Opinion ID: 2603915
Heading Depth: 1
Heading Rank: 1

Heading: The Asmus Matter.

Text: In June 1975, respondent was retained by Mr. and Mrs. Harold Asmus to obtain a quitclaim deed to an undivided interest in real property from Mrs. Asmus' sister who lived in Oregon. The Asmuses had purchased the outstanding interest at tax sale, and a receipt and option contract had been executed by a purchaser. To insure the title for the purchaser. To insure the title for the purchaser, the title insurance company required the sellers to obtain a quitclaim deed from the sister or to quiet title in the Asmuses. When the respondent had not been able to obtain the quitclaim deed by August 1975, the Asmuses paid respondent a $500 retainer to quiet title in them. Respondent advised the Asmuses that it would take six months to obtain the decree and another six months would be required by the title insurance company before it could issue its commitment. Based on this assurance, the Asmuses, through their agent, obtained a oneyear extension of the receipt and option contract. Thereupon, the respondent turned the matter over to his partner. Subsequently, on several occasions, the Asmuses or their real estate agent inquired concerning progress of the quiet title action. The respondent, without checking with his partner, assured them that the matter was proceeding normally when, in fact, it had not been filed. Early in March 1976, the respondent informed Mr. Asmus that since his partner had not filed the action he would file it immediately. On March 21, 1976, Mr. and Mrs. Asmus determined from the Clerk of the District Court that nothing had been filed and made a written demand for the return of the $500 retainer. Following receipt of the demand, the respondent discussed the matter with Mr. Asmus, apologized for the delay, and offered to purchase the property if the Asmuses lost the sale by reason of his procrastination. A copy of the Asmuses' March 21, 1976, letter was sent to the Colorado Bar Association, which fact appeared on the original which went to the respondent. At about the same time, the Asmuses filed an informal complaint with our Grievance Committee. On March 31, 1976, respondent repaid the Asmuses the $500 retainer by sending them his check with the following endorsement: Endorsement hereon constitutes payment in full of refund of fee and a complete release of Niel L. Good and Anthony A. Veto from any and all claims. The cover letter, in part, stated: You will please note restrictive endorsement on the back of the check. You should please read and understand that endorsement prior to negotiating the check. In the letter the respondent apologized to the Asmuses and offered to complete the quiet title action promptly if they changed their minds. The Hearing Committee found that the evidence was inconclusive as to whether Mr. Asmus discussed the restrictive endorsement with the respondent before he and Mrs. Asmus endorsed and cashed the check. The Asmuses were able to obtain a further extension of the receipt and option contract, did not lose the benefit of the sale, and were damaged only by the delay and inconvenience. The respondent charged nothing for his services, nor the costs advanced in connection with his efforts to obtain the quitclaim deed. The Hearing Committee found that the respondent violated DR 6-102 of the Code of Professional Responsibility which provides: (A) A lawyer shall not attempt to exonerate himself from or limit his liability to his client for his personal malpractice. The Committee also found that respondent was guilty of unnecessary delay and neglect of a matter entrusted to him in violation of the provisions of DR 6-101(A)(3) and that his statements to his clients regarding progress of the matter were false and misleading in violation of DR 1-102(A)(4) and DR 7-102(A)(5) of the Code of Professional Responsibility. The respondent did not except to these findings. The record clearly supports the Hearing Committee's conclusions.