Title: Matter of Pauk
Citation: 107 N.J. 295, 526 A.2d 1021
Docket Number: N/A
State: new-jersey
Issuer: new-jersey Supreme Court
Date: June 19, 1987

107 N.J. 295 (1987) 526 A.2d 1021 IN THE MATTER OF GEORGE L. PAUK, AN ATTORNEY AT LAW. The Supreme Court of New Jersey. Argued March 16, 1987. Decided June 19, 1987. Richard J. Engelhardt, Assistant Ethics Counsel, argued the cause on behalf of Office of Attorney Ethics. *296 George L. Pauk argued the cause pro se. PER CURIAM. This disciplinary proceeding arises out of five presentments filed by the District VIII Ethics Committee (the Ethics Committee), which concluded in each matter that respondent was guilty of unethical conduct. The Disciplinary Review Board (DRB) agreed with the Ethics Committee's finding of unethical conduct. Upon review of the first two presentments, involving the Schiffner and Paulus matters, the DRB recommended that respondent be temporarily suspended from the practice of law pending final disposition of all the ethics complaints against him. Decision and Recommendation issued December 15, 1982 (Decision No. 1). Accordingly, since January 18, 1983, respondent has been temporarily suspended from the practice of law. Upon review of the last three presentments, involving the Cicciari, Gyorke, and Sabo matters, the DRB recommended that respondent be suspended for four years retroactive to the date of his temporary suspension. Decision and Recommendation issued December 4, 1986 (Decision No. 2). Three members of the DRB recommended that respondent be disbarred. One member of the DRB did not participate. Our independent review of the record leads us to accept the recommendation of the DRB, subject to the condition that respondent's practice be supervised by a preceptor approved by the DRB. Respondent, a sole practitioner, was admitted to the bar in 1962. The presentments stem from five separate transactions. We have independently examined the record and are satisfied that the DRB's determinations of the underlying facts in each *297 transaction are supported by clear and convincing evidence.[1] These facts are as follows: *298 In the Schiffner matter, the DRB concluded that respondent had harmed his client by failing to press his case; that he thereafter compounded his conduct by attempting to deceive his client, other counsel, and the Ethics Committee; and that he took money from his client under false pretenses, thereby violating DR 1-102(A)(1), (3), (4), (5) and (6); DR 6-101(A)(1); DR 7-101(A); DR 7-102(A)(3) and (8); and DR 9-102.[2] The DRB found in the Paulus matter that respondent had engaged in a continuing conflict of interest by representing Mr. Paulus in the matrimonial action without Mrs. Paulus' consent after representing both in the negligence action; overreached his client by charging excessive fees on two occasions; and wrongfully withdrew an unapproved fee from his client's trust funds. The DRB therefore determined that respondent had violated DR 1-102(A)(1), (3), (4) and (6); DR 2-106, DR 5-105, DR 9-102(A)(2), DR 9-102(B)(4), and DR 9-102(C). The DRB determined that respondent had been grossly negligent in his handling of the Cicciaris' case, by failing to conscientiously represent his clients and failing to carry out his contract of employment, in violation of DR 6-101(A)(1) and DR 7-101(A)(2) and (3). The DRB concluded that respondent improperly entered into a business relationship with his client by borrowing $19,500 from her without explaining the need for her to consult with independent counsel. Moreover, in violation of DR 5-104(A), respondent failed properly to secure the loan. See DR 1-102(A)(6) ("A lawyer shall not [e]ngage in any ... conduct that adversely reflects on his fitness to practice law.") The DRB concluded that respondent had charged his client a fee that was substantially higher than a reasonable fee and that he had failed to provide his client with an accounting as repeatedly requested, contrary to DR 1-102(A)(1) and (6), DR 2-106(A) and (D), and DR 9-102(B)(1) and (3). Based upon our review of the entire record, we are satisfied by clear and convincing evidence that respondent is guilty of unethical conduct. Respondent's ethical transgressions spanned a period of five years from 1976 through 1980. We are not dealing with one isolated incident of aberrant behavior but rather a pervasive pattern of neglect, misrepresentation, and overreaching. While the DRB found no mitigating circumstances in this case, we note that respondent was going *303 through a divorce after a marriage of twenty years and his misconduct in the Cicciari and Schiffner matters do not appear to be the result of a desire for self-enrichment but rather the result of very poor lawyering. Nevertheless, the court is disturbed by respondent's attitude. He appears not to comprehend fully the seriousness of his transgressions, nor to understand that his problems are the result of his own actions and not that of his clients. He shows a complete lack of understanding of the relationship of trust and confidence that should exist between an attorney and his client. Although respondent's transgressions are serious, his conduct completely unprofessional and certainly adversely affecting the confidence of the public and the bar, yet his acts are similar to and do not appear any more serious than those of the respondents in In re Johnson, 105 N.J. 249 (1987); In re Noonan, 102 N.J. 157 (1986); In re O'Gorman, 99 N.J. 482 (1985); and In re Templeton, 99 N.J. 365 (1985). In each of those cases we found respondents guilty of similar infractions. In all of those cases, each act of misconduct considered alone, would not have resulted in the respondent's disbarment. The issue in those cases, as in this case, was whether based on the totality of all of respondent's ethical infractions, respondent's conduct merited disbarment. In none of those cases did we hold that the respondent's conduct warranted disbarment. In In re Johnson, supra, 105 N.J. 249, we found that the respondent had committed numerous ethical infractions, including a pattern of neglecting his clients' legal matters, failing to carry out contracts of employment, keeping