People v. Barbieri

61 P.3d 488, 2000 Colo. Discipl. LEXIS 6, 2000 WL 33957086
CourtSupreme Court of Colorado
DecidedJuly 6, 2000
Docket99PDJ008
StatusPublished
Cited by5 cases

This text of 61 P.3d 488 (People v. Barbieri) is published on Counsel Stack Legal Research, covering Supreme Court of Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
People v. Barbieri, 61 P.3d 488, 2000 Colo. Discipl. LEXIS 6, 2000 WL 33957086 (Colo. 2000).

Opinion

Opinion issued by

Presiding Disciplinary Judge ROGER L. KEITHLEY and Hearing Board members GUDRUN J. RICE, a member of the bar, and FRANCES L. WINSTON, a representative of the public.

OPINION AND ORDER IMPOSING SANCTIONS

SANCTION IMPOSED: ATTORNEY DISBARRED

This matter was heard on January 7, 2000, before the Presiding Disciplinary Judge (“PDJ”) and two hearing Board members, Gudrun J. Rice, and Frances L. Winston. Luain T. Hensel, assistant attorney regulation counsel, represented the People of the state of Colorado (the “People”). Respondent did not appear either in person or by counsel. The People’s exhibits 1 through 4 were admitted into evidence. The PDJ and Hearing Board heard testimony from the People’s witnesses Nancy Shapiro Adam. The PDJ and Hearing Board considered the exhibits admitted into evidence, the facts set forth in the Complaint and deemed admitted by the entry of default, assessed the credibility of the witness and made the following findings of fact which were established by clear and convincing evidence:

I. FINDINGS OF FACT

Victor John Barbieri has taken and subscribed the oath of admission, was admitted to the bar of the Supreme Court of the State of Colorado on October 17,1977, and is registered upon the official records of the Supreme Court, registration No. 08193. Barbi-eri is subject to the jurisdiction of this court pursuant to C.R.C.P. 251.1(b).

The People filed the Complaint in Case No. 99PDJ008 on January 7, 1999. Barbieri filed an Answer on March 11, 1999. The People filed the Complaint in Case No. 99PDJ061 on April 20, 1999. Although Bar-bieri requested and received an extension of time to Answer, no Answer to the Complaint was filed. The People sought consolidation of the two cases on April 23, 1999. Barbieri did not oppose the request for consolidation and the two matters were consolidated on May 18,1999.

*489 On June 28, 1999, the People filed a Motion for Default in Case No. 99PDJ061 pursuant to C.R.C.P. 251.15(b). Barbieri did not respond to the Motion for Default and on September 3, 1999 default was entered against him in Case No. 99PDJ061. On November 26,1999, the People filed a Motion to Compel and a Motion for Sanctions in the consolidated cases alleging that Barbieri had failed to respond to written discovery and had failed to appear at his properly noticed deposition. Barbieri did not respond to the motions. The PDJ entered an order compelling Barbieri to submit written responses to the discovery and to appear for a deposition and denied the Motion for Sanctions at that time. Barbieri, notwithstanding the orders entered, neither submitted written responses to the discovery nor appeared for his deposition.

A. Case No. 99PDJ008 The Adams Case

In or about December 1991, Nancy Shapiro Adam retained Barbieri to assist her in a dissolution of marriage proceeding. At the same time Ms. Adam was also represented in the dissolution proceeding by Langdon Jor-gensen, a lawyer licensed to practice law in the state of Colorado, and was also receiving legal advice from Byron Delman, a Chicago attorney and longtime family friend and adviser. On April 27, 1993, a decree of dissolution was entered terminating the marriage, resulting in the receipt of substantial assets by Ms. Adam. Barbieri remained as counsel of record in the dissolution action and continued to represent Ms. Adam until she discharged him on February 25, 1994. During the time that Barbieri represented Ms. Adam, she was emotionally vulnerable and relied heavily upon Barbieri for both professional and personal support.

