Reinstatement Proceedings Against Parks
2021 WI 74, 8/24/21 (2021)
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ATTORNEY reinstatement proceeding.
Reinstatement granted upon conditions.
¶1 PER CURIAM. Pending before the
court is Attorney Daniel Parks' second
petition for reinstatement of his license to
practice law in Wisconsin. Upon
consideration of the reinstatement petition;
Attorney Parks' affidavit in support of his
reinstatement petition; the Office of Lawyer
Regulation's (OLR) response pursuant to
Supreme Court Rule (SCR) 22.30(4); the
parties' SCR 22.30(5)(a) stipulation; the
OLR's memorandum in support of the
stipulation (attaching Attorney Anthony
O'Malley's comment in support of
reinstatement); and Attorney Parks' response
to the OLR's memorandum, we conclude that
reinstatement, upon conditions, is
appropriate.
¶2 Attorney Parks was admitted to
practice law in Wisconsin in 1991. His
license was unblemished until 2016, when the
OLR filed a complaint alleging that Attorney
Parks had committed 19 counts of professional
misconduct. The allegations derived from a
grievance filed by Attorney Parks' former law
firm stating, among other things, that it had
discovered that Attorney Parks had performed
unauthorized legal work "on the side" while
employed by the firm.
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¶3 Following extensive litigation,
amended complaints, and an appeal, this court
accepted the referee's conclusion that
Attorney Parks had committed eight of 14
alleged counts of misconduct. See In re
Disciplinary Proceedings Against Parks,
2018
WI 110, 384 Wis. 2d 635, 920 N.W.2d 505
(Parks I). We suspended Attorney Parks'
law
license for 14 months for his violation of
multiple supreme court rules: for earning
fees from non-firm legal work while employed
by a law firm; arranging for two clients to
perform work for him in exchange for a
reduction of legal fees and otherwise
reducing attorney fees without his law firm's
permission; accepting an unauthorized $5,000
"gift" from two clients; working on client
files on an unsecured offsite computer
belonging to another person; and obtaining
two signatures on a "release" designed to
limit Attorney Parks' liability, without
properly clarifying his role in the matter.
¶4 Attorney Parks first sought
reinstatement in January 2020. The OLR
initially declined to support his
reinstatement petition based on concerns that
Attorney Parks might have misled the Office
of the Commissioner of Insurance (OCI) with
respect to statements on Attorney Parks'
insurance license renewal. The OLR also
expressed concern that Attorney Parks had not
made restitution to the grievants in the
underlying disciplinary proceeding, but
acknowledged that the OLR had not sought
restitution, the referee had not recommended
restitution, and this court had not ordered
Attorney Parks to pay restitution.
¶5 A referee was appointed and a
reinstatement hearing was conducted on the
first reinstatement petition. By the time of
the hearing, the OLR had identified a new
concern: that Attorney Parks may have
claimed an improper tax deduction. However,
at the evidentiary hearing, Attorney Parks
presented evidence sufficient to satisfy the
referee that Attorney Parks had relied on
professional guidance in both matters and had
dealt in good faith with the OCI and with the
Internal Revenue Service (IRS). On the
question of restitution, the referee reasoned
that the referee in the underlying
disciplinary case had not recommended
restitution, that this court had accepted the
referee's recommendation, and had not ordered
restitution. The referee recommended
Attorney Parks' reinstatement.
¶6 This court disagreed and denied
Attorney Parks' first reinstatement petition.
The court accepted the referee's findings
with respect to the questions involving the
OCI and the IRS, but concluded that Attorney
Parks' failure to make restitution precluded
his reinstatement. The court cited SCR
22.29(4m), observing that the obligation to
make restitution to those harmed by the
lawyer's misconduct applies, even if
restitution is not ordered in the original
disciplinary proceeding. See In re
Disciplinary Proceedings Against Parks,
2021
WI 10, ¶30, 395 Wis. 2d 500, 953 N.W.2d 873
(Parks II) (citing In re Disciplinary
Proceedings Against Woodard, 2012 WI 41,
340
Wis. 2d 248, 812 N.W.2d 511). Consequently,
the court also concluded that Attorney Parks
had not demonstrated that he possessed the
requisite moral character to practice law in
this state. See (former) SCR 22.31(a).
