estefanchanning wrote:Unauthorized practice of law is saying you're a licensed attorney when in fact you're not. There's no "line" to cross. If you don't say you're an attorney, review the contract until your heart's content.
Sorry, but going to have to strongly disagree with you here. While it varies from state to state, the
unauthorized practice of law is just what is says, a non-lawyer doing things that constitute the practice of law. Some examples include drafting contracts and
giving legal advice. If the person says they are a lawyer but they are not, that may help build the case against them. It is not necessary.
I am a licensed realtor in my state and had my own company before becoming an attorney. While state laws are different, giving advice about what certain clauses mean could be considered legal advice. If you are giving a basic explaination of the meaning, that may be ok. Informing them of legal ramifications of that clause is likely crossing the line into practice of law. Suggesting how parts of a contract are written, much less writing/drafting the whole thing, is
giving legal advice.
Where I am located, and a few other jurisdictions I have seen, there are form contracts for real estate. The realtors are allowed to fill in the blanks and can define basic terms to the client. Anything else, such as legal ramifications is considered practicing law, and the realtor can get in major trouble for that.
You need to be very careful about what you do, especially as a law student. Lots of people see law student and think lawyer (silly I know). I can’t tell you how many family members asked me for legal advice while I was in school. A law student doing things that are normally done only by an attorney (such as reviewing and drafting contracts) could raise major red flags, especially if a deal goes bad and a complaint is filed.
On a related note, many states also require real estate agents/brokers to be licensed. If you are giving real estate advice and are not a licensed agent or broker, you could be facing additional consequences, including criminal charges. My advice, just wait until you are licensed. If you want to work real estate (potentially a lucrative side job) then get a license. Your law classes probably allow you to waive education requirements and you just need to pass a test. Good luck.