Kaufman v. Commission for Lawyer Discipline

197 S.W.3d 867, 2006 Tex. App. LEXIS 6288, 2006 WL 2022504
CourtCourt of Appeals of Texas
DecidedJuly 20, 2006
Docket13-04-682-CV
StatusPublished
Cited by37 cases

This text of 197 S.W.3d 867 (Kaufman v. Commission for Lawyer Discipline) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kaufman v. Commission for Lawyer Discipline, 197 S.W.3d 867, 2006 Tex. App. LEXIS 6288, 2006 WL 2022504 (Tex. Ct. App. 2006).

Opinion

OPINION 1

Opinion by

Justice CASTILLO.

After a jury found professional misconduct, the trial court entered a judgment of disbarment. By eight issues, 2 Colin K. Kaufman appeals the judgment and seeks a reversal. We affirm.

I. BACKGROUND

In 1992, Kaufman was appointed as trustee for Charles B. Feldman d/b/a Charles Feldman Investments (CFI) under a bankruptcy plan of reorganization. In that capacity, he was responsible for collecting and distributing to creditors approximately $354,000.00 from the ongoing business of CFI. Although the monies were deposited into Kaufman’s IOLTA trust account, evidence was presented to the jury demonstrating that Kaufman paid most of the monies (at least $278,000.00) to himself for legal fees and expenses. Additional evidence disclosed that no periodic payments contemplated under the plan of reorganization were ever made; the only other payments Kaufman made were for additional expenses and to other professionals.

On December 23, 2002, the Commission for Lawyer Discipline filed a disciplinary petition against Kaufman pursuant to the State Bar Act, 3 complaining that Kaufman’s acts and omissions constituted professional misconduct in violation of the Texas Rules of Disciplinary Conduct. 4 *872 The jury found Kaufman failed to (1) hold client funds separate from his own, (2) render a full accounting of funds, and (3) deliver the funds to the persons entitled to receive the funds. The.jury also found that Kaufman had charged or collected an unconscionable fee and engaged in conduct involving dishonesty, deceit or misrepresentation in connection with the Feldman bankruptcy estate. The trial court found Kaufman in violation of the Texas rules of disciplinary conduct 5 and ordered his immediate disbarment as well as restitution, attorney fees, expenses and court costs in favor of the Commission. Kaufman appeals the judgment of disbarment.

II. JURISDICTION

By his fourth issue, Kaufman asserts that the trial court lacked jurisdiction because of an earlier decision by the federal court on the same issues. He maintains that the federal court decision exonerated him and res judicata precludes relitigation of the issues in State court.

Res judicata, also known as claim preclusion, prevents the re-litigation of a finally adjudicated claim and related matters that should have been litigated in a prior suit. State and County Mut. Fire Ins. Co. v. Miller, 52 S.W.3d 693, 696 (Tex.2001). The doctrine also precludes claims or defenses that, through diligence, should have been litigated in the prior suit but were not. See Ingersoll-Rand Co. v. Valero Energy Corp., 997 S.W.2d 203, 206-07 (Tex.1999).

The Texas rules of professional conduct provide that each attorney admitted to practice in the Texas State courts is subject to the disciplinary jurisdiction of the Texas Supreme Court and the Commission for Lawyer Discipline, a committee of the State Bar. Tex. Gov’t Code Ann. § 81.071 (Vernon 2005); see Belt v. Comm’n for Lawyer Discipline, 970 S.W.2d 571, 574 (Tex.App.-Dallas 1997, no pet.). An attorney disciplinary petition may be filed and heard in a district court with or without a jury, 6 and a final judgment of disbarment by the district court may be appealed as in civil cases generally. 7 Tex.R. DISCIPLINARY PROC. § 3.16. Attorney disciplinary proceedings are among those judicial proceedings invested with sufficiently important State interest to warrant a federal court to abstain from exercising jurisdiction to avoid interference in State judicial proceedings. See Wightman v. Tex. Supreme Court, 84 F.3d 188, 189-90 (5th Cir.1996).

The record demonstrates that the federal court order addressed allegations of misconduct affecting Kaufman’s federal district court license for the Southern District of Texas and not his Texas law license. The order remanded the case to State court. There is nothing in the record evidencing prior disciplinary action in a State court regarding either the Feld-man matter or Kaufman’s Texas license to practice law. Kaufman’s principal place of business was located in Nueces County. We conclude that, consistent with the federal court order, the trial court below did have jurisdiction over the purely Texas law matter involving Kaufman’s Texas license to practice law. Res judicata does not apply. Miller, 52 S.W.3d at 696; Tex. *873 Gov’t Code Ann. § 81.071 (Vernon 2005). We overrule Kaufman’s fourth issue.

III. PRESERVATION OF ERROR

By his first, second, fifth, sixth, seventh, and eighth issues, respectively, Kaufman maintains that the trial court erred by (1) granting the prosecutor’s motion in limine, (2) excluding evidence, (3) permitting the prosecutor to take “potshots” at him, (4) not making allowances for his deteriorated health, (5) not instructing the jury on applicable law, and (6) disallowing the impeachment of a witness. The Commission responds that, because Kaufman did not preserve error, he is precluded from raising these issues on appeal.

Disbarment proceedings are civil in nature and governed by rules of civil procedure. McI nnis v. Comm’n for Lawyer Discipline, 618 S.W.2d 389, 392 (Tex.Civ.App.-Beaumont, 1981, writ ref'd n.r.e.). As a prerequisite to presenting a complaint for appellate review, Texas Rule of Appellate Procedure 33.1(a) requires the record to show:

(1) the complaint was made to the trial court by a timely request, objection, or motion that:
(A) stated the grounds for the ruling that the complaining party sought from the trial court with sufficient specificity to make the trial court aware of the complaint, unless the specific grounds were apparent from the context; and
(B) complied with the requirements of the Texas Rules of Civil or Criminal Evidence or the Texas Rules of Civil or Appellate Procedure; and
(2) the trial court:
(A) ruled on the request, objection, or motion, either expressly or implicitly; or
(B) refused to rule on the request, objection, or motion, and the complaining party objected to the refusal.

Tex.R.App. P. 33.1(a).

A. Exclusion of Evidence

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Bluebook (online)
197 S.W.3d 867, 2006 Tex. App. LEXIS 6288, 2006 WL 2022504, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kaufman-v-commission-for-lawyer-discipline-texapp-2006.