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In re Disciplinary Matter Involving Hanlon4/15/2005
failed to inform the bar and Rednall of either of these facts. Hanlon's denial of these charges was based on his reasoning that "there was no civil claim to be filed under the facts of this case and the Petitioner's exclusive remedy was for worker's compensation." Hanlon also insisted that "Ms. Rednall had no basis for a legal malpractice claim against him."
Hanlon admitted that his October 24, 1996 letter on the Rednall matter was "designed to convince Bar Counsel that he had successfully concluded a two-year effort to resolve Rednall's injury claim." But he denied that his letter of July 12, 1996 was "designed to lead Bar Counsel to believe that he was still working on the settlement of Rednall's injury claims and only waiting for her to sign a release." Hanlon also denied that the representations in his two letters were "deceptive and false," that the $1,600 that Rednall received under the "compromise and release" was paid by Hanlon personally, that Rednall did not learn that she had not actually settled with the state until the initiation of disciplinary proceedings, and that Hanlon had "fabricated the 'compromise and release' to prevent Rednall from learning about and filing a malpractice claim against him." Hanlon claimed that the Rednall claim was barred by the statute of limitations in Bar Rule
18. Hanlon then admitted that "he did pay Rednall $1,600 from his own pocket and did not disclose the source of such funds," but he denied that he had violated any rules of professional conduct, because "his actions did not harm Rednall," and he "then immediately informed the Bar Association of his conduct and offered to make amends."
The bar moved for summary judgment on the issue of whether Hanlon had violated the specified ethics rules, and asked that the committee "move on to hear the crux of this case: the sanction." Hanlon opposed summary judgment, suggesting that the bar had failed to prove its claims by the requisite clear and convincing evidence. Hanlon argued that his letters to the bar did not express, or left unclear, his state of mind in concluding the Rednall matter as he did. Referring specifically to Rednall's "claim and settlement," Hanlon argued that " he Hearing Committee could infer words to mean that settlement of the claim in question was Mrs. Rednall's claim against Mr. Hanlon." Likewise, Hanlon argued that his intent "cannot be gleaned from letters written by his counsel." Hanlon also distinguished several previous discipline cases as having been "considered on written stipulations of the facts by the attorney and the Bar."
However, several weeks later, Hanlon and the bar agreed to a "Stipulation on Background Facts, Disciplinary Violations and Controlling Law," to the committee. Hanlon admitted to negligent professional lapses in his representation of Martin and Rednall, and intentional ethical violations in responding to the bar's inquiry into the Rednall matter, and in fabricating Rednall's "settlement." Hanlon stipulated to the fact that both his July and October 1996 letters were "evasive and false" and that he fabricated the purported agreement in an attempt to avoid malpractice liability for not actively pursuing Rednall's claim. The stipulation noted that the damages resulting from Hanlon's behavior were uncertain, but that his deceptive conduct to the bar and Rednall potentially interfered with the attorney discipline process and undermined public confidence in the integrity of the legal profession. The stipulation also listed several aggravating and mitigating factors in Hanlon's case, and concluded that the "mitigating factors outweigh aggravating factors." The only issue left unresolved by Hanlon's stipulation was the appropriate penal
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