Sheier v. Board of Commissioners of Alabama State Bar

263 So. 2d 502, 288 Ala. 551, 1972 Ala. LEXIS 1267
CourtSupreme Court of Alabama
DecidedJune 8, 1972
Docket6 Div. 832
StatusPublished
Cited by1 cases

This text of 263 So. 2d 502 (Sheier v. Board of Commissioners of Alabama State Bar) is published on Counsel Stack Legal Research, covering Supreme Court of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sheier v. Board of Commissioners of Alabama State Bar, 263 So. 2d 502, 288 Ala. 551, 1972 Ala. LEXIS 1267 (Ala. 1972).

Opinion

PER CURIAM.

This is a review of a resolution of the Board of Commissioners of the Alabama State Bar finding petitioner guilty of Charge Two, one of four charges contained in a complaint preferred against him by the Grievance Committee of the Birmingham Bar Association. Petitioner’s license to practice law was suspended for a period of three months.

Each of the charges alleged, in substance, that petitioner was employed by a client to collect an account owed the client, that petitioner collected certain sums on the account which he failed to remit to the client. Only Charges One and Two are pertinent to this case. They are, viz:

“CHARGE ONE
“(Violation of Rule 27, Section A)
“The Firestone Stores, Division of Firestone Tire and Rubber Co., located at Ensley, Birmingham, Alabama, heretofore employed the said attorney, Michael S. Sheier, to collect an indebtedness due and owing to The Firestone Stores from one Allen Bell, a resident of Birmingham, Jefferson County, Alabama. On or about September 30, 1968, the said attorney, Michael S. Sheier, collected from the said Allen Bell the sum of $137.29. The said attorney, Michael S. Sheier, has failed to pay over to his client the above described sum, or any part thereof, collected by him for and on behalf of his client.
“The Grievance Committee charge that in doing the above described acts the said attorney was guilty of violating or failing to comply with Rule 27, Seption A, of the Rules Governing Conduct [552]*552of Attorneys in Alabama, said Rule providing:
“ ‘ No person heretofore or hereafter admitted to practice law in Alabama shall:
“ ‘27. Misappropriate the. funds of his client, either by failing to pay over money collected by him for his client, or by appropriating to his own use funds entrusted to his keeping, provided the circumstances attending the transaction are such as to satisfy the Board that the attorney acted in bad faith or with fraudulent purpose.’ ”
“CHARGE TWO
“(Violation of Rule 36, Section A)
“For Charge Two the Grievance Committee of the Birmingham Bar Association adopt all of the averments of the first paragraph of Charge One hereof, and it is further alleged:
“The Grievance Committee of the Birmingham Bar Association charge that in doing the said acts the said attorney, Michael S. Sheier, was guilty of violating or failing to comply with Rule 36, Section A, of the Rules Governing Conduct of Attorneys in Alabama, as last amended, said Rule providing :
“ ‘36. No person licensed to practice law in the courts of the State of Alabama shall be guilty of any conduct unbecoming an attorney at law.’ ”

The Rules Governing the Conduct of Attorneys in Alabama are found in 239 Ala. XXIII, et seq. Amendments to the Rules are found in 272 Ala. XXI, XXII; 284 Ala. XVIII, et seq.; and, 287 Ala. XIX, XX.

It is undisputed that petitioner collected $137.29 for the client on September 30, 1968, but failed to remit this sum to the client for a considerable period of time, and until after the matter was brought to his attention by the Grievance Committee of the Birmingham Bar. Petitioner excuses his inaction by alluding to many personal tragedies during this period. He also testified he made out a check to the client for the amount of the funds due the client (which he testified was held in his trust account), but that the check was inadvertently filed by his secretary instead of being mailed as he had instructed her to do.

After reviewing all the material and competent testimony, the Board of Commissioners acquitted petitioner of all charges except Charge Two. Of Charge Two, the Board found petitioner to be guilty and suspended him from the practice of law for three months.

Petitioner seeks reversal of the Board’s finding, pointing to the fact that the same acts which are made the basis of Charge Two are also alleged to be the basis of Charge One, of which he was acquitted. Thus, he argues, a failure to prove the acts which support Charge One is, likewise, a failure to prove the same acts which support Charge Two. He cites two of our recent disbarment cases as authority for his position: Ex parte Acton, 283 Ala. 121, 214 So.2d 685 (1968); and In re Carroll, 287 Ala. 29, 247 So.2d 350 (1971).

It is readily apparent that a resolution of the instant case turns on an interpretation of our holdings in these two cases.

In Acton, the petitioner was charged with failing to pay over to clients money which he had collected for them. This court, in reversing petitioner’s disbarment, held that,

“Rule 27 does not make guilty of misconduct an attorney who merely fails to pay over money collected for his client. The concluding proviso of the rule makes bad faith or fraud on the part of the attorney a necessary element of the offense charged. * * * petitioner cannot be [553]*553found guilty of violating that rule unless the attending circumstances ‘are such as to satisfy the Board that the attorney acted in had faith or with fraudulent purpose.’ ”

In a quite candid comment in brief, the Board concedes that if the court, in Acton, “ * * * held that an attorney who fails to pay over money collected for his client cannot be found guilty of a violation of any rule unless bad faith or fraudulent purpose are proved, then the Board’s action in the instant case is perhaps subject to reversal.”

The Board then contends, “If, on the other hand, the Court merely held that bad faith or fraud is a necessary element of the offense under Rule 27, but that an unjustified failure to pay over money collected for a client (although bad faith or fraud are absent), may constitute a less serious offense, i. e., conduct unbecoming an attorney in violation of Rule 36, then the Board’s action in the instant case is not necessarily subject to reversal.”

This court held in Acton that an attorney, who fails to pay money due a client, cannot be found guilty unless either bad faith or fraudulent purpose is proved. We do not believe it was the intention of this court, in approving Rule 36, to provide, under that Rule, for “a less serious offense” of “unjustified failure” to pay over a client’s money (absent either bad faith or fraudulent purpose). For, if disbarment or suspension is ultimately adjudged to be the penalty, how could such a charge under Rule 36 be “a less serious offense” than a charge under Rule 27?

In the instant case it would seem apparent that the finding of not guilty of Charge One laid under Rule 27 was based, in part at least, on a lack of evidence of bad faith or fraudulent purpose on the part of petitioner. This finding of not guilty of Charge One, under the doctrine of Acton, would seem to compel a finding of not guilty of Charge Two for “conduct unbecoming an attorney at law.”

In Carroll, this court reviewed a disciplinary proceeding in which an attorney was charged with submitting divorce cases to a court when he knew, or had reasonable cause to believe, that neither party was a bona fide resident of the State.

The pertinent portions of this court’s opinion in Carroll, which are relevant to the instant case, are as follows:

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

Related

Tarver v. Board of Com'rs of Alabama State Bar
274 So. 2d 61 (Supreme Court of Alabama, 1973)

Cite This Page — Counsel Stack

Bluebook (online)
263 So. 2d 502, 288 Ala. 551, 1972 Ala. LEXIS 1267, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sheier-v-board-of-commissioners-of-alabama-state-bar-ala-1972.