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Attorney Grievance Commission of Maryland v. Pennington6/22/2005
igan Law School. He taught at Northwestern University Law School for three years. The Respondent worked for Mr. Wiggins at his previous law firm, Cohn and Marks, for approximately four and one-half years. Over the years, the Respondent and Mr. Wiggins have maintained personal contact with one another, often consulting with each other on legal matters. In addition, Mr. Wiggins represented the Respondent in Attorney Grievance Commission v. Pennington, 355 Md. 61, 733 A.2d 1029 (1999). Mr. Wiggins is not admitted to practice law in the State of Maryland. He is only admitted to practice law in the District of Columbia.
"The Respondent advised Mr. Wiggins of the events that transpired and sought his counsel and advice on her plan to pay the Butlers from her own personal funds. Specifically, Respondent sought reassurance from Mr. Wiggins that her payment to her clients out of her personal funds and her nondisclosure of the facts would not in any way violate any laws or rules of ethical conduct in Maryland, or otherwise cause any problems for her or the Butlers. After researching the matter, Mr. Wiggins opined incorrectly to the Respondent that no disclosure was required.
"On February 6, 2003, the Respondent met with Mr. and Mrs. Butler. During this meeting, the Respondent presented the Butlers a document entitled `Statement of Settlement.' The Respondent did not disclose to the Butlers that the check they would receive would not come from the settlement of their case but, instead, directly from the Respondent's own funds. The `Statement of Settlement' presented to the Butlers was derived from a form that Respondent customarily utilized when she disbursed funds obtained through settlement of claims with third parties for the benefit of her clients. In fact, the Butlers were presented with a similar `Statement of Settlement' in September 29, 1999, relating to their settlement of the property damage claim with Amica.
"The `Statement of Settlement' presented to the Butlers on February 6, 2003, although substantially similar to the September 29, 1999 statement, contained two modifications. The lines designating `Insurance Company' and the `Personal Injury Claim' were purposefully omitted by the Respondent from the `Statement of Settlement.' The Statement indicated that the Respondent earned and received $4,000 in attorney's fees and $41.65 in expenses, and that $1,828.92 was deducted from the `Client's Net Proceeds' for medical expenses and $375 was deducted for `Gary Butler' for his loss of consortium claim, for a balance of $3,753.43 to Mrs. Butler.
"After consultation and consent from Mr. and Mrs. Butler, the Respondent attempted to reduce Mrs. Butler's medical expenses. On May 9, 2003 and August 14, 2003, the Respondent sent letters to Metro Orthopedics & Sports Therapy (hereinafter `Metro Orthopedics') requesting a reduction of its invoice because ` nder the terms of settlement, offered by the third party, Ms. Butler will receive virtually no compensation for her injuries if the subject invoice is not reduced.' In all, Mrs. Butler's outstanding medical bills of $1,828.92 were reduced by $160 of which 66 2/3% of this amount was paid to the Butlers.
"Mrs. Butler testified at the hearing in this case on December 8, 2004 that she believed that, based on the `Statement of Settlement,' her case was still viable and that her case had settled with Amica and the check she received in the amount of $3,753.43 was originally from Amica. Nevertheless, Mrs. Butler, even after being apprised of the situation, stated she was satisfied with the services the Respondent provided and that she would retain her to perform legal services in the future, if needed.
"Af
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