Matter of Shearin

721 A.2d 157, 1998 Del. LEXIS 481, 1998 WL 886946
CourtSupreme Court of Delaware
DecidedDecember 10, 1998
Docket391, 1998
StatusPublished
Cited by12 cases

This text of 721 A.2d 157 (Matter of Shearin) is published on Counsel Stack Legal Research, covering Supreme Court of Delaware primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Matter of Shearin, 721 A.2d 157, 1998 Del. LEXIS 481, 1998 WL 886946 (Del. 1998).

Opinion

PER CURIAM:

This matter is before the Court for final disciplinary action upon review of the September 1998 Final Report and Recommendation (“Final Report”) of the Board on Professional Responsibility (“Board”). The Final Report was issued following remand Orders from this Court dated February 23,1998 and March 11, 1998. The Respondent, K. Kay Shearin (“Shearin”), has been a member of the Bar of this Court since 1986.

The Office of Disciplinary Council (“ODC”) filed three separate petitions against Shearin with the Board: No. 39, 1992 containing five counts; No. 53, 1994 containing fourteen counts; and, No. 35, 1995 containing fifteen counts. The conduct at issue grew out of a dispute initiated by Mother African Union First Colored Methodist Protestant Church (“Church”) against the Conference of African Union First Colored Methodist Protestant Church (“Conference”) and Bishop Delbert L. Jackson (“Bishop”). The parties litigated in the following courts: the Court of Chancery of the State of Delaware, in and for New Castle County (Civil Action No. 12055); 1 the Court of Chancery of the State of Delaware, in and for Sussex County (Civil Action No. 1674); the Superior Court of the State of Delaware, in and for New Castle County (Civil Action No. 95C-07-230); the Supreme Court of the State of Delaware (No. 96,1993, No. 318,1995); and, the United States Bankruptcy Court for the District of Delaware (No. 95-308). 2

Board cases No. 39, 1992 and No. 53, 1994 address Shearin’s conduct in the Delaware state court proceedings. No. 35, 1995 addresses Shearin’s conduct in the United States Bankruptcy Court for the District of Delaware.

FACTS

Court of Chancery New Castle County Action First Deed Voided

The Conference is a religious association with which various African Methodist Protestant churches have been affiliated. Shearin has acted as legal counsel for the Conference. Shearin has also actively assisted the Conference and the Bishop in litigation and other transactions.

The Church had been affiliated with the Conference until April 1991 when it took steps to secede from the Conference. At that time, the Church owned certain real properties in Wilmington, Delaware. Prior to the Church’s secession from the Conference, the Bishop executed a deed (“first deed”) purporting to transfer ownership in the properties from the Church to the Conference. That deed was prepared and recorded by Shearin.

On April 18, 1991, after the Church had seceded from the Conference, the Church brought Civil Action No. 12055. The Court of Chancery entered a temporary restraining order and then a preliminary injunction against the Conference and the Bishop, based upon its preliminary finding that the Church owned the properties. After a trial on the merits in that action, the Court of Chancery entered a final judgment in April 1992, declaring: that the power to control the disposition of the properties was vested solely with the Church; that such ownership had not been ceded in any manner to the Conference or Bishop; that the properties had never been validly conveyed to the Conference; and, that the deed was void. See Mother African Union First Colored Methodist Protestant Church v. The Conference of African Union First Colored Methodist Protestant Church, Del.Ch., C.A. No. 12055 Jacobs, V.C., 1992 WL 111257 (May 20, 1992) (Mem. Op.).

*159 The Court of Chancery entered an injunction that prohibited the Conference and Bishop from interfering with the Church’s title, use, enjoyment or operation of the properties. See Mother African Union First Colored Methodist Protestant Church v. The Conference of African Union First Colored Methodist Protestant Church, Del.Ch., C.A. No. 12055, Jacobs, V.C., 1992 WL 111257 (May 20, 1992) (Mem.Op.). The order was entered as a final judgment by the Court of Chancery in February 1993. That final judgment was affirmed by this Court in October 1993. The United States Supreme Court denied a petition for writ of certiorari to review the final order.

Court of Chancery

Sussex County Action

Second Deed Void

Shearin’s Conduct Contemptuous

On December 13, 1993, the Bishop executed another deed (“second deed”) which had been prepared and notarized by Shearin. This deed was prepared without notice to the Church or the Court of Chancery. The second deed purported to transfer ownership interests in the properties to certain third parties. Shearin recorded the second deed on December 27, 1993, without notice to the Church or the Court of Chancery.

In May 1994, at the direction of the Bishop and with Shearin as legal counsel, the Conference filed Civil Action No. 1674. The Conference sought a judicial determination of the ownership of the properties. This was the same issue that the Court of Chancery had already adjudicated in Civil Action No. 12055.

In response to this action, the Church requested the Court of Chancery to declare the second deed void, dismiss Civil Action No. 1674, and hold Shearin in contempt for having violated the Court of Chancery’s previous final judgment. In July 1995, the Court of Chancery dismissed the action and held that Shearin’s conduct was in contempt of its prior final judgment. See Mother African Union First Colored Methodist Protestant Church v. The Conference of African Union First Colored Methodist Protestant Church, Del.Ch., C.A. No. 12055, Jacobs, V.C., 1995 WL 420003 (July 13, 1995) (ORDER) aff'd Conference of African Union First Colored Methodist Protestant Church v. Mother African Union First Colored Methodist Protestant Church, Del.Supr., No. 318, 1995, Veasey, C.J., 1996 WL 554236 (Sep. 23, 1996) (ORDER). The Court of Chancery also determined that the second deed was void ab initio insofar as it purported to transfer any interest in the properties.

New Castle County Action

Corporate Charter Restoration

Declared VoidAb Initio

Several weeks later the Bishop executed and Shearin notarized a document entitled “Certificate of Restoration, Renewal or Revival of the Certificate of Incorporation of the African Union Methodist Protestant Church and Connection” (the “Certificate”). The Certificate was filed with the Division of Corporations with the Secretary of State of the State of Delaware on June 5,1995.

The Court of Chancery denied subsequent motions for relief from the July 1995 judgment and for a new trial. The Court of Chancery concluded that the motions were predicated upon the basis of “manufactured evidence,” specifically, the Certificate. By order of the Court of Chancery dated September 22,1995 (“September 1995 Order”), it ruled that the assistance by Shearin in the preparation and filing of the Certificate was a willful act of contempt in violation of the second final judgment that had been entered in July 1995. See Mother African Union First Colored Methodist Protestant Church v. The Conference of African Union First Colored Methodist Protestant Church, Del. Ch., No. 12055, Jacobs, V.C. (Sep. 22, 1995) (ORDER)

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721 A.2d 157, 1998 Del. LEXIS 481, 1998 WL 886946, Counsel Stack Legal Research, https://law.counselstack.com/opinion/matter-of-shearin-del-1998.