BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 296
                                                                  Page  1

          Date of Hearing:   April 30, 2013

                       ASSEMBLY COMMITTEE ON VETERANS AFFAIRS
                                Al Muratsuchi, Chair
                 AB 296 (Wagner) - As Introduced:  February 11, 2013
           
          SUBJECT  :   Attorneys

           SUMMARY  :   Grants provisional licenses to practice law to  
          spouses of military members.  Specifically,  this bill  :  

          1)Directs the State Bar of California to issue a provisional  
            license to practice law in California to an applicant who:

             a)   Is an active member in good standing of the bar of  
               another state, possession, or territory; 

             b)   Is the spouse of an active duty servicemember of the  
               Armed Forces of the United States assigned to a duty  
               station in California under official active duty military  
               orders; 

             c)   Supplies evidence satisfactory to the State Bar of  
               California that he or she is married to, or in a domestic  
               partnership or other legal union with, an active duty  
               member of the Armed Forces of the United States who is  
               assigned to a duty station in California under official  
               active duty military orders;

             d)   Holds a current license to practice law in another  
               state, district, or territory of the United States;

             e)   Establishes that he or she is not currently subject to  
               lawyer discipline or the subject of a pending disciplinary  
               matter in any jurisdiction;

             f)   Pays annual bar membership dues; and

             g)   Complies with all ethical, legal, and continuing legal  
               education obligations.

          2)States that the provisional license shall be valid until the  
            active duty member of the Armed Forces is no longer assigned a  
            duty station in California under official active duty military  
            orders or until the provisional licenseholder has passed the  








                                                                  AB 296
                                                                  Page  2

            Attorneys' Examination.

           EXISTING LAW  :

          1)States that to be certified to the Supreme Court for  
            admission, and a license to practice law, a person who has  
            been admitted to practice law in a sister state, United States  
            jurisdiction, possession, territory, etc., must:
             a)   Be of the age of at least 18 years.
             b)   Be of good moral character.
             c)   Have passed the general bar examination given by the  
               examining committee. 

          2)However, if that person has been an active member in good  
            standing of the bar of the admitting sister state or United  
            States jurisdiction, possession, or territory for at least  
            four years immediately preceding the first day of the  
            examination applied for, he or she may elect to take the  
            Attorneys' Examination rather than the general bar  
            examination. 

          3)Attorneys admitted less than four years and attorneys admitted  
            four years or more in another jurisdiction but who have not  
            been active members in good standing of their admitting  
            jurisdiction for at least four years immediately preceding the  
            first day of the examination applied for must take the general  
            bar examination administered to general applicants not  
            admitted as attorneys in other jurisdictions.

          4)Have passed an examination in professional responsibility or  
            legal ethics as the examining committee may prescribe.

          5)Be certified by the State Department of Social Services and  
            not being non-compliant with a court-ordered child or family  
            support obligation.

           FISCAL EFFECT  :   Unknown at this time.

           COMMENTS  :   

           Issue  :  According to the author: 

               The ability to practice law in California requires an  
               individual to possess a license which comes with several  
               conditions, which can cause lengthy re-employment delays  








                                                                  AB 296
                                                                  Page  3

               for military spouses who practice law and move between  
               states.  Because of these delays and the expense involved  
               in re-licensure, many spouses decide not to practice in  
               their professions.  This is a difficult financial and  
               career choice issue for military members and their spouses,  
               potentially impacting their desire to stay in the military.

          California has approximately 72,000 military spouses (civilians  
          married to servicemembers) residing here in any given year  
          (California Research Bureau, Professional Licensing and Military  
          Spouses. (2013). S-13-001). 95% of military spouses are women.   
          Over a third of military spouses are employed in professions  
          that require some sort of license or certificate. (Professional  
          Licensing and Military Spouses) Additionally a recent survey  
          showed that more than two-thirds of all service members state  
          their decision to re-reenlist was largely or moderately affected  
          by their spouses' career prospects. (U.S. Department of the  
          Treasury and U.S. Department of Defense. (2012). Supporting Our  
          Military Families: Best Practices for Streamlining Occupational  
          Licensing Across State Lines. 
           
          Out-of-state attorneys practicing law in California
           
          These are three programs that currently permit a person who is  
          eligible to practice law in another state to practice law in  
          California, subject to the limitations, restrictions and other  
          provisions of the governing statutes and rules.

          1)Registered Legal Service Attorneys

            Rule 9.45 of the California Rules of Court governs registered  
            legal services attorneys.  Subject to all applicable rules,  
            regulations, and statutes, an out-of-state attorney practicing  
            law under that rule may practice law in California only while  
            working at a qualifying legal services provider, as defined in  
            the rule, under the supervision of an attorney who is employed  
            by the qualifying legal services provider and who is an active  
            member in good standing of the State Bar of California.  An  
            attorney supervising a registered legal services attorney must  
            meet the requirements of Rule 9.45(h) relating to number of  
            years in practice, required level of supervision, and other  
            details.

