Opinion ID: 1284480
Heading Depth: 1
Heading Rank: 2

Heading: the dr. g.d. matter (count 4)

Text: ¶ 14 Dr. G.D. is a chiropractor to whom Attorney Mandelman referred personal injury clients for treatment. In 15 client cases, Attorney Mandelman (or in one case, his law partner) entered into a doctor's lien in which the law firm and the client agreed to pay for Dr. G.D.'s chiropractic services from the client's settlement proceeds. In each of the 15 cases, Attorney Mandelman obtained a settlement on behalf of the client, but failed to send Dr. G.D. written notice when the settlement proceeds were received and deposited in Attorney Mandelman's firm trust account. ¶ 15 Three cases are representative. For example, in one instance involving client P.D., the firm received a $10,000 settlement in April 1999. Dr. G.D. was owed $2,211.72. Only $426.75 was retained in the firm's trust account, which remained on deposit for seven years without payment to Dr. G.D. In another case involving client A.R., Dr. G.D. was owed $977.40. A $10,000 settlement check was received and, after payment of Attorney Mandelman's legal fees, the balance of the proceeds was paid to the client without satisfying Dr. G.D.'s lien. ¶ 16 In a third case involving client B.S., the firm received a $23,000 settlement check in February 2001. Dr. G.D.'s bill showed he was owed approximately $3,400 at that time. Attorney Mandelman's firm, however, referred to Dr. G.D.'s 1999 statement that had been prepared before the receipt of several insurance payments. The 1999 statement showed an incorrect $6,616.88 balance due to Dr. G.D. Attorney Mandelman provided B.S. with an incorrect settlement statement showing Dr. G.D.'s lien to be $6,616.88 when in fact it was approximately $3,400. ¶ 17 The firm distributed $14,282.12, leaving $8,717.88 on deposit from the settlement. The $8,717.88 was retained in the firm's trust account for approximately ten months without payment to Dr. G.D. On December 7, 2001, the firm prepared a $5,600 trust account check made out to Dr. G.D. and sent it to a collection agency, in anticipation that the collection agency would convince the doctor to accept the check in full payment of his lien. The check was endorsed and cashed by the collection agency, but Dr. G.D. denies receiving the funds. On June 12, 2002, the firm sent B.S. $3,177.88, reflecting the balance of his settlement. ¶ 18 In July 2002 Dr. G.D. sued B.S. in small claims court and obtained a $3,589.04 default judgment against him. Attorney Mandelman has admitted that his or his law firm's settlement with the collection agency and Dr. G.D. was to B.S.'s financial detriment in the amount of $2,200 and was not done by reason of any fault on the part of B.S. The referee recommended restitution of $2,200 to B.S.