The Association of Corporate Counsel is arguing in the Pennsylvania Supreme Court that nonprofit in-house lawyers should not be allowed to blow the whistle to the state attorney general about the misuse of funds, Corporate Counsel's Sue Reisinger reports. The Supreme Court, in a case titled Redacted v. Redacted, is going to decide if in-house counsel may disclose information about wrongly diverted funds to the attorney general's office, "'“as parens patriae for the public to whom the charity and its counsel owe a fiduciary duty.”'
The ACC argues that if clients will be less candid with their lawyers if they are afraid their lawyers will turn them in to law enforcement.