The
court indicated it would be "more favorably
disposed" to a reinstatement petition "upon a
showing that Attorney Parks has sought in
good faith to address the requirements of SCR
22.29(4m)." Parks II, ¶32.
¶7 In the wake of this court's adverse
reinstatement decision, Attorney Parks
promptly took steps to address the
restitution issue. Through counsel, Attorney
Parks contacted each grievant by mail,
broaching the issue of restitution. Former
client L.E. informed Attorney Parks that she
thought $4,500 was a satisfactory and
appropriate amount of restitution. Attorney
Parks' former law firm, Zacherl, O'Malley &
Endejan, S.C., indicated that $10,000 would
be a satisfactory amount of restitution.
Attorney Parks then entered into payment
agreements with each grievant to pay the
requested restitution.
¶8 On April 2, 2021, Attorney Parks
filed his second reinstatement petition. The
OLR investigated Attorney Parks' second
petition and determined that there were no
new concerns beyond those previously
addressed in the first reinstatement
proceeding. The OLR noted that this court
had denied Attorney Parks' initial
reinstatement petition due to Attorney Parks'
failure to pay restitution to persons or
entities harmed by his misconduct. Parks
II,¶31.
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¶9 The OLR considered whether Attorney
Parks' efforts at restitution would satisfy
this court's concerns, as set forth in the
initial, adverse reinstatement decision. The
OLR determined that Attorney Parks appears to
have satisfactorily addressed the concerns
raised with regard to his satisfaction of
(former) SCR 22.29(4m). The OLR notes that
Attorney Parks' former colleague, Attorney
Anthony O'Malley, now supports Attorney
Parks' reinstatement. The OLR thus concluded
that Attorney Parks has, to the satisfaction
of the OLR, met his burden to prove by clear,
satisfactory, and convincing evidence that he
has met all of the criteria for
reinstatement. Accordingly, the OLR and
Attorney Parks executed a stipulation
pursuant to SCR 22.30(5)(a) for Attorney
Parks' reinstatement.
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¶10 The parties further stipulated that
the court should impose the following
conditions on Attorney Parks' reinstatement
to the practice of law:
• Attorney Parks must comply with his
agreement to pay L.E. a total of $4,500 in
restitution. Under the terms of his
agreement, the remaining $3,500 is due within
one year of Attorney Parks'
reinstatement.
• Attorney Parks must comply with his
agreement to pay his former firm a total of
$10,000 in restitution. Under the terms of
the agreement, the remaining $7,000 is due
within one year of Attorney Parks'
reinstatement.
• Attorney Parks must comply with his
agreement to pay the OLR the costs of his
discipline proceeding and his first
reinstatement petition proceeding, by
continuing to pay the OLR at least $500
monthly.
The OLR states that it will not seek an
assessment of costs for this second
reinstatement proceeding.
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¶11 The parties' joint stipulation for
Attorney Parks' reinstatement is now before
us for our review. This is one of the first
reinstatement petitions submitted to the
court by stipulation under SCR 22.30(5)(a),
effective January 1, 2021. The new
reinstatement provisions permit the court to
consider a reinstatement petition by
stipulation when, as here, the OLR concludes,
upon investigation, that the petitioner has
demonstrated, to the director's satisfaction,
all of the reinstatement criteria. SCR
22.305 and SCR 22.29(4). This court then
considers the petition and stipulation
without the appointment of a referee and we
may approve the stipulation and reinstate the
petitioner's law license; we may reject the
stipulation and refer the petition to a
referee for a hearing; or we may direct the
parties to consider modifications to the
stipulation. SCR 22.30(5)(b).
