In re the Disciplinary Proceeding Against Schafer

149 Wash. 2d 148
CourtWashington Supreme Court
DecidedApril 17, 2003
DocketNo. 08652-4
StatusPublished
Cited by15 cases

This text of 149 Wash. 2d 148 (In re the Disciplinary Proceeding Against Schafer) is published on Counsel Stack Legal Research, covering Washington 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 the Disciplinary Proceeding Against Schafer, 149 Wash. 2d 148 (Wash. 2003).

Opinions

Bridge, J.

“[We] cannot tolerate for a moment, neither can the profession, neither can the community, any disloyalty on the part of a lawyer to his client. In all things he must be true to that trust, or, failing it, he must leave the profession.”1

[154]*154I

On August 12, 1992, William Hamilton contacted his attorney, Douglas Schafer, requesting assistance in forming a corporation to purchase a bowling alley from the estate of Charles Hoffman. Schafer and Hamilton met on August 17, 1992 to discuss the formation of the corporation. During either the August 12 or 17 conversation, Hamilton informed Schafer that Grant Anderson was the personal representative and attorney for the Hoffman estate and that Anderson had been “ ‘milking’ ” the estate for four years. Decision Papers (DP) at 25. Significantly, Hamilton informed Schafer that Anderson was about to become a judge and needed to close the sale of the bowling alley quickly before Anderson assumed the bench. Hamilton said that Anderson was giving Hamilton a good deal on the bowling alley and that Hamilton would repay Anderson “ ‘down the road.’ ” Id. Schafer replied that “he did not want to hear about it.” Id. In January 1993, Anderson was sworn in as a judge of the Pierce County Superior Court.

In July 1995, nearly three years after Schafer formed the corporation for Hamilton, Schafer represented Donald Barovic in a case before Judge Anderson. Judge Anderson ruled that Schafer’s petition was frivolous and without legal merit, and assessed $1,000 in attorney fees against Schafer’s client. On the day of Judge Anderson’s ruling, Schafer copied the court file for the Hoffman estate and initiated calls to the attorneys involved in that matter. Schafer then met with Hamilton on December 18, 1995, to discuss Hamilton’s prior statements about Anderson. Hamilton warned Schafer to “stop ‘looking for dirt’ ” on Judge Anderson. Id. at 26.

Over the next month and a half, Schafer researched public records and contacted individuals to discuss Anderson’s handling of the Hoffman estate, and also conferred with the attorney who represented Anderson’s wife in the Andersons’ marriage dissolution. The ex-Mrs. Anderson’s divorce attorney recommended that Schafer investigate Anderson’s acquisition of a Cadillac. On investigation, [155]*155Schafer discovered facts leading him to believe that Hamilton either had been paying for Anderson’s Cadillac or had given him the funds to purchase it.

Then, on February 1, 1996, Hamilton sent a letter to Schafer terminating their professional relationship, stressing in the letter that Schafer had “ ‘no authority to disclose any privileged information, relating to your prior representation of me.’ ” Id. at 28. Later that day Schafer met with Hamilton and his new attorney, Philip Sloan. Hamilton and Sloan both emphasized to Schafer that he should not disclose any of the confidences that Hamilton had shared with Schafer and threatened to pursue disciplinary action if Schafer failed to protect Hamilton’s confidential information. The next day, Sloan faxed instructions to Schafer “ ‘not to disclose any communications re Grant Anderson to anyone. If you do—you will be in violation of RPC 1.6.’ ” Id. Meanwhile, Schafer filed a motion of prejudice and supporting statement in the Barovic case, requesting the case be assigned to a judge other than Anderson. The motion included a reference to his investigation of Anderson’s conduct with the Hoffman estate but did not disclose any information from Hamilton at that time.

Over the next several months, Schafer became obsessed with Judge Anderson. He met with a series of legal and government organizations, and eventually the press, revealing his findings about Anderson and Hamilton’s dealings. On February 6, 1996, Schafer met with the Pierce County prosecuting attorney to discuss Anderson’s alleged improprieties. Two days later he contacted the Federal Bureau of Investigation (FBI). The following day, the prosecutor’s office informed Schafer that it was beginning an investigation of Schafer’s allegations. On February 13, 1996, Schafer met with an investigator for the Washington Commission on Judicial Conduct (CJC) and provided her with documents related to Anderson’s alleged misconduct.

On February 16, 1996, Schafer created a document titled “Declaration Under Penalty of Peijury” (declaration), which [156]*156revealed contents from his conversations with Hamilton. The relevant section of the declaration states:

On August 12, 1992, I was called by my client, William L. Hamilton, who I previously had advised in several matters including the formation in 1990 of Sound Banking Company (of which he was President/CEO, as he had been at Western Community Bank for about 25 years before its sale), and he requested that I form a new corporation for him immediately. He said that an attorney he knew, Grant Anderson, had been “milking” an estate for four years and was about to become a judge, so he needed to quickly sell the estate’s business, Pacific Lanes, in order to close the estate before he took the bench. Hamilton said that he had agreed to buy the business. It was either in that phone conversation or when we met on August 17, 1992, that Hamilton commented that there was no time for an appraisal of the business, that Anderson was giving him a good deal, and that Hamilton would repay him “down the road” by paying him as corporate secretary or something like that. When I heard that comment, I told Hamilton, “I don’t even want to hear about it!” I formed his corporation, Pacific Recreation Enterprises, Inc., and had no further involvement with him concerning the purchase of Pacific Lanes. My notes from those conversations and papers Hamilton gave me when we met reflect that the estate was that of Chuck Hoffman.

DP at 31.

Schafer also prepared a memorandum, dated February 29, 1996, addressed to “Appropriate Public Officials,” (memorandum) which he provided with his declaration and select files and documents. DP at 32. Schafer sent his declaration and memorandum to the Washington attorney general’s office on March 1, 1996. He then sent the declaration, memorandum and a box of documents to the Washington State Bar Association (WSBA). He sent the declaration and memorandum to the Internal Revenue Service (IRS), Criminal Investigation Division. He also appended the declaration containing Hamilton’s confidences, the memorandum and select documents to a motion for discretionary review filed in the Court of Appeals in the Barovic case, but did not seek court assistance to protect the [157]*157confidentiality of the documents.2 Upon filing, the content of Hamilton’s conversations with Schafer became available to the public at large as a court record. Finally, on April 26, 1996, Schafer provided his declaration and memorandum to The Seattle Times, the Seattle Post-Intelligencer, and The News Tribune.

Outraged at Schafer’s disclosures, Hamilton filed a grievance against Schafer with the WSBA on July 26, 1996, claiming Schafer violated the Rules of Professional Conduct (RPC) when he disclosed Hamilton’s confidential information without authorization. Despite the pending grievance, Schafer went on to author two articles in local newspapers, touting his role in Anderson’s disciplinary proceedings and exposing Hamilton’s confidences in detail.3

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Bluebook (online)
149 Wash. 2d 148, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-the-disciplinary-proceeding-against-schafer-wash-2003.