When does a conflict of interest arise regarding current clients?

A conflict of interest regarding current clients arises when the representation of one client directly conflicts with that of another, or when it poses a significant risk that the lawyer's ability to represent one client will be materially limited by their responsibilities to another client. This situation can compromise the lawyer's duty of loyalty and impede the ability to provide competent representation, as the interests of the clients may diverge or directly oppose one another.

The rules emphasize that a lawyer must evaluate the potential risks associated with representing clients who have conflicting interests. For example, if a lawyer represents two clients in opposing positions, such as a plaintiff and a defendant in a lawsuit, it creates an immediate conflict that can jeopardize the integrity of the legal representation offered.

Other options do not establish a conflict of interest as clearly. A favorable outcome for both clients does not inherently create a conflict; personal interests that benefit the lawyer are relevant in a different context, as is the personal relationship with clients. Importantly, friendships do not itself create a conflict unless legal interests are at stake and potentially adverse to one another. The essence of assessing conflicts hinges on the nature of the legal representation and its implications for the clients involved.