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ATTORNEY disciplinary
proceeding. Attorney's license
suspended.
¶1 PER CURIAM. The Office of Lawyer
Regulation (OLR) appeals the portion of
Referee Jonathan V. Goodman's report
recommending as discipline for professional
misconduct that Attorney Scott F. Anderson
pay his former client $10,872.50. Attorney
Anderson stipulated to three counts of
misconduct involving a lack of diligence,
the failure to inform a client, and the
failure to explain matters to a client. The
referee recommended that if Attorney
Anderson would fail to make the payment
within 365 days, Attorney Anderson should
remain obligated to make the payment and his
license to practice law in Wisconsin should
be suspended for 60 days.
¶2 The OLR does not seek restitution or
a monetary penalty, and argues a 60-day
license suspension should be imposed.
Attorney Anderson objects to a license
suspension and requests this court impose
the payment pursuant to the referee's
recommendation.
¶3 We uphold the referee's findings of
fact and conclusions of law that Attorney
Anderson committed three counts of
professional misconduct. We conclude the
nature of his misconduct and Attorney
Anderson's disciplinary history warrant a 60-
day license suspension. We do not order a
monetary penalty. We further conclude
Attorney Anderson shall bear the cost of
this proceeding.
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¶4 Attorney Anderson was admitted to
practice law in Wisconsin in 1985. He
practices in Milwaukee. He has been subject
to professional discipline on three previous
occasions.
¶5 In November 2007 the OLR filed a
three-count disciplinary complaint against
Attorney Anderson alleging a lack of
diligence and failures in communication with
his former client, E.T., Jr. E.T. had been
charged with three felony drug offenses and
felon in possession of a firearm in
Milwaukee County circuit court. As a result
of these charges, U.S. Department of Justice
Drug Enforcement Administration (DEA) agents
seized over $48,000 from E.T.'s residence
and bank accounts. In March 2005 E.T.
retained Attorney Anderson to provide legal
services for his defense related to the
criminal prosecution and seizure of his
assets.
¶6 In May 2005 the Milwaukee County
prosecutor wrote Attorney Anderson offering
to settle E.T.'s pending criminal charges.
Attorney Anderson did not provide a copy of
the letter to E.T. nor did he discuss with
E.T. the possibility of federal charges
arising from the same circumstances.
¶7 At Attorney Anderson's request, the
Milwaukee County circuit court scheduled a
suppression motion hearing for July 15,
2005, and directed Attorney Anderson to file
E.T.'s brief in support of the motion by
July 1, 2005. E.T. was confined to jail and
was not present in court during Attorney
Anderson's scheduling discussion. Between
June 2, 2005, and July 14, 2005, Attorney
Anderson did not file any documents
pertaining to E.T.'s case nor discuss with
him any defense strategies. Also, Attorney
Anderson performed no research on the
suppression motion until July 12, 2005; he
did not prepare the motion until July 14,
2005, and did not file the motion or serve a
copy on the prosecutor until July 15, 2005.
Attorney Anderson never provided E.T. with a
copy of the motion. Due to the late filing,
the court adjourned the suppression hearing
until September 26, 2005.
¶8 Because E.T. remained in jail, he
was not in court on July 15, 2005, and
Attorney Anderson did not advise E.T. what
had occurred during the hearing. In August
2005 E.T. wrote to Attorney Anderson
expressing concern with the lack of contact
and failure to communicate the outcome of
the July 15, 2005, hearing. E.T. requested
to see Attorney Anderson immediately.
¶9 Attorney Anderson did not respond to
E.T.'s letter and did not contact him
between August 5, 2005, and September 29,
2005. On September 20, 2005, Attorney
Anderson filed a notice of motion and motion
to adjourn the September 26, 2005,
suppression hearing. The court adjourned
the suppression hearing until January 10,
2006. Attorney Anderson did not send E.T. a
copy of the motion or otherwise advise him
of the adjournment or the new hearing date.
¶10 On November 29, 2005, E.T. filed a
pro se bail reduction motion and requested a
hearing. Attorney Anderson had no contact
with E.T. between October 3, 2005, and
January 10, 2006, and took no action with
respect to the motion. Due to a congested
docket, the court adjourned the January 10,
2006, hearing on the suppression and pro se
bail reduction motions to January 18, 