In re the Suspension of Eichenauer-Schoenleben

59 V.I. 958, 2013 WL 5773048, 2013 V.I. Supreme LEXIS 77
CourtSupreme Court of The Virgin Islands
DecidedOctober 25, 2013
DocketS. Ct. Civil No. 2013-0051, S. Ct. Civil No. 2013-0076
StatusPublished
Cited by3 cases

This text of 59 V.I. 958 (In re the Suspension of Eichenauer-Schoenleben) is published on Counsel Stack Legal Research, covering Supreme Court of The Virgin Islands primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re the Suspension of Eichenauer-Schoenleben, 59 V.I. 958, 2013 WL 5773048, 2013 V.I. Supreme LEXIS 77 (virginislands 2013).

Opinion

OPINION OF THE COURT

(October 25, 2013)

Per curiam.

These matters are before the Court pursuant to a petition for disciplinary action filed by the Ethics & Grievance Committee of the Virgin Islands Bar Association (“EGC”), which requests that this Court approve its recommendation to, among other things, suspend Sharon Eichenauer-Schoenleben, Esq., from the practice of law for ten months, as well as a petition for transfer to disability inactive status by consent. For the reasons that follow, we reject the petition for transfer and grant the petition for disciplinary action, as modified.

I. BACKGROUND

In November 1992, Edward Haas began to borrow money from his then-girlfriend, Dolores Ingram. Haas and Ingram both resided in Pennsylvania, but Haas secured the loan using real property he owned in St. John. By July 1996, Haas owed Ingram approximately $168,804.26 in unpaid principal and interest. When Haas failed to repay this debt after several requests for payment, Ingram sued Haas in Pennsylvania state court on October 23, 1996. Although that court scheduled a trial for March 23, 1998, Haas failed to appear; nevertheless, the trial proceeded in his absence, and the court entered a judgment against him and in favor of Ingram. On November 17, 1998, the Pennsylvania court issued Ingram [962]*962a power of attorney permitting her to sell the St. John property to satisfy the judgment. While Haas appealed that judgment, a Pennsylvania appellate court affirmed the trial court in a March 23, 1999 Opinion.

Ingram used the power of attorney to sell the St. John property. Haas subsequently hired a relatively large St. Thomas law firm to file a replevin action on his behalf in the Superior Court,1 which it did on March 6,2000, alleging that the power of attorney was contrary to Virgin Islands foreclosure law and that he was entitled to redeem it. Ingram, through her counsel, subsequently filed a motion to dismiss, which notified the Superior Court of the Pennsylvania appellate court’s March 23, 1999 Opinion affirming the Pennsylvania trial court’s judgment.

On November 13, 2002, the Superior Court permitted the St. Thomas law firm to withdraw as Haas’s counsel due to non-payment of fees. Haas then retained Eichenauer-Schoenleben to represent him in the Superior Court proceeding, and she entered an appearance on his behalf on April 30, 2003. On January 30, 2004, Eichenauer-Schoenleben notified the Superior Court that Haas had been arrested for contempt of court in Pennsylvania for interfering with the power of attorney by filing the Virgin Islands lawsuit, and that he filed a second appeal in Pennsylvania, which was still pending. Eichenauer-Schoenleben did not, however, disclose that the Pennsylvania court expressly advised the parties that they could proceed with the Virgin Islands litigation despite the pendency of the contempt appeal.

Discovery remained ongoing; however, despite receiving multiple requests for written discovery from opposing counsel, Eichenauer-Schoenleben failed to respond until the Superior Court, in an April 6, 2004 Order, required her to respond to the requests. Although Haas wrote to Eichenauer-Schoenleben on May 21, 2004, noting that he wished to engage in factual discovery, including taking depositions, and Eichenauer-Schoenleben agreed to notice the deposition “immediately,” Eichenauer-Schoenleben failed to take any depositions, request any written discovery, or request the disclosures provided for in Federal Rule [963]*963of Civil Procedure 26.2 On July 22, 2004, Haas wrote to Eichenauer-Schoenleben stating that he had tried to get in touch with her for several weeks, and had received no response.

