Estate of Raphael

230 P.2d 436, 103 Cal. App. 2d 792, 1951 Cal. App. LEXIS 1238
CourtCalifornia Court of Appeal
DecidedApril 26, 1951
DocketCiv. 14607
StatusPublished
Cited by16 cases

This text of 230 P.2d 436 (Estate of Raphael) 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
Estate of Raphael, 230 P.2d 436, 103 Cal. App. 2d 792, 1951 Cal. App. LEXIS 1238 (Cal. Ct. App. 1951).

Opinion

DOOLING, J.—

Bertha Rado Raphael, appellant, is the widow of Raymond Theodore Raphael who died intestate. The decedent’s estate consisted entirely of property inherited from his parents and the increase thereof. His legal heirs were a brother and his widow, the appellant. The widow waived her right to administer and the brother was appointed administrator.

The widow being dissatisfied both with the amount of the estate as accounted for and the administrator’s claim that it was all the separate property of the decedent employed respondent Greene to represent her. She assigned Greene $1,000 of her interest in the estate as a retainer fee. Greene testified that at that time he told appellant that the total fee to be charged would have to be agreed upon later after he found out how much work was involved.

The administrator filed an inventory of property with an appraised value of $104,000, all of which was described as separate property. Greene proposed to appellant that respondent O 'Brien be associated with him and that they would handle her case on a contingent fee basis of 50 per cent of her share of any property not inventoried which they succeeded in having included in the estate and 50 per cent of the additional one-half of the inventoried property which she would receive if it was established that it was community and not separate property. A contract so providing was drawn by respondents and executed.

Thereafter respondents succeeded in obtaining an adjudication from the probate court that all of the inventoried property was community property and this adjudication was affirmed on appeal. (Estate of Raphael, 91 Cal.App.2d 931 [206 P.2d 391].) After this adjudication and pending the appeal appellant herein discharged respondents and substituted her present counsel in their stead.

Thereafter respondents, proceeding under Probate Code, section 1020.1, moved the probate court for an order approving their contingent fee contract and allowing them the compensation therein provided for. After a trial the probate *795 court found that the contingent fee agreement was “in all respects and particulars just, fair and valid” and “was not obtained by duress, fraud or undue influence”; that appellant had without cause discharged respondents as her attorneys; that the reasonable value of their services to the time of their discharge was $25,000; and determined that respondents were entitled to have $25,000 distributed to them from the assets of the estate with interest at 7 per cent from the date of the order, December 6, 1949. From this order, and from orders denying her motion for new trial and motion to vacate the order of December 6, 1949, appeals have been taken.

Appellant claims on appeal that the findings that the contingent fee contract was not obtained by fraud, duress and undue influence; that the contingent fee agreed upon was equitable and reasonable; and that respondents were discharged without cause, are all contrary to the evidence.

In weighing these claims we must view the evidence in the most favorable light to support the probate court’s findings drawing every reasonable inference in their favor which the evidence will support. Probate Code, section 1020.1, lays the duty of determining whether “the fees, charges or consideration paid by any . . . heir is grossly unreasonable” and whether “any such assignment, transfer (or) agreement . . . was obtained by duress, fraud or undue influence” upon the probate judge and we cannot substitute our judgment for his on the weight and effect of the evidence. (Estate of McPherson, 94 Cal.App.2d 906 [212 P.2d 41].)

Respondent Greene testified that the contingent fee contract was several times explained to appellant before she signed it. “I told her that under the inventory ... all of the estate was listed as the separate property of her husband; that from a legal standpoint one-half of the estate went to her brother-in-law and the other half went to her; that our job would be to prove . . . that all of the estate was community property . . . that all of the community property would go to the surviving spouse. . . . She was certain of recovering one-half of $104,000. That would be $52,000. The contract was explained to her that everything over . .. $52,000 would be one-half to her. If she got nothing but the $52,000 all she would owe . . . would be the $1,000, the retainer fee. . . . She expressed herself as being very pleased, because she had no money to advance for attorneys’ fees and costs. If she lost she would owe us nothing but the thousand. If she won she would be able to pay the 50% increase.”

*796 Appellant flatly contradicted this testimony, her version being that she signed the contract without reading it or understanding its terms on the representation of respondents that it was a paper respondents wanted her to sign for their files. The probate judge chose to believe respondents and disbelieve appellant. Conceding that the contract was burdened with a presumption of overreaching, that presumption is rebuttable (Estate of Phillipi, 76 Cal.App.2d 100 [172 P.2d 377]), and the trial court’s finding that there was no fraud, duress or undue influence is amply supported.

The finding that the fee provided for was equitable and reasonable is likewise supported. A contingent fee contract, since it involves a gamble on the result, may properly provide for a larger compensation that would otherwise be reasonable. (Goldstone v. State Bar of California, 214 Cal. 490, 498 [6 P.2d 513].) Contingent fees of 50 per cent have been upheld in this state and by many other courts. (Hoffman v. Vallejo, 45 Cal. 564; Swanson v. Hempstead, 64 Cal.App.2d 681 [149 P.2d 404]; Hardman v. Brown, 153 Wash. 85 [279 P. 91]; Savic v. Kramlich, 52 Idaho 156 [12 P.2d 260]; In re Fitzsimons, 174 N.Y. 15 [66 N.E. 554]; Morehouse v. Brooklyn Heights R. Co., 123 App.Div. 680 [108 N.Y.Supp. 152]; affirmed 195 N.Y. 537 [88 N.E. 1126] ; In re Merrill’s Estate, 165 Misc. 295 [300 N.Y.Supp. 1142]; In re Levine’s Estate, 154 Misc. 700 [278 N.Y.Supp. 36]; In re Carney, 93 Misc. 600 [158 N.Y.Supp. 585]; Friedman v. Mindlin, 91 Misc. 473 [155 N.Y.Supp. 295]; Moyers v. City of Memphis, 135 Tenn. 263 [186 S.W. 105, Ann.Cas. 1918C 854]; Etzel v. Duncan, 112 Md. 346 [76 A. 493]; Dreiband v. Candler, 166 Mich. 49 [131 N.W. 129]; Elk Valley Coal Mining Co. v. Willis & Meredith, 149 Ky. 449 [149 S.W. 894]; Lipscomb v. Adams,

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Bluebook (online)
230 P.2d 436, 103 Cal. App. 2d 792, 1951 Cal. App. LEXIS 1238, Counsel Stack Legal Research, https://law.counselstack.com/opinion/estate-of-raphael-calctapp-1951.