Certified Legal Professional (CLP) Practice Exam

In a corporate attorney-client relationship, does conflict arise between top executives threatening legal action against each other?

1. Yes, because the lawyer represents individual interests of the executives.

2. No, the attorney represents the corporation, not individual executives.

3. Yes, because it affects the corporation's management.

4. No, conflicts can only arise between different legal entities.

The correct answer is: No, the attorney represents the corporation, not individual executives.

In a corporate attorney-client relationship, the attorney is primarily representing the corporation as a legal entity, rather than the individual interests of the executives. The attorney's duty is to act in the best interest of the corporation, which includes protecting its assets, ensuring compliance with legal regulations, and facilitating its operations. When top executives threaten legal action against each other, it may present a scenario where their personal interests conflict with those of the corporation. However, the attorney cannot represent the individual executives in this capacity because their loyalty and duty of care are directed to the corporation itself. Therefore, even if personal conflicts arise, they don't undermine the attorney's overarching responsibility to represent the corporation and its best interests. This understanding is critical, as it underscores the importance of recognizing the attorney's commitment to the corporation over individual executives. In situations where personal interests among executives conflict, it would generally lead to the need for separate legal representation for those individuals rather than affecting the attorney's representation of the corporation as a whole.