Bennett v. Commission for Lawyer Discipline

489 S.W.3d 58, 2016 Tex. App. LEXIS 3034, 2016 WL 1165783
CourtCourt of Appeals of Texas
DecidedMarch 24, 2016
DocketNO. 14-14-00470-CV
StatusPublished
Cited by44 cases

This text of 489 S.W.3d 58 (Bennett v. Commission for Lawyer Discipline) 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
Bennett v. Commission for Lawyer Discipline, 489 S.W.3d 58, 2016 Tex. App. LEXIS 3034, 2016 WL 1165783 (Tex. Ct. App. 2016).

Opinion

OPINION

J. Brett.Busby, Justice

Appellant Robert S. Bennett appeals from a final judgment of disbarment signed following a bench trial. The trial court disbarred Bennett after concluding that hé violated both Rule l:15(d) and Rule 3.02 of the Texas Disciplinary Rules of Professional Conduct in thé course of a fee dispute with former client Gary Land.

Bennett argues that the evidence is legally and factually insufficient to support the trial court’s conclusion that he violated Rule 1.15(d). We sustain Bennett’s challenge becausé there is ho evidence that, at thé time Bennett’s representation of Land was terminated, he failed to refund an advance payment of fees that had not been earned.

Bennett also challenges the legal and factual sufficiency. of the evidence to support the trial court’s conclusion that he violated Rule 3.02. We overrule this challenge because there .is sufficient evidence that Bennett took actions that unreasonably increased the costs or othér burdens of the fee dispute or that unreasonably delayed its resolution.

Finally, Bennett seeks a new trial based on certain evidentiary. rulings at trial. Bennett argues that the trial court erred when it: ,(1) excluded Bennett’s expert witnesses from testifying during the misconduct phase of the trial about their interpretations of the Texas Disciplinary Rules of Professional Conduct and the application of those rules to the facts of this case; and (2) excluded testimony regarding Bennett’s general character during the misconduct phase of the trial.- We overrule this issue .because (1) a trial -, court does not abuse- its discretion when it excludes expert testimony on questions of law or the application of law to the facts of the case; and (2) to the extent the trial court abused its discretion when it excluded character testimony, 'there was ho harm because the testimony was admitted during the sanctions phase of the trial.

Because there is legally insufficient evidence to-support the trial court’s conclusion that Bennett violated Rüle. 1.15(d), and the trial court based its decision to [63]*63disbar Bennett.on its conclusion that he violated both .Rule 1.15(d) and Rule 3.02, we reverse the trial court’s judgment of disbarment and remand the case for reconsideration of the appropriate sanction to be imposed as a result of the trial, court’s conclusion that Bennett violated Rule 3.02.

Background

Gary Land approached Robert Bennett in January 2011 about retaining Bennett as his attorney. Bennett and Land met at Bennett’s office, and they spent several hours together discussing Land’s legal issues. Land sought to retain Bennett , to represent him in a lawsuit arising from a commercial dispute in Amarillo, Texas. Land also wanted Bennett to investigate a potential claim of federal civil rights violations arising out of Land’s belief that federal agents had been illegally targeting him by damaging his property with acid, attacking him with invisible energy beams and microwaves, and implanting materials under his skin. Bennett provided Land with an “Attorney Retainer & Dispute Resolution Agreement” during the meeting. Bennett encouraged Land to consult with another attorney regarding the Agreement’s contents before signing it. Land made several changes to the Agreement and signed it on February 10, 2011.

The Agreement required Land to pay Bob Bennett & Associates, P.C. a $50,000 retainer. Land paid the retainer in two equal installments. The Agreement provided that the retainer would be used “to insure the payment of fees and may be drawn-down for time billed at the discretion, of [Bennett].” The Agreement also included an arbitration clause in the event that a dispute arose between the parties. The arbitration clause provides, in pertinent part:

Our dispute shall be determined by arbitration in Houston, Texas before a panel selected by, and per the rules of the Houston Bar Association Fee Dispute Committee, in accordance with the laws of the State of Texas for Agreements made, in and to be performed in Texas. “Disputes” shall include, without limitation, those involving fees, costs, billing, and breach of ethical or fiduciary duties. The arbitration shall be administered by the Houston Bar Association Fee Dispute Committee, pursuant to its Rules and Regulations. Judgment on the award may be entered in any court having jurisdiction and shall include an award for attorney’s fees, and a premium charge if sought, along with any fees and expenses associated with the seeking of injunctive relief;... By the signatures on this contract, the Client and Bennett agree that the' arbitrator’s decision in any such arbitration shall be binding, conclusive, and non-appealable pursuant to the Rules and Regulations of the Houston Bar Association Fee Dispute Committee. Please note that arbitration may result in the client’s waiver of significant rights, such as the right to a jury trial, the possible waiver of broad discovery, and the loss of the right to appeal.

Once Land had signed the Agreement, Bennett and his firm began working on Land’s legal matters. Over the next several months, Bennett invoiced Land for legal fees and expenses totaling $70,998.38. Bennett applied the retainer to pay the first $50,000, leaving, in Bennett’s view, a balance owed of $20,998.38.

Land disputed the bills and ultimately terminated Bennett’s representation on August 3, 2011. . .

Land then hired a new attorney, who demanded that Bennett reduce Land’s bill by no less than $35,000. When Bennett refused, Land submitted the fee dispute to arbitration, naming as .respondents Bob [64]*64Bennett and Bob Bennett & Associates, P.C. (collectively “Bennett”). Bennett filed- a counterclaim in the arbitration, seeking $25,787.50 from Land in excess of the original retainer. Bennett’s counterclaim included nearly $4,000 for work that originally had not been billed to Land, but which Bennett now sought “because of the lack of good faith shown by Mr. Land during this process.”

The arbitration panel unanimously found in favor of Land on January 3, 2012. It ordered Bennett to return $27,500 in unearned advance fees to Land. The panel denied Bennett’s counterclaim.

Bennett filed a. motion to modify and correct the arbitration award. The panel denied Bennett’s motion and issued a detailed explanation of its award. Among other things, the panel stated that its “consideration of the fees charged on both a micro and a macro level left [it] with the firm conviction that [Bennett] overcharged Mr. Land and took advantage of him.” For example, the panel determined that it was unreasonable for Bennett to incur a total of $9,000 in fees in connection with “scheduling appointments with doctors and discussing Mr. Land’s claims with doctors who routinely cater to conspiracy theorists who believe they are being targeted by the government.” The panel also explained that

the issues that Mr. Land brought to [Bennett’s] attention would have raised immediate and significant flags with any reasonable lawyer. A lawyer in [Bennett’s] position should have counseled Mr. Land against spending significant sums investigating and pursuing most of the matters about which he was concerned. Mr. Land should have been told the investigation he sought was almost certain to be futile. [Bennett] failed to do so, and instead appeared to actively encourage Mr. Land’s pursuit of these matters.

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Cite This Page — Counsel Stack

Bluebook (online)
489 S.W.3d 58, 2016 Tex. App. LEXIS 3034, 2016 WL 1165783, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bennett-v-commission-for-lawyer-discipline-texapp-2016.