Cleveland Bar Ass'n v. CompManagement, Inc.

104 Ohio St. 3d 168
CourtOhio Supreme Court
DecidedDecember 15, 2004
DocketNo. 2004-0817
StatusPublished
Cited by58 cases

This text of 104 Ohio St. 3d 168 (Cleveland Bar Ass'n v. CompManagement, Inc.) is published on Counsel Stack Legal Research, covering Ohio Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cleveland Bar Ass'n v. CompManagement, Inc., 104 Ohio St. 3d 168 (Ohio 2004).

Opinions

Alice Robie Resnick, J.

{¶ 1} On April 15, 2002, relator, Cleveland Bar Association (“CBA”), filed a complaint with the Board of Commissioners on the Unauthorized Practice of Law pursuant to Gov.Bar R. VII(5). The complaint alleged that respondents Comp-Management, Inc. (“CMI”), Jonathan R. Wagner, Robert J. Bossart, and Bobbijo Christensen engaged in the unauthorized practice of law as follows:

{¶ 2} (1) “[B]y appearing in person at formal, oral, adjudicatory hearings, scheduled and held by the Industrial Commission of Ohio, upon various disputed workers’ compensation matters, in behalf of so-called ‘clients’ of respondent CompManagement, Inc., and, in the course of such appearances, performing such acts as examining and/or cross-examining witnesses; interpreting statutory provisions, case law, and administrative rulings; and making and/or giving legal interpretations with respect to the nature, weight, significance, and credibility of the evidence presented at such hearings and/or theretofore already of record in the Industrial Commission of Ohio’s claim file upon the claim then in issue”; and

{¶ 3} (2) By preparing, signing, and filing “various documents of a legal nature, such as notices of appeal, motions, objections to orders of the Administrator of Workers’ Compensation, applications for handicap reimbursement, applications for the settlement of individual workers’ compensation claims, and requests for continuances, in behalf of respondent CompManagement, Inc.’s so-called ‘clients.’ ”1

[170]*170{¶4} After extensive discovery by the parties, the board held a formal evidentiary hearing pursuant to Gov.Bar R. VII(7)(A) and (14), which was conducted on May 21 and 22, 2003, and adjourned to and completed on August 22, 2003. The board filed its final report on May 18, 2004, recommending that this court issue an order finding that respondents CMI and Bobbijo Christensen have engaged in the unauthorized practice of law, prohibiting them from engaging in the unauthorized practice of law in the future, and providing for reimbursement of costs and expenses incurred by the board and relator.

{¶ 5} In making its recommendation, the board concluded that the following conduct in which CMI and/or Christensen engaged amounts to the unauthorized practice of law: (1) “preparation, signing and filing of documents in handling claims before the Industrial Commission on behalf of employers,” (2) “negotiation and involvement with settling claims,” (3) “direct and indirect examination [including cross-examination] of witnesses during hearings,” (4) “presentation of employer concerns, arguments, summations of evidence, conclusions regarding the import of factual information and/or closing statements on behalf of employers during hearings,” (5) “recommendation and advice to employers as to taking appeals and other legal action,” and (6) “evaluation, advice or recommendation concerning whether an employer should retain an attorney to handle a claim before the Industrial Commission.”

{¶ 6} The board also found that CMI engaged in the unauthorized practice of law generally by its “representation of employers’ interests in handling claims before the Industrial Commission,” and that it furnished information to its hearing representatives with regard to “[p]ertinent court decisions and changes in the workers’ compensation law * * *, sometimes using a law firm to summarize the legal developments for [its] employees.”

{¶ 7} Despite the breadth of its evidentiary review, the board’s legal analysis was admittedly less than comprehensive. The board found itself unequipped “to evaluate * * * public interest factors or exercise discretion in applying Rule VII,” since it serves only “as an advisory body under the Supreme Court and * * * merely offers recommendations.” Accordingly, the board declined to consider that the public interest might warrant restraint in the use of the court’s power to suppress lay representation in the workers’ compensation field. Instead, the board took the approach that respondents are not authorized to engage in any conduct that corresponds to an activity that has been listed in some generalized definition of the practice of law under “the applicable precedents,” while leaving it to this court to “factor[ ] in public interest considerations and a measure of flexibility” in determining whether “lay representation [would] pose a hazard to the public in this limited setting.”

[171]*171{¶ 8} After the filing of the final report of the board, we issued an order to respondents to show cause why the report should not be confirmed and an appropriate order granted. Gov.Bar R. VII(19)(A). Both respondents and relator have filed objections to the report.

{¶ 9} The cause is now before the court for the determination specified in Gov.Bar R. VII(19)(D).

{¶ 10} The immediate issue in this unauthorized-practice-of-law case centers on the activities of a single, although perhaps Ohio’s largest, actuarial service company and its employees in connection with their representation of employers in matters of workers’ compensation. The potential impact of its resolution, however, extends far beyond this proceeding, for it implicates the Industrial Commission’s longstanding policy of permitting nonlawyers, specifically actuarial firms and unions, to appear and practice before the commission and the Bureau of Workers’ Compensation in a representative capacity on behalf of employers and injured workers and to perform a variety of functions as regards the administration and adjudication of workers’ compensation claims.

{¶ 11} The workers’ compensation system in Ohio began with “the unanimous adoption of Proposal Number 24, or Section 35, Article II [of the Ohio Constitution], at the Constitutional Convention of 1912 and the enactment of Ohio’s first compulsory workers’ compensation law, 103 Ohio Laws 72, on February 26,1913.” Holeton v. Crouse Cartage Co. (2001), 92 Ohio St.3d 115, 118, 748 N.E.2d 1111. The system was conceived and has long since functioned as an alternative loss-distribution mechanism to that of the common law of torts, which had proved wholly unsound and “incapable of dealing with the often devastating social and economic consequences of industrial accidents.” Id. at 119, 748 N.E.2d 1111.

{¶ 12} The joint committee that sponsored the 1924 constitutional amendment that put Section 35, Article II in its present form intended for the system to operate “ ‘without necessity for recourse to law suits or employment of attorneys or payment of court costs.’ ” Mabley & Carew Co. v. Lee (1934), 129 Ohio St. 69, 74-75, 1 O.O. 366, 193 N.E. 745. Thus, “[o]ne of the main objects sought to be accomplished by [the] enactment [of the Workers’ Compensation Act] was to provide a speedy, simple, and inexpensive method to compensate” workers for work-related injuries “and to do away with the vexatious and protracted litigation which had proved so costly, exhaustive, and unsatisfactory, oftimes resulting in great injustice.” Goodman v. Beall (1936), 130 Ohio St. 427, 429, 5 O.O. 52, 200 N.E. 470.

{¶ 13} Accordingly, lay representation has been a feature of Ohio’s workers’ compensation system since its inception. Id. at 430, 5 O.O. 52, 200 N.E. 470. While the adjective complexities of today’s workers’ compensation statutes “bear[ ] little resemblance to the rather simple plan first prescribed,” McMillen

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Bluebook (online)
104 Ohio St. 3d 168, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cleveland-bar-assn-v-compmanagement-inc-ohio-2004.