David E. Hammer v. Board of Bar Examiners

2020 WI 59, 944 N.W.2d 844, 392 Wis. 2d 384
CourtWisconsin Supreme Court
DecidedJune 25, 2020
Docket2019AP001974-BA
StatusPublished

This text of 2020 WI 59 (David E. Hammer v. Board of Bar Examiners) is published on Counsel Stack Legal Research, covering Wisconsin Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
David E. Hammer v. Board of Bar Examiners, 2020 WI 59, 944 N.W.2d 844, 392 Wis. 2d 384 (Wis. 2020).

Opinion

2020 WI 59

SUPREME COURT OF WISCONSIN CASE NO.: 2019AP1974-BA

COMPLETE TITLE: In the Matter of the Bar Admission of David E. Hammer:

David E. Hammer, Petitioner, v. Board of Bar Examiners, Respondent.

BAR ADMISSION OF DAVID E. HAMMER

OPINION FILED: June 25, 2020 SUBMITTED ON BRIEFS: ORAL ARGUMENT:

SOURCE OF APPEAL: COURT: COUNTY: JUDGE:

JUSTICES: Per Curiam. NOT PARTICIPATING:

ATTORNEYS:

For the petitioner, there were briefs filed by David E. Hammer, Tampa, Florida. There was an oral argument by David E. Hammer.

For the respondent, there was a brief filed by Jacquelynn B. Rothstein, Director and Legal Counsel. There was an oral argument by Jacquelynn B. Rothstein. 2020 WI 59 NOTICE This opinion is subject to further editing and modification. The final version will appear in the bound volume of the official reports. No. 2019AP1974-BA

STATE OF WISCONSIN : IN SUPREME COURT

In the Matter of the Bar Admission of David E. Hammer:

David E. Hammer, FILED Petitioner, JUN 25, 2020 v. Sheila T. Reiff Clerk of Supreme Court Board of Bar Examiners,

Respondent.

Review of Board of Bar Examiners' decision. Decision

affirmed.

¶1 PER CURIAM. This is a review, pursuant to Supreme

Court Rule (SCR) 40.08(7), of a final decision of the Board of

Bar Examiners (Board) declining to certify that the petitioner,

David E. Hammer, satisfied the character and fitness

requirements for admission to the Wisconsin bar set forth in

SCR 40.06(1). The Board's decision was based primarily on the

fact that Mr. Hammer, who was a licensed Florida lawyer from

2006-2011, was disbarred in Florida for trust account violations and misappropriation of client funds. No. 2019AP1974-BA

¶2 Mr. Hammer resides in Florida. He graduated from the

University of Florida Levin College of Law in 2005 and completed

an LL.M. in Taxation in 2006. He was admitted to the Florida

bar on May 19, 2006. From his admission in May 2006 until his

law license was suspended on August 23, 2010, Mr. Hammer had

what he describes as "an ill-advised solo practice" in Florida,

built around a single client group: the family and friends of

Paul Bilzerian and their companies.1 As relevant here, in 2001,

long before Mr. Hammer ever worked for the Bilzerian client

group, a federal district court issued a sweeping injunction

limiting Bilzerian's access to the courts, in an effort to stem

Bilzerian's frivolous court filings (2001 Injunction). The 2001

Injunction provides:

Paul A. Bilzerian, his agents, servants, employees and attorneys, and those persons in active concert or participation with them, who receive actual notice of this Order by personal service or otherwise, are prohibited from filing or causing the filing of any complaint, proceeding or motion in the United States Bankruptcy Court for the Middle District of Florida, or from commencing or otherwise causing the commencement of any proceedings in any court, other than in this Court or in appeals of this Court's Orders to the United States Court of Appeals for the District of Columbia, without prior application to and approval of this Court . . ..

