In Re a Member of the State Bar of Arizona, Mercer

614 P.2d 816, 126 Ariz. 274, 1980 Ariz. LEXIS 252
CourtArizona Supreme Court
DecidedJuly 14, 1980
DocketSB-183
StatusPublished
Cited by8 cases

This text of 614 P.2d 816 (In Re a Member of the State Bar of Arizona, Mercer) is published on Counsel Stack Legal Research, covering Arizona Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In Re a Member of the State Bar of Arizona, Mercer, 614 P.2d 816, 126 Ariz. 274, 1980 Ariz. LEXIS 252 (Ark. 1980).

Opinions

HAYS, Justice.

A copy of the Local Administrative Committee’s Findings and Recommendations was mailed to Respondent on July 13, 1979. No objections thereto were filed.

On October 11, 1979 the Respondent was notified that the Disciplinary Board of the State Bar of Arizona had accepted the Administrative Committee’s Findings but had recommended a two-month suspension rather than a private reprimand. A hearing was set for November 16, 1979 and Respondent was notified. Respondent requested a continuance of the hearing which was denied.

At the hearing an attorney appeared on behalf of the Respondent and the Board thereafter voted to affirm its earlier decision to recommend a 60-day suspension. Respondent then filed with the Supreme Court his objections to the recommendations.

The Respondent has not at any stage objected to the Findings of the Administrative Committee. We set forth those Findings below:

“FINDINGS OF FACT

I.

“Respondent, Paul W. Mercer, is an attorney admitted to practice in the State of Arizona since September, 1969.

II.

“Respondent’s primary area of practice is with regard to tax-related matters.

III.

“On August 6,1974, complainant, Inez W. Ryan, was injured as the result of a job-related accident.

IV.

“In February, 1975, Mrs. Ryan employed the services of Respondent to represent her in connection with pursuing a claim for benefits through the Industrial Commission of Arizona pursuant to Title 23, Chapter 6, Articles 1-9.

V.

“On December 30, 1976, the Workmen’s Compensation carrier insuring Mrs. Ryan’s employer, issued a Notice of Claim Status terminating Mrs. Ryan’s temporary disability compensation and medical benefits effective December 21, 1976. At the same time, the insurance carrier sent to Respondent a check made payable to both Mrs. Ryan and Respondent in the sum of $4,306.50 representing Mrs. Ryan’s disability compensation benefits for the period September 3, 1976 through December 21, 1976. This action was taken by the carrier pursuant to a [275]*275decision rendered by the Industrial Commission of Arizona on July 19, 1976 and was as the result of efforts by Respondent on behalf of his client.

VI.

“Respondent thereafter initiated proceedings on behalf of his client in the Industrial Commission of Arizona contesting the action and determination of the Workmen’s Compensation carrier. No additional disability benefits were awarded to Mrs. Ryan as the result of the further Industrial Commission of Arizona proceedings.

VII.

“Additionally, partially through the efforts of Respondent, Mrs. Ryan’s medical, surgical and hospital benefits were paid on behalf of Mrs. Ryan by the Workmen’s Compensation carrier in the total amount of approximately $4,000.00.

VIII.

“During the period August 6, 1974 to June 8, 1977, Mrs. Ryan applied for and received from the Arizona Employment Security Commission the sum of approximately $4,000.00 in unemployment compensation. Respondent performed no services on behalf of Mrs. Ryan in connection with her obtaining said $4,000.00 in unemployment compensation benefits. In fact, Respondent was not aware that Mrs. Ryan had applied for and received such benefits until that was revealed at one of the hearings before the Industrial Commission of Arizona in the spring of 1977.

IX.

“On June 8, 1977, the Industrial Commission of Arizona issued its Decision Upon Hearing and Findings an Award for Temporary Disability affirming, in effect, the Industrial Commission of Arizona’s prior determination of July 19, 1976 and the action taken by the Workmen’s Compensation carrier on December 30, 1976.

X.

“The original fee agreement entered into between Respondent and Mrs. Ryan was an hourly fee arrangement based upon a charge of $50.00 per hour.

XI.

“As the matter progressed, Respondent felt that on the basis of a charge of $50.00 an hour, the amount of the fee based upon the number of hours being expended would exceed the amount which could reasonably be expected to be recovered by way of disability benefits on Mrs. Ryan’s behalf. Accordingly, some time prior to June 8, 1977, the fee agreement was changed to provide for a one-third contingency fee to be charged by Respondent.

XII.

“On May 15, 1977, Mrs. Ryan discharged Respondent as her attorney. On or about August 19, 1977, Mrs. Ryan requested the Industrial Commission of Arizona to set Respondent’s attorney’s fee pursuant to A.R.S. § 23-1069.

XIII.

“Respondent submitted to the Industrial Commission of Arizona a statement reflecting that he had expended 79.5 hours on Mrs. Ryan’s behalf and had expended $122.40 in costs.

XIV.

“Without conducting a hearing on the matter, the Industrial Commission of Arizona on December 15, 1977 entered an order awarding Respondent the sum of $4,500.00 for attorney’s fees.

XV.

“On December 29, 1977, Mrs. Ryan through new counsel protested the Industrial Commission of Arizona’s award of $4,500.00 for attorney’s fees. A hearing in connection with the protest was held on March 21, 1978. Thereafter, on June 30, 1978, the Industrial Commission of Arizona hearing officer rendered a decision reducing [276]*276the amount of attorney’s fees to be awarded Respondent from $4,500.00 to $1,076.64 plus $122.40 in costs.1

XVI.

“Respondent has requested the Arizona Court of Appeals, by way of special action, to review the determination by the Industrial Commission of Arizona reducing Respondent’s attorney’s fees. That matter in the Arizona Court of Appeals captioned ‘Mercer vs. Industrial Commission of Arizona, number 1 CA-IC 2085’ was decided by the Arizona Court of Appeals on June 26, 1979 affirming the June 30, 1978 order of the Industrial Commission of Arizona awarding Respondent $1,076.64 plus $122.40 in costs.

XVII.

“Shortly after Respondent received the Workmen’s Compensation insurance carrier’s check in the amount of $4,306.50, Respondent’s office contacted Mrs. Ryan requesting that she come to Respondent’s office to endorse the check. Mrs. Ryan came to Respondent’s office and endorsed the check which was retained in Respondent’s possession.

XVIII.

“At the time Mrs. Ryan endorsed the insurance carrier’s check, she inquired of Respondent’s secretary as to when she could expect her share. Respondent’s office informed Mrs. Ryan that she would receive her share of the check shortly.

XIX.

“Respondent has negotiated the insurance carrier’s check but has not disbursed any portion of it to Mrs. Ryan and has retained the entire amount and continues to retain the entire amount of $4,306.50 in Respondent’s trust account awaiting determination of the fee issue.

XX.

“Respondent is charging Mrs. Ryan a fee equal to the sum of 331/3 percent of $12,-306.50 constituting the approximate sum of $4,000.00 received by Mrs. Ryan as unemployment compensation from the Arizona Employment Security Commission, the approximate sum of $4,000.00 paid on Mrs.

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In Re a Member of the State Bar of Arizona, Mercer
614 P.2d 816 (Arizona Supreme Court, 1980)

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Bluebook (online)
614 P.2d 816, 126 Ariz. 274, 1980 Ariz. LEXIS 252, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-a-member-of-the-state-bar-of-arizona-mercer-ariz-1980.