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Harvey L. Lerer8/24/1995
By the Court, Springer, J.: This original petition for a writ of prohibition involves several rulings of the district court in case Nos. A275604 and A312496. 1 Specifically, petitioner, Harvey L. Lerer, Inc. ("Lerer"), asserts that the Eighth Judicial District Court lacks jurisdiction over case Nos. A275604 and A312496. Lerer seeks a writ of prohibition from this court, ordering the district court to refrain from taking further steps to hear, determine or adjudicate any issues in these cases. Lerer also requests that this court order the district court to vacate certain of its orders, namely, an order holding Lerer in contempt and an order setting a hearing date for a Motion to Adjudicate Attorney's Lien. Lerer requests that this court order dismissal of the two cases. We grant Lerer's petition and order the district court to dismiss the
[111 Nev. 1165, Page 1167]
above-mentioned cases and vacate its orders holding Lerer in contempt of court. 2 In August 1989, Teresita and Edward Callotta ("the Callottas") hired Los Angeles attorney Lerer to represent them in a personal injury claim arising from an automobile accident (case No. A275604, "the Callotta case"). The Callottas and Lerer had a written retainer agreement calling for a contingency fee to be paid to Lerer of forty percent of alt sums recovered. Since Lerer was not admitted to practice in Nevada, he entered into an oral agreement with the real party in interest, Donald S. Smith, Chartered ("Smith"), a Nevada-licensed attorney, to be local counsel. In late 1991 or early 1992, an initial partial settlement of $50,000.00 was obtained from an insurance carrier in the Callotta case. In July 1992, Lerer and the other insurers in the Callotta case agreed to an additional settlement of $325,000.00. Smith claims that Lerer still owes him fees in connection with these settlements. On September 4, 1992, Smith filed and served upon all counsel and the district court a motion to adjudicate an attorney's lien, pursuant to NRS 18.015. In his affidavit in support of his motion, Smith requested that the district court award him a "reasonable attorney's fee in the gross sum of [$75,000.00], to be enforced against the settlement proceeds." (Emphasis added.) Smith admitted that there was no agreement between himself and the Callottas and asserted that his claim for attorney's fees was based in quantum meruit. Lerer and his attorney, Edward Coleman, on behalf of the Callottas, opposed Smith's motion to adjudicate the attorney's lien. In his opposition, Lerer claimed that since Smith was never retained by the Callottas and worked only for Lerer, NRS 18.015 was inapplicable. On October 14, 1992, Lerer filed a complaint alleging that Smith breached his agreement with Lerer (case No. A312496, "the Lerer case"). Smith responded with a motion to dismiss. In his complaint, Lerer set forth arguments regarding attorney's fees similar to those set forth in his opposition to Smith's motion to adjudicate the attorney's lien. On that same day, the district court conducted a second hearing on Smith's motion to adjudicate the attorney's lien. At that hearing, the district court continued Smith's motion to adjudicate attorney's lien and consolidated the Callotta and Lerer cases. The district court also ordered attorney's fees transferred from Lerer's trust account in California to a blocked account in Nevada.
[111 Nev. 1165, Page 1168]
Lerer did not comply with the court's order and instead sent a highly disrespectful letter to the district court. The district court held Lerer in contempt for his letter but reserved judgment on an appropriate sanction. Lerer filed a voluntary dismissal of the Lerer case with the district court clerk, but at a late
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