Opinion ID: 1405134
Heading Depth: 2
Heading Rank: 4

Heading: Disciplinary Proceedings and Disposition of the Ethics Complaint

Text: Mrs. Richardson, as the executrix of the estate, filed a verified ethics complaint against Mr. Barton with the ODC on April 7, 2006. In response, Mr. Barton averred that he paid the amount of $20,000, which he argued represented payment in full, to Ms. Pringle during her lifetime. In his response, Mr. Barton also offered to pay certain amounts to the estate as full and final satisfaction of this complaint. By further response, Mr. Barton attached two checks from August 2003, made payable to and endorsed by Ms. Pringle, which totaled $1,850. He also represented that he had made cash payments to her in the amounts of $15,000 and $350. Again, Mr. Barton offered to pay a sum of $8,000 to the estate for a settlement of the complaint. However, the estate disputed that the cash amounts were evidenced in the bank records of Ms. Pringle. [4] Further, on July 15, 2006, Mr. Barton provided an accounting of his services, asserting that he incurred 115.5 hours of time on matters for Ms. Pringle that were unrelated to her personal injury action. However, Mr. Barton stated that he would reduce his charges to 57.5 hours at an hourly rate of $100 and tender $9,360.55 to her estate. A Statement of Charges was filed against Mr. Barton on December 12, 2008, and the matter proceeded to hearing on April 7, 2009. Because of the factual disputes regarding the cash payments, the Hearing Panel Subcommittee limited its analysis regarding the alleged conversion and misappropriation findings to the monies that should have been paid by Mr. Barton to Medicare and Beltone out of the original $65,000 in personal injury settlement proceeds, which had been received in summer 2003 by Mr. Barton on behalf of Ms. Pringle. Thus, the Hearing Panel Subcommittee determined that this case involves a sum of $20,700, which consists of $18,500 in a Medicare lien and $2,200 owed to Beltone for the replacement hearing aids. Despite his failure to pay these debts, Mr. Barton's IOLTA account did not have sufficient funds to cover such expenses at the time that the estate became involved and asked for an accounting. Mrs. Richardson, as executrix of Ms. Pringle's estate, asked for an accounting on July 1, 2004. The evidence introduced before the Hearing Panel Subcommittee showed that on July 20, 2004, Mr. Barton's IOLTA account reflected a balance of $11,304.91, which was reduced to $8,992 by July 30, 2004. By September 30, 2005, the IOLTA account had a negative balance of $451. It is undisputed that the two medical providers were not paid by this time. [5] As a result of the above mentioned conduct and with consideration of mitigating and aggravating factors, [6] the Hearing Panel Subcommittee found that Mr. Barton violated Rules 1.15(a) and (b) of the Rules of Professional Conduct [7] by failing to promptly disburse the $20,700 owed to medical providers and for converting the same to his own personal use. Because it was found that Mr. Barton failed to timely provide an accurate accounting of the $65,000 in personal injury settlement proceeds and that he failed to tender Ms. Pringle's client file to her estate upon request, the Hearing Panel Subcommittee determined that Mr. Barton also violated Rules 1.15(c) and 1.16(d) of the Rules of Professional Conduct. [8] Further, the Hearing Panel Subcommittee decided that, due to his commingling, misappropriation, and conversion of funds, Mr. Barton engaged in dishonest, fraudulent, and deceitful conduct in violation of Rules 8.4(c) and (d) of the Rules of Professional Conduct. [9] Moreover, it was found that Mr. Barton charged an excessive fee of $3,000 to prepare a fraudulent accounting of his services in July 2004. Thus, the Hearing Panel Subcommittee determined that Mr. Barton violated Rules 1.5 [10] and 8.4(c) [11] of the Rules of Professional Conduct. Finally, the Hearing Panel Subcommittee recognized that Mr. Barton, in his responses to the filing of the formal ethics complaint by Mrs. Richardson as executrix of the estate, attempted to negotiate a settlement without first advising her in writing that independent representation was appropriate. As a result, it was determined that Mr. Barton violated Rule 1.8(h) of the Rules of Professional Conduct. [12] Based on these conclusions, the Hearing Panel Subcommittee recommended that Mr. Barton's law license be annulled; that he make full restitution to the estate in the amount of $31,183.39; [13] that he make restitution for any Medicare interest incurred by the estate; that all such restitution be made prior to petitioning for reinstatement of his law license; that Mr. Barton pay the costs of the disciplinary proceedings; that, upon successful petition for reinstatement, Mr. Barton undergo supervised practice for two years; and that, upon successful petition for reinstatement, Mr. Barton hire an accountant to audit the office accounting records for a period of two years. Mr. Barton agreed that he mishandled the settlement proceeds. However, he disagreed with the recommendations of the Hearing Panel Subcommittee because he stated his behavior was negligent and not intentional. Thus, while recognizing that some form of discipline is appropriate, he argues that his behavior does not warrant an annulment or even a suspension. [14] This matter now comes before this Court for resolution.