Carlson, Collins, Gordon & Bold v. Banducci

257 Cal. App. 2d 212, 64 Cal. Rptr. 915, 1967 Cal. App. LEXIS 1771
CourtCalifornia Court of Appeal
DecidedDecember 20, 1967
DocketCiv. 23464
StatusPublished
Cited by17 cases

This text of 257 Cal. App. 2d 212 (Carlson, Collins, Gordon & Bold v. Banducci) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Carlson, Collins, Gordon & Bold v. Banducci, 257 Cal. App. 2d 212, 64 Cal. Rptr. 915, 1967 Cal. App. LEXIS 1771 (Cal. Ct. App. 1967).

Opinion

*219 MOLINARI, P. J.

Plaintiffs members of the law firm of Carlson, Collins, Gordon & Bold, a partnership, brought this action against defendants to recover $28,504.70 in attorneys’ fees for legal services rendered on behalf of defendants in settling a will contest. Defendants denied that they owed money to plaintiffs and further cross-complained seeking to recover a payment of $19,000 allegedly made to plaintiffs under duress and undue influence. Judgment was entered on a jury verdict finding for plaintiffs and against defendants and awarding plaintiffs a total of $28,504 together with interest from the date of the filing of the action. 1 Defendants appeal from this judgment.

Defendants contend, essentially, that the evidence was insufficient to justify the verdict because as a matter of law the court should have treated certain documents as constituting the entire contract between plaintiffs and defendants and should have construed these documents as supporting defendants’ theory of what the fee arrangement was between themselves and plaintiffs; that it was prejudicial error to admit evidence of the nature of the legal services performed by plaintiffs in the probate proceedings because this evidence was irrelevant to ascertaining the terms of the contract between plaintiffs and defendants and because its use violated the attorney-client privilege; and that the court improperly communicated with the jury through the court bailiff and that this irregularity constitutes reversible error. Defendants also allege numerous other errors dealing with the jury instructions, the size of the verdict, and other matters. We have concluded that there is no merit to any of the contentions and that the judgment should be affirmed.

*220 Facts

Defendants Teresa and Eleanor Bandueci (hereafter referred to separately as Teresa and Eleanor) are mother and daughter; Eleanor formerly worked for plaintiffs’ law firm as a secretary. Defendants hired plaintiffs as their attorneys in the matter of the estate of one John D ’Avila, whose will defendants were offering for probate. In June 1961, relatives of D’Avila filed a will contest. Plaintiffs agreed to represent defendants in the will contest.

The relatives of D’Avila and defendants settled the will contest on January 16, 1962. According to the terms of the settlement agreement, the estate was to be divided, after payment of taxes and proper charges against the estate, as follows : 60 percent to the relatives and 40 percent to defendants. Pursuant to the settlement agreement, the relatives executed an assignment to defendants of 40 percent ‘ ‘ of their respective distributive shares as heirs at law of said decedent.” This share amounted to $279,952.43, out of which defendants paid $28,217.59 in estate and inheritance taxes, thus leaving a net in the sum of $251,734.84. 2

The testimony of the parties conflicts as to the amount of attorneys’ fees defendants agreed to pay plaintiffs for services in the settlement of the will contest. According to plaintiffs the matter of fees came up in a conference with defendants on June 23, 1961, at which defendants and plaintiff Collins agreed that Collins would charge $5,000 as a retainer, out of which he would pay costs, plus a fee of one-sixth of the entire gross estate, and that if nothing were recovered from the estate, the fee would be limited to $5,000. The testimony adduced on the part of defendants, on the other hand, was to the effect that the original agreement was for a $5,000 retainer plus $10,000 if the case was settled and $15,000 if it went to trial.

Subsequent to the conference of June 23, 1961, misunderstandings apparently arose on defendants ’ part as to what the fee arrangement was. In April 1963, Eleanor’s brother, John Banducci, and a Mr. Trant asked Collins to advise defendants what his fee would be. Accordingly he wrote a letter to Eleanor on April 23, 1963 in which he stated that plaintiffs would be willing to accept Eleanor’s understanding of the fee arrived at in a meeting with plaintiffs Collins and Gordon. *221 That fee was “ten per cent of the forty per cent of the gross estate assigned to you and your mother under the terms of the settlement of the will contest.” 3 Defendants did not immediately respond to this letter.

When the preliminary distribution of the estate was imminent, plaintiff Gordon wrote to defendants on November 26, 1963 that the attorneys’ fees, computed on the basis of 10 percent of the gross estate, totaled $47,504.70. This sum amounted to 10 percent of 40 percent of the gross estate. Following the receipt of this letter Eleanor came to plaintiffs’ law office where she stated to Collins that she had understood that the fee was to be 10 percent of defendants’ net share. When Collins insisted that this was not his understanding, Eleanor asked for a courtesy discount in view of her former employment with plaintiffs. As a result of this conversation, Collins on December 4, 1963 stated to Eleanor that he would accept $38,000 as a fee if she would pay him $19,000 then and $19,000 on final distribution, but that if this offer was not agreeable to her then she would have to pay the full fee of $47,000. Collins also offered to reduce the $38,000 fee by $2,000, if defendants did not net $200,000 from the estate. A written memorandum of this conference, initialed by Gordon and dated December 4, 1963, states in part: “Fees to be paid from settlement check to total $38,000. ... If Banducci’s [sic] do not receive $100,000 each, then fee to be reduced $2,000, ...”

Collins testified that at this conference Eleanor accepted his offer and agreed to pay a fee of $38,000 in the two specified installments of $19,000 subject to the reduction of $2,000 upon the specified contingency. Eleanor denied that she accepted the offer but did testify that the said offer was made. According to Collins, Eleanor paid him $19,000 out of the *222 preliminary distribution check. When the estate was finally distributed in February 1964, defendants were allocated the aforesaid distributive share of the estate in the sum of $279,-952.43, out of which they netted the sum of $251,734.84 after the payment of estate and inheritance taxes. Defendants refused to pay the balance of $19,000 claimed by plaintiffs, claiming that the total fee due plaintiffs was at most 10 percent of said sum of $279,952.43, or $27,995.24, against which they were entitled to a credit of the $19,000 paid out of the preliminary distribution check. The jury awarded plaintiffs a judgment in the sum of $28,504 representing the fee of $47,504.70 claimed by them less the $19,000 paid by Eleanor on account.

The Agreement

Defendants contend that the entire contract of the parties consists of Collins’ letter of April 23, 1963, which, they assert, incorporates the terms of the settlement of the will contest.

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Bluebook (online)
257 Cal. App. 2d 212, 64 Cal. Rptr. 915, 1967 Cal. App. LEXIS 1771, Counsel Stack Legal Research, https://law.counselstack.com/opinion/carlson-collins-gordon-bold-v-banducci-calctapp-1967.