What is Beneficial?
Every business needs an ethical standard or a measuring stick employees and staff can use to decide whether their decision is the right decision to make. In our firm, we use the Rotary Four-Way Test to create clarity around whether our decisions are the right decisions to make for our firm. You might ask what that looks like because it may seem at first glance that the main concern is whether the client is happy and the firm makes money. That’s not accurate.
Beneficial and Fair can Differ
Beneficial means helpful, useful or good for someone or something. Sometimes what makes a client happy is not beneficial. Sometimes the people we meet want to take legal action because they are unhappy with another person or group and they want justice or what they believe to be fair. Often what a person does not understand is that fairness is not the objective of the probate court in an estate. The probate court is required to follow the statute and the estate planning document containing the decedent’s wishes. A decedent’s wishes may be different from a beneficiary’s opinion of fair.
Who do we mean when we say beneficial to ALL? Well, beneficial to all means beneficial to all parties to a contract or business transaction. Think of hiring an attorney as a business transaction. The potential client is telling the attorney what they want to do and why. The attorney is deciding whether the firm can do the work the client requests and also whether the work requested will be beneficial for the client and also for the firm. Notice that the “ALL” in this example are the potential client (often a husband and wife) and the attorney. The couple’s children are not included in the “ALL” of this question. When we work on an estate plan for a couple, we are looking at whether their desires and wishes and our ability to fulfill those desires and wishes benefit them and us. We do not include what their children wish.
Looking for the Most Beneficial Solution
In planning, a person may want a Last Will and Testament or will, but they do not need a will. When their wish matches the Georgia statutory rules for distribution of estates, they do not wish to exclude any member of their family, and they do not own property with titles that need to be transferred, we will likely not recommend creating a will. When a cheaper solution works better, we let them know about the alternative solution and we will ask for any other reason they would want a will. We may not allow them to hire us to draft a will for them if it does not make sense to do so. We are looking out for what is best for the client even if it means less money for our firm. That’s what the fourth part of the rotary test requires us to do.
Is it beneficial for ALL concerned? It is not beneficial for a client to pay for a solution they do not need. Now, sometimes the need is not a shared perspective. Sometimes an accountant (or CPA) or financial advisor will not understand why we have made a recommendation for planning. We invite our clients to allow us to speak to their financial advisors and CPAs so that we can have a beneficiary conversation with shared perspectives. It is important for all advisors to work together. If you receive a different opinion from an advisor, pull the attorney into the conversation. It may be true that the other advisor has not heard of a specific solution or may believe that the outcome against which we are recommending protection is unlikely to happen. It is important for the client to understand all perspectives and weigh them in making a decision about whether to move forward. Different opinions from advisors can be beneficial to all concerned when advisors can speak together.
How Do You Know it it’s Beneficial?
These are questions we ask to determine whether the engagement will be beneficial to ALL. What about the law firm itself? We have a staff who will be communicating with the person seeking to become our client. We will need to gather information and set up follow up appointments and phone calls. How easy is it to work with the person that is seeking our assistance? What attitude and behavior are we observing? Yes, law firms interview clients before choosing to accept their case.
Surprised? Many people are surprised. It is often assumed that an attorney will take any client who walks in the door so long as they can pay for the legal services needed. That doesn’t happen at our firm. We want to enjoy our work every day just like anyone else would want to enjoy their work.
Clients are interviewing for a spot at our firm and we are evaluating them to determine whether they are the kind of person or people with whom we enjoy working. I will not tolerate a client who is rude and angry on the phone with me or my staff. It is also difficult to work with a person who fails to show up for a scheduled meeting or is unavailable for a scheduled call. Sometimes a person needs to cancel an appointment due to an emergency or sickness and we understand that. We respect a client’s time and, if we make a mistake, we make it right. For example, we offered a client lunch on us at a local restaurant when we discovered that we had double booked an appointment time. They had a wonderful lunch and we met an hour or so later to handle their legal issue. When a client needs to cancel or move an appointment, we ask that they do so when they know it needs to be changed and not later than two days before their scheduled appointment. This mutual respect goes a long way toward getting their legal service completed timely and efficiently.
How Are You Applying This Rule?
Is it BENEFICIAL for ALL concerned? How might you apply this simple fourth test to your own life and business? In what ways, do you see this test allowing you to draw clear boundaries or set standards that could improve your relationships with your family or business colleagues? Drop us a line using our contact us form on our website. I’d love to hear from you!