During the period of time Barbieri represented Ms. Adam, he was the majority shareholder and chief executive officer of Moroso, Inc. (“Moroso”), a company engaged in the business of excavation and construction. On or about May 14, 1993, Barbieri, knowing of her receipt of substantial assets, asked Ms. Adam to loan Moroso the sum of $150,000 for construction of a commercial building to be known as the “Titan Road Project.” Barbi-eri prepared a note and deed of trust.

On May 24, 1993, ten days later, Barbieri went to Ms. Adam’s home to discuss the requested loan. Barbieri told Ms. Adam that he estimated that the Titan Road Project would be completed in ninety days within which time permanent financing would be in place and the $150,000 loan would be repaid. Initially, Ms. Adam rejected Barbieri’s proposal. Barbieri was insistent: he refused to leave Ms. Adam’s home until she agreed to the loan. Once Ms. Adam reluctantly agreed to the loan, Barbieri instructed her on how to make a wire transfer of funds.' Ms. Adam wired $150,000 from her brokerage account to the Moroso operating account. Barbieri personally guaranteed the loan.

Prior to the time that the loan funds were advanced, Barbieri did not provide Ms. Adam with any financial information about either himself or Moroso, did not advise Ms. Adam in writing of any conflict of interest, nor did he advise Ms. Adam to seek independent legal advice concerning the business transaction. Neither Moroso nor Barbieri had any substantial experience in the construction industry. Neither Moroso nor Barbieri had obtained bids from subcontractors regarding the project, nor had they obtained any necessary building permits.

By October 1993, the $150,000 loan was in default. In need of additional funds, Barbi-eri solicited another loan from Ms. Adam in the amount of $15,000. Barbieri told Ms. Adam that Moroso had secured contracts to remove snow and needed to purchase snow removal equipment. Ms. Adam agreed to loan the $15,000 to Moroso. Barbieri obtained the loan funds by means of a charge to one of Ms. Adam’s credit cards which was in the possession of Barbieri’s law office. Bar-bieri prepared a handwritten promissory note evidencing the $15,000 loan to Moroso. Barbieri did not sign the note as an officer of Moroso until February 1994, nearly four months after funds were received. The promissory note which Barbieri prepared provided no security for the $15,000 loan. As with the first loan, Barbieri failed to provide Ms. Adam with any financial information about himself or Moroso and did not advise *490 Ms. Adam to seek independent legal advice concerning the business transaction. Barbi-eri did not provide copies of the snow removal contracts for Ms. Adam’s review.

By December 1993, Ms. Adam had received no cash payments on either the $150,000 loan or the $15,000 loan. She had become concerned about the repayment of the two loans. When she expressed her concerns to Barbieri, he offered to have Mo-roso construct a building in Avon, Colorado at cost, and convert the $165,000 debt into an equity position in Moroso. The Avon building was to be constructed of colored cinder block. Barbieri informed Ms. Adam that to insure the concrete block’s timely availability, it would be necessary to place a $45,000 deposit with the concrete block company. In an effort to salvage her earlier advances of funds, Ms. Adam agreed to provide the $45,000 deposit. Barbieri prepared no documentation pertaining to the third advance of funds; there was no correspondence from Barbieri to Ms. Adam discussing the terms of the agreement or any conflict of interest, and Barbieri did not advise Ms. Adam to seek independent legal advice before entering into the business transaction.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

In re Hodge - (
Supreme Court of Kansas, 2017
In Re Riebesell
407 B.R. 443 (Tenth Circuit, 2009)
Johnson v. Riebesell (In re Riebesell)
399 B.R. 820 (D. Colorado, 2008)
In Re Riebesell
399 B.R. 830 (D. Colorado, 2008)
People v. Poll
65 P.3d 483 (Supreme Court of Colorado, 2003)

Cite This Page — Counsel Stack

Bluebook (online)
61 P.3d 488, 2000 Colo. Discipl. LEXIS 6, 2000 WL 33957086, Counsel Stack Legal Research, https://law.counselstack.com/opinion/people-v-barbieri-colo-2000.