Price v. Stewart

28 Pa. D. & C.4th 352, 1996 Pa. Dist. & Cnty. Dec. LEXIS 389
CourtPennsylvania Court of Common Pleas, Lehigh County
DecidedJanuary 11, 1996
Docketno. 95-E-43
StatusPublished

This text of 28 Pa. D. & C.4th 352 (Price v. Stewart) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Lehigh County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Price v. Stewart, 28 Pa. D. & C.4th 352, 1996 Pa. Dist. & Cnty. Dec. LEXIS 389 (Pa. Super. Ct. 1996).

Opinion

WALLITSCH, J,

Defendant Raymond F. Riggs has filed preliminary objections in the [353]*353nature of a demurrer to plaintiff’s complaint, asserting that plaintiff has failed to state a claim for which relief may be granted. The complaint includes a claim for damages against Riggs, a realtor, for the unauthorized practice of law. Riggs contends that Pennsylvania does not recognize a civil cause of action for damages for the unauthorized practice of law and asks that the court dismiss this claim against him.

Plaintiff alleges that on June 19, 1991, she conveyed two pieces of property located in the City of Allentown to her daughter, defendant Gail Stewart, in return for her daughter’s promise to allow her to live in the residence she had owned for 60 years and care for her for the remainder of her life. Riggs prepared two deeds which conveyed the property from Price to Stewart for the stated consideration of $ 1. Neither deed contained a provision for a life estate for Mrs. Price.

In the spring of 1995, Mrs. Price was injured in a fall while in the residence and was admitted to hospital for treatment. During Mrs. Price’s hospital stay, Stewart informed her mother that she would not be permitted to return to the residence, but would instead be placed in a nursing home. Mrs. Price filed the instant lawsuit, seeking rescission of the deed transfers and seeking damages against Riggs.

A preliminary objection in the nature of a demurrer challenges the legal sufficiency of the complaint. Pa.R.C.P. 1028(a)(4). The court must examine the pleadings to determine if the facts alleged set forth a cause of action for which relief can be granted under any theory of law. Sutton v. Miller, 405 Pa. Super. 213, 592 A.2d 83 (1991). A preliminary objection in the nature of a demurrer is deemed to admit all well-pleaded facts and all inferences reasonably deduced therefrom. [354]*354Giffen v. Chronister, 151 Pa. Commw. 286, 616 A.2d 1070 (1992).

Pennsylvania provides criminal sanctions for the unauthorized practice of law. The criminal statute provides that:

“Any person who within this Commonwealth shall practice law, or who shall hold himself out to the public as being entitled to practice law, or use or advertise the title of lawyer, attorney at law, attorney and counselor at law, counselor, or the equivalent in any language, in such a manner as to convey the impression that he is a practitioner of the law of any jurisdiction, without being an attorney at law or a corporation complying with 15 Pa.C.S. ch. 29 . . . commits a misdemeanor of the third degree.” 42 Pa.C.S. §2524.

The purpose of the statute is to assure adequate protection of the public from the practice of law by untrained persons. Shortz v. Farrell, 327 Pa. 81, 193 A. 20 (1937). Whether a person has engaged in the unauthorized practice of law focuses on whether the activity in question involves the exercise of legal judgment. In re Stone, 166 B.R. 269 (Bankr. W.D. Pa. 1994). A court in equity may issue an injunction where it is determined that a person has engaged in the unauthorized practice of law. Matter of Arthur, 15 B.R. 541 (Bankr. E.D. Pa. 1981).

Defendant Riggs contends that, while it is clear that the unauthorized practice of law is a criminal offense and that the unauthorized practice of law may be enjoined by a court in equity, there is no tort in Pennsylvania for the “unauthorized practice of law.” Riggs further contends that, assuming arguendo such a tort exists, his preparation of the deeds for transfer of the property does not amount to the unauthorized practice [355]*355of law as this preparation was part of his job as a realtor.

