CEO 80-7 -- January 17, 1980

CONFLICT OF INTEREST; VOTING CONFLICT OF INTEREST

STATE REPRESENTATIVE WHOSE LAW FIRM REPRESENTS BANK PARTICIPATING IN BANKING LEGISLATION

To: (Name withheld at the person's request.)

Prepared by: Phil Claypool

SUMMARY:

Reference is made to question 1 of CEO 77-129. A state representative who is an attorney is not prohibited by the Code of Ethics from representing a bank in legal matters not otherwise prohibited by s. 8(e), Art. II, State Const., or from participating in legislation affecting banking by authorship, vote, or debate, or by membership on or chairmanship of the committee which is assigned the responsibility of considering banking legislation, when such legislation affects his client just as it does all banks; neither is a voting conflict of interest created by said legislative activity. No conflict would be created were a partner or member of the legislator's law firm to represent the bank in legal matters, including representation before state agencies, inasmuch as s. 8(e), Art. II, only forbids a member of the Legislature from "personally" making such representations before state agencies other than judicial tribunals. See CEO 77-168 in this regard.

QUESTIONS:

1. Would a prohibited conflict of interest be created were I, a state representative and attorney, to represent a bank in legal matters not otherwise prohibited by s. 8(e), Art. II, State Const., and participate in legislation affecting banking by authorship, vote, or debate, or by membership on or chairmanship of the committee which is assigned the responsibility of considering banking legislation, when the legislation would affect my client just as it does all banks?

2. Would a voting conflict of interest be created were I, a state representative and attorney, to represent a bank in legal matters not otherwise prohibited by s. 8(e), Art. II, State Const., and to vote on legislation affecting banking, as a member of the House of Representatives or as a member or chairman of the committee which is assigned the responsibility of considering banking legislation, when the legislation would affect my client just as it does all banks?

3. Would a prohibited conflict of interest or a voting conflict of interest be created were a partner or member of my law firm to represent a bank in legal matters while I, a state representative and attorney, participated in legislation affecting banking by authorship, vote, or debate, or by membership on or chairmanship of the committee which is assigned the responsibility of considering banking legislation, when the legislation would affect my client just as it does all banks?

Question 1 is answered in the negative, based upon the rationale of our response to question 1 of CEO 77-129. Although that question did not address the propriety of participating in the legislative process as a committee member or as committee chairman, it is our opinion that your holding either of these positions while representing a bank as an attorney would not be prohibited by the Code of Ethics for the reasons outlined in CEO 77-129.

Question 2 is also answered in the negative, based upon the rationale of our response to question 2 of CEO 77-129. Again, although the question posed in CEO 77-129 did not include the circumstances of someone's being a committee chairman or committee member, these additional circumstances do not alter the advice given in that opinion.

Question 3 is answered in the negative, based upon the rationales expressed in CEO 77-129 and in our response to the first two questions you have posed. We note that the phrasing of this question indicates the possibility that a partner or member of your law firm might represent the bank in legal matters in which you would be prohibited from participating by s. 8(e), Art. II, State Const., because you are a state representative. As s. 8(e), Art. II, only forbids a member of the Legislature from "personally" representing a client before state agencies other than judicial tribunals, representation by a partner or firm member would be permitted. See CEO 77-168.