In re Mandelbaum - (

373 P.3d 710, 304 Kan. 67, 2016 WL 1391918, 2016 Kan. LEXIS 153
CourtSupreme Court of Kansas
DecidedApril 8, 2016
Docket114830
StatusPublished
Cited by1 cases

This text of 373 P.3d 710 (In re Mandelbaum - () is published on Counsel Stack Legal Research, covering Supreme Court of Kansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re Mandelbaum - (, 373 P.3d 710, 304 Kan. 67, 2016 WL 1391918, 2016 Kan. LEXIS 153 (kan 2016).

Opinion

Per Curiam-.

This is an original proceeding in discipline filed by the office of the Disciplinary Administrator against the respondent, David Ben Mandelbaum, of Leawood, an attorney admitted to the practice of law in Kansas in 1987.

On April 8,2015, the office of the Disciplinary Administrator filed a formal complaint against the respondent alleging violations of the Kansas Rules of Professional Conduct (KRPC). The respondent filed an answer and probation plan on May 15, 2015, and an affidavit of compliance with probation plan on February 29, 2016. A hearing was held on the complaint before a panel of the Kansas Board for Discipline of Attorneys on June 2, 2015, where the respondent was personally present and was represented by counsel. The hearing panel determined that respondent violated KRPC 1.8(a) (2015 Kan. Ct. R. Annot. 530) (conflict of interest); 1.8(e) (providing financial assistance to client); 1.15(a) (2015 Kan. Ct. R. Annot. 556) (safekeeping property); 1.15(d) (preserving client funds); and 8.4(c) (2015 Kan. Ct. R. Annot. 672) (engaging in conduct involving misrepresentation).

Upon conclusion of the hearing, tire panel made the following findings of fact and conclusions of law, together with its recommendation to this court:

*68 “Findings of Fact
[[Image here]]
“Representation of G.F.
“8. The respondent represented G.F. for a number of years. In 2010, G.F. hired the respondent to represent her in a divorce action. The case settled. As a result of the settlement, the respondent received $25,000 on behalf of G.F. The respondent deposited the settlement proceeds into his trust account. G.F. requested that the respondent retain tiróse funds on her behalf in case those funds were needed to pay a judgment in an unrelated civil action.
“9. G.F. and the respondent entered into an oral agreement allowing the respondent to borrow against the $25,000 held in trust. The respondent did not advise G.F. to seek die advice of outside counsel. Between May 2011, and August 2011, the respondent borrowed nearly $10,000 of G.F.’s money held in trust. From time to time, the respondent provided G.F. with disbursements of her settlement proceeds. On August 25, 2011, the respondent provided G.F. with the remaining amount held in trust, including tire amount he had borrowed.
“Representation of C.H.
“10. C.H. retained the respondent to represent her in a worker’s compensation case. The respondent and C.H. entered into a contingent fee agreement which provided that the respondent would receive a 25% fee of any settlement funds.
“11. Prior to tire settlement, the respondent advanced $300 to C.H. for living expenses. At the time the respondent advanced funds to C.H. for living expenses, the respondent held no funds on C.H.’s behalf.
“12. Eventually, the case settled and tire respondent deposited the settlement proceeds of $74,777.91 into his attorney trust account.
“Representation ofL.D.
“13. L.D. retained the respondent to represent her in two cases: a traffic case and the personal injury case. The respondent and L.D. entered into a contingency fee agreement for the personal injury case which provided that the respondent would receive a 30% fee of any settlement funds.
“14. Prior to tire settlement, the respondent advanced L.D. $186.50 so she could pay a municipal court fine in Jackson County Missouri. On November 24, 2011, the respondent advanced L.D. $300 for living expenses. At the time the respondent advanced funds to L.D., the respondent held no funds on behalf ofL.D.
“15. The respondent was able to settle tire case. On February 14, 2012, the respondent received the settlement proceeds. That same day the respondent deposited tire proceeds into his attorney trust account and distributed L.D.’s share to her in the amount of $5,728.01.
*69 “Representation of J.W.
“16. J.W. retained the respondent to represent him in a workers compensation case. The respondent and J.W. entered into a contingent fee agreement which provided that the respondent would receive a 25% fee from any settlement proceeds in addition to reimbursement for case expenses.
“17. The case settled. On August 15, 2011, the respondent deposited a settlement check on behalf of J.W. into his attorney trust account in the amount of $91,400.62. The respondent paid J.W. a total of $40,144.56. The remaining $51,256.06 of the settlement proceeds, which included the respondents fee, were left in the respondent’s trust account with other clients’ funds.
“Representation of R.M. and D.M.
“18. R.M. and D.M. retained the respondent to set up and administer a charitable remainder trust and a charitable lead trust with funds that R.M. and D.M. received upon winning the lottery. For the respondent’s attorney fee, R.M. and D.M. agreed to pay the respondent three quarters of one percent of the charitable remainder trust balance annually.
“19. On December 22, 2011, the respondent deposited a check in the amount of $11,706.15 into his attorney trust account. The check represented the respondent’s fees earned for administering the trust that year. At the time tire respondent deposited the check into his attorney trust account, the fees had been earned. The respondent did not transfer the earned fees to his operating account.
“Representation of J.L. C.
“20. The respondent represented J.L.C. in a variety of matters over a 20-year period. In September 2011, J.L.C. asked the respondent to assist him with purchasing a motorcycle for a friend. The respondent agreed to do so and charged J.L.C. a $200 attorney fee. J.L.C. provided the respondent with $6,260 in cash. The respondent deposited the cash into his trust account. That same day, the respondent wrote a check drawn on his attorney trust account in the amount of $11,259 for the motorcycle. At the time the respondent wrote the trust account check to pay for the motorcycle, the respondent did not hold sufficient funds on J.L.C.⅛ behalf to cover the cost of the motorcycle. Within 10 days, J.L.C. paid the respondent the difference.
“Tax Problems
“21. The respondent failed to pay his federal and Kansas income taxes. As a result, the respondent had a significant tax debt owing both to the Internal Revenue Service (IRS) and the Kansas Department of Revenue (KDR).
“22. In June 2012, the IRS and the KDR levied and removed all funds from the respondent’s operating account. After the IRS and the KDR levied funds contained in his operating account, the respondent intentionally maintained personal funds in his trust account to prevent those funds from being taken by the IRS or KDR.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

In re Saville
458 P.3d 976 (Supreme Court of Kansas, 2020)

Cite This Page — Counsel Stack

Bluebook (online)
373 P.3d 710, 304 Kan. 67, 2016 WL 1391918, 2016 Kan. LEXIS 153, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-mandelbaum-kan-2016.