The crime-fraud exception to the attorney-client privilege provides that:

• A. The privilege always applies, regardless of intent.
• B. The privilege never applies if fraud is alleged in the case.
• C. The privilege applies to all communications with an attorney, regardless of context.
• D. If legal advice is sought or obtained to facilitate a crime or fraud, the privilege does not apply.

Answer: (D)

The crime-fraud exception to the attorney-client privilege says that the privilege does not shield communications if the client seeks or uses legal advice to plan, commit, or facilitate a crime or fraud. The protection is not absolute; it exists to encourage honest consultation for legitimate legal problems, but it drops away when the purpose of the legal advice is to enable illegal activity. For the exception to apply, there must be intent to use the attorney’s services to further wrongdoing, not merely an allegation of crime or a general dispute. If the communication is genuinely about lawful legal issues or about defending against charges, the privilege remains intact.

So the best understanding is that the privilege does not apply when legal advice is sought or obtained specifically to facilitate a crime or fraud.