38 Pa. D. & C.5th 183
Pennsylvania Court of Common P...2014Background
- CT Pellet LLC is a Pennsylvania-appearing LLC with Scott Olson as its sole owner; Olson is not licensed to practice law in Pennsylvania.
- Keystone Pellet, d/b/a Great American Pellets, sued CT Pellet for breach of contract and unjust enrichment, seeking $24,416.60; court entered a default judgment for $24,664.05 on Oct 16, 2013.
- CT Pellet attempted to answer the complaint but filing fee issues blocked acceptance; plaintiff later denied any answer was filed before default judgment.
- Olson, as defendant’s representative, appeared at a hearing on a motion to vacate the default judgment, prompting a defense that Olson could not represent the corporation.
- The court granted a continuance to allow CT Pellet to obtain counsel and warned Olson he could not represent the corporation; at the rescheduled hearing no one appeared, and the motion to vacate was dismissed; the court issued a memorandum addressing unauthorized practice of law.
- The memorandum holds that a corporation may appear only through a licensed attorney and that non-attorney representation is unauthorized, constituting the practice of law.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether a corporation may be represented by a non-attorney in court | Walacavage allows only attorney representation for corporations | Sole owner should be allowed to represent the LLC | No; corporations must be represented by licensed counsel |
| Whether the in-court representation by CT Pellet’s owner affected the default judgment proceeding | Unauthorized practice taints proceedings | Owner acted to defend, not to practice law | Invalidates non-attorney representation; court properly barred it |
Key Cases Cited
- Walacavage v. Excell 2000, Inc., 480 A.2d 281 (Pa. Super. 1984) (corporation may appear only through attorneys; non-attorney representation is unauthorized)
- Harkness v. Unemployment Compensation Bd. of Review, 920 A.2d 162 (Pa. 2007) (categories and limits of the practice of law; informal proceedings may permit non-attorney presence but generally requires counsel)
- Dauphin County Bar Ass'n v. Mazzacaro, 351 A.2d 229 (Pa. 1976) (public protection and qualifications required to practice law; lay representation risks public harm)