Iowa Supreme Court Attorney Disciplinary Board v. Bryan J. Humphrey

812 N.W.2d 659, 2012 WL 1058320, 2012 Iowa Sup. LEXIS 30
CourtSupreme Court of Iowa
DecidedMarch 30, 2012
Docket11–2062
StatusPublished
Cited by25 cases

This text of 812 N.W.2d 659 (Iowa Supreme Court Attorney Disciplinary Board v. Bryan J. Humphrey) is published on Counsel Stack Legal Research, covering Supreme Court of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Iowa Supreme Court Attorney Disciplinary Board v. Bryan J. Humphrey, 812 N.W.2d 659, 2012 WL 1058320, 2012 Iowa Sup. LEXIS 30 (iowa 2012).

Opinion

MANSFIELD, Justice.

An attorney was retained on a contingent fee basis to obtain a settlement from an insurance company. The attorney failed to put his agreement with his clients in writing. He subsequently allowed the matter to languish and did not respond to repeated inquiries from the clients. He also failed to respond to inquiries from the Iowa Supreme Court Attorney Disciplinary Board after the clients filed a complaint. We now have to decide whether the attorney violated our ethical rules and, if so, what the sanction should be.

This case comes before us on the report of a division of the Grievance Commission of the Supreme Court of Iowa. See Iowa Ct. R. 35.10(1). The Board alleged the respondent, Bryan J. Humphrey, violated Iowa Rules of Professional Conduct 32:1.3, 32:1.4(a)(3), 32:1.4(a)(4), 32:1.5(c) and 32:8.1(b). The commission agreed and recommended Humphrey be suspended from the practice of law. Upon our consideration of the commission’s findings of fact, conclusions of law, and recommendations, *662 we also agree that Humphrey violated each of these rules. Considering Humphrey’s current violations and his prior disciplinary record, we order his license suspended indefinitely with no possibility of reinstatement for three months.

I. Factual and Procedural Background. 1

Humphrey was admitted to the Iowa bar in 1981 and practices on his own. In July 2005, Humphrey was retained by Marty and Sheryl Victory to represent them in negotiating an insurance settlement with Amco Insurance Company. The Victorys’ home had suffered fire damage following a lightning strike. Humphrey entered into an unwritten contingent fee agreement with the Victorys under which he would receive one third of their insurance recovery. On July 15, 2005, Humphrey sent a letter to Amco requesting that it cover the Victorys’ hotel costs and out-of-pocket expenses. Humphrey continued to correspond regularly with the Amco adjuster through July 2008: The Victorys received an initial insurance payment of approximately $6000 from which Humphrey was paid one third.

However, beginning in October 2008, Humphrey essentially ceased responding to inquiries from the Victorys regarding the ongoing status of settlement discussions with Amco. From October 16, 2008, through December 30, 2009, the Victorys sent thirty-five text messages asking about the status of their claim. They received three text message responses from Humphrey on September 8, 2009, November 24, 2009, and December 2, 2009.. The first of these responses came eleven months after the first query from the Victorys.

The Victorys also attempted to contact Humphrey through a series of certified letters. The first was sent on March 21, 2009, and stated:

We have not had any luck getting a hold of you by phone so I thought I would try -writing to you. We have a few questions we want answered.
1) Why don’t you answer our calls or text messages?
2) When are you available to meet with us?
3) Are you still trying to get us settled?
4) What is the statute of limitation?
5) Have you filed a lawsuit against Allied? If so when?
6) Will you send copies of the lawsuit?
7) Have you tried to call Carl?
8) Have you sent a letter to Carl for him to sign?
Please answer these and get back to us as soon as possible.

On April 19, 2009, and May 8, 2009, the Victorys sent two more certified letters asking Humphrey the same questions. Although Humphrey received all three letters, he did not reply to any of them.

On July 13, 2009, Humphrey wrote the Amco insurance adjuster about the Victo-rys’ claim. On November 12, 2009, the Victorys sent a fourth certified letter stating:

We have not heard from you in quite awhile. You do not answer our phone or text messages so I thought I would try writing to you. We have a few questions we want answered.
1) Why don’t you answer our phone calls or text messages?
*663 2) About a year ago you told us everything would be done by the end of the year, what happened?
3) Are you still working for us?
4) Have you been in contact with the insurance company at all?
5) Are you going to file a lawsuit against the insurance company for us?
6) If you are still working for us what is going on?
7) Have we said or done something to make you not want to help us?
[[Image here]]
There are 202 days left before the 5 year anniversary of the fire.

Humphrey received this fourth letter on November 18 but still did not respond to the Victorys, although he did write the insurance adjuster again on their behalf.on November 20, 2009.

Finally, on January 25, 2010, the Victo-rys mailed yet another letter which stated:

We have not heard from you in quite a while. I wanted to enclose some of the many text that I (we) have sent to you with little response from you as you can see. We have sent registered letters to you with no response. The only time we get to talk to you anymore is when we run into you some where. When we hired you to help us, we believed in you and you continually let us down. Our number # 1 question at this time is ‘Why?”
[[Image here]]
There are 137 days left before the 5 year anniversary-of the fire.

Humphrey did not respond to this fifth letter, so on March 17, 2010, the Victorys filed a complaint with the Board. Humphrey responded to the Board’s initial inquiry, but did not reply to a subsequent July 15, 2010 letter asking him to “provide the Board with copies of [his] written communications with the insurance carrier, the complainants, and an accounting of all settlement checks received from the insurance carrier.” He also did not reply to a second Board letter dated October 15, 2010.

The Victorys completed their negotiations with Ameo on their own. On August 18, 2010, they agreed to a final settlement that involved an additional payment by Ameo of $13,272.54. No portion of this insurance payment went to Humphrey. There is no evidence that the Victorys suffered any tangible financial loss because of Humphrey’s actions or that Humphrey unreasonably profited from his work on their behalf. However, a substantial, mul-tiyear delay occurred before the Victorys received their final insurance payment.

On August 5, 2011, the Board filed a complaint against Humphrey alleging that he had violated rules 32:1.3, 32:1.4(a)(3), 32:1.4(a)(4), 32:1.5(c) and 32:8.1(b).

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Related

Iowa Supreme Court Attorney Disciplinary Board v. Sheree L. Smith
885 N.W.2d 185 (Supreme Court of Iowa, 2016)

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Bluebook (online)
812 N.W.2d 659, 2012 WL 1058320, 2012 Iowa Sup. LEXIS 30, Counsel Stack Legal Research, https://law.counselstack.com/opinion/iowa-supreme-court-attorney-disciplinary-board-v-bryan-j-humphrey-iowa-2012.