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Rhodes v. Martinez9/6/1996
ALARID, Judge.
{1} Attorney Joseph David Camacho (Camacho) appeals from an order denying enforcement of his lien for attorney's fees, accrued in settling Plaintiff Bob Rhodes' (Rhodes) property damage claim, on the grounds that Camacho's lien could not reach funds recovered in Rhodes' personal injury action and retained by the Branch firm as its fee. We reverse and remand with instructions.
FACTS
{2} Bob Rhodes was injured, and his 1989 Cadillac was damaged, in a car accident on December 20, 1989. On December 26, 1989, he executed a "Civil Retainer Agreement" retaining Camacho. Rhodes' property damage claims were settled in February of 1990. Camacho remitted the entire amount of the settlement to Rhodes to enable Rhodes to replace his Cadillac. According to Camacho, he told Rhodes that he would collect all of his attorney's fees and costs out of future proceeds in the case. Rhodes represented that he understood Camacho would not be charging a contingency fee on the property damage claim, but that fees would only be collected based on the personal injury claim. Neither Camacho nor Rhodes testified in person or by affidavit.
{3} Nineteen months later, Camacho filed "Plaintiff's Complaint For Personal Injury " on September 27, 1991. Matters apparently disintegrated rapidly between Rhodes and Camacho because on October 22, 1991, Camacho filed his attorney's lien with the court. The Branch Law Firm entered its appearance for Rhodes on December 30, 1991. Rhodes' remaining claims were settled and the lawsuit was dismissed with prejudice on September 16, 1994. Rhodes and Defendants below are not parties to this appeal. Camacho thereafter filed a motion in the Rhodes lawsuit to enforce his attorney's lien. He seeks only fees for services rendered in connection with the property damage settlement, and claims no fees relating to the personal injury litigation. The Branch firm holds the fees it collected for the personal injury litigation in trust while this dispute is resolved. The trial court denied Camacho's motion on the grounds that Camacho's lien for fees accrued in settling the property damage claim did not attach to funds recovered in the personal injury lawsuit. This appeal followed, and we reverse and remand.
Discussion
I. Standard of Review
{4} The primary issue to be decided is the meaning of the written contract between Rhodes and Camacho. The interpretation of a written contract, where only documentary evidence is at issue, is a question of law which we review de novo. ), cert. denied, 119 N.M. 354, 890 P.2d 807 (1995).
II. An Attorney's Charging Lien
{5} We discuss the general principles governing attorneys' charging liens to provide the context for our analysis. The charging lien has been described as "the right to invoke the aid of the court, by the control which it exercises over its process and officers in the cause in which the judgment was rendered, in securing for him his just compensation." Prichard v. Fulmer, 22 N.M. 134, 146, 159 P. 39, 43 (1916). In Prichard, J. H. Fulmer retained attorney George W. Prichard to foreclose mortgages on real property. Id. at 136, 159 P. at 39. Prichard filed suit, asserting an attorney's lien for the allegedly unpaid fee. Id. at 137, 159 P. at 40. The Supreme Court recognized that an attorney might have a retaining lien "founded upon possession," id. at 139, 159 P. at 40, not relevant here, as well as a charging lien. The Court explained the charging lien embodies the attorney's right
to recover his fees and money expended on behalf of his client from a fund recovered by his efforts, and also the right to have the court interfere to pre
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