1 Bilzerian was convicted of securities fraud and conspiracy to defraud the United States in 1989. United States v. Bilzerian, 926 F.2d 1285 (2d Cir. 1991) (affirming conviction). The Securities and Exchange Commission then filed a civil suit against him in the summer of 1989 and obtained a judgment for approximately $62 million. S.E.C. v. Bilzerian, 29 F.3d 689 (D.C. Cir. 1994) (affirming judgment).

2 No. 2019AP1974-BA

Mr. Hammer acknowledges that he received actual notice of the

2001 Injunction in December 2006.

¶3 We focus on the Board's primary reason for declining

to certify Mr. Hammer. On August 23, 2010, four years after his

admission to practice law, the Supreme Court of Florida issued

an emergency suspension against Mr. Hammer's law license,

alleging that he had misappropriated client trust funds. A

formal disciplinary complaint followed. Eventually, Mr. Hammer

stipulated that in November 2009, Bilzerian had directed that

certain outstanding invoices and cost reimbursements not be paid

to Mr. Hammer. Mr. Hammer believed these amounts were valid and

owed to him. At the time, Mr. Hammer had access to funds in a

trust account belonging to another Bilzerian-related entity. In

January 2010, Mr. Hammer began taking money from that trust

account for his own personal use. In May 2010, the client

requested the money held in trust. By then, the trust fund was

approximately $27,000 short of funds. To replace the missing

client funds, Mr. Hammer accessed funds from another account to

which he was a signatory, paying himself director fees and other

amounts.

¶4 On August 30, 2011, the Florida Supreme Court issued

an order disbarring Mr. Hammer, nunc pro tunc to September 22,

2010,

3 No. 2019AP1974-BA

for misappropriating client funds.2 Eventually, Mr. Hammer

distanced himself from the Bilzerian client group, started a

business, regained financial stability, and became chief

information officer of Elevant, an entity that licenses a case

management software program.

¶5 On January 1, 2018, Mr. Hammer applied for admission

to the Wisconsin bar. In February 2018, he took and

subsequently passed the Wisconsin bar exam. On January 15,

2019, the Board advised Mr. Hammer that his bar application was

at risk of being denied on character and fitness grounds.

Mr. Hammer, by counsel, requested a hearing and in May 2019,

Mr. Hammer also voluntarily commenced an ethics tutorial with

Wisconsin Attorney Dean R. Dietrich.

¶6 On August 2, 2019, the Board conducted a hearing at

which Mr. Hammer appeared by counsel and testified. The Board

also heard testimony from Mr. Hammer's prospective employers,

who advised the Board that they will employ Mr. Hammer as an

attorney if he is admitted to the Wisconsin bar. Attorney

Meanwhile, on January 21, 2011, Mr. Hammer was publicly 2

reprimanded by the Florida Supreme Court for actions in both state and bankruptcy courts that he knew or should have known were not meritorious but merely disruptive to the tribunals. Board Order, ¶12.

On March 31, 2011, the Florida Supreme Court further suspended Mr. Hammer's law license for 91 days, concurrent with his underlying suspension in the misappropriation matter, based on Mr. Hammer's failure to demonstrate that he had notified clients, opposing counsel, and tribunals of his license suspension. Board Order, ¶13.

4 No. 2019AP1974-BA

Dietrich testified in support of Mr. Hammer's character and

fitness to practice law in Wisconsin.

¶7 On September 19, 2019, the Board issued an adverse

decision concluding that Mr. Hammer had failed to demonstrate to

the Board's satisfaction that he has the necessary character and

fitness to practice law in Wisconsin. The Board cited Mr.

Hammer's Florida disbarment; abuse of process; extensive traffic

record; and its conclusion that Mr. Hammer failed to demonstrate

significant rehabilitation. The Board added that Mr. Hammer has

not reapplied to the Florida bar.

¶8 This petition followed. Mr. Hammer asks this court to

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Supreme Court of NH v. Piper
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2020 WI 59, 944 N.W.2d 844, 392 Wis. 2d 384, Counsel Stack Legal Research, https://law.counselstack.com/opinion/david-e-hammer-v-board-of-bar-examiners-wis-2020.