¶12 As to Attorney Parks' representations
in his reinstatement petition, the record -
including several favorable character
references - supports the parties'
stipulation that those representations are
substantiated: Attorney Parks desires to
have his law license reinstated, SCR 22.29(4)
(a); Attorney Parks has not practiced law
during the period of suspension, engaging in
volunteer service and working as a property
manager and a substitute teacher, SCR
22.29(4)(b); Attorney Parks has complied
fully with the terms of his order of
suspension and will continue to comply until
he is reinstated, SCR 22.29(4)(c); Attorney
Parks has maintained competence and learning
in the law by attendance at identified
educational activities, as evidenced by a
June 17, 2021 memorandum from the Board of
Bar Examiners confirming his CLE and EPR
compliance, SCR 22.29(4)(d); Attorney Parks'
conduct since his suspension has been
exemplary and beyond reproach, SCR 22.29(4)
(e); Attorney Parks has a proper
understanding of and attitude toward the
standards that are imposed upon members of
the bar and will act in conformity with those
standards, SCR 22.29(4)(f); Attorney Parks
can safely be recommended to the legal
profession, the courts, and the public as a
person fit to be consulted by others and to
represent them and otherwise act in matters
of trust and confidence and in general to aid
in the administration of justice as a member
of the bar and as an officer of the courts,
SCR 22.29(4)(g); Attorney Parks has
satisfactorily fully complied with the
requirements set forth in SCR 22.26, SCR
22.29(4)(h); if reinstated, Attorney Parks
intends to return to the practice he left
when his license was suspended, practicing
with one other attorney, SCR 22.29(4)(j); and
Attorney Parks satisfactorily described his
business activities during his suspension,
engaging in community service, serving as a
substitute teacher and as a property manager,
SCR 22.29(4)(k).
¶13 As discussed above, Attorney Parks
has now also satisfactorily made restitution
to or settled all claims of persons injured
or harmed by his misconduct, thereby
resolving our concerns about his compliance
with (former) SCR 22.29(4m) and (former) SCR
22.31(a), SCR 22.29(4)(m).
¶14 Based on the stipulation and noting
that the record contains no evidence to the
contrary, we conclude that Attorney Parks has
the moral character to practice law in
Wisconsin, SCR 22.305(1); his resumption of
the practice of law will not be detrimental
to the administration of justice or
subversive of the public interest, SCR
22.305(2); his representations in his
petition, including the representations
required by SCR 22.29(4)(a) to (m) and SCR
22.29(5), are substantiated, SCR 22.305(3);
and he has complied fully with the terms of
the suspension orders and with the
requirements of SCR 22.26, SCR 22.305(4).
Accordingly, we accept the parties'
stipulation pursuant to SCR 22.30(5)(b), and
we reinstate Attorney Parks' license to
practice law in Wisconsin, effective the date
of this order, upon the stipulated
conditions.
¶15 IT IS ORDERED that the petition for
reinstatement of Daniel Parks is granted,
effective the date of this order, upon the
following conditions:
• Daniel Parks shall comply with his
agreement to pay L.E. a total of $4,500 in
restitution. Under the terms of his
agreement, the remaining $3,500 is due within
one year of Daniel Parks' reinstatement.
• Daniel Parks shall comply with his
agreement to pay his former firm a total of
$10,000 in restitution. Under the terms of
the agreement, the remaining $7,000 is due
within one year of Daniel Parks'
reinstatement.
• Daniel Parks shall comply with his
agreement to pay the Office of Lawyer
Regulation the costs of his discipline
proceeding and his first reinstatement
petition proceeding, by continuing to pay the
Office of Lawyer Regulation at least $500
monthly.
¶16 IT IS FURTHER ORDERED that Daniel
Parks' failure to abide by the aforementioned
conditions, absent a showing of inability to
pay, may result in the further suspension of
Daniel Parks' license to practice law in
Wisconsin.
¶17 IT IS FURTHER ORDERED that no costs
will be imposed in connection with this
reinstatement proceeding.
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