Opinion ID: 1392498
Heading Depth: 3
Heading Rank: 2

Heading: ER 8.4(c)

Text: ER 8.4(c) makes it professional misconduct for a lawyer to ... engage in conduct involving dishonesty, fraud, deceit or misrepresentation. The Committee gave alternative justifications to support its finding that Owens violated ER 8.4(c). If Owens believed the draft bankruptcy petition was a reaffirmation agreement, he violated ER 8.4(c) by not fully advising Pontillo of that fact. If he did not believe the petition was a reaffirmation, he violated ER 8.4(c) by his later representations to Pontillo that the debt had not been discharged. The Commission did not find sufficient evidence that Owens violated ER 8.4(c), but did find significant inconsistencies between Owens's testimony and that of the other witnesses. Comm'n Rep. at 6. Based in part on this contradictory testimony, the Commission concluded that the State Bar did not prove by clear and convincing evidence that Owens made misrepresentations or acted with dishonesty. While Owens's conduct may well have been negligent, the majority does not believe the State Bar proved by clear and convincing evidence that it was dishonest behavior. Id. The Bar argues that the Commission impermissibly ignored the Committee's credibility determinations. The Committee found that Pontillo's testimony was credible and Owens's was not. The Bar suggests that to believe Pontillo and not Owens requires a finding that Owens violated ER 8.4(c). We agree with the Commission that a violation of ER 8.4(c) was not proved by clear and convincing evidence. Owens believed the draft bankruptcy petition was a reaffirmation agreement. He represented to Pontillo that it was a reaffirmation agreement. He did not fully discuss the ramifications of such an agreement with Pontillo, but that goes to whether Owens fully consulted with Pontillo within the meaning of ER 1.7(b). Contrary to Owens's opinion, we do not think that the draft petition was a reaffirmation agreement. See 11 U.S.C. § 524(c) (1993). But misunderstanding the law need not always lead to a violation of ER 8.4(c). Negligently giving incorrect legal advice may be malpractice, but ER 8.4(c) requires dishonesty, fraud, deceit or misrepresentation, not just negligence. See In re Stewart, 121 Ariz. 243, 248, 589 P.2d 886, 891 (1979) (respondent argued that he had merely been negligent; we found knowing misrepresentation in violation of DR 1-201(A)(4)); American Bar Association, Standards for Imposing Lawyer Sanctions, Standard 5.13 (1991) (reprimand appropriate when lawyer knowingly engages in dishonesty, fraud, deceit or misrepresentation; no provision for sanctions with lesser mental state). Owens may have been negligent, but we cannot say that the Bar proved by clear and convincing evidence that he engaged in misrepresentation. The Bar also claims that Owens violated ER 8.4(c) by telling Pontillo that she could not get another lawyer to handle her bankruptcy and that she could not list the debt on her bankruptcy petition. Neither the Committee nor the Commission found a violation of ER 8.4(c) based on this alleged conduct. We decline to do so here.