Opinion ID: 1776960
Heading Depth: 1
Heading Rank: 4

Heading: Whether the trial court erred to reversal in denying the Working Interest Defendants' counsel of choice the opportunity of fully participating in the trial.

Text: The facts material to a resolution of this issue, which were not set out in the trial court's judgment, are as follows: The trial court, on motion of the plaintiffs, disqualified the Working Interest Defendants' attorney, William L. Utsey, [4] from fully participating in the trial of the case because of the possibility that he might be called as a witness by the plaintiffs. The court did allow Mr. Utsey to participate in the selection of the jury. Mr. Utsey, who was well acquainted with the history of the case, prepared all of the title opinions upon which Harkins relied prior to extracting the oil in question and represented Harkins before the Oil and Gas Board regarding the forced integration of the subject oil well. The plaintiffs stated in their motion that they had listed Mr. Utsey as a material witness to be called at trial; that Mr. Utsey's presence as defense counsel would place them at a disadvantage because of the long-established rule that a lawyer appearing as counsel for a party in court is an `officer of the court,' which appellation clothes any such lawyer with an aura of authority and integrity which is due to impress a jury to the disadvantage of any party seeking to examine the lawyer under such circumstances as a witness, particularly as an adverse witness; and, that Harkins would not be prejudiced if Mr. Utsey was disqualified because it was represented by other competent counsel. The plaintiffs did not call Mr. Utsey to testify at the trial. Mr. Utsey did, however, testify as a witness for the defense. The defendants contend that, by disqualifying Mr. Utsey, the trial court denied the Working Interest Defendants their right to have the counsel of their choice; therefore, they argue that the trial court erred in denying their motion for new trial. Harkins relies primarily on National Filtronics, Inc. v. Sherwood Land, Ltd., 428 So.2d 11, 13-15 (Ala.1983). In that case, Sherwood Land, Ltd. (Landlord), filed suit against National Filtronics, Inc. (Tenant), seeking cancellation of a lease. The trial court entered judgment for Sherwood, and National Filtronics appealed, arguing that the trial court had abused its discretion in denying its counsel the opportunity of participating in the trial after being called as an adverse witness by Sherwood. The Court, holding that National Filtronics had been denied counsel of its choice and, consequently, was entitled to a new trial, wrote: DR 5-102(B), cited by Landlord states: `If, after undertaking employment in contemplated or pending litigation, a lawyer learns or it is obvious that he or a lawyer in his firm may be called as a witness other than on behalf of his client, he may continue the representation until it is apparent that his testimony is or may be prejudicial to his client. `.... `(B) A lawyer shall not accept employment in contemplated or pending litigation if he knows or it is obvious that he or a lawyer in his firm ought to be called as a witness, except that he may undertake the employment and he or a lawyer in his firm may testify: `(1) If the testimony will relate solely to an uncontested matter. `(2) If the testimony will relate solely to a matter of formality and there is no reason to believe that substantial evidence will be offered in opposition to the testimony. `(3) If the testimony will relate solely to the nature and value of legal services rendered in the case by the lawyer or his firm to the client. `(4) As to any matter, if refusal would work a substantial hardship on the client because of the distinctive value of the lawyer or his firm as counsel in the particular case. `DR 5-102 Withdrawal as Counsel When the Lawyer Becomes a Witness. `(A) If, after undertaking employment in contemplated or pending litigation, a lawyer learns or it is obvious that he or a lawyer in his firm ought to be called as a witness on behalf of his client, he shall withdraw from the conduct of the trial and his firm, if any, shall not continue representation in the trial, except that he may continue the representation and he or a lawyer in his firm may testify in the circumstances enumerated in DR 5-101(B)(1) through (4).' It is clear from the relevant rules and interpretative cases that an attorney should be disqualified from continued employment where he elects to become a witness for his client concerning a disputed question of fact relating to the merits of the cause, if such withdrawal would not `work a substantial hardship on the client because of the distinctive value of the lawyer or his firm as counsel in the particular case.' DR 5-101(B)(4). See Alexander v. Watson, 128 F.2d 627 (4th Cir.1942); Miller Electric Const., Inc. v. Devine Lighting Co., 421 F.Supp. 1020 (W.D.Pa.1976). [Emphasis added in National Filtronics.' ] It is equally clear, however, that a lawyer may continue his representation of his client when he anticipates being called as a witness other than for his client, so long as it is not apparent that his testimony is or may be prejudicial to his client. When the two subsections of DR 5-101 are contrasted, it is readily apparent that prejudice to the client is the sole consideration in determining whether withdrawal from current employment is appropriate when the lawyer knows that he `may be called as a witness other than on behalf of his client' (emphasis added), as opposed to when it is apparent that the lawyer `ought to be called as a witness on behalf of his client' (emphasis added). In the latter situation, where the lawyer is making the decision, the lawyer is allowed to continue representation only if he falls within one of `the circumstances enumerated in DR 5-101(B)(1) through (4).' In the case at bar, Mr. Ritchey fell into the category of DR 5-102(B), because he was called by the opposing attorney as an adverse witness. Therefore, a