In Re Schneider

456 N.E.2d 2, 98 Ill. 2d 215, 74 Ill. Dec. 500, 1983 Ill. LEXIS 468
CourtIllinois Supreme Court
DecidedSeptember 23, 1983
Docket57167
StatusPublished
Cited by4 cases

This text of 456 N.E.2d 2 (In Re Schneider) 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 Schneider, 456 N.E.2d 2, 98 Ill. 2d 215, 74 Ill. Dec. 500, 1983 Ill. LEXIS 468 (Ill. 1983).

Opinion

JUSTICE MORAN

delivered the opinion of the court:

The Administrator of the Attorney Registration and Disciplinary Commission filed a three-count complaint before the Commission charging respondent, Paul Schneider, with professional misconduct. Count I alleged that respondent represented clients with conflicting interests in a criminal case, and counseled certain clients to provide false information to the prosecuting attorney. Counts II and III charged him with neglect in handling legal matters entrusted to him. The Hearing Board found respondent guilty of all three counts and recommended that he be suspended from the practice of law for a period of three years, and until further order of the court. Both the Administrator and respondent filed exceptions with the Review Board, which adopted the findings of the Hearing Board but recommended that respondent be disbarred.

Two issues are raised on appeal: (1) Were the allegations contained in count I proved by clear and convincing evidence? (2) Is disbarment an appropriate sanction under the circumstances of this case?

The facts relevant to count I are as follows. On October 31, 1978, John Harvey, Alan Sherman and David Berta (defendants) were arrested in Milwaukee, Wisconsin, and charged with forgery in connection with a “check-kiting” scheme. Subsequent to their arrest they telephoned Joseph Kordan, who was responsible for planning, and providing the necessary funds for, the operation. Kordan then contacted respondent and requested that he investigate the nature of the charges pending against the men and the amount of their bail. Respondent interviewed Harvey and Sherman in jail that same evening and later reported the substance of that conversation to Kordan.

The following day respondent contacted Robert Lerner, a lawyer practicing criminal law in Milwaúkee. Pursuant to their conversation, Lerner agreed to represent the defendants. Between November 1 and November 7, 1978, respondent and Lerner had numerous telephone conversations concerning the pending charges and strategies for bond reduction. Respondent also had frequent discussions with Kordan, during which he became apprised of Kordan’s participation in the scheme.

On November 7, respondent met with Lerner at Lerner’s office in Wisconsin. The purpose of the meeting was to discuss the status of the case and to visit the defendants in jail. Respondent also paid Lerner a $1,000 retainer fee which, he received from Kordan. The events which transpired during the meeting, and the subsequent discussions at the jail, are in dispute.

Lerner, who testified for the Administrator before the Hearing Board, stated he informed respondent the defendants were in substantial jeopardy and the evidence against them was overwhelming. However, the prosecuting attorney was willing to negotiate if they would reveal the identity of the “mastermind” behind the scheme. Respondent then inquired as to “what would happen” if the defendants informed the prosecuting attorney that Richard Bernowski, who was deceased, planned the operation. Lerner replied that he did not believe Bernowski was involved, and he would not counsel his clients to lie to the authorities. He further testified that respondent indicated he was aware Bernowski was not involved in the offense. Subsequent to their meeting, Lerner stated that he and respondent spoke with the defendants at the jail. Respondent “suggested” to each of them that they inform the prosecuting attorney Bernowski planned the scheme.

Respondent testified for the Administrator as an adverse witness. He stated that he did not apprise Lerner of Kordan’s involvement in the offense because Kordan did not want his identity disclosed. He further stated that Kordan paid him $1,000 in legal fees, and that he considered himself the attorney for defendants and Kordan until sometime subsequent to November 7, 1978. Respondent admitted that he mentioned Bernowski’s name to the defendants, but stated he believed that he actually was involved in the offense.

Harvey and Sherman also testified for the Administrator. Harvey stated that Kordan planned the operation, but that respondent suggested they say Bernowski was responsible so as to “take the heat off.” Harvey also indicated that respondent was aware of the operation prior to the defendants’ arrests. According to the witness, he contacted respondent several weeks prior to the commission of the offense. Harvey stated that he informed respondent he was reconsidering participating in the scheme. Respondent informed him that “everything was all right [and] to go ahead” with the operation. During cross-examination, Harvey indicated that Kordan and Bernowski participated in a similar scheme in the past, and that Bernowski may have been involved in the current operation. He further stated that he considered respondent as his attorney.

Sherman’s testimony essentially corroborated Harvey’s. On cross-examination, he stated that he has been convicted of six criminal offenses.

Respondent testified on his own behalf. He related that his law practice was primarily limited to traffic court, and that he had not previously represented a defendant in a felony case. He further stated that he only represented the defendants in the instant case as an “investigative attorney.” His sole obligations were to determine the nature of the charges and to retain counsel for the defendants.

Respondent also indicated that Kordan told him Bernowski was involved in the scheme. He testified he never suggested that the defendants lie to the authorities; rather, he merely informed them that Bernowski died and they no longer needed to “protect” him. •

Three character witnesses testified for respondent and stated that he had a good reputation in the community for honesty and integrity. A number of affidavits attesting to respondent’s good character were also introduced into evidence.

The parties stipulated to the facts involved in counts II and III. Count II alleged that respondent was retained to defend Sam Beckerman in a contract suit. He filed an appearance on behalf of his client but failed to take any further action. A default judgment was entered against Beckerman, who then requested that respondent vacate the judgment. When he failed to do so, Beckerman retained a new attorney but was unable to vacate the default judgment. As a result of respondent’s conduct, Beckerman was damaged in the amount of $5,000.

Count III involved similar circumstances. Katherine Petrak retained respondent to defend her in a real estate action. He filed an appearance, but failed to take any further action until a default judgment was entered against her. Although respondent filed a motion to vacate the judgment, he failed to appear and argue the motion. Petrak subsequently retained a new attorney who was unable to vacate the default judgment. Respondent’s conduct resulted in damage to his client in the amount of $3,300.

Respondent contends that the allegation he counseled defendants to lie to the authorities was not proved by clear and convincing evidence, because the witnesses who testified against him were not credible.

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

Related

In re Ring
565 N.E.2d 983 (Illinois Supreme Court, 1990)
In Re Betts
485 N.E.2d 1081 (Illinois Supreme Court, 1985)
In Re Levin
463 N.E.2d 715 (Illinois Supreme Court, 1984)

Cite This Page — Counsel Stack

Bluebook (online)
456 N.E.2d 2, 98 Ill. 2d 215, 74 Ill. Dec. 500, 1983 Ill. LEXIS 468, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-schneider-ill-1983.