In Re Caulfield

683 So. 2d 714, 1996 WL 681422
CourtSupreme Court of Louisiana
DecidedNovember 25, 1996
Docket96-B-1401
StatusPublished
Cited by333 cases

This text of 683 So. 2d 714 (In Re Caulfield) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In Re Caulfield, 683 So. 2d 714, 1996 WL 681422 (La. 1996).

Opinion

683 So.2d 714 (1996)

In re Ernest L. CAULFIELD.

No. 96-B-1401.

Supreme Court of Louisiana.

November 25, 1996.
Rehearing Denied December 13, 1996.

*715 Charles B. Plattsmier, G. Fred Ours, Baton Rouge, Gregory F. Gambel, New Orleans, for Applicant.

Ernest Lee Caulfield, Timothy G. Schafer, Maurice Anthony Williams, New Orleans, for Respondent.

DISCIPLINARY PROCEEDINGS

KIMBALL, Justice[*]

Respondent Ernest L. Caulfield was formally charged with engaging in misconduct contrary to Rules of Professional Conduct 3.1, 3.3, 3.4, and 8.4(a)(b)(c) and (d). It is alleged that Respondent and Alfred Miller staged a fake automobile accident in New Orleans on August 22, 1987 for the purpose of defrauding Hertz Corporation and its insurer by means involving dishonesty, fraud, deceit, and misrepresentation. Respondent claims the charges against him should be dismissed based upon: (1) the Disciplinary Board's application of the manifest error rule to the conclusions reached by the Hearing Committee; (2) the weight attributed by the Hearing Committee and Disciplinary Board to the evidence presented at the civil RICO trial concerning this accident; and (3) the failure of the evidence presented to the Hearing Committee and Disciplinary Board to meet the clear and convincing standard.

FACTS

On August 22, 1987, Respondent and Alfred Miller reported to the New Orleans Police Department that a car operated by Miller and owned and insured by the Hertz Corporation collided with the rear of a car owned and operated by Respondent near the railroad overpass on Gentilly Boulevard. Alfred Miller told the investigating police officer that he was driving very fast and that he struck Respondent's car because he was temporarily blinded by the sunlight when he came out from under the railroad trestle. According to Miller, he was in a hurry to reach his girlfriend's house because his girlfriend's child was ill. The investigating officer recognized Respondent as an attorney and recognized Miller as a former employee of the police department and as a RTA bus driver. According to the investigating officer, neither Respondent nor Miller indicated that they knew each other at the scene of the accident. Out of curiosity and because the officer recognized both men, he asked Miller if he knew Respondent. The officer testified that Miller failed to answer the question and that the subject matter of the conversation changed. The evidence clearly establishes that Respondent and Miller did in fact know each other.[1] However, in testimony later adduced, Respondent and Miller claimed they did not recognize each other at the accident scene.

Neither respondent nor Miller suffered from any apparent physical injuries such as lacerations or bruises; nor did either of them complain of any physical injury. However, in the fall of 1987, Respondent sought treatment for neck pain that he alleges was caused by the August accident. Respondent was diagnosed as suffering from spondylosis and degenerative disc disease. On February 2, 1989, surgery was performed on Respondent to correct this problem. Both cars were *716 driveable and the damage to both cars was classified as "moderate" by the investigating police officer. At the time of the accident, Alfred Miller had rented the car he was operating from Hertz Corporation because, according to Miller, his car was not running well and the air conditioning was not working. Testimony elicited from Miller indicated that he could have borrowed a car from friends instead of renting a car from Hertz. Miller was a bus driver for RTA and earned approximately $350.00 every two weeks. The evidence in the record also shows that Miller could not afford to purchase liability insurance on his own car and that his wages were being garnished at the time he rented the car from Hertz. However, when Miller rented the car, he purchased one million dollars worth of liability insurance from Hertz. Miller testified that no Hertz employee encouraged him to purchase this insurance. The total price for this three day package rental was $141.27.

In October of 1987, Respondent filed a personal injury suit against Miller, Hertz, and Hertz's insurer. When Hertz inspected the two vehicles in 1988, its experts began to suspect that the accident had been staged. Hertz filed a civil suit under the Civil Racketeer Influenced Corrupt Organization Act (RICO) against Respondent and Miller in the United States District Court for the Eastern District of Louisiana. A jury returned a verdict against Respondent and Miller in the amount of $410,528.88, plus interest, attorneys fees, and costs in the amount of $97,741.87. The United States Court of Appeals for the Fifth Circuit affirmed the jury's verdict. Subsequently, Respondent dropped his personal injury suit against Hertz and Hertz's insurer.

The Office of Disciplinary Counsel then formally charged Respondent with staging a fake automobile accident in violation of Rules of Professional Conduct 3.1, 3.3, 3.4, and 8.4(a)(b)(c) and (d). In the disciplinary proceedings before the Hearing Committee, disciplinary counsel introduced without objection the entire record of the civil RICO trial. The Hearing Committee read the entire RICO transcript and heard an additional three days worth of testimony. The Hearing Committee found clear and convincing evidence that Respondent violated the above stated Rules of Professional Conduct by staging an automobile accident in an attempt to defraud Hertz. In reaching this conclusion, the Hearing Committee applied the clear and convincing standard to all the evidence presented, including the evidence introduced from the RICO trial.[2] Based upon the seriousness of the charge and the fact that no mitigating circumstances were found, the Hearing Committee recommended that Respondent be disbarred from the practice of law.

The Disciplinary Board approved the findings and conclusions reached by the Hearing Committee and adopted the disbarment sanction recommended by the Hearing Committee. In reaching this conclusion, the Disciplinary Board stated that it was applying the manifest error standard of review to the Hearing Committee's report and that the Hearing Committee's findings and conclusions were not manifestly erroneous.

Respondent contends the charges against him should be dropped because the Disciplinary Board's application of the manifest error standard of review to the Hearing Committee's findings and conclusions was erroneous, the Hearing Committee and Disciplinary Board afforded the evidence from the civil RICO trial greater weight than it should have and because the evidence presented against Respondent fails to meet the clear and convincing standard applicable in bar disciplinary proceedings.

LAW AND DISCUSSION

Respondent maintains that the Disciplinary Board erred when it applied the "manifest error rule" to the factual findings and conclusions reached by the Hearing Committee. In civil cases, the appropriate standard for appellate review of factual determinations is the manifest error-clearly wrong standard which precludes the setting aside of a trial court or jury's finding of fact unless those findings are clearly wrong in *717 light of the record reviewed in its entirety. Alexander v. Pellerin Marble & Granite, 93-1698 (La.1/14/94), 630 So.2d 706; Rosell v. ESCO, 549 So.2d 840 (La.1989). This same standard of appellate review applicable to the factual findings of a district court is also applicable to the factual findings of an administrative body or hearing officer. Walters v.

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Cite This Page — Counsel Stack

Bluebook (online)
683 So. 2d 714, 1996 WL 681422, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-caulfield-la-1996.