In Re McCallum

64 N.E.2d 310, 391 Ill. 400, 1945 Ill. LEXIS 376
CourtIllinois Supreme Court
DecidedMarch 21, 1945
DocketNo. 27978. Respondent disbarred.
StatusPublished
Cited by20 cases

This text of 64 N.E.2d 310 (In Re McCallum) is published on Counsel Stack Legal Research, covering Illinois 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 McCallum, 64 N.E.2d 310, 391 Ill. 400, 1945 Ill. LEXIS 376 (Ill. 1945).

Opinions

Mr. Justice Smith

delivered the opinion of the court:

The Board of Managers and the Genera! Committee on Grievances of the Chicago Bar Association, acting as commissioners under Rule 59 of this court, filed a report in this court recommending the disbarment of respondent, William Wallace McCallum. He has brought the record here for review, upon objections and exceptions to- the report. The record is voluminous. More than sixty witnesses were examined and numerous exhibits were admitted in evidence.

« The commissioners found respondent guilty of fraudulent dealings with his clients, and overreaching them in obtaining contracts of employment, and in his settlements with them in cases he had handled for them in at least nine different cases.

The record shows that respondent was admitted to the bar of this court on April 4, 1907; that his practice consists largely of personal injury and death claims; that he appears in court on motions, takes an active part in the preparation of cases and assists in the trials, but employs trial counsel to conduct the trials. His activities in obtaining clients extend into several States.

The findings as to his conduct in overreaching clients in obtaining contracts of employment and in his settlements with them, are based upon the findings of the commissioners, which are amply sustained by the .evidence, that when he would obtain a client he would usually keep him in a hotel or hotels in Chicago, pay his expenses, including hotel bills, hospital bills, physicians’ bills and' court costs and other expenses. He would also advance money to his clients from time to time. His practice was that when he would make an advancement or loan to a client, he would take the client’s note. He testified that when he would make an additional loan or advancement, he would destroy the existing note and take a new note for the increased amount. When the final settlement was made with the client, the last note would be paid, but, in each instance, respondent retained the note in his possession. He never delivered a cancelled note or copy of an employment contract to the client.

In numerous cases, it =is shown by the evidence in the record, there were controversies concerning the amount of fees to be charged, and which respondent deducted from the settlements received in payment of the claims on the final settlement. In each case, however, on the trial ■ of this cause, respondent produced a contract of employment, signed by the client, corroborating him as to the percentage of the amount realized on the claim, which was to be paid to him for his fees. He also produced the last note taken from each client for the amount that he claimed was the aggregate of the advancements made by him. Many of the clients testified positively that they had a definite agreement that the fees would be 33^ per cent. They further testified that they had no knowledge or recollection of signing a contract such as the one produced by respondent. - In each instance, however, the genuine signature was attached to the contract, usually providing for fifty per cent of the recovery. The clients testified that when they made verbal agreements with respondent as to' the amount of his fees, they were asked either by respondent or his secretary, to sign a paper which, it was explained to them, was necessary to permit them to obtain, from the Interstate Commerce Commission, a copy of the report of the accident in which the client was involved; that they signed the paper as requested, without reading it, and had no knowledge of what it was or that it was a contract of employment. It is obvious from -the record that this was the method respondent employed to get the signatures of clients to the contracts for a contingent fee of fifty per cent of the money realized from the claims. Most of his clients were unsophisticated and inexperienced in legal and business matters. Naturally they would not hesitate to sign any paper presented to them by the attorney they had employed, without knowing what they were signing, upon this plausible explanation made, without reading or questioning the character of the paper or the propriety of signing it. Respondent and his secretary denied that such statements were made, or any papers signed or requested for the purpose of obtaining copies of records of the Interstate Commerce Commission.

In most of the cases, when the final settlement came there was a controversy concerning the amount of the fees and advancements. In several cases, settlements were delayed until the client employed another attorney to enforce settlement h,y respondent. In some cases suits were brought against him. In some instances no settlements were made until the client had filed a complaint with the bar association. The record shows that in some cases the clients were so hard pressed financially that they were willing to accept any amount respondent offered them and, under the lash of necessity, were willing to sign any papers which he requested, in order to get a settlement and obtain whatever amount respondent would give them.

The evidence concerning the signing of contracts and the settlements is extremely conflicting. It cannot be reconciled. Either the clients testified falsely or respondent and his secretary, who was his chief witness in every case, testified falsely. It seems not at all likely that a dozen or more former clients, widely scattered and coming from several different States, and apparently having no acquaintance or relations with each other, would all testify substantially to a similar state of facts relative to the contracts of employment and the controversy relative thereto on their settlements with respondent, if the facts to which they testified were untrue. Nevertheless, we shall not undertake to reconcile the testimony concerning these matters, or to determine wherein the truth lies. For the purposes of this opinion, we may pass over all of the charges that respondent was guilty of fraud in obtaining the contracts and in dealing with his clients, and that he overreached them in procuring their signatures to contracts, in procuring their notes for moneys advanced to them, and in the final settlements. The opinion in this case, as we view this record, may be properly limited to the charges that respondent was guilty of soliciting cases through solicitors or “investigators.” Hence, we will confine this opinion to that branch of the case.

Respondent was before this court in 1930, in People ex rel. Chicago Bar Association v. William Wallace Mc-Callum, 341 Ill.. 578. In that case it was said: “The offense of the solicitation of business charged against respondent is not one which imports, neither does the evidence produced in support thereof show, venality, criminality, fraudulent practices or moral turpitude on his part. We are of the opinion that while the circumstances of this case are not such as call for the disbarment of respondent yet they cannot lightly be passed over. Conduct such as respondent’s in soliciting business is deserving of severe censure by this court, and persistence therein would justify disbarment.”

While respondent in that case was let off with a censure for his conduct, he was admonished and warned that persistence in the practice of soliciting cases would justify his disbarment. In this case the commissioners' found him guilty on a number of charges of soliciting cases. Much evidence was offered touching these charges and there is much conflict in the evidence concerning them.

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Bluebook (online)
64 N.E.2d 310, 391 Ill. 400, 1945 Ill. LEXIS 376, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-mccallum-ill-1945.