Section 4 - Financial Responsibility(A) A legal professional association, corporation, legal clinic, limited liability company, or limited liability partnership shall maintain adequate professional liability insurance or other form of adequate financial responsibility for any liability of the firm arising from acts or omissions in the rendering of legal services by an officer, director, agent, employee, manager, member, partner, or equity holder. (1) "Adequate professional liability insurance" means one or more policies of attorneys' professional liability insurance that insure the legal professional association, corporation, legal clinic, limited liability company, or limited liability partnership both: (a) In an amount for each claim, in excess of any deductible, of at least fifty thousand dollars multiplied by the number of attorneys practicing with the firm; and(b) An amount of one hundred thousand dollars for all claims during the policy year, multiplied by the number of attorneys practicing with the firm. No firm shall be required to carry insurance of more than five million dollars per claim, in excess of any deductible, or more than ten million dollars for all claims during the policy year, in excess of any deductible.(2) "Other form of adequate financial responsibility" means funds, in an amount not less than the amount of professional liability insurance applicable to a firm under Section 4(A)(1) of this rule for all claims during the policy year, available to satisfy any liability of the firm arising from acts or omissions in the rendering of legal services by an officer, director, agent, employee, manager, member, partner, or equity holder. The funds shall be available in the form of a deposit in trust of cash, bank certificate of deposit, or United States Treasury obligation, a bank letter of credit, or a surety bond.(B) Each member, partner, or other equity holder of a legal professional association, corporation, legal clinic, limited liability company, or limited liability partnership shall be jointly and severally liable for any liability of the firm based upon a claim arising from acts or omissions in the rendering of legal services while he or she was a member, partner, or equity holder, in an amount not to exceed the aggregate of both of the following:(1) The per claim amount of professional liability insurance applicable to the firm under this rule, but only to the extent that the firm fails to have the professional liability insurance or other form of adequate financial responsibility required by this rule;(2) The deductible amount of the professional liability insurance applicable to the claim. The joint and several liability of the member, partner, or other equity holder shall be reduced to the extent that the liability of the firm has been satisfied by the assets of the firm.
(C) Each officer, director, agent, employee, manager, member, partner or equity holder of a legal professional association, corporation, legal clinic, limited liability company, or limited liability partnership shall be liable for his or her own acts or omissions as provided by law, without prejudice to any contractual or other right that the person may be entitled to assert against a firm, an insurance carrier, or other third party.