Justia Professional Malpractice & Ethics Opinion Summaries

Petitioner-Appellant Michael Maclay appealed the district court's decision affirming the Idaho Real Estate Commission's Final Order, which revoked his real estate license and assessed him a $5,000 fine. Petitioner allegedly used another person's broker's license to carry on Help-U-Sell List 4 Less Realty, prepared incomplete brokerage representation agreements without either a price provision or a conspicuous beginning and end date, advertised listed properties without a listing broker's licensed business name, used a new brokerage name prior to its approval by the Commission, provided misleading advertising to the public, accepted real estate fees not paid through a broker for the performance of acts requiring a real estate license, engaged in a continued or flagrant course of misrepresentation, failed to account for or remit any funds coming in his possession belonging to a brokerage, engaged in dishonorable dealings and recklessness or gross negligence, and acted as a real estate salesperson without a license. Petitioner challenged the sufficiency of the evidence presented against him, and that the Commission's decision exceeded its authority. Because the Commission's decision was supported by substantial evidence and the other issues were waived, the Supreme Court affirmed the Commission's decision. View "Maclay v. Idaho Real Estate Comm'n" on Justia Law

This case came before the Supreme Court on recommendation of the Judiciary Commission of Louisiana, which recommended Justice of the Peace Herbert Williams (Parish of Plaquemines) be publicly censured and ordered to reimburse costs incurred in the Commission's investigation and prosecution of this case for violations of the Code of Judicial Conduct. In his capacity as an ex officio notary public, JP Williams notarized a document "purporting to transfer" ownership of a parcel of land to his son and daughter-in-law. The donation was not recorded right away. Upon discovering the "purported donation" in 2009, the purported Donor filed a complaint in Louisiana federal district court to clear title to the property at issue. In light of an article that appeared in the local newspaper concerning the complaint, the Commission opened an investigation, and alleged JP Williams engaged in judicial misconduct by notarizing the donation of land to his relatives, which was beyond his limited ex officio notarial powers, and without witnessing the Donor's signature. After a thorough review of the facts and law in this matter, the Supreme Court agreed with the Commission's disciplinary recommendation. View "In re JP Williams, Jr." on Justia Law

This case came before the Supreme Court on recommendation of the Judiciary Commission of Louisiana, which recommended District Judge Robert Burgess (of the 42nd Judicial District, Parish of DeSoto) be publicly censured for violations of the Code of Judicial Conduct. The disciplinary proceedings arose from a divorce proceeding between Tad Russell VanZile and Judge Burgess' niece, Jenifer Colvin VanZile. The Judge intervened in his niece's divorce and restraining order proceedings by phoning other judges as to the status and disposition of his niece's case. The Supreme Court adopted the recommendation of the Judiciary Commission and publicly censured Judge Burgess, and ordered him to pay costs. View "In re Burgess" on Justia Law

In 2006, Plaintiff Laurie Jenkins entered into a contract with Chet Medlock for the sale, transfer and delivery of a metal building. The purchase price was to be paid in three equal installments. After the building was completed, issues arose regarding the quality of work. Plaintiff contacted Defendant Larry Starns who wrote a letter to Medlock on her behalf, pointing out several complaints Plaintiff had with the building. Medlock sued Plaintiff for breach of contract; she was personally served. Defendant was in contact with Medlock's attorney, and believed there was an informal agreement for an extension of time to file responsive pleadings. When no answer was filed, Medlock obtained a default judgment against Plaintiff. Plaintiff notified Defendant of the judgment, to which he filed a petition to annul the judgment. Medlock responded arguing insufficiency of service and improper venue. Neither Plaintiff nor Defendant made an appearance at court. The trial court subsequently dismissed Plaintiff's suit. Ultimately the court issued a judgment of garnishment against Plaintiff's bank account. Plaintiff filed suit against her attorney alleging legal malpractice, which she lost. Upon review of the record, the Supreme Court concluded that the trial court and court of appeal erred in applying the "continuous representation rule" to suspend the commencement of the one-year peremptive period in La. R.S. 9:5605 until Defendant's efforts to remedy his negligence had concluded. The court of appeal's judgment was reversed. View "Jenkins v. Starns" on Justia Law

Plaintiffs filed this lawsuit on behalf of a class of stockholders of Occam. Defendants moved for sanctions against all plaintiffs other than Derek Sheeler for trading on the basis of confidential information obtained in this litigation. With respect to Michael Steinhardt and the funds, the motion was granted. Consistent with prior rulings by this court when confronted with representative plaintiffs who have traded while serving in a fiduciary capacity, Steinhardt and the funds were dismissed from the case with prejudice, barred from receiving any recovery from the litigation, required to self-report to the SEC, directed to disclose their improper trading in any future application to serve as lead plaintiff, and ordered to disgorge profits. With respect to Herbert Chen, the motion was denied. View "Steinhardt, et al. v. Howard-Anderson, et al." on Justia Law

