Opinion ID: 2126368
Heading Depth: 1
Heading Rank: 3

Heading: Financial Misconduct

Text: The misappropriation of client funds is particularly serious misconduct and usually warrants disbarment absent `clear and convincing evidence of substantial mitigating factors.' De Rycke, 707 N.W.2d at 374 (quoting In re Swerine, 513 N.W.2d 463, 466 (Minn.1994)). In this case, Rhodes accepted more than $5,000 from his clients without accounting for any legal services provided for these payments. The Director concedes in his brief that Rhodes has only been found to have failed to account for client funds, not to have misappropriated those funds. But the Director argues that Rhodes's misconduct should be treated as severely as misappropriation because Rhodes's failure to cooperate is what caused the inability to determine whether Rhodes misappropriated client funds or only failed to account for the funds and because, from a client's perspective, the two violations are the same. We agree that Rhodes's misconduct in this case, whether characterized as misappropriation or failure to account, is a serious violation of the rules of professional conduct and merits severe discipline.