Brown v. Seimers

726 So. 2d 1018, 1999 WL 11234
CourtLouisiana Court of Appeal
DecidedJanuary 13, 1999
Docket98-CA-694
StatusPublished
Cited by22 cases

This text of 726 So. 2d 1018 (Brown v. Seimers) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Brown v. Seimers, 726 So. 2d 1018, 1999 WL 11234 (La. Ct. App. 1999).

Opinion

726 So.2d 1018 (1999)

Reginald BROWN
v.
Bill SEIMERS, et al.,
J.T. Hill, Intervenor.

No. 98-CA-694

Court of Appeal of Louisiana, Fifth Circuit.

January 13, 1999.

*1019 C. John Caskey, Baton Rouge, Fontella F. Ryan, Sibley Law Firm, Greensburg, Louisiana, Attorneys For Appellant J.T. Hill.

Sheila C. Myers, New Orleans, Louisiana, Attorney For Appellee Vernon P. Thomas.

Panel composed of Judges H. CHARLES GAUDIN, SOL GOTHARD and JAMES L. CANNELLA.

CANNELLA, Judge.

Intervener, J.T. Hill (Hill), appeals from a judgment awarding him 15% of a class action fee for legal services and awarding Vernon P. Thomas (Thomas) 85% of the escrowed fee. We affirm.

On October 5, 1988, the Louis Dreyfus Grain Elevator in Reserve, Louisiana exploded. The following day, Hill filed a lawsuit on behalf of certain claimants for damages. He did not serve defendants. Subsequently, Hill signed up various people in the area as individual claimants.

In 1989, Hill met Thomas in traffic court where both were representing other clients. At that time, various complaints were pending against Hill before the Louisiana State Bar Association Disciplinary Board (Bar Association). Thomas, who considered himself a specialist in the area, sought to defend Hill before the Bar Association in the disciplinary proceedings. At that time, Hill was involved in both the Louis Dreyfus Grain Elevator (Dreyfus) case and another class action involving Shell Oil Company (Shell) in Reserve. Subsequently, Hill was prohibited from representing clients in the Shell case, for reasons unrelated to the Bar Association proceedings. As a result, Hill requested Thomas to take over the Shell case. When it became clear that Hill would probably lose his license to practice law, he also brought Thomas into the Dreyfus case.

Boxes containing Hill's files, rosters and pleadings were delivered to Thomas' office in 1991, prior to the revocation of Hill's license to practice law. Thomas then associated attorney, Judith DeFraites (DeFraites), as coclass counsel in the Dreyfus matter. Hill had conducted no discovery and only filed the original petition, although he had spoken to and attempted to sign potential class members. Thomas' case manager organized the information given to Thomas by Hill and placed it in a computerized data base. Meetings were held with the potential class members and new contingency fee contracts were executed by both the existing members of the class and the new members that were added to the class as the case proceeded. Thomas filed an amended and supplemental petition asking for class certification in December of 1992. He also served the petition on defendants. In November of 1992, Hill voluntarily surrendered his license to practice law.

The class certification was subsequently contested, granted and appealed. The boundary was then amended by the trial judge. Hill was not involved in those proceedings. In addition, the class action trial judge rejected the claim forms. As a result, all of the claimants were re-interviewed and re-signed and new members were added. This was done beginning in January of 1996. Some of Hill's original class members did not re-sign.

Eventually, the Dreyfus case was submitted to mediation, which resulted in a settlement to the class members. Thomas then prepared and processed numerous tutorship and succession proceedings for the class *1020 members, who needed those judgments in order to receive their settlement proceeds. When he discovered that the case had settled, Hill intervened on July 17, 1996 in the lawsuit for his share of attorney's fees.

The order approving the settlement was entered on October 10, 1996. In the judgment, the class action trial judge awarded DeFraites and Thomas each $185,000 for their work as class counsel. Thomas was further awarded $222,600 in contingency contract fees for his client work that is not considered part of the duties of the class counsel. Thomas' total was $408,100. In addition, Hill agreed to release DeFraites and the class members from the intervention and to accept any award from Thomas' share of the fees. In January of 1997, one-half of the fees were paid to Thomas and the remaining half was placed in the case administrator's escrow account pending disposition of the attorney's fees dispute.

The trial of the intervention was held on May 23 and 27, 1997. Afterwards, the trial judge rendered judgment in favor of Hill for 15% of the contingency contract fees. He found that Hill was not entitled to any of the class counsel fees because he performed no work as class counsel. The trial judge determined that Hill did not assist in the class certification process and did no work on the case from the date the case was certified until resolution. He concluded that Hill was entitled to a percentage of the fee, on a quantum meruit basis

On appeal, Hill contends that the trial judge erred in failing to consider the prohibited transaction of an attorney with a client as substantive law, failing to enforce a trial subpoena for documents known to exist and/or applying an adverse evidentiary presumption in default of production, and failing to apply the clearly establish substantive law concerning fee splits among attorneys where no contract can be proved.

Hill first argues that Thomas violated the Rules of Professional Conduct of the Louisiana State Bar Association by entering into a prohibited transaction with a client. He contends that Thomas represented him in the Bar Association disciplinary proceedings and under Rule 1.8 should not have profited from his acts in "hustling" the class action case from Hill, his client. As a result, Hill contends that Thomas should forfeit all of the class action fees.[1]

This complaint is directed at Thomas' allegedly unethical behavior that should be raised with the Bar Association. We will not address this issue in the context of an attorney's fee dispute.

Hill second argues that under either the theory of spoilation of evidence or the adverse presumption against a party who fails to produce evidence known to exist, the trial judge should have found that a written fee splitting contract existed. Hill contends that when he associated Thomas on the case, he and Thomas executed a written contract dividing any attorney's fees awarded in the Dreyfus case, 80% to Hill and 20% to Thomas. Hill stated that he could not produce the contract because his copy was lost when he was evicted from his office following the loss of his license. Hill argues that Thomas has *1021 the original, but has failed to produce it, despite a subpoena for the document.

On appellate review, the court's function is to determine whether the trial judge's findings were clearly wrong or manifestly erroneous. Johnson v. State Farm Mut. Auto. Ins. Co., 95-1027 (La.App. 5th Cir. 5/15/96); 675 So.2d 1161, 1163. Where there is a conflict in the testimony, reasonable evaluations of credibility and reasonable inferences of fact should not be disturbed upon review, even though the appellate court may feel that its own evaluations and inferences are as reasonable. Johnson v. State Farm Mut. Auto. Ins. Co., 675 So.2d at 1163; Rosell v. ESCO, 549 So.2d 840 (La.1989); Arceneaux v. Domingue, 365 So.2d 1330 (La. 1978); Canter v. Koehring Co., 283 So.2d 716 (La.1973). The issue to be resolved by the reviewing court is not whether the factfinder was right or wrong, but whether his conclusion was a reasonable one. Johnson v. State Farm Mut. Auto. Ins. Co., 675 So.2d at 1163; Stobart v. State, Through DOTD, 617 So.2d 880, 882 (La.1993).

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Bluebook (online)
726 So. 2d 1018, 1999 WL 11234, Counsel Stack Legal Research, https://law.counselstack.com/opinion/brown-v-seimers-lactapp-1999.