Opinion ID: 2534822
Heading Depth: 1
Heading Rank: 3

Heading: The Ward Matter

Text: In October 1995, William Ward died, survived by his wife, Gladys, and their two adult children, Wanda and Warren. In November 1995, Gladys issued two checks to respondent totaling $9,540 as attorney's fees for handling William's succession. Respondent did not probate William's will or file the succession documents, and instead converted the funds paid to him by Gladys to his own use. In February 1996, four months after William's death, Gladys died, and respondent assumed the representation of her estate. Most of William and Gladys' assets were transferred to their children outside of the estate pursuant to the terms of a trust, but it was necessary for respondent to collect the proceeds of various life insurance policies and to sell the Ward family home. Respondent agreed to handle this matter for a fee of 3% of the gross estate; however, he actually paid himself 5% of the value of the estate, or $33,544.47 for his representation. Respondent did not open Gladys' succession or probate her will, and did not otherwise complete the work for which he was paid. After Gladys' death, respondent befriended Wanda Ward, who suffers from a seizure disorder and mental retardation. Although respondent knew Wanda was incapable of managing her own financial affairs, he persuaded her to place him on a retainer of $750 per month. Pursuant to this arrangement, Wanda wrote numerous checks to respondent in various amounts totaling $40,688.77 from September 20, 1996 through January 15, 1998. Notations on some of the checks indicate they were payment for bookkeeping services, financial/investment advice, and attorney's fees. Respondent balanced Wanda's checkbook and performed other personal errands and services, but did not provide any legal services to her. In July 1997, without Wanda's knowledge or consent, respondent requested a portion of her investments be liquidated, purportedly for the purpose of prepaying her final estate expenses. Pursuant to these directions, the investment company sent a check in the amount of $38,187.11 to Wanda, which she endorsed over to respondent. However, respondent performed no legal services and incurred no expenses concerning Wanda's final estate. [1] In October 1998, Abbeville attorney J. Isaac Funderburk filed complaints against respondent with the ODC on behalf of Wanda and Warren. [2] In March 2000, the ODC filed the formal charges in 00-DB-036. The ODC alleged respondent's conduct in the Ward matter violated the following provisions of the Rules of Professional Conduct: Rules 1.1(a) (failure to provide competent representation to a client), 1.2(a) (scope of the representation), 1.3 (failure to act with reasonable diligence and promptness in representing a client), 1.4 (failure to communicate with a client), 1.5(a) (a lawyer's fee shall be reasonable), 1.5(c) (contingency fee arrangements), 1.7(b) (a lawyer shall not represent a client if the representation of that client may be materially limited by the lawyer's responsibilities to another client or to a third person, or by the lawyer's own interests), 1.8(a) (a lawyer shall not enter into a business transaction with a client or knowingly acquire an ownership, possessory, security or other pecuniary interest adverse to a client), 1.8(b) (a lawyer shall not use information relating to the representation of a client to the disadvantage of the client unless the client consents after consultation), 1.8(c) (a lawyer shall not prepare an instrument giving the lawyer or a person related to the lawyer any substantial gift from a client), 1.14(a) (client under a disability), 1.15 (safekeeping property of clients or third persons), 1.16(d) (obligations upon termination of the representation), 8.1(c) (failure to cooperate with the ODC in its investigation), 8.4(a) (violation of the Rules of Professional Conduct), 8.4(b) (commission of a criminal act, especially one that reflects adversely on the lawyer's honesty, trustworthiness or fitness as a lawyer in other respects), 8.4(c) (engaging in conduct involving dishonesty, fraud, deceit, or misrepresentation), and 8.4(g) (failure to cooperate with the ODC in its investigation). In May 2000, respondent answered the formal charges and denied any misconduct. The matter was then set for a hearing. Prior to the hearing date, respondent was arrested on June 9, 2000 by the Louisiana State Police and charged with twenty-two counts of felony theft totaling $121,960.35, one count of money laundering in excess of $100,000, and one count of exploitation of the infirmed, arising out of his handling of the Ward matter. Respondent subsequently moved for a continuance without date of the hearing on the formal charges in 00-DB-036. The hearing committee granted the continuance and ordered the hearing to be re-set at such time as the criminal matter was concluded. On August 1, 2005, respondent pleaded no contest to one count of felony theft over five hundred dollars, a violation of La. R.S. 14:67(B)(1). Pursuant to the provisions of La.Code Crim. P. art. 893, the court deferred the imposition of sentence for five years and placed respondent on active, supervised probation for that period. The court also imposed special conditions of probation, including the payment of restitution in the amount of $30,000 to Gladys' estate and $45,000 to Wanda. [3] Following respondent's criminal conviction, the formal charges in 00-DB-036 were stayed. The stay was lifted in 2008, when 00-DB-036 was consolidated for hearing with 08-DB-001, the third set of formal charges filed against respondent.