Barratry

AAA

DEFINITION of 'Barratry'

An illegal act whereby an attorney instigates a dispute or otherwise encourages the filing of a lawsuit, in order to profit from legal fees. Barratry typically involves the filing of a groundless claim in order to receive payment from clients. It is an illegal practice in all U.S. states and subject to criminal punishment and discipline by the state bar. An attorney found guilty of barratry would generally face disbarment.

INVESTOPEDIA EXPLAINS 'Barratry'

Barratry refers to an attorney's illegal instigation of lawsuits with no legitimate claim. For barratry to be a criminal act, the accused must perform repeated and persistent acts of litigation. It is against the law for an attorney to look for accident victims in hospitals or at home in an attempt to solicit business. Such "ambulance chasers" could be found guilty of barratry.

RELATED TERMS
  1. Bottomry

    When the owner of a ship borrows money and uses the ship itself ...
  2. Maritime Law

    A body of laws, conventions and treaties that governs international ...
  3. Admiralty Court

    Any court governed by admiralty law, whether the court is officially ...
  4. Shipping Certificate

    An instrument used by futures exchanges as a negotiable commitment ...
  5. Approved Delivery Facility

    A facility authorized by an exchange to be used as a location ...
  6. Incoterms

    Trade terms published by the International Chamber of Commerce ...
Related Articles
  1. Insurance

    Are You Trying To Get Sued?!

    Organizational lawsuits are commonplace these days. Knowing how to react to and (more importantly) prevent them can save your business.
  2. Options & Futures

    Handcuffs And Smoking Guns: The Criminal Elements Of Wall Street

    From godfathers to perps, familiarize yourself with the "criminal elements" creeping around Wall Street.
  3. Personal Finance

    How To Pick The Right Lawyer

    Find out what factors to consider before hiring an attorney.
  4. Entrepreneurship

    Government Regulations: Do They Help Businesses?

    These rules are in place to protect consumers and help businesses thrive at the same time.
  5. Professionals

    Why Celebrity Lawyers Make The Big Bucks

    These lawyers take on high-profile, high-stress celebrity cases and are compensated well for it.
  6. Taxes

    Tax Court: Your Last Resort

    Appealing an unfavorable or unfair tax ruling may be your last chance to save your finances.
  7. Investing

    What's the difference between legal defalcation and illegal defalcation?

    Discover what is meant by the term ''defalcation'' and how it can be used in multiple contexts to describe illegal or legal activities.
  8. Financial advisors must lead the charge against cybersecurity risks, for their clients and for their own practices.
    Investing News

    Educating Your Clients About Cybersecurity

    Financial advisors must lead the charge against cybersecurity risks, for their clients and for their own practices.
  9. The USA Patriot Act gave the government more muscle to fight financial crime after the Sept. 11 terrorist attacks. Here's an overview.
    Investing News

    How The Patriot Act Works & Why Is It Important

    The USA Patriot Act gave the government more muscle to fight financial crime after the Sept. 11 terrorist attacks. Here's an overview.
  10. Investing

    What was the Mahonia company and why did it become the subject of a lawsuit?

    In 1992, J.P.Morgan went into the energy trading business by creating a venture company called Mahonia Limited. At least, that is how things appeared on paper. Mahonia was actually a type of ...

You May Also Like

Hot Definitions
  1. Commodity

    1. A basic good used in commerce that is interchangeable with other commodities of the same type. Commodities are most often ...
  2. Deferred Revenue

    Advance payments or unearned revenue, recorded on the recipient's balance sheet as a liability, until the services have been ...
  3. Multinational Corporation - MNC

    A corporation that has its facilities and other assets in at least one country other than its home country. Such companies ...
  4. SWOT Analysis

    A tool that identifies the strengths, weaknesses, opportunities and threats of an organization. Specifically, SWOT is a basic, ...
  5. Simple Interest

    A quick method of calculating the interest charge on a loan. Simple interest is determined by multiplying the interest rate ...
  6. Special Administrative Region - SAR

    Unique geographical areas with a high degree of autonomy set up by the People's Republic of China. The Special Administrative ...
Trading Center