CALIFORNIA Rule 965.
Registered In-House Counsel
Statement of Purpose.
The purpose of this rule is to permit an attorney who resides in
California and who is licensed to practice law in one or more
jurisdictions in the United States other than California to register to
provide legal services as in-house counsel for a single qualifying
institution in California without becoming a member of the State Bar of
California.
a.
[Scope
of practice]
Subject to all applicable rules, regulations, and statutes, an attorney
practicing law under this rule:
1.
Is
permitted to provide legal services in California only to the qualifying
institution that employs him or her;
2.
Is not
permitted to make court appearances in California state courts or to
engage in any other activities for which pro hac vice admission is
required if they are performed in California by an attorney who is not a
member of the State Bar of California; and
3.
Is not
permitted to provide personal or individual representation to any
customers, shareholders, owners, partners, officers, employees,
servants, or agents of the qualifying institution.
b.
[Requirements]
For an attorney to practice law under this rule, the attorney must:
1.
Be an
active member in good standing of the bar of a United States state,
jurisdiction, possession, territory, or dependency;
2.
Register
with the State Bar of California and file an Application for
Determination of Moral Character;
3.
Meet all
of the requirements for admission to the State Bar of California, except
that the attorney:
A.
Need not
take the California bar examination or the Multistate Professional
Responsibility Examination; and
B.
May
practice law while awaiting the result of his or her Application for
Determination of Moral Character;
4.
Comply
with the rules adopted by the Board of Governors relating to the State
Bar Registered In-House Counsel Program;
5.
Practice
law exclusively for a single qualifying institution, except that, while
practicing under this rule, the attorney may, if so qualified,
simultaneously practice law as a registered legal services attorney;
6.
Abide by
all of the laws and rules that govern members of the State Bar of
California, including the Minimum Continuing Legal Education (MCLE)
requirements;
7.
Satisfy in
his or her first year of practice under this rule all of the MCLE
requirements, including ethics education, that members of the State Bar
of California must complete every three years and, thereafter, satisfy
the MCLE requirements applicable to all members of the State Bar; and
8.
Reside in
California.
c.
[Application]
To qualify to practice
law as registered in-house counsel, an attorney must:
1.
Register
as an attorney applicant and file an Application for Determination of
Moral Character with the Committee of Bar Examiners;
2.
Submit to
the State Bar of California a declaration signed by the attorney
agreeing that he or she will be subject to the disciplinary authority of
the Supreme Court of California and the State Bar of California and
attesting that he or she will not practice law in California other than
on behalf of the qualifying institution during the time he or she is
registered in-house counsel in California, except that if so qualified,
the attorney may, while practicing under this rule, simultaneously
practice law as a registered legal services attorney; and
3.
Submit to
the State Bar of California a declaration signed by an officer, a
director, or a general counsel of the applicant’s employer, on behalf of
the applicant’s employer, attesting that the applicant is employed as an
attorney for the employer, that the nature of the employment conforms to
the requirements of this rule, that the employer will notify the State
Bar of California within 30 days of the cessation of the applicant’s
employment in California, and that the person signing the declaration
believes, to the best of his or her knowledge after reasonable inquiry,
that the applicant qualifies for registration under this rule and is an
individual of good moral character.
d.
[Duration of practice]
Registered in-house
counsel must renew his or her registration annually. There is no
limitation on the number of years in-house counsel may register under
this rule. Registered in-house counsel may practice law under this rule
only for as long as he or she remains employed by the same qualifying
institution that provided the declaration in support of his or her
application. If an attorney practicing law as registered in-house
counsel leaves the employment of his or her employer or changes
employers, he or she must notify the State Bar of California within 30
days. If an attorney wishes to practice law under this rule for a new
employer, he or she must first register as in-house counsel for that
employer.
e.
[Eligibility]
It will not be grounds for denial of an application to register under
this rule if the attorney applicant has practiced law in California as
in-house counsel before the effective date of this rule. Further, it
will not be grounds for denial of an application to register under this
rule if the attorney applicant is practicing law as in-house counsel at
or after the effective date of this rule, provided that the attorney
applies under this rule within six months of its effective date.
f.
[Fees]
The State Bar of California may set appropriate initial and annual
registration fees, as well as application fees, to be paid by registered
in-house counsel.
g.
[State
Bar Registered In-House Counsel Program]
The State Bar may establish and administer a program
for registering California in-house counsel under rules adopted by the
Board of Governors.
h.
[Inherent power of Supreme Court] Nothing in this rule is to be construed as affecting the power of the
Supreme Court of California to exercise its inherent jurisdiction over
the practice of law in California.
i.
[Effect
of rule on multijurisdictional practice]
Nothing in this rule limits the scope of activities
permissible under existing law by attorneys who are not members of the
State Bar of California.
j.
[Definitions]
The following
definitions apply to terms used in this rule:
1.
“Qualifying institution” means a corporation, a partnership, an
association, or other legal entity, including its subsidiaries and
organizational affiliates. Neither a governmental entity nor an entity
that provides legal services to others can be a qualifying institution
for purposes of this rule. A qualifying institution must:
A.
Employ at
least 10 employees full-time in California; or
B.
Employ in
California an attorney who is an active member in good standing of the
State Bar of California.
2.
“Active
member in good standing of the bar of a United States state,
jurisdiction, possession, territory, or dependency” means an attorney
who meets all of the following criteria:
A.
Is a
member in good standing of the entity governing the practice of law in
each jurisdiction in which the member is licensed to practice law;
B.
Remains an
active member in good standing of the entity governing the practice of
law in at least one United States state, jurisdiction, possession,
territory, or dependency, other than California, while practicing law as
registered in-house counsel in California; and
C.
Has not
been disbarred, has not resigned with charges pending, or is not
suspended from practicing law in any other jurisdiction.