This case was before the court on appeal and cross-appeal from the judgment of the district court ordering attorney Leonard Suchanek to pay his former client, Kevin So, an amount representing a portion of the legal fees Suchanek collected from So, plus interest. Suchanek began representing So and So's agent, Lucy Yan Lu, in July 2006 despite the fact that he was already representing Land Base, a California entity that had entered into an agreement with So that was signed by Lu, to make investments on So's behalf. The court concluded that Suchanek violated Rule 1.7 by simultaneously representing So and Land Base in July and August of 2006; the district court's analysis of the second conflict period, between August 2007 and January 2008, was also sound; and the district court's order requiring Suchanek to deposit the trust funds in the registry was proper in light of Suchanek's history of moving So's money, without authorization, into other bank accounts - sometimes spending it rather than returning it to So or to So's trust account. Accordingly, the court affirmed the rulings as they pertained to Suchanek's appeal. In regard to So's contention that the district court erred in ordering disgorgement of only some of the fees Suchanek collected, the court concluded that the district court's error in assessing the conflict between Lu and So influenced the scope of the remedy it selected. The district court should have awarded a larger sum if it had correctly found a conflict during other parts of the representation. Accordingly, the court remanded the case for further review and issuance of a supplemental remedy, greater than the amount already ordered. View "So v. Suchanek" on Justia Law

The attorney, admitted to practice in Illinois in 1969, was the subject of a 2004 Illinois Attorney Registration and Disciplinary Commission complaint following convictions relating to driving under the influence of alcohol and driving while his license was revoked. The state Supreme Court issued an order suspending him from the practice of law for a period of 18 months, and ordering him to reimburse the Disciplinary Fund for any client protection payments arising from his conduct. In 2007 the ARDC charged him with misrepresentation to a tribunal and engaging in the unauthorized practice of law during his suspension. The Hearing Board found proven misconduct and recommended suspension for two years, but the Review Board recommended dismissal of the charges. The Supreme Court suspended him for one year. While the violations primarily involved representation of the attorney's own bankrupt company and occurred within days of the suspension, the attorney attempted to conceal the misconduct and refused to admit wrongdoing. View "In re: Thomas" on Justia Law

The Judicial Conduct Commission recommended that Northwest District Court judge Richard Hagar be censured for violating Canon 3(B)(1) of the Code of Judicial Conduct. In 2011, Judge Hagar was served formal charges for allegedly not promptly deciding "Ringuette v. Ringuette" when a trial was held in his court in 2010. Upon review, the Supreme Court accepted the Affidavit of Consent and Agreement agreed to by the parties, censured Judge Hagar for his conduct, and ordered him to pay $500 in costs for the disciplinary proceeding. View "Judicial Conduct Commission v. Hagar" on Justia Law

Plaintiff filed an employment discrimination suit, alleging race discrimination and retaliation, 42 U.S.C. 1981 and 42 U.S.C. 2000e. She failed to file a timely response to her employer's motion for summary judgment and the court granted the motion. The Seventh Circuit affirmed, holding that the district court was within its discretion in denying an extension. Plaintiff's counsel offered no explanation for missing the filing date by more than a month. There was no direct evidence of discrimination or retaliation; there was evidence of legitimate, non-discriminatory reasons for any salary differences among workers in plaintiff's position. Plaintiff never complained to her employer that any actions taken against her by co-workers or by anyone at the company were related to race and nothing about cited incidents gave any hint that race was at issue. View "Keeton v. Morningstar, Inc." on Justia Law

Patricia Shelton filed suit alleging breach of contract a legal malpractice against her former attorneys Defendants-Appellants R. Bruce Owens, Jeffrey Crandall, and Owens and Crandall, PLLC (Owens). During the pendency of her action, Ms. Shelton passed away. Plaintiff-Appellee Lois Bishop sought to assert Ms. Shelton's claims as her personal representative. Owens unsuccessfully argued that the legal malpractice claim abated upon Ms. Shelton's death, and that her breach of contract claim did not state a claim. Owens appealed. Because Patricia Shelton’s legal malpractice claim sounds in tort and abated upon her death, and her breach of contract claim fails to state a claim, the Supreme Court concluded the district court erred in denying Owens’s motion for summary judgment and in granting Bishop’s motion to substitute as plaintiff. View "Owen v. Bishop" on Justia Law