At a status conference held on August 23, 2004, the Superior Court indicated that it wished to wait for resolution of the second Pennsylvania appeal, based on Eichenauer-Schoenleben’s representation that it addressed the power of attorney. Eichenauer-Schoenleben, however, still did not disclose that the appeal solely addressed the contempt issue — and not the validity of the underlying power of attorney —■ or that the Pennsylvania court had advised the parties that the Virgin Islands litigation could proceed. On December 14, 2004, opposing counsel notified the Superior Court that the Pennsylvania appellate court resolved the contempt appeal, and did not disturb the power of attorney.

At this point, Haas’s case languished in the Superior Court with virtually no activity for approximately seven years. On July 6, 2006, January 9, 2007, May 5, 2008, and May 2, 2011, Haas wrote to Eichenauer-Schoenleben requesting updates on the litigation, but she never responded to any of his communications. Haas also tried to visit Eichenauer-Schoenleben in-person at her law office approximately 12 times, but she was never there. Moreover, when Haas saw Eichenauer-Schoenleben on the street and attempted to speak to her, she would pretend not to recognize him.

Ultimately, Haas filed a grievance with the EGC on August 1, 2011. Eichenauer-Schoenleben timely submitted a written response to Haas’s grievance on August 15, 2011, where she attributed the failure to move the litigation forward to Haas never providing her with a copy of the Pennsylvania court’s disposition of the contempt appeal. She also alleged that either Haas never called her, or did not leave a message on her answering machine. On August 23, 2011, Eichenauer-Schoenleben filed a motion with the Superior Court to withdraw as Haas’s counsel — her first substantive filing in approximately six years — which the Superior Court subsequently granted in a September 20, 2011 Order. Haas chose to continue the litigation pro se, and the Superior Court, in a July 20, 2012 Order, dismissed his complaint with prejudice.

[964]*964The EGC issued a Notice of Hearing on July 11, 2012, advising Eichenauer-Schoenleben that she was charged with violating Model Rules of Professional Conduct 1.1, 1.3, and 1.4. At the August 27, 2012 hearing, the EGC heard testimony from both Haas and Eichenauer-Schoenleben. At the hearing, Eichenauer-Schoenleben testified that she never saw the decision of the Pennsylvania court advising the parties that they could proceed with the Virgin Islands litigation notwithstanding the pendency of the contempt appeal until after Haas filed his grievance. Although she acknowledged that opposing counsel had filed the contempt decision with the Superior Court on December 14, 2004, she claimed that she must not have been served with a copy. She also testified that she did speak to Haas on the phone, but that she had no records to corroborate this claim because she does not charge clients for phone calls.

At the hearing, Eichenauer-Schoenleben admitted to never receiving Haas’s client file from his former law firm, and to never reviewing Ingram’s motion to dismiss or the Pennsylvania appellate court’s March 23, 1999 Opinion affirming the grant of the power of attorney. When asked why she did not obtain the record from the Superior Court, Eichenauer-Schoenleben said that because the Superior Court file “was quite huge,” she “wanted Mr. Haas to get that for [her]” from the Superior Court or from his prior attorney. (Hearing Tr. 98.)

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Related

In re the Disbarment of Taylor
60 V.I. 356 (Supreme Court of The Virgin Islands, 2014)
In re the Disbarment of Rogers
60 V.I. 293 (Supreme Court of The Virgin Islands, 2013)
In re the Disbarment of McLughlin
60 V.I. 228 (Supreme Court of The Virgin Islands, 2013)

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Bluebook (online)
59 V.I. 958, 2013 WL 5773048, 2013 V.I. Supreme LEXIS 77, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-the-suspension-of-eichenauer-schoenleben-virginislands-2013.