Opinion ID: 1058331
Heading Depth: 1
Heading Rank: 2

Heading: Matter of Kenneth B. Henley, Sr. (Docket Number XX-XXX-XXXX)

Text: Green represented Henley on charges of driving under the influence, driving after having been declared a habitual offender, and child neglect. Henley paid directly to Green $7,500 in cash as an advanced legal fee. Green described the fee arrangement as a flat fee because the majority of his clients did not want to pay an hourly fee over the initial deposit. At the hearing, Green testified that he did not consider a flat fee to be earned when he received it and that he believed that he made periodic withdrawals at the rate of $250 per hour from Henley's account as legal services were provided. The Bar, however, introduced as evidence at the hearing its Exhibit # 20, Green's client account ledger for Henley, which showed $7,500 received on December 24, 2003, $7,500 charged against the account on December 24, 2003, and thereafter a balance of $0. The ledger also showed numerous dates subsequent to December 24, 2003 with indications of client conferences and court appearances without a concomitant listing of the time expended or charges made to the account. Green did not recall whether he notified Henley when Green withdrew the $7,500 from the trust account. The Bar investigator testified that Green said he put flat fees in his general or office account. Green's office's policy [was] that the money would be deposited in the trust account, initially. Green asserted that he performed a monthly reconciliation of the escrow account balance, but Green did not present any evidence that he made a monthly reconciliation of his trust account disbursement journals. The Board found by clear and convincing evidence that Green received $7,500 on December 24, 2003 and immediately withdrew the money as having been earned based on the flat fee charged when in fact the entire fee had not then been earned. The Board determined that Green violated Rule 1.15(a)(2) pertaining to the handling of client funds.