonlawyer
who is an employee, member, or officer of an entity or organization may
represent such entity, organization or any corporate affiliate before an
administrative tribunal or agency of the State of
(d) Serving
in a neutral capacity as a mediator, arbitrator, conciliator, or facilitator.
(e) Participation
in labor negotiations, arbitrations or conciliations arising under collective
bargaining rights or agreements.
(f) Acting
as a lobbyist.
(g)
(h) Activities
which are preempted by federal law.
(i) Selection
or completion of a legal document, including a legal document created pursuant to statute, administrative rule, or
Supreme Court Order, where the document may contain various blanks and
provisions to be filled in or completed and selection or completion of the
legal document requires only common or transaction-specific knowledge regarding
the required information and general knowledge of the legal consequences.
(j) Serving
in a neutral capacity as a clerk or court employee providing information to the
public pursuant to Supreme Court Order.
(k) Any
other activities that the Supreme Court has determined by rule or by published
opinion do not constitute the unlicensed or unauthorized practice of law or
which are permitted under a regulatory system established by the Supreme Court,
Wisconsin Statutes, Administrative Code
or common law.
(l) Acting
as a nonlawyer advocate under the direction or supervision of a lawyer.
(m) Acting
as a nonlawyer assistant under the supervision of a lawyer in compliance with
SCR 20:5.3 of the Wisconsin Rules of Professional Conduct for Attorneys.
COMMENT
This
provision encompasses practical training of law students authorized by SCR Ch.
50.
(n) Governmental agencies, Indian tribes and their
employees carrying out responsibilities provided by law.
(o) Practicing within the scope of practice allowed by a current credential
issued or authorized under chs. 440 to 480, stats., or performing services
under the supervision of a professional holding a current credential issued
under chs. 440 to 480, stats., provided that the Supreme Court has not
determined by rule or by published opinion that the activity constitutes the
unlicensed or unauthorized practice of law.
(p) A
victim service representative acting within the scope of s. 895.45,
stats., or a Court Appointed Special Advocate (CASA) volunteer or staff member
acting within the scope of s. 48.236, stats.
(q) A
nonlawyer entity or organization acting through lawyer employees to the extent
such lawyers perform pro bono legal services for nonprofit organizations,
low-income clients, or otherwise in the public interest.
(r) An
entity or organization in the business of insurance guarantee or indemnity, or
the provision, sale or marketing of insurance or financial products or services
permitted to be offered by insurance companies under s. Ins 6.75, Wis.
Admin. Code, or a self-insured entity or organization, or any employee licensed
under ch. 628, stats., or contractor of any of the foregoing entities or
organizations when conducting their insurance business, which includes but is
not limited to: (1) investigating or adjusting claims against it or its
insured; (2) negotiating with other persons or entities; (3) conducting loss
control functions; (4) underwriting business; (5) selling insurance or
financial products or services permitted to be offered by insurance companies
under s. Ins 6.75, Wis. Admin. Code, or providing advice and counsel with
respect to such insurance or financial products or services; (6) the
preparation of releases or settlement agreements; (7) using a lawyer employee
or captive lawyer admitted to the bar in Wisconsin or otherwise permitted to
practice law in Wisconsin to represent its principal or corporate affiliate, or
an insured or noninsured for whom a defense is provided; and (8) any act
required of an insurer by law, provided that the Supreme Court has not
determined by rule or by published opinion that the activity constitutes the
unlicensed or unauthorized practice of law.
(s) Professional
activities performed by a certified public accountant or by a person working
under the direction of a certified public accountant.
(t) Any
state or federally chartered financial institution or affiliate of such an
institution when engaging in an activity that is within its authority under
applicable state or federal law, including any person providing services for it
in connection with that activity; provided that the Supreme Court has not determined
by rule or by published opinion that the activity constitutes the unlicensed or
unauthorized practice of law.
(u) A
benefits specialist acting in the scope of s. 46.81(4), stats., or in the
scope of s. 46.283, stats., and s. DHS 10.23 (2) (d), Wis. Adm. Code.
(v) Nonlawyers
making any disclosure or advisement which is required by state or federal law.
(w) Teaching
about the law or providing information about the law including the legal rights
or responsibilities of persons under the law, in a manner that is not directed
at providing specific legal advice to a specific individual in the context of a
specific matter.
COMMENT
The exceptions may also encompass:
Nonlawyer employees of an entity or organization that engage in
giving advice or counsel to another entity or person as to the legal rights of
that entity or person; selection, drafting, or completion, for another entity
or person, of legal documents; or negotiation of legal rights or
responsibilities on behalf of another entity or person, where the activities
are undertaken for the sole benefit of the entity or organization or any
corporate affiliate;
Nonlawyer employees of an entity or organization preparing legal
documents that are incidental to the entity's or organization's business and connected
with any transaction in which the entity has a direct, primary, and
nonfiduciary interest, or a fiduciary interest required by federal law;
Nonlawyer entities or organizations which employ lawyer
employees to perform the activities described in 23.01(1) for such entity,
other entities within the organization, or in the case of privately held
entities or organizations, for owners and their families, officers, directors,
or employees of the entity or organization;
A nonlawyer entity or organization acting through lawyer
employees providing legal services, without direct payment therefor, to a party
other than a party described in (j), in a manner consistent with the Wisconsin
Rules of Professional Conduct for Attorneys (including, without limitation, the
rules relating to conflicts of interest and fee sharing), so long as the entity
or organization has a financial interest in the outcome of the legal services,
there is a commonality of purpose between the entity or organization and the
third party, and the entity or organization is not otherwise in the business of
providing legal services except as provided in these rules.
(3) Use of titles. Except as permitted by SCR
10.03(4), only a person who is currently licensed to practice law in Wisconsin
and who is an active member of the State Bar of Wisconsin may represent himself
or herself to the public using the words attorney at
law, lawyer, solicitor, counselor, attorney and counselor, proctor, law, law
office, or other equivalent words in connection with his or her name or any
sign, advertisement, business card, letterhead, circular, notice, or other
writing, document or design, the evident purpose of which is to induce others
to believe or understand the person to be authorized to practice law in this
state or otherwise qualified to provide professional legal services or
advice.
COMMENT
The
practice of law requires a skillful practitioner with training in how to find,
interpret and apply the law in various circumstances which involve the legal
rights and interests of the person(s) being served. Licensure and regulation of the practice of
law are necessary to protect the public interest from harm which can result
from incompetency, dishonesty, and unethical behavior. The regulation of the practice of law in
A license
to practice law in