Case Title: Disciplinary Counsel v. Alexicole, Inc.

Citation: 2004-Ohio-6901

Docket Number: 20041585

State: ohio

Court: Ohio Supreme Court

Date: 2004-12-22T00:00:00Z

Document:
[Cite as Disciplinary Counsel v. Alexicole, Inc., 105 Ohio St.3d 52, 2004-Ohio-6901.] 
 
 
DISCIPLINARY COUNSEL v. ALEXICOLE, INC., ET AL. 
[Cite as Disciplinary Counsel v. Alexicole, Inc., 
105 Ohio St.3d 52, 2004-Ohio-6901.] 
Unauthorized practice of law — Conduct enjoined. 
(No. 2004-1585 — Submitted November 16, 2004 — Decided December 22, 
2004.) 
ON REPORT by the Board of Commissioners on the Unauthorized Practice of Law 
of the Supreme Court, No. 02-06. 
_______________________ 
 
Per Curiam. 
{¶ 1} On August 2, 2002, relator, Disciplinary Counsel, charged that 
respondents, Bandali Dahdah and Alexicole, Inc., had together engaged in the 
unauthorized practice of law by representing Ohioans in securities-arbitration 
proceedings.  The parties thereafter submitted stipulations of fact and a waiver of 
notice and hearing pursuant to Gov.Bar R. VII(7)(C).  After striking respondents’ 
answer because it was not prepared and filed by a licensed attorney, however, the 
Board of Commissioners on the Unauthorized Practice of Law considered the 
cause on relator’s motion for default.  See Gov.Bar R. VII(7)(B).  The board 
granted the motion for default and, after accepting the parties’ separate motions to 
supplement the record, made findings of fact, conclusions of law, and a 
recommendation. 
{¶ 2} Based on the parties’ stipulations and relator’s evidence in support 
of default, the board found that Alexicole is a Delaware corporation that Dahdah 
owns and controls.  On October 31, 2000, Dahdah filed a Foreign Corporation 
Certificate for Alexicole in Massachusetts indicating that Alexicole engages in 
“securities arbitration.”  Dahdah is not and has never been an attorney admitted to 
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practice law, granted active status, or certified to practice law in the state of Ohio 
pursuant to Gov.Bar R. I, II, VI, IX, or XI. 
{¶ 3} Although Dahdah has not held himself out as a licensed Ohio 
attorney, he has, in conjunction with Alexicole, represented claimants in securities 
arbitration cases.  One client, an Ohio resident whom Dahdah represented in an 
arbitration claim against McDonald Investments, Inc. before the National 
Association of Securities Dealers, complained to relator.  In response to the 
client’s allegations, Dahdah admitted that he regularly prepares statements of 
claims, conducts discovery, participates in prehearing conferences, negotiates 
settlements, and participates in mediation and arbitration hearings, all on behalf of 
Alexicole clients. 
{¶ 4} The board found that respondents had thereby engaged in the 
unauthorized practice of law in Ohio and recommended that we issue an order 
enjoining respondents in the future as follows: 
{¶ 5} “1.  Respondents will not represent Ohio residents in securities 
arbitration matters and/or activities, including but not limited to, providing legal 
advice as to securities and/or securities arbitration claims, engaging in preparing 
statements of claims, preparing discovery, participating in pre-hearing 
conferences, participating in settlement negotiations, and attending mediation 
and/or arbitration hearings with or on behalf of claimants. 
{¶ 6} “2. Unless Respondent Dahdah becomes an attorney at law 
licensed and in good standing to practice law in the state of Ohio,  Respondent 
Dahdah will not provide legal advice to any person in Ohio, including but not 
limited to, advice regarding the filing of a claim for a securities violation, advice 
regarding a person’s right as a claimant or defendant in a securities arbitration, 
lawsuit, or other legal or quasi-legal proceeding, including any terms and 
conditions of a settlement of any dispute. 
January Term, 2004 
3 
{¶ 7} “3. Unless Respondent Dahdah becomes an attorney at law 
licensed and in good standing to practice law in the state of Ohio, Respondent 
Dahdah will not represent the interests or legal position of Alexicole, Inc. or any 
corporation before any legal or quasi-legal body, or in any legal action, 
settlement, or dispute in the state of Ohio.” 
{¶ 8} We concur in the board’s findings and recommendation.  Section 
2(B)(1)(g), Article IV of the Ohio Constitution confers on this court exclusive 
jurisdiction over all matters related to the practice of law.  The unauthorized 
practice of law consists of rendering legal services, including representation on 
another’s behalf during discovery, settlement negotiations, and pretrial 
conferences to resolve claims of legal liability, by any person not admitted to 
practice in Ohio.  Gov.Bar R. VII(2)(A) and see, e.g., Ohio State Bar Assn. v. 
Kolodner, 103 Ohio St.3d 504, 2004-Ohio-5581, 817 N.E.2d 25 (negotiating to 
settle another’s debt-collection case is the practice of law), and Disciplinary 
Counsel v. Brown, 99 Ohio St.3d 114, 2003-Ohio-2568, 789 N.E.2d 210 
(participating in pretrial conferences and depositions on another’s behalf is the 
practice of law).  Moreover, a corporation cannot lawfully engage in the practice 
of law, and it cannot lawfully engage in the practice of law through its officers 
who are not licensed to practice law.  Cincinnati Bar Assn. v. Clapp & Affiliates 
Fin. Servs., Inc., 94 Ohio St.3d 509, 2002-Ohio-1485, 764 N.E.2d 1003. 
{¶ 9} Respondents engaged in all the cited activities and thereby 
engaged in the unlicensed practice of law.  Respondents are therefore enjoined 
from any further conduct that constitutes the unauthorized practice of law, as 
follows: 
{¶ 10} 1.  Respondents will not represent Ohio residents in securities 
arbitration matters and/or activities, including but not limited to providing legal 
advice as to securities and/or securities-arbitration claims, preparing statements of 
claims, preparing discovery, participating in prehearing conferences, participating 
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in settlement negotiations, and attending mediation and/or arbitration hearings 
with or on behalf of claimants. 
{¶ 11} 2. Unless Bandali Dahdah becomes an attorney at law licensed and 
in good standing to practice law in the state of Ohio,  Dahdah will not provide 
legal advice to any person in Ohio, including but not limited to advice regarding 
the filing of a claim for a securities violation and advice regarding a person’s right 
as a claimant or defendant in securities arbitration, a lawsuit, or other legal or 
quasi-legal proceeding, including any terms and conditions of a settlement of any 
dispute. 
{¶ 12} 3. Unless Dahdah becomes an attorney at law licensed and in good 
standing to practice law in the state of Ohio, Dahdah will not represent the 
interests or legal position of Alexicole, Inc., or any corporation before any legal or 
quasi-legal body, or in any legal action, settlement, or dispute in the state of Ohio. 
{¶ 13} Costs are taxed to respondent. 
Judgment accordingly. 
 
MOYER, C.J., RESNICK, F.E. SWEENEY, LUNDBERG STRATTON, O’CONNOR 
and O’DONNELL, JJ., concur. 
 
PFEIFER, J., concurs but would also impose a $500 fine. 
__________________ 
 
Jonathan E. Coughlan, Disciplinary Counsel, and Stacy Solochek 
Beckman, Assistant Disciplinary Counsel, for relator. 
_____________________