Disciplinary Counsel v. Scribner

2023 Ohio 4017, 235 N.E.3d 395, 174 Ohio St. 3d 165
CourtOhio Supreme Court
DecidedNovember 8, 2023
Docket2023-0473
StatusPublished
Cited by2 cases

This text of 2023 Ohio 4017 (Disciplinary Counsel v. Scribner) 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
Disciplinary Counsel v. Scribner, 2023 Ohio 4017, 235 N.E.3d 395, 174 Ohio St. 3d 165 (Ohio 2023).

Opinion

[Until this opinion appears in the Ohio Official Reports advance sheets, it may be cited as Disciplinary Counsel v. Scribner, Slip Opinion No. 2023-Ohio-4017.]

NOTICE This slip opinion is subject to formal revision before it is published in an advance sheet of the Ohio Official Reports. Readers are requested to promptly notify the Reporter of Decisions, Supreme Court of Ohio, 65 South Front Street, Columbus, Ohio 43215, of any typographical or other formal errors in the opinion, in order that corrections may be made before the opinion is published.

SLIP OPINION NO. 2023-OHIO-4017 DISCIPLINARY COUNSEL v. SCRIBNER. [Until this opinion appears in the Ohio Official Reports advance sheets, it may be cited as Disciplinary Counsel v. Scribner, Slip Opinion No. 2023-Ohio-4017.] Attorneys—Misconduct—Violations of the Rules of Professional Conduct—Two- year suspension with 18 months conditionally stayed. (No. 2023-0473—Submitted May 16, 2023—Decided November 8, 2023.) ON CERTIFIED REPORT by the Board of Professional Conduct of the Supreme Court, No. 2022-033. ______________ Per Curiam. {¶ 1} Respondent, Theodore Ferris Scribner, of Akron, Ohio, Attorney Registration No. 0076063, was admitted to the practice of law in Ohio in 2003. {¶ 2} In an August 2022 complaint, relator, disciplinary counsel, alleged that Scribner mismanaged and/or misappropriated funds belonging to nine separate SUPREME COURT OF OHIO

clients, failed to maintain required records regarding his client trust account and his relationship with his clients, and made an improper loan to a tenth client. {¶ 3} The parties submitted stipulations of fact, misconduct, and aggravating and mitigating factors. They also submitted 36 stipulated exhibits. A three-member panel of the Board of Professional Conduct conducted a hearing at which it heard testimony from Scribner and three character witnesses. The panel issued a report finding that Scribner committed the charged misconduct and recommending that he be suspended from the practice of law for two years with 18 months stayed. The panel further recommended that we place conditions on his reinstatement and require him to serve a one-year period of monitored probation. The board adopted the panel’s findings of fact and misconduct and recommended sanction. No objections have been filed. {¶ 4} After a thorough review of the record, we adopt the board’s findings of misconduct and recommended sanction. FINDINGS OF FACT AND MISCONDUCT Count I—Misappropriation of Client Funds, Mismanagement of Client Trust Account, and Failure to Maintain Required Records {¶ 5} Scribner is a sole practitioner. The first count of relator’s complaint identifies nine personal-injury clients whom Scribner represented during the 2016- 2020 time frame. Scribner admitted that he entered into an unwritten contingent- fee agreement with one of those clients and that he failed to maintain copies of the written and signed contingent-fee agreements for five others. {¶ 6} At all times relevant to this proceeding, Scribner maintained a client trust account and a separate business/operating account. Scribner admits that he failed to maintain monthly reconciliations of his client trust account. And he has stipulated that between January 1, 2015, and December 14, 2020, he withdrew over $73,000 in cash from his client trust account and that due to his failure to maintain

2 January Term, 2023

rule-compliant general and client ledgers, it is not possible to connect those cash withdrawals to particular clients. {¶ 7} Scribner admits that he received personal-injury settlements on behalf of the clients at issue in this count and that during a period of financial strain, he misappropriated portions of those funds belonging to seven of those clients for his own personal or business purposes or to reimburse funds that he had previously misappropriated from other clients. {¶ 8} Scribner prepared closing statements for the nine personal-injury clients, but he failed to maintain copies of those statements that were signed by himself and the client. And he stipulated that he did not always disburse the clients’ settlement proceeds in accordance with the accounting set forth in their closing statements. For example: • Scribner agreed to hold $454 of Corry Sage’s settlement proceeds to pay an ambulance bill; rather than pay that bill, he misappropriated those funds by unilaterally deciding to take them as payment for work he had performed in Sage’s separate domestic-relations matter. • Scribner agreed to hold $2,900 of Candace Teets’s $22,000 settlement to pay outstanding liens related to her case. After nine months, he paid a $250 ambulance bill for Teets, but he misappropriated the remaining $2,650 settlement for his own purposes. • Scribner misappropriated $785 from Kimberly St. Clair and $256.38 from Stacy Rich despite the fact that his closing statements showed that those funds were intended to pay various case-related expenses on behalf of those clients. • In April 2019, Scribner received a $25,000 settlement check on behalf of Katrina Karnes. Although her expenses—including Scribner’s fee— exceeded the settlement amount, Scribner distributed $6,250 to himself and

3 SUPREME COURT OF OHIO

to Karnes. He retained $12,500 of the settlement proceeds on the agreement with Karnes that he would attempt to negotiate Karnes’s outstanding medical bills. Karnes’s chiropractor agreed to accept $6,000 for his nearly $20,000 bill and loaned the entire $6,000 to Scribner, which Scribner left in his client trust account. Scribner stipulated that instead of paying Karnes’s medical bills and refunding the remaining money to Karnes, he misappropriated the full $12,500 by making cash withdrawals and reimbursing other clients. He later repaid the loan he had received from the chiropractor with a check from his client trust account, with the notation “Karnes Final Payment.” And he deposited $6,000 in cash to cover the amount of the check. {¶ 9} There were also irregularities in Scribner’s payment of his fees to himself. More specifically: • Scribner withdrew $4,000 from his client trust account as an advance on his fee for representing Garry Yalung before he even settled the case. When the case settled, Scribner prepared a closing statement that identified his full $10,000 fee—though he disbursed just $6,000 to himself at that time. Instead of timely paying a $1,500 medical bill and disbursing the remaining $2,925 of the settlement proceeds to Yalung, Scribner held them in his client trust account and eventually misappropriated them. • In Nichole Baldinger’s case, Scribner’s closing statement showed that he was entitled to a fee of $25,609.75—but he disbursed just $20,000 to himself. There is no record to establish that he ever disbursed the remaining $5,609.75 of his fee. • The closing statement in Rachel Kornish’s case showed that Scribner was entitled to a contingent fee of $5,328—though he never issued a check to himself for that fee. Scribner stipulated that his failure to withdraw those fees from his client trust account resulted in the commingling of personal

4 January Term, 2023

and client funds and that some of those funds were used to rectify previous misappropriations and make reimbursements for other improper payments made from his client trust account. • After settling Sonceriae Bradley’s case for $5,000, Scribner collected his $1,250 contingent fee. Bradley then agreed to pay her share of the settlement to Scribner for representing her in a separate misdemeanor case. Scribner left that fee in his client trust account, slowly depleting it through various cash withdrawals over the next several months. {¶ 10} And on January 17, 2020, Scribner overdrew his client trust account after his bank returned a check that had been deposited into that account without the client’s endorsement.

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Cite This Page — Counsel Stack

Bluebook (online)
2023 Ohio 4017, 235 N.E.3d 395, 174 Ohio St. 3d 165, Counsel Stack Legal Research, https://law.counselstack.com/opinion/disciplinary-counsel-v-scribner-ohio-2023.