Arnett v. State

304 S.W.2d 386, 1957 Tex. App. LEXIS 1963
CourtCourt of Appeals of Texas
DecidedJune 28, 1957
Docket3319
StatusPublished
Cited by9 cases

This text of 304 S.W.2d 386 (Arnett v. State) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Arnett v. State, 304 S.W.2d 386, 1957 Tex. App. LEXIS 1963 (Tex. Ct. App. 1957).

Opinion

LONG, Justice.

This suit was instituted by the State of Texas on behalf of the Grievance Committee of District 20 of the State Bar of Texas against Louie Arnett, a practicing attorney of San Antonio, Texas. The defendant was charged with numerous instances of fraudulent and dishonorable conduct relating to the making of false title opinions, false land appraisals and other acts, with the intention of defrauding and betraying the Board of Insurance Commissioners of Texas and the public at large in connection with the organization, qualification and operation of the Pioneer Western Mutual Insurance Company. A trial was had before the court with the aid of a jury. In answer to special issues the jury found (1) that on or about April 20, 1953, the defendant presented to Paul D. Conner, legal examiner for the Board of Insurance Commissioners, the title opinion on his own property (described in Exhibit 2) knowing that said property was encumbered with a lien thereon; (2) that the defendant represented to Ruben R. Lozano that the property (described in Exhibit 3) was clear of liens; (3) that the defendant made such representation knowing that said property was not clear of -liens; (4) that the defendant presented to Paul D. Conner, legal examiner for the Board of Insurance Commissioners, the title opinion of Ruben R. Lozano knowing that said property described in said opinion was not clear of liens; (5) that the defendant signed the title opinion (described in Exhibit 4) knowing that A. B. *388 Brickey did not own the property described therein; (6) that the defendant signed the title opinion (described in Exhibit 4) with the intent of inducing Paul D. Conner, legal examiner for the Board of Insurance Commissioners, to accept same as true; (7) that the defendant signed the title opinion (described in Exhibit S) knowing that A. B. Brickey did not own the property described in said title opinion; (8) that the defendant signed the title opinion (described in Exhibit S) with the intent of inducing Paul D. Conner, legal examiner for the Board of Insurance Commissioners, to accept same as true; (9) that the property described in Exhibit 7 did not have a reasonable market value of $70,000; (10) that at the time the defendant signed the appraisal as set forth in Exhibit 7, he knew that the property described in said appraisal did not have a reasonable market value of $70,000; (11) that the reasonable market value on September 3, 1953, of the property described in Exhibit 7 was $13,000; (12) that at the time the defendant signed the appraisal, as set forth in Exhibit 7, he did so with the intent of inducing the Board of Insurance Commissioners to accept the appraisal as the reasonable market value of sp-id property; (13) that at the time the defendant signed the title opinion described in Exhibit 8, he did so with the intention of concealing from the Board of Insurance Commissioners the existence of the liens thereon in favor of the Frost National Bank; (14) that at the time the defendant signed the title opinion described in Exhibit 9, he did so with the intention of misleading the Board of Insurance Commissioners into believing that said property described therein was free of liens. Based upon the findings of the jury the court entered judgment in favor of the. plaintiff and disbarred defendant from practicing law. Defendant has appealed. Defendant makes no attack upon the sufficiency of the evidence to support the findings of the jury.

By his first point defendant asserts the court erred in overruling his plea in abatement based upon the failure of the county attorney, the district attorney or the attorney general of Texas to join as a representative of the plaintiff. We find no merit in this point. In 1939 the Legislature enacted the State Bar Act, Article 320a-l, V.A.C.S., which had for its purpose the regulation of the practice of law. The act created the organization known as the State Bar of Texas composed of the registered, licensed attorneys of the State and constituted it an administrative agency of the judicial department. The act empowered the Supreme Court with the approval of a majority of registered, licensed lawyers of the State to prescribe rules and regulations for disciplining, suspending and disbarring attorneys at law. The primary purpose of the legislature in the enactment of the statute was to protect the public by eliminating from the legal profession those morally unfit to enjoy its privileges. The Supreme Court of Texas thereafter promulgated rules governing the State Bar. These rules may be found in the pocket part of 1 Vernon’s Annotated Civil Statutes. The rules governing filing of disbarment suits against attorneys begin with Section 1 of Article 12. These rules place the handling of complaints against attorneys both before the Grievance Committee and in the court in the hands of the Grievance Committee of the district in which the attorney resides. Section 23 of the rules provides that the committee may appoint counsel for the prosecution of disbarment actions. It is also therein provided that the committee shall have the option to call upon the district attorney to represent it in the case. Section 24 provides that the proceeding for disbarment shall be filed in the name of the State of Texas, but it is clear that the proceeding is to be brought and controlled by the Grievance Committee of the State Bar. We hold that the proceeding is not actually one in behalf of the public generally. Section 29 provides that the State Bar must pay any cost adjudged against the plaintiff. In Hexter Title and Abstract Company v. Grievance Com *389 mittee, 142 Tex. 506, 179 S.W.2d 946, 949, 157 A.L.R. 268, in an opinion by Judge Alexander, our Supreme Court held that all of the rules and regulations of the State Bar which were promulgated by the Supreme Court are valid and that the Supreme Court had authority to promulgate such rules under the provisions of Article 320a, V.A.C.S. The court in that case said in part:

.“It is true this suit was not brought in the name of the State Bar. It was brought in the name of a Grievance Committee of the State Bar, but in this there was no error. Section 4 of the State Bar Act authorized the Supreme Court to prepare and propose rules for the conduct of the State Bar, and further provided that when the rules were approved by a vote of the registered lawyers of the State, they should be adopted and promulgated by the court and become effective for that purpose. In compliance with the provisions of the act the Supreme Court did adopt and promulgate rules for the conduct of the State Bar. Section 16 of these rules provides for the creation of Grievance Committees. * * * It will be seen that the-act conferred upon the Supreme Court the authority to prescribe rules for the conduct of the State Bar, and the court in compliance therewith adopted a rule which authorized the State Bar to maintain suits to prohibit the unlawful practice of law in the name of the Grievance Committee. It was not a matter of substantive law, but purely one of procedure, as to who should be permitted to maintain such a suit. The act was broad enough to authorize the Supreme Court to prescribe the procedure to be followed in such matters. Undoubtedly the Supreme Court could prescribe through whom and in what name the State Bar should sue.”

It was held in Brown v. Linkenhoger, Tex.Civ.App., 153 S.W.2d 342

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Cite This Page — Counsel Stack

Bluebook (online)
304 S.W.2d 386, 1957 Tex. App. LEXIS 1963, Counsel Stack Legal Research, https://law.counselstack.com/opinion/arnett-v-state-texapp-1957.