This to a degree illustrates the perils of our multijurisdictional practice system. In theory we should never advise a client on any law other than that of our admitted jurisdictions. In practice, many commercial matters -- especially business transactions -- have locii in many states.

But, in this situation, I confess to far more sympathy for the lawyer: he did a job of work, the client pursued the claim with an admitted attorney in Colorado and won a substantial verdict. And, now decides to stiff the lawyer. It seems to me that at the very least he should be entitled to some sort of quantum meriut award.

I have run into this problem in practice with the very many would-be investment bankers and business brokers who set up their own shops after leaving the major firms. Of course, the law is that the ought to be registered as broker-dealers, even if they are doing M&A. And the downside is they can't sue for their fees. Most won't spend the money and take the time, even when you put the advice in writing. They all think they'll slide by under the "finder's fee" exceptions.

I've seen several cases where one of these guys has put together a deal, and -- at the closing -- counsel for one of the parties (usually the one paying the fees) 'casually' asks Mr. Finder if he's a registered BD. When the response is "no" the lawyer then huddles with the client. Then the client -- often someone with whom Mr. Finder has been friends for years -- offers Mr. Finder a cut rate fee, usually about 10% of what was agreed, on a 'take-it-or-leave-it' basis, while lawyer informs him that he'll get nothing if he doesn't take it and sign the release they just happen to have prepared.

Legal? Yes. Ugly, you bet. Ethical? no.

Like you, I am largely sympathetic to the lawyer here especially because he disclosed the problem to the client. In fact, the lawyer and client worked out an agreement based on the lawyer's disclosure that he would not be able to provide certain services.

You'd think for 400 grand, the guy could have spent a few hundred bucks to go to active status in Wisconsin and done his work from there or something. (Many states, dunno about WI, hold that you can do work touching on other state's law so long as you do it in the state you are admitted in.)