retainers without performing services, commingling clients' trust funds, failing to account to his clients, and most importantly, misusing clients' funds. In that case, we did not disbar respondent. Instead we continued his temporary suspension from the practice of law, which had lasted for a period of slightly over four years and stated that upon his application to have the suspension vacated, *304 we would consider the propriety of having his readmission conditioned upon his making full restitution to the Clients' Security Fund and the imposition of other conditions that he would have to fulfill, particularly in respect to his engaging in practice as a sole practitioner. In In re Noonan, supra, 102 N.J. at 164-65, based on our independent review of the record, we agreed with the following DRB findings of unethical conduct on the part of respondent: In Noonan we did not disbar counsel but concluded that respondent's temporary suspension, which had lasted five years, constituted a sufficient discipline. In In re O'Gorman, supra, 99 N.J. 482, respondent committed several ethical infractions that demonstrated a pattern of neglect and misrepresentation to his clients. As we set forth at 99 N.J. at 490-91: In O'Gorman we agreed with the DRB's conclusions that the "charges here are serious and can have a detrimental impact on the confidence the public should have in the Bar of this state." Id. at 492. Nevertheless, we did not disbar the attorney but imposed a three-year suspension, retroactive to the date of respondent's temporary suspension subject to a psychiatric examination of respondent's fitness to practice law and his practicing under a proctorship. In In re Templeton, supra, 99 N.J. 365, we found respondent guilty of numerous instances of misconduct, including a pattern of neglect of clients' legal problems, improper refusal to return unearned retainers, failure to carry out contracts of employment, misrepresentation of status of cases to clients and failure to cooperate with the Ethics Committee. In that case also we did not disbar respondent but concluded that a five-year period of suspension was appropriate to protect the public interest and commissioned his readmission to practice law on his undergoing a psychiatric examination to evidence his fitness to practice law, his making full restitution to the Clients' Security Fund, and his working in a supervised capacity. We are mindful that the purpose of discipline is not to punish the offender but to protect the public from the attorney who does not meet the standards of responsibility of his profession. In re Noonan, supra, 102 N.J. 157 at 165 (1986). In In re Nigohosian, 88 N.J. 308, 315 (1982), we stated that "severity of discipline to be imposed must comport with the seriousness of the ethical infractions in light of all the relevant circumstances." Like the respondents in In re Johnson, supra, 105 N.J. 249; In re Noonan, supra, 102 N.J. 157; In re O'Gorman, supra, 99 N.J. 482; and In re Templeton, supra, 99 N.J. 365, respondent's infractions are serious and numerous. Nevertheless, *306 like those cases, we do not find that the record supports a conclusion that respondent's conduct warrants disbarment. Hence, we agree with the DRB's recommendation that respondent's temporary suspension from the practice of law on January 18, 1983, over four years ago, is sufficient discipline for the misconduct committed here. However, respondent's failure to recognize the seriousness of his misconduct and his responsibility for that misconduct demonstrates that he is not sufficiently responsible at this time to practice law as a single practitioner. Consequently, we have concluded that the right of respondent to resume practice shall not be restored except under conditions assuring that he will be subject to the supervision of another attorney, both the conditions and circumstances surrounding that supervision, as well as the supervising attorney, to be satisfactory to the Office of Attorney Ethics and approved by the DRB. Respondent shall reimburse the Ethics Financial Committee for appropriate administrative costs, including the production of transcripts. So ordered. For suspension Chief Justice WILENTZ, and Justices CLIFFORD, HANDLER, POLLOCK, O'HERN, GARIBALDI and STEIN 7. Opposed None. This matter having been presented to the Court on the recommendation of the Disciplinary Review Board that the discipline to be imposed upon GEORGE L. PAUK, of NEW BRUNSWICK, who was admitted to the bar of New Jersey in 1961, be limited to the time he has served since his temporary suspension from the practice of law on January 18, 1983, and good cause appearing; It is ORDERED that the suspension of GEORGE L. PAUK from the practice of law shall continue until the further order of the Court; and it is further *307 ORDERED that GEORGE L. PAUK is eligible to apply for his restoration to the practice of law under R. 1:20-11(h); and it is further ORDERED that until the further order of the Court, the restoration of GEORGE L. PAUK, shall be subject to the condition that his practice be supervised by a preceptor to be approved pursuant to Administrative Guideline No. 28; and it is further ORDERED that respondent shall continue to be restrained and enjoined from practicing law during the period of his suspension; and it is further ORDERED that respondent reimburse the Ethics Financial Committee for the appropriate administrative costs arising out of the prosecution of this disciplinary matter, including the production of transcripts; and it is further ORDERED that respondent continue to comply with Administrative Guideline No. 23 of the Office of Attorney Ethics dealing with suspended attorneys. [1] The Schiffner and Paulus facts are set forth in DRB's Decision No. 1; the Cicciari, Gyorke and Sabo facts are set forth in DRB's Decision No. 2. [2] Effective September 10, 1984, the Rules of Professional Conduct of the American Bar Association, as modified by this Court, govern the conduct of the members of the bar of this State. R. 1:14. Respondent's actions occurred prior to this date, and are consequently governed by the Disciplinary Rules then in force.