Stephen Kerr Eugster v. Washington State Bar Association

397 P.3d 131, 198 Wash. App. 758
CourtCourt of Appeals of Washington
DecidedMay 2, 2017
Docket34345-6-III
StatusPublished
Cited by23 cases

This text of 397 P.3d 131 (Stephen Kerr Eugster v. Washington State Bar Association) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Stephen Kerr Eugster v. Washington State Bar Association, 397 P.3d 131, 198 Wash. App. 758 (Wash. Ct. App. 2017).

Opinion

*763 [As amended by order of the Court of Appeals June 6, 2017.]

¶1

Fearing, C.J.

[Ejndless litigation leads to chaos.

Schroeder v. 171.74 Acres of Land, 318 F.2d 311, 314 (8th Cir. 1963) (emphasis added).

¶2 Stephen Eugster initiated this suit, the sixth proceeding involving the Washington State Bar Association (WSBA) and himself. Eugster sues the WSBA, the entity that administers Washington State’s lawyer disciplinary system on behalf of the state Supreme Court, and some of WSBA’s officials. Eugster claims that the discipline system violates his due process and First Amendment rights under the United States Constitution and that the WSBA retaliated against him for an earlier lawsuit. WSBA and its officials moved to dismiss the suit on five grounds: lack of subject matter jurisdiction, res judicata, failure to state a claim, immunity, and lack of justiciability. The trial court granted the motion on all grounds. On appeal, we hold that the trial court possessed subject matter jurisdiction, but that res judicata bars this lawsuit because Eugster could have asserted his due process arguments in at least one earlier proceeding.

FACTS

¶3 Since the trial court dismissed the complaint pursuant to a motion to dismiss, we borrow from Stephen Eugster’s complaint to prepare this statement of facts. The WSBA, like most other state bar associations, functions as an integrated bar. All active lawyers in the state of Washington are members of and must pay dues to the WSBA. The WSBA, by direction of the Washington Supreme Court, administers the system to discipline lawyers who violate the attorney professional code of ethics. The Supreme Court reserves the final say in disciplining a member of the Washington State bar.

¶4 In 2005, the WSBA investigated a lawyer disciplinary grievance filed against Stephen Eugster by a former elderly *764 client, Marion Stead. After Stead terminated Eugster’s services, Eugster filed a guardianship petition against Stead without any investigation as to her alleged incompetency. Eugster sought to appoint Stead’s son as the guardian despite Stead having directed Eugster to remove her son from control over her affairs. In the process, Eugster disclosed to the son and others confidential communications between Eugster and Stead. Eugster refused to surrender papers and property to Stead and refused to deliver Stead’s file to her new counsel. The WSBA Disciplinary Board recommended disbarment. The Washington Supreme Court, in a 5-4 decision, reversed the disbarment and instead suspended Eugster from the practice of law for eighteen months. In re Disciplinary Proceeding Against Eugster, 166 Wn.2d 293, 209 P.3d 435 (2009). During the proceeding, Stephen Eugster never challenged the constitutionality of the WSBA attorney disciplinary system. Because of the many proceedings involving Stephen Eugster and the WSBA, we refer to the grievance filed by Marion Stead and the eventual Supreme Court decision as Eugster I.

¶5 During his eighteen-month suspension, the WSBA commenced Eugster II, an investigation of a grievance against Stephen Eugster filed by Mattie Kivett. In response to the second grievance, the WSBA eventually sent a letter to Eugster instructing him to analyze cases more thoroughly and concurrently dismissed the grievance. The WSBA gave notice to Eugster that he must avoid the grieved conduct and the WSBA would retain file documents concerning the complaint for five years.

¶6 On January 21, 2010, Stephen Eugster filed Eugster III in the United States District Court for the Eastern District of Washington, a complaint under 42 U.S.C. § 1983 alleging that Washington’s attorney discipline system violated his due process rights under the Fifth and Fourteenth Amendments to the United States Constitution. Eugster v. Washington State Bar Association, No. CV 09-357-SMM, 2010 WL 2926237, 2010 U.S. Dist. LEXIS 75514 (E.D. Wash. *765 July 23, 2010) (court order). He named as defendants members of the Washington State Supreme Court, the WSBA, and members of the WSBA Board of Governors. Eugster requested that the court enjoin the defendants from continuing to operate Washington’s attorney discipline system. He initially further requested that the court declare void the suspension imposed on him in Eugster I, but he withdrew the request before the defendants filed a motion to dismiss. The United States District Court dismissed Eugster III, without prejudice, for lack of standing because Eugster failed to demonstrate that he suffered an actual or imminent injury in fact since he provided no evidence of any pending disciplinary proceeding against him.

¶7 Stephen Eugster appealed Eugster III to the United States Ninth Circuit Court of Appeals. In an opinion shorter than our opinion, the federal appeals court affirmed the dismissal since Eugster did not allege he would ever again be subject to disciplinary proceedings. Eugster v. Washington State Bar Association, 474 F. App’x 624 (9th Cir. 2012).

¶8 On September 23, 2014, Cheryl Rampley filed Eugster IV, a lawyer disciplinary grievance with the WSBA against Stephen Eugster, the third grievance against Eugster. Rampley is the niece-in-law of Verdelle G. O’Neill, a client of Eugster. The WSBA sent notice of the grievance to Eugster on October 1, 2014. In response, Eugster sent voluminous records to the WSBA concerning his representation of O’Neill. He also wrote letters to respond to Rampley’s allegations. On November 21, 2014, Kevin Bank, WSBA managing disciplinary counsel, relayed a letter to Eugster to inform him that the WSBA assigned Bank to complete the investigation. Eugster responded to further letters from Bank. A Christmas day 2014 letter from Eugster asked Bank to identify for Eugster his deficiencies so that Eugster could correct the wrongs.

¶9 On March 12, 2015, Stephen Eugster filed Eugster V, Eugster v. Washington State Bar Association, No. C15-0375--JLR, 2015 WL 5175722, 2015 U.S. Dist. LEXIS 117904 *766 (W.D. Wash. Sept. 3, 2015) (court order), aff’d, 684 F. App’x 618 (9th Cir. 2017), in the United States District Court for the Western District of Washington. He joined as defendants in the suit WSBA officials and all justices of the Washington Supreme Court. In the federal suit, Eugster challenged the constitutionality, under the First and Fourteenth Amendments to the United States Constitution, of compulsory membership in and payment of dues to Washington’s integrated bar association. Eugster asked for judicial declarations permitting him to practice law without membership in the WSBA, freeing him from mandatory bar dues, and declaring the WSBA unconstitutional.

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Bluebook (online)
397 P.3d 131, 198 Wash. App. 758, Counsel Stack Legal Research, https://law.counselstack.com/opinion/stephen-kerr-eugster-v-washington-state-bar-association-washctapp-2017.