Opinion ID: 1941115
Heading Depth: 1
Heading Rank: 4

Heading: 07B84C13 Dede Sharples)

Text: I find specifically that: 13. Respondent was retained by Ms. Sharples in December, 1978 to arrange for an increase in her child support. At that time, she was receiving approximately $120.00 per month for both children, one of whom was approaching the age of eighteen. The order setting forth the child support had occurred some ten years previously. She made respondent aware the husband was amenable at the time of the divorce to voluntary increases in the future if warranted... . Ms. Sharples also stated she made respondent aware her former husband was a man of means... . At the end of the case in September, 1979, the court increased the monthly child support to $200.00 for the one child... . 14. During the initial meeting, respondent advised her the court normally would make her ex-husband pay her attorney's fees although he claims he made her aware that she would be primarily liable. Ms. Sharples also testified the bookkeeper advised her the desired work would probably take approximately very few hours and she paid a partial retainer of $50.00. She advised both respondent and the bookkeeper her resources were quite limited... . Ms. Sharples was furnished with a fee agreement by his bookkeeper a few days later. The agreement provided for an hourly rate of $85.00 per hour and a finance charge of one-and-one-half percent per month or 18% per year on the unpaid balance of the bill. After reading it, she determined not to sign it and left the office... . This was not brought to respondent's attention until his representation ceased. 15. Beginning the month after the initial visit, Ms. Sharples received monthly bills from the respondent. The first statement had a balance of $178.00. This statement noted a one-and-one-half percent per month finance charge. Thereafter, Ms. Sharples attempted on many occasions to contact the respondent about the growing bills and finance charges without success. She testified in her discussions with respondent's bookkeeper she was continually told the statements were routine and not to worry about it because they expected the ex-husband to have to pay the fee... . 16. In October, 1979, Ms. Sharples received a final bill for legal services and expenses from respondent stating a balance due of $2,052.46. On or about January 14, 1980, Ms. Sharples met with respondent after the court ordered her ex-husband to pay $131.00 in costs. She advised respondent she could not pay his bill and he agreed to reduce same but never did... . In July, 1980, respondent's firm brought suit against Ms. Sharples in Putnam County Court in the amount of $2,352.00 including additional interest or finance charges of 18% per year from October 25, 1979. In 1983, respondent was awarded judgment in excess of $3,800.00 including interest of $1,429.26. After an appeal, the judgment was set aside and remanded to the county court where the amount was lowered to approximately $3,300.00 in 1984 reflecting allowance only of interest at the statutory rate for matters without contract as opposed to the finance charge of one-and-one-half percent per month for the period subsequent to the filing of suit. 17. In this case, respondent's bookkeeper also computed the monthly finance charge not only on the unpaid balance but included the unpaid charges so that they were charging interest on interest resulting in a usurious amount in excess of the maximum 18% per year for interest and/or finance charges permitted by law. In fact, she used this method of posting for all unpaid bills which procedure respondent did not properly supervise... . 18. Respondent was successful in securing an increase in the child support from approximately $120.00 to $200.00 from the out-of-state ex-husband. For his services, the respondent charged over $2,000.00 which included finance charges in excess of 18% per year for the approximately ten months prior to October, 1979 when he sent Ms. Sharples a final bill. Three attorneys were questioned as to the reasonableness of respondent's fee. Two indicated that respondent had done considerable work in the file and obviously had incurred the time spent. However, both indicated that much of what respondent had done was not warranted by the case. The two also stated a reasonable fee would be between $500.00 and $750.00. The third attorney, who represented respondent in his fee suits, had provided an affidavit in the child custody proceeding and had pegged a reasonable amount at $1,350.00. 19. I find that respondent's fee of $2,000.00 is clearly excessive under the circumstances given the criteria of Disciplinary Rule 2-106. I note the length of time between the previous order and this case of some ten years, the apparent willingness to increase child support if the circumstances have changed on the part of the husband, the inflationary impact over the past ten years and testimony of the other attorneys as to respondent's handling of the case. I further take judicial notice that respondent, acting as co-counsel in this instant case, filed lengthy and considerable motions and discovery, most of which were of little value in narrowing the issues and readying this case for final hearing. 20. Respondent also filed suit against his former client and included in that suit improperly computed finance charges which were never agreed to either orally or in writing by Ms. Sharples.