Lawyers Need Estate Plans Too! Why Your Practice Requires Special Planning

If you're a solo practitioner or work in a small law firm in Illinois, here's an uncomfortable question: What would happen to your clients if you were suddenly unable to practice tomorrow?

Most attorneys spend their careers protecting their clients' interests. But many haven't taken the essential step of protecting those same clients from the consequences of their own death or disability. The Illinois Attorney Registration and Disciplinary Commission is clear: succession planning isn't just good practice management. It's likely part of your ethical duty of diligence under the Rules of Professional Conduct.

Illinois and the Rise in Practicing Senior Lawyers

While experience is invaluable, age brings increased risk of sudden incapacity or death. And when an attorney becomes unable to practice without a plan in place, clients can suffer serious harm. Think about your current caseload. Do you have pending court dates? Statute of limitations deadlines approaching? Client funds in trust accounts? Original wills or deeds in your files? Now imagine your family or staff trying to manage all of this with no guidance while dealing with your death or serious illness.

The Reality of Unexpected Disability

Disability doesn't always announce itself. A stroke can happen during a morning coffee. A car accident on the way to court can change everything in seconds. A sudden diagnosis can render you unable to practice within days. Unlike retirement, which you can plan for years in advance, disability often strikes without warning: leaving no time to organize files, transfer cases, or even tell clients what's happening. Estate and succession planning aren't just for seniors, a person can become disabled at any age. The statistics tell a different story than many younger attorneys assume: disabilities from accidents, acute illnesses, and sudden mental health crises affect attorneys across all age groups. The question isn't whether you're at risk; it's whether your clients will be protected when the unexpected happens.

The Three-Part Safety Net Every Attorney Needs

Proper succession planning requires three interconnected legal documents, each serving a distinct purpose:

1. The Written Succession Plan: Your Practice Operations Manual

This is your detailed instruction manual for closing your practice. It should document everything another attorney would need to know: where client lists are stored, how to access your computer systems (including passwords), trust account information, pending court dates, and where important files are located.

Think of this as the tactical playbook. It's not a legal document itself, but rather the practical guide that makes everything else work. Without it, even the best-drafted will or power of attorney leaves people guessing.

2. The Power of Attorney: Protection During Incapacity

Here's a critical gap many attorneys miss: a standard power of attorney for your personal affairs doesn't address your law practice. You need a specialized power of attorney that appoints another licensed attorney to step into your practice if you become incapacitated but are still alive.

This agent needs explicit authority to access client files, manage trust accounts, communicate with clients, notify courts, and take protective action all while maintaining attorney-client privilege and confidentiality. It's a delicate balance that requires careful drafting.

3. The Will: What Happens After Death

When you die, your power of attorney terminates immediately. That's where your will takes over. Your will needs provisions that specifically address your law practice, not just your personal assets.

The executor (or an attorney they hire) needs immediate authority to secure your office, access files, manage trust accounts, and notify clients. Trust account matters should be designated as the highest priority—even above distributing assets to your heirs. These provisions protect both your clients and your estate from ethical violations and malpractice claims.

Why You Can't Just Use Your Personal Estate Plan

You might be thinking, "I already have a will and power of attorney." That's great for your personal affairs. But unless those documents specifically address your law practice with appropriate provisions for confidentiality, trust accounts, and professional obligations, they're not enough.

An attorney's estate plan is fundamentally different from a typical estate plan because you owe fiduciary duties to your clients. Those duties don't end when you die or become incapacitated. Your estate planning documents need to account for this unique professional responsibility.

The Illinois Rules Are Clear

Under Illinois Rules of Professional Conduct Rule 1.3 and its Comment 5, sole practitioners have a duty to prepare a plan for client protection in case of death or disability. Illinois Supreme Court Rule 769 requires specific record-keeping that supports succession planning. And Rule 776 allows courts to appoint receivers when attorneys can't continue practicing. These aren't suggestions; they are professional obligations. The ARDC has made succession planning a focus area and regularly presents on this topic to bar associations across Illinois.

The Benefits Go Beyond Ethics Compliance

While protecting your clients is the primary concern, proper succession planning also:

• Gives you and your family peace of mind

• Reduces stress on grieving loved ones who would otherwise close your practice without guidance

• May reduce the cost of administering your estate

• Could facilitate selling your practice under Rule 1.17, potentially providing value to your heirs

• Protects your professional reputation and legacy

• May help maintain malpractice insurance coverage during the transition

What Makes This Complex

Succession planning for attorneys involves navigating multiple areas of law: estate planning, professional responsibility, trust accounting, and business law. You need to coordinate three separate documents that work together seamlessly while addressing unique considerations like:

• Maintaining attorney-client privilege after death

• Protecting client confidences while giving others access to files

• Managing trust accounts ethically during transition periods

• Coordinating with potential court-appointed receivers under Rule 776

• Ensuring malpractice coverage continues during practice closure

• Addressing conflicts of interest between your successor and your clients

These issues don't arise in typical estate planning, which is why attorneys need specialized guidance.

Don't Wait for a Crisis

The nature of death and disability is that they're unexpected. By the time you think you need a succession plan, it's often too late to create one properly. And while you might be young and healthy today, accidents and sudden illnesses don't discriminate by age.

Your clients trust you to protect their interests. That obligation extends to planning for what happens if you can't continue representing them. It's one of the most important professional responsibilities you have.

Take the Next Step

At the Law Office of Andrew J. Mertzenich, we understand the unique challenges Illinois attorneys face in estate planning, especially in the realm of small business. We work with solo practitioners and small firms in Rockford and throughout Illinois to create comprehensive estate plans that ensure compliance and peace of mind. Don't leave your clients' welfare or your family's burden to chance.

Contact our office today to discuss putting an estate plan in place that includes your law firm's succession documents. It's one of the most important things you can do for everyone who depends on you. Call the Law Office of Andrew J. Mertzenich at 815-420-8261 or visit www.MertzenichLaw.com to schedule a consultation.

The information in this blog post is for general educational purposes only and does not constitute legal advice. Illinois attorneys should consult with qualified legal counsel to address their specific succession planning needs in compliance with all applicable rules and regulations.