Final answer:
A lawyer is generally prohibited from acquiring a proprietary interest in the cause of action or subject matter of litigation for a client, except in certain circumstances such as securing their fee or expenses or through authorized arrangements such as contingency fees.
Step-by-step explanation:
Lawyer's Acquisition of Proprietary Interest in Litigation
A lawyer is generally prohibited from acquiring a proprietary interest in the cause of action or the subject matter of litigation for a client. This means that lawyers cannot have a personal financial stake in the outcome of a case they are handling.
However, there are exceptions to this rule. One exception is when the lawyer acquires a lien or security interest to secure the lawyer's fee or expenses. For example, a lawyer may take a lien on a property to ensure payment if they win the case.
Another exception is if the lawyer acquires an interest as authorized by law, such as in a contingency fee arrangement where the lawyer receives a percentage of the client's recovery.
It is important for lawyers to avoid conflicts of interest and maintain their duty of loyalty and independence to their clients.