          2)Pro Hac Vice









                                                                  AB 296
                                                                  Page  4

            Under Rule 9.40 of the California Rules of Court, an  
            out-of-state attorney who has been retained to appear in a  
            particular case pending in a California court may, in the  
            discretion that court, be permitted upon written application  
            to appear as counsel pro hac vice, provided that an active  
            member of the State Bar of California is associated as  
            attorney of record.  Rule 9.40 contains other details,  
            requirements, and limitations governing pro hac vice counsel.

          3)Out-of-State Attorney Arbitration Counsel

            Under Code of Civil Procedure Section 1282.4, Rule 9.43 of the  
            California Rules or Court, and Rules 3.380 - 3.382 of the  
            Rules of the State Bar of California, an out-of-state attorney  
            may represent a party in connection with an arbitration in  
            California, subject to approval by the arbitrator or arbitral  
            form and other applicable provisions in the statute and rules.  
             The out-of-state attorney must be retained to appear in  
            association with an active member of the State Bar of  
            California who is attorney of record in the arbitration.

          It is unclear how many military spouses this bill would affect.   
          Nevertheless, as stated by the author the inability to practice  
          law in California would pose a significant barrier to employment  
          for the attorney spouse.  He or she might be able to find an  
          attorney position which does not require admission to the  
          California Bar as set forth above, but those positions would be  
          far fewer than those requiring state bar admission.  The  
          programs summarized above are by nature quite limited in scope.

           Policy Question for Members: Should the provisional license have  
          an expiration, requiring the attorney spouse to be admitted to  
          the California Bar after a reasonable period for preparation?  

          The bill would grant an open-ended provisional license; the  
          license continues as long as the military member is stationed  
          here, which could be several years. The general bar exam and the  
          attorneys exam are given twice a year.  Perhaps it makes sense  
          to grant a reasonable provisional license period so that the  
          attorney spouse may seek immediate employment while studying for  
          the bar or attorneys exam but not have an open-ended provisional  
          license term.  Moreover, due to timing of the bar and attorneys  
          exam dates, requiring the attorney spouse to take the very next  
          bar might result in him/her paying substantial late registration  
          fees in addition to the significant base cost of the exam.








                                                                  AB 296
                                                                  Page  5


          For example:

          On time filing for the July 2013 bar was due by April 1, 2013  
          and costs attorney applicants $892.00.  However, if an applicant  
          files late, additional charges apply:

          April 2, 2013 - April 30, 2013 $ 50.00
          May 1, 2013 - June 17, 2013 $250.00

          Thus, if it is required that provisional licensees take the bar  
          or attorneys exam it is reasonable to give them sufficient time  
          to prepare and apply without incurring late charges.
           
          Policy Question for Members: Should the provisional license  
          applicant have to meet similar other standards to those for out  
          of state/out of country attorney applicants?

           Out of state/country attorney applicants must meet several  
          requirements in addition to passing the bar or attorneys exam.   
          They must:

          1)Be of the age of at least 18 years;
          2)Be of good moral character; and
          3)Have passed an examination in professional responsibility or  
            legal ethics as the examining committee may prescribe.

          These requirements seem reasonable, not overly onerous, and  
          calculated to protect the public.  The age requirement is  
          designed to make sure that attorneys have reached the age of  
          majority in the state and presumably possess sufficient maturity  
          to handle important, sometimes critical, legal matters.  The  
          moral character requirement is intended to check that applicants  
          have the proper moral character to handle legal matters and  
          finances, including client money.  The professional  
          responsibility exam is designed to ensure that attorneys  
          understand their duties of professional responsibility including  
          to their clients and the courts.

           Suggested amendments  : The author has indicated he is willing to  
          accept the following amendments:

          Applicants must:

          1)Be of the age of at least 18 years;








                                                                  AB 296
                                                                  Page  6

          2)Be of good moral character; 
          3)Have passed an examination in professional responsibility or  
            legal ethics as the examining committee may prescribe;
          4)Take and pass the bar exam or attorneys exam within one year  
            from the date of issuance of the license. 

          The bill as amended would balance the hardship an attorney  
          spouse (and military family) would bear if the spouse could not  
          seek immediate employment with the concerns of the State Bar to  
          protect the public and regulate the practice of law in  
          California.   

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          California Communities United Institute

           Opposition 
           
          None on file.
           
          Analysis Prepared by  :    John Spangler / V. A. / (916) 319-3550