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Attorney Grievance Commission v. Ellison

2/4/2005

rsonal injury matter. Ellison, a close friend of Moody's since at least 2000, was employed by the Firm and signed the Firm's retainer agreement, on Firm letterhead stationary, as the "Responsible Attorney." The retainer agreement also provided for a contingency fee of thirty-three and one-third percent of any recovery to be paid to the Firm should the claim be settled prior to litigation.


On 14 October, Ellison, on Firm letterhead stationery, informed Strulson that " his office has been retained" to represent Moody and requested a copy of Moody's medical bills and records. Strulson offered to send the bills and records after Moody and Ellison signed an Assignment and Authorization form (the Assignment) and paid a $50 administrative charge. The Assignment form authorized and directed Moody's attorney "to immediately pay all bills received from Avi Strulson, PT, from the proceeds of any recovery on case" as soon as the funds were received. The Assignment also contained a clause purporting to require "any attorney to whom [Ellison] refer this case, within or outside the firm, to honor this Assignment, as a condition of the referral." Ellison responded to the request by sending a personal check to Strulson for $50 and then signed and faxed to him a copy of the fully executed Assignment on 4 November. Moody then picked up the records from Strulson's office.


The Firm and Ellison's representation were terminated by a letter dated 6 November 2002 sent by Moody to Ellison. The letter stated that Moody was terminating the Firm's representation of his claim and implied that he would be handling his own claim. In a letter dated 7 November 2002, also on Firm stationery, Ellison informed Strulson that "our Firm no longer" represented Moody and the Assignment was "now null and void."


Some time in mid-to-late November, Strulson returned a phone call from Ellison regarding the account balance for Moody. Strulson claimed that he merely told Ellison the account balance and that there was no discussion about whether Moody's personal injury claim was settled (nor, according to this record, was there any discussion about Ellison's letter of 7 November).


Strulson treated Moody on 7 January 2003 for an injury unrelated to the personal injury claim and learned during this session that the personal injury claim had been settled. He called Ellison the same day. Strulson stated that Ellison claimed during this phone conversation that he no longer represented Moody, there had been no settlement of Moody's claim, Ellison did not owe Strulson any money, and Strulson should bill Medicare for the balance due on Moody's account.


On or about 11 January 2003, Strulson received a letter, dated 9 January 2003, from Ellison stating that the Firm no longer represented Moody and that "it been brought to my attention, that my first letter [the letter dated 7 November 2002] informing your office that we longer represent Mr. Moody was not received." Strulson filed a complaint with the AGC on 10 February 2003, against Ellison as a member of the Firm. Strulson claimed that Ellison, while acting on behalf of Moody as his attorney, violated the terms of the Assignment by not paying the balance due on Moody's account from the proceeds of the settlement.


B.


Bar Counsel sent a letter to Ellison at his home address on 21 February 2003 requesting a response to Strulson's complaint. In a letter on Firm stationery dated 25 February 2003, Ellison responded that Moody "terminated the representation of our law office" and that Strulson's Assignment and his subsequent complaint concerning unpaid medical bills were invalid and unmerited, respectively. Attached to his letter were

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