At this stage of the proceedings, we must examine the complaint to determine whether plaintiff has set forth sufficient facts to support a cause of action under any theory of law. Essentially, plaintiff has set forth a claim of negligence against Riggs for the breach of a duty to plaintiff to refrain from the unauthorized practice of law and that she was harmed as a result of Riggs’ breach of that duty.

Generally, the existence of a criminal penalty does not bar a civil action for damages. The legislature has provided that “ [t]he provision in any statute for a penalty or forfeiture for its violation shall not be construed to deprive an injured person of the right to recover from the offender damages sustained by reason of the violation of the statute.” 1 Pa.C.S. §1929. Plaintiff contends that, although no Pennsylvania cases have addressed this issue, other states have allowed plaintiffs to maintain a civil action in tort alleging the unauthorized practice of law. See e.g., Latson v. Eaton, 341 P.2d 247 (Okl. Sup.Ct. 1959) (unlicensed person liable for damages sustained by plaintiffs for the unlawful preparation of documents transferring property); Baikanja v. Irving, 49 Cal. 2d 647, 320 P.2d 16 (1958) (unlicensed person liable for damages for drawing of will, entitling beneficiary to receive damages for amount she would have received had the will been valid); see also, Remedies Available to Combat the Unauthorized Practice of Law, 62 Columbia L. Rev. 510, 519 (1962). Compare Cuhna v. Ward Foods Inc., 501 F. Supp. 830 (D. Hawaii 1980) (plaintiffs in civil action had no standing to bring action for unauthorized practice of law because Hawaii statute authorizes only the attorney general or state bar association to bring action for violation of statute). A [356]*356criminal statute may establish the standard of conduct of a reasonable man to be applied to a civil action. The Restatement (Second) of Torts §286 provides as follows:

“Section 286 When standard of conduct defined by legislation or regulation will be adopted
“The court may adopt as the standard of conduct of a reasonable man the requirements of a legislative enactment or an administrative regulation whose purpose is found to be exclusively or in part
“(a) to protect a class of persons which includes the one whose interest is invaded, and
“(b) to protect the particular interest which is invaded, and
“(c) to protect that interest against the kind of harm which has resulted, and
“(d) to protect that interest against the particular hazard from which the harm results.”

The purpose of the statute prohibiting the unauthorized practice of law is to protect the public from relying on untrained or unskilled persons for legal representation. See Shortz v. Farrell, supra at 91, 193 A. at 24. Mrs. Price, as the grantor of real estate, has an interest in assuring that this document was properly prepared. The statute is designed to protect persons such as Mrs. Price who rely upon others for the preparation of legal documents which will affect their legal rights. Therefore, it appears that this criminal statute should define the standard of conduct to be applied in a civil action against one who practices law without proper authority. If Riggs “practiced law,” even though he is not a licensed attorney, his actions would constitute negligence per se. See

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Related

Latson v. Eaton
1959 OK 124 (Supreme Court of Oklahoma, 1959)
Biakanja v. Irving
320 P.2d 16 (California Supreme Court, 1958)
Stone v. Kasuba (In Re Stone)
166 B.R. 269 (W.D. Pennsylvania, 1994)
Matter of Arthur
15 B.R. 541 (E.D. Pennsylvania, 1981)
Giffin v. Chronister
616 A.2d 1070 (Commonwealth Court of Pennsylvania, 1992)
Sutton v. Miller
592 A.2d 83 (Superior Court of Pennsylvania, 1991)
Spearing v. Starcher
532 A.2d 36 (Supreme Court of Pennsylvania, 1987)
Cunha v. Ward Foods, Inc.
501 F. Supp. 830 (D. Hawaii, 1980)
Childs v. Smeltzer
171 A. 883 (Supreme Court of Pennsylvania, 1934)
Shortz v. Farrell
193 A. 20 (Supreme Court of Pennsylvania, 1937)

Cite This Page — Counsel Stack

Bluebook (online)
28 Pa. D. & C.4th 352, 1996 Pa. Dist. & Cnty. Dec. LEXIS 389, Counsel Stack Legal Research, https://law.counselstack.com/opinion/price-v-stewart-pactcompllehigh-1996.