Pressure to File

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In the time it takes to drive from Milwaukee to Mequon or watch an episode of The Simpsons, attorneys should be able to accurately fill out their Continuing Legal Education (CLE) report.

But every year several hundred practitioners fail to file their forms with the Board of Bar Examiners (BBE) prior to the Feb. 1 deadline.

BBE Director John E. Kosobucki said he is flabbergasted at the amount of attorneys who do not meet the deadline and hopes a new petition to increase the monetary penalty will reduce the number of late filers.

“I had to do mine at the end of 2006 and I was able to complete it in 20 minutes,” said Kosobucki. “And I know I had more than the 30 credits you need every two years.”

Incentive to File

According to Kosobucki, 214 of the more than 8,200 legal professionals required to report this year were suspended because of failure to properly file their CLE credit report.

While the percentage is small, it is consistent from year to year, which is why the BBE petitioned the state Supreme Court for an increase in the fine from $50 to $100 for filing late (SCR 31.03).

The Supreme Court is scheduled to review the petition, along with eight others from the BBE at open administrative conferences scheduled for Nov. 18 and Dec. 17.

Under the proposed change to SCR 31.05, a $100 reinstatement fee would remain, but up to 15 hours of CLE credits could be carried over to next reporting period, even if an attorney were suspended.

Currently, attorneys are not allowed to carry over credits if they fail to file a report by the Feb. 1 deadline. Late fees are collected by the BBE and used as part of the organization’s annual education budget.

“The thought was that increasing the penalty by $50 might increase the incentive for attorneys to get their reports in earlier, so they can be audited earlier and, so they can be notified if there are any problems,” said Kosobucki during last month’s Board of Governors meeting.

Gov. Daniel L. Shneidman said the additional fee would unnecessarily burden solo and small practitioners who already may struggle with filing on time.

“Attorneys who practice at mid-size and larger firms may just turn it over to their accountants, but for solos, it may get lost in the shuffle sometimes,” said Shneidman at the meeting.

Kosobucki said the increase is not meant to discriminate against small and solo practitioners. He noted that large-firm filers are equally problematic because attorneys do delegate reporting responsibilities and there can be oversights.

“On some occasions, we’ve gotten forms where the attorney forgot to sign them,” said Kosobucki. “We don’t see it as a hardship because there are problems across the spectrum.”

Minimal Impact

New State Bar President Diane S. Diel said she has yet to decide whether to support or oppose the proposed change, but doubts that an increased fine will result in a significant decrease in late filings.

Even though the petition is awaiting review by the Supreme Court, State Bar leadership may vote whether to support or oppose the change at its next Board of Governors meeting on Sept. 12.

Like Kosobucki, Diel is at a loss to explain why so many attorneys fail to file on time, but she does not think a $100 penalty is the solution.

“It’s kind of like tripling your parking ticket if you don’t pay it,” said Diel. “I don’t think those people who don’t file on time are going to be deterred by a monetary fee.”

Initially, Kosobucki said an even larger penalty increase was discussed by BBE board members, and that is still a possibility in the future.

Diel, a solo practitioner, is also sympathetic to Shneidman’s concerns, to a point.

She said filing CLE reports is an obligation that comes with the practice, regardless of the size. But she suggests that rather than piling on late charges, devising a method of record keeping might be a better solution.

“We’ve talked about working with the [State] Bar and the BBE on a records retrieval system and that seems to me to go more to the core of the real problem, rather than simply looking to penalize attorneys,” said Diel.

Kosobucki said the BBE is in the process of developing an automated reporting system, which he hopes will be operational by the end of the year. Those attorneys required to file will be notified via email and have the ability to complete the forms online.