consideration of the circumstances in DR 5-101(B) is irrelevant. A brief consideration of Mr. Ritchey's testimony, however, is relevant in order to ascertain whether such testimony was prejudicial to his client. .... We have found nothing in the testimony that was, or could have been, prejudicial to Tenant. This is not to say that the totality of the circumstances testified to by Mr. Ritchey, when taken together with all the other evidence, did not furnish the basis for certain inferences supportive of ultimate conclusions of fact unfavorable to Mr. Ritchey's client. But this is far different from the giving of testimony prejudicial to his client as contemplated by DR 5-101. Indeed, Mr. Ritchey with justification could, and undoubtedly would, have contended for the contrary inferences of fact from the same testimony. Additionally, Mr. Ritchey's personal interests, if any, were completely compatible with that of his client. A trial judge's discretionary power to disqualify an attorney under DR 5-102(B) is not invoked until the threshold test of possible prejudice is met; therefore, disqualification by the trial judge under these circumstances was unwarranted. Landlord's harmless error argument is also without merit. The undisputed fact that Tenant was represented by other competent counsel begs the question. The right of private counsel of one's own choice is virtually absolute; and any denial of that right is subject to strict scrutiny, particularly where, as here, there is no question concerning the challenged lawyer's availability and willingness to serve, and where the facts fall short of invoking the ethical considerations posed by the Canons of Professional Responsibility. In the present case, Harkins argues that the grounds stated by the plaintiffs in their motion were not sufficient to warrant the disqualification of Mr. Utsey. We agree. A lawyer may continue his representation of his client even when he anticipates being called as a witness other than for his client, so long as it is not apparent that his testimony is or may be prejudicial to his client. The fact that the plaintiffs anticipated calling Mr. Utsey as an adverse witness was not a sufficient ground for disqualification, in the absence of a showing that his testimony would be prejudicial to his clients. The record does not indicate to us that the plaintiffs made such a showing prior to the trial court's ruling. We note also that Mr. Utsey was, in fact, called to testify on behalf of the defense. Furthermore, as the Court stated in National Filtronics, prejudice to the client is the sole consideration in determining whether withdrawal from current employment is appropriate when the lawyer knows that he `may be called as a witness other than on behalf of his client' (emphasis added in National Filtronics ); therefore, even though a lawyer is an officer of the court and, we hope, is held in high esteem by members of the jury, he is not to be disqualified because he is cloth[ed] ... with an aura of authority and integrity. Integrity, like thoroughness of preparation on behalf of one's client, is a hallmark of professional competence, which is fostered rather than condemned by the code governing the lawyer's conduct, Alabama Code of Professional Responsibility. Finally, representation by other competent counsel is not a sufficient ground upon which to disqualify a party's counsel of choice. This harmless error argument was considered and rejected by the Court in National Filtronics; therefore, the Working Interest Defendants could not be denied Mr. Utsey's representation simply because they had other competent counsel available for trial. Our inquiry, however, must not end here. It is well established that if the ultimate decision of a trial court is correct, that decision will be upheld on appeal, even though the wrong reason may have been given. See cases collected at 2A Ala.Digest, Appeal & Error § 854(2) (1982). We must, therefore, test the propriety of the trial court's ruling against an alternative basis for its denial of Mr. Utsey's right of participation as counsel: That Mr. Utsey's continued representation would have been violative of the Alabama Code of Professional Responsibility provision dealing with withdrawal of counsel when the lawyer learns or it is obvious that he ... ought to be called as a witness on behalf of his client. DR 5-102(A). (Emphasis added.) As previously noted, Mr. Utsey was apparently the one individual most familiar with the history of the case, having prepared all of the title opinions upon which Harkins relied prior to drilling the well and having represented Harkins before the Oil and Gas Board regarding the forced integration of that well. Our review of the record also indicates that at the time the trial court ruled on the plaintiffs' motion, the plaintiffs were claiming that Harkins was liable in conversion for compensatory as well as punitive damages. [5] This claim was based on allegations that Harkins had drilled the well and extracted the oil with full knowledge of the plaintiffs' remainder interest or, alternatively, had acted in wanton disregard of the plaintiffs' rights by not undertaking to determine from the information available to it in the public records and elsewhere, upon reasonable inquiry,... the rights of the plaintiffs. The word ought as used in the context of DR 5-102(A), is defined in Webster's Ninth New Collegiate Dictionary (1981) as a verbal auxiliary that is used to express ... advisability. Our review of the record in the case at bar convinces us that at the commencement of the trial, it was clearly advisable for Mr. Utsey to testify on behalf of his clients, concerning his examination of the chain of title, as well as the circumstances surrounding Harkins's decision to drill on the land and extract the oil. Our view in this regard is supported, in part, by the fact that Mr. Utsey did later take the stand on behalf of his clients. Under these circumstances, we cannot hold the trial court in error for disqualifying Mr. Utsey. [6]