In re Disciplinary Proceedings Against Kinast

508 N.W.2d 380, 180 Wis. 2d 32, 1993 Wisc. LEXIS 921
CourtWisconsin Supreme Court
DecidedDecember 6, 1993
DocketNo. 91-2080-D
StatusPublished
Cited by1 cases

This text of 508 N.W.2d 380 (In re Disciplinary Proceedings Against Kinast) 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
In re Disciplinary Proceedings Against Kinast, 508 N.W.2d 380, 180 Wis. 2d 32, 1993 Wisc. LEXIS 921 (Wis. 1993).

Opinion

PER CURIAM.

Attorney disciplinary proceeding; attorney's license suspended.

Attorney Frank X. Kinast appealed from the referee's findings of fact and conclusions of law that he [33]*33engaged in professional misconduct in two matters and from the referee's recommendation that his license to practice law be suspended for 60 days as discipline for that misconduct. The misconduct consisted of Attorney Kinast's failure to withdraw from a client's representation after being discharged by the client, charging a fee for work in that matter he had not been authorized to perform, continuing to assert that he represented the client following discharge when his interests in the matter conflicted with the client's interest, failing to abide by that client's decision concerning the objectives of representation and charging clients an unreasonable fee in another matter.

We adopt the referee's findings of fact, having determined that, contrary to Attorney Kinast's argument, they are not clearly erroneous. We also adopt the referee's conclusions of law based on those findings. Attorney Kinast refused to accede to his client's decision to discharge him and continued to take action purportedly on the client's behalf in a matter in which he sought to obtain payment of his legal fee for services previously rendered to the client. Further, Attorney Kinast charged clients in another matter a fee exceeding that to which he had obtained the clients' written agreement. The seriousness of that misconduct and the fact that the court previously publicly reprimanded him for charging a clearly excessive fee warrant the imposition of the 60-day license suspension recommended by the referee.

Attorney Kinast was licensed to practice law in Wisconsin in 1947 and practices in Beloit. In 1984, he was publicly reprimanded for charging a clearly excessive fee for representation of a client in a divorce proceeding. Disciplinary Proceedings Against Kinast, 121 Wis. 2d 25, 357 N.W.2d 282. After testimony and [34]*34evidence were presented at a disciplinary hearing, the referee, Attorney John P. Morris, made the following findings of fact.

In late December, 1983, Attorney Kinast was retained to attempt to vacate a $356,000 default judgment obtained against his client by two neighbors. Upon entry of that judgment, a portion of the client's estate, estimated at one-half million dollars and of which the client was sole heir, was placed in escrow with a bank pending the outcome of litigation attacking the judgment. Although unsuccessful in having the judgment vacated, Attorney Kinast achieved a $150,000 reduction in the punitive damage portion of the judgment.

Subsequent to the default judgment matter, Attorney Kinast brought a libel action against the neighbors' attorney for a statement he had made in a letter to the sheriff asking for protection of the neighbors from harassment by Attorney Ednast's client. In that letter, the attorney referred to Attorney KInast's client as "a mad man." The jury found the allegedly libelous statement true and the action was dismissed. Immediately following the jury's verdict, on October 31, 1988, the client told Attorney Kinast he was finished as his attorney. Soon thereafter, Attorney Kinast sent the client a statement for legal services in the amount of $136,000, of which there remained a balance of $65,000.

Although he had been discharged at the end of October, 1988, Attorney Kinast continued to represent himself as attorney for the former client, approving a court order of December 21, 1988 directing payment from escrowed funds of the balance due on the default judgment obtained by the client's neighbors, payment of the escrow agent for its fee and issuance of a check [35]*35jointly payable to Attorney Kinast and the client for the $260,000 balance of the escrowed funds.

The referee found that, at least by May 4, 1989, Attorney Kinast was fully aware that the client strongly contested his right to be named on the check representing the balance of the escrowed funds, that he challenged Attorney Kinast's right to any of the proceeds of that check and that he had told several persons he had previously discharged Attorney Kinast as his attorney. Further, by July 5, 1989, Attorney Kinast learned that the former client had filed a grievance against him with the Board of Attorneys Professional Responsibility concerning his holding the check and his attempt to obtain payment of his fee by asking the former client to come in to endorse the check.

In response to repeated communications from Attorney Kinast's former client objecting to its having issued the escrowed funds in the form of a jointly payable check, the bank filed a motion in the circuit court seeking to have that check voided and to pay the funds into an interest-bearing account with the court. At the hearing on that motion held July 19, 1989, Attorney Kinast appeared, asserting a possessory lien on the check's proceeds and claiming to be acting as attorney for his former client. He also told the court, in response to its expressed concerns, that his interests and his former client's were of a similar nature.

Although the referee did not make findings, the record establishes the following. Between October 31, 1988 and the date of the hearing on the bank's motion, Attorney Kinast had no communication with his former client; the numerous letters he had sent were returned unopened by a close friend of the former client in May, 1989. At the July 19, 1989 hearing, the judge expressed his belief that there was. a conflict between [36]*36Attorney Kinast's interests in seeking to protect his claimed legal fees and those of the former client, who had expressed his desire to have total control of the estate funds previously escrowed to pay the default judgment. The former client did not appear at that hearing, either personally or by another.

The court granted the bank's motion and, in addition, ordered payment of its administrative and attorney fees incurred in bringing the motion. Attorney Kinast asked the court to stay execution of that order until he could submit a brief demonstrating that he had an attorney's lien on the funds. In response, the court modified its order to provide that any lien Attorney Kinast might have on those funds would continue to exist once the funds were paid into the court.

Several days later, Attorney Kinast filed a motion asking the court to reconsider its order directing that the jointly payable check be voided and the escrowed funds paid into the court; a few days after that he filed an ex parte motion again requesting reconsideration of the order. In each of those motions, Attorney Kinast represented that he was appearing as attorney for the former client. The court held a hearing on the reconsideration motion on August 3, 1989, at which Attorney Kinast again stated that he represented the former client and was intending to preserve his appeal rights. The court denied reconsideration.

On September 11, 1989, Attorney Kinast filed, purportedly on behalf of his former client, a notice of appeal of the circuit court's order voiding the jointly payable check and directing payment of the escrowed funds into the court. On September 23,1989 he told an attorney hired by his former client to represent him in the matter that he would not sign a stipulation for substitution until the matter of his claimed possessory [37]

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Related

Matter of Disciplinary Proceedings Against Kinast
530 N.W.2d 387 (Wisconsin Supreme Court, 1995)

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Bluebook (online)
508 N.W.2d 380, 180 Wis. 2d 32, 1993 Wisc. LEXIS 921, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-disciplinary-proceedings-against-kinast-wis-1993.