Zitny v. State Bar of California

415 P.2d 521, 64 Cal. 2d 787, 51 Cal. Rptr. 825, 1966 Cal. LEXIS 310
CourtCalifornia Supreme Court
DecidedJuly 1, 1966
DocketL. A. No. 28859
StatusPublished
Cited by54 cases

This text of 415 P.2d 521 (Zitny v. State Bar of California) is published on Counsel Stack Legal Research, covering California Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Zitny v. State Bar of California, 415 P.2d 521, 64 Cal. 2d 787, 51 Cal. Rptr. 825, 1966 Cal. LEXIS 310 (Cal. 1966).

Opinion

THE COURT.

-In this proceeding petitioner seeks a review of the recommendation of the Board of Governors of the State Bar that he be disbarred.

In October 1961, petitioner and one Job Denni, a councilman in the City of Cypress, were indicted on charges of conspiring to solicit bribes, soliciting bribes, and receiving bribes. The criminal acts were alleged to have occurred during three separate transactions. After a jury trial, petitioner and Denni were acquitted on all counts.

Subsequently on February 15, 1963, a local administrative committee of the State Bar charged that petitioner had solicited bribes to obtain zoning changes for certain parcels of real property and had thereby violated his oath and duties as an attorney and committed acts involving moral turpitude and dishonesty. (Bus. & Prof. Code, §§ 6067, 6068, subds. (a), (c), (d), and 6106.) These charges encompassed the same three transactions that had been at issue during the criminal case and were set forth in three counts. In a fourth count the committee charged that during one of the foregoing transactions, . petitioner violated rule 9 of the Rules of Professional Conduct of the State Bar of California by commingling his client’s money with his own and failing to deposit his client’s funds in a separate trust account. After hearings at which most of the witnesses at the criminal trial testified and the record of that trial was introduced into evidence, the committee found petitioner guilty on two counts of soliciting bribes and on one count of failing to deposit a client’s funds in a separate trust account and drawing on these funds to meet his personal expenses. It recommended that petitioner be disbarred. On September 18, 1965, the Board of Governors of the State Bar by a vote of 13 to 2 made findings of fact approving the local committee’s determination of guilt on three counts and its recommendation that petitioner be disbarred.

Petitioner contends that the evidence is insufficient to sustain the findings of the hoard. Findings of fact made by local administrative committees and the Board of Governors are not binding on this court, and we will weigh the evidence upon which the findings rest. (Schullman v. State Bar, 59 Cal.2d 590, 599 [30 Cal.Rptr. 834, 381 P.2d 658]; [790]*790Sturr v. State Bar, 52 Cal.2d 125, 127 [338 P.2d 897].) The burden is on the petitioner, however, to demonstrate that the findings are not supported by the evidence or that the recommendations are erroneous or unlawful. (Best v. State Bar, 57 Cal.2d 633, 635 [21 Cal.Rptr. 589, 371 P.2d 325]; Rock v. State Bar, 55 Cal.2d 724, 726 [12 Cal.Rptr. 857, 361 P.2d 585].) In meeting this burden, the petitioner must demonstrate that the charges of unprofessional conduct are not1 ‘ sustained by convincing proof and to a reasonable certainty.” (Brawner v. State Bar, 48 Cal.2d 814, 818 [313 P.2d 1].) In making our determination we resolve all reasonable doubts in favor of the accused. If two or more equally reasonable inferences may be drawn from a proved fact, the inference leading to a conclusion of innocence rather than the one leading to a conclusion of guilt will be accepted. (Bar Assn. of San Francisco v. Sullivan, 185 Cal. 621, 623-624 [198 P. 7].)

When the findings and recommendations rest primarily on testimonial evidence, we are reluctant to reverse the decision of the local administrative committee, which was in a better position to evaluate conflicting statements after observing the demeanor of the witnesses and the character of their testimony. (Werner v. State Bar, 13 Cal.2d 666, 676-677 [91 P.2d 881]; Mauer v. State Bar, 219 Cal. 271, 276 [26 P.2d 14].) Necessarily, however, less reliance is placed on this rule when, as in the present case, a jury heard much the same evidence that the local administrative committee heard and acquitted petitioner of virtually the same charges involved in the disciplinary proceedings.1

Although petitioner was charged with three counts of soliciting bribes and one count of violating rule 9, one of the bribery counts was dismissed. The State Bar also now concedes that the rule 9 violation should be limited to petitioner’s failure to deposit his client’s funds in a separate trust account. We shall consider the rule 9 charge first.

On April 19, 1961, petitioner told Theodore Bentley, a real estate developer and builder, that for $12,500 Con-Tech Building Company, a corporation in which Bentley held a one-third [791]*791interest, could obtain a variance so that it might develop its property in Cypress City for residential purposes. Petitioner said that $500 would be a nonrecoverable retainer but that the $12,000 would be returned if the use variance was not approved. About April 27 Con-Tech decided to accept this offer and Bentley brought $12,000 in small bills to petitioner’s office. The money was placed in a manilla envelope that Bentley then marked with a “T” and sealed with scotch tape. Bentley testified that no receipt was given. Petitioner testified that he did not give a receipt from an office receipt book, but drew a receipt on office stationery so that he could word it to describe accurately the transaction that had been agreed upon. No duplicate was kept by the office and no other notation concerning receipt of the funds was made on any other file in petitioner’s office.

Petitioner left the money in his desk for approximately 10 days. On May 8 he placed it in the firm ⅛ safe deposit box and, according to petitioner, wrote “Ted Bentley (Con-Tech) ” on the envelope. On May 29 the City Council of Cypress reversed a May 4 decision of the city planning commission and by a three to two vote granted the use variance subject to three conditions. On June 1 petitioner removed $400 from the previously sealed envelope and then transferred the balance of the $12,000 to a newly-acquired personal safe deposit box. He testified that on June 1 he told his wife that the money belonged to Con-Tech and clipped a note to the same effect to the envelope. During the next several months petitioner made several withdrawals from and deposits to this $12,000 fund. When he was arrested on October 10 only $3,880 remained in his safe deposit box but $7,960 was'in his desk drawer. The first time that either of petitioner’s partners was told of this $12,000 fee was on the day before petitioner’s arrest.

Bentley testified that petitioner had earned his fee when the variance was granted, and the State Bar does not now contend that petitioner misappropriated his client’s funds or commingled them with his own. It is undisputed, however, that before the variance was granted petitioner failed to sequester Con-Tech’s funds as rule 9 requires. Section 6077 of the Business and Professions Code provides that an attorney may be [792]*792disciplined only for a wilful breach of the Rules of Professional Conduct.

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Bluebook (online)
415 P.2d 521, 64 Cal. 2d 787, 51 Cal. Rptr. 825, 1966 Cal. LEXIS 310, Counsel Stack Legal Research, https://law.counselstack.com/opinion/zitny-v-state-bar-of-california-cal-1966.