Rayburn v. Board of Professional Responsibility of the Supreme Court of Tennessee

300 S.W.3d 654, 2009 Tenn. LEXIS 741, 2009 WL 4263650
CourtTennessee Supreme Court
DecidedDecember 1, 2009
DocketE2008-01383-SC-R3-BP
StatusPublished
Cited by18 cases

This text of 300 S.W.3d 654 (Rayburn v. Board of Professional Responsibility of the Supreme Court of Tennessee) is published on Counsel Stack Legal Research, covering Tennessee Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rayburn v. Board of Professional Responsibility of the Supreme Court of Tennessee, 300 S.W.3d 654, 2009 Tenn. LEXIS 741, 2009 WL 4263650 (Tenn. 2009).

Opinion

OPINION

GARY R. WADE, J.,

delivered the opinion of the court,

in which JANICE M. HOLDER, C.J., CORNELIA A. CLARK, WILLIAM C. KOCH, JR., and SHARON G. LEE, JJ., joined.

*657 This opinion addresses an appeal from a judgment affirming the disbarment of an attorney by a hearing panel designated by the Board of Professional Responsibility. The first issue presented is whether the panel was divested of jurisdiction when the Board approved a proposed offer of a conditional guilty plea that the attorney later accepted with modifications. A second issue is whether the attorney was entitled to a voluntary nonsuit in the trial court after filing a petition for writ of certiorari seeking review of the adverse decision by the panel. Initially, the panel retained jurisdiction to enter the order of disbarment. Further, because the Tennessee Rules of Civil Procedure apply to our rules of disciplinary enforcement, an attorney who files a petition for writ of certiorari is entitled to a voluntary nonsuit; however, principles of sovereign immunity preclude the application of the one-year savings statute, Tennessee Code Annotated section 28-1-105(a). A petition for certiorari must, therefore, be filed within sixty days of the panel judgment in order to preserve an appeal. In summary, the voluntary non-suit is granted; however, the appeal is dismissed because a second petition for writ of certiorari was not timely filed. We, therefore, reverse the judgment of the trial court as to the denial of a voluntary nonsuit; we affirm the judgment of disbarment by the panel.

Facts and Procedural Background

This appeal involves three petitions for discipline filed by the Board of Professional Responsibility (“BPR”) against Robert Philip Rayburn, Sr. (“Rayburn”), a Chattanooga attorney. The Petition, a Supplemental Petition, and a Second Supplemental Petition were filed on May 24, July 23, and September 11, 2006, respectively. On September 28, 2006, the three separate petitions were consolidated for proceedings before a hearing panel (“Panel”) appointed by the BPR. See Tenn. Sup.Ct. R. 9, § 8.2. The petitions included allegations of misconduct by four, individual complainants, all of whom were former clients of Rayburn: Lloyd Swicegood, Michael Rice, Tina L. Williams, and DeRenda K. Kirby.

Lloyd Swicegood was represented by Rayburn in litigation arising out of a real estate transaction. The litigation settled, and on October 21, 2004, Rayburn received payment from an insurance company in the sum of $30,000 and the adversary party in the sum of $1,000. Although Rayburn deposited the funds into his trust account the next day, the balance due to Swicegood ($20,-726.50) was not paid for some seven months until May 25, 2005, after Rayburn had been notified of a disciplinary complaint. Rayburn failed to respond to numerous requests by disciplinary counsel to provide trust account records verifying that the funds were maintained in his trust account from the time they were received until they were disbursed to Swicegood.

Michael Rice was represented by Rayburn in his divorce proceeding. The final divorce decree was entered on November 27, 2000. On June 26, 2002, the sale of Rice’s marital residence was approved, netting the sum of $128,403.61. The order approving the sale stated that “the balance of the proceeds from the sale of the marital home will be deposited into an interest bearing account which will require the signatures of both parties for withdrawal.” Rayburn paid Rice’s wife her half of the proceeds in December of 2002, but Rice’s share remained unpaid. On July 13, 2005, after repeated requests for payment by Rice, Rayburn sent Rice a letter informing him that he was withdrawing from representation and that “all accounts between us will be settled” upon entry of the order of withdrawal. The order was entered on *658 August 2, 2005, and on October 12, 2005, in response to a motion filed by Rice’s new counsel, the Circuit Court for Hamilton County ordered Rayburn to immediately pay the proceeds of the sale of the marital home, plus interest, to the clerk’s office. Rayburn did not pay the $64,201.80 owed to Rice until September 8, 2006, nearly eleven months after entry of the order and more than three months after a Petition for Discipline had been filed with the BPR. The interest owed to Rice for the period during which he was deprived of the funds was $23,676.14, and Rice claimed damages of $23,158.10 for Rayburn’s failure to timely tender the funds. These damages included the amount that Rice paid to attorneys to assist in his efforts to recover the money that Rayburn owed.

Tina L. Williams was represented by Rayburn in a personal injury suit. The case settled for $120,000 on July 26, 1994. Rayburn retained $10,998.06 of the settlement proceeds in order to resolve the sub-rogation interest of Time Insurance Company. There is no evidence that Rayburn maintained these funds in a trust account. On December 14, 2005, the subrogation claim was settled for $1,000. After Rayburn failed to respond to numerous calls and letters requesting payment of the $1,000, counsel for Time Insurance filed a motion to enforce the settlement on March 21, 2006. Rayburn paid the balance of $9,998.06 to Williams on March 23, 2006, but as of the date the Supplemental Petition for Discipline was filed, he had not paid the $1,000 settlement to Time Insurance.

DeRenda K. Kirby was also represented by Rayburn in a personal injury claim. That case settled for $67,000 in January of 2006. On March 24, 2006, Rayburn informed Kirby that he would pay her the settlement proceeds owed to her ($44,000) in a series of five weekly installments. Kirby received cashier’s checks for $9,500 on March 24 and April 5, 2006. Kirby received a third cashier’s check for $9,500 made payable to her mother, Carolyn Kirby, on May 18, 2006. Rayburn informed Kirby on June 16, 2006, that his accountant had told him he would have to lower the installment payments for the remaining funds because the bank was questioning the amount of money being withdrawn. Moreover, he stated that the checks would have to be sent in different people’s names because Rayburn did not want to have to pay taxes on the money. The remaining balance of $15,500 was paid to Kirby by a cashier’s check dated August 31, 2006, approximately eight months after the litigation had been resolved. The petition alleged that Rayburn had failed to place the proceeds of Kirby’s settlement into a client trust account and had commingled the funds with his own monies.

Based upon the activities alleged in the petition and two supplemental petitions for discipline, the BPR accused Rayburn of violating Rules of Professional Conduct (“RPC”) 1.1, 1.2(a), 1.3, 1.4, 1.15(a)-(c), 1.16(d), and 8.4(a)-(d). Rayburn filed answers but did not timely respond to interrogatories and requests for production of documents filed by the BPR. A default judgment on the consolidated petitions was entered against Rayburn on January 4, 2007, with the Panel specifically finding that Rayburn’s actions “constitute[d] willful and egregious failures to make discovery and abuses of the discovery process and a clear record of non-compliance and delay, for which sanctions are warranted.” A formal hearing date of March 28, 2007 was set to determine “whether and to what extent discipline should be imposed against [Rayburn] for his violations of the Code of Professional Responsibility.”

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Cite This Page — Counsel Stack

Bluebook (online)
300 S.W.3d 654, 2009 Tenn. LEXIS 741, 2009 WL 4263650, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rayburn-v-board-of-professional-responsibility-of-the-supreme-court-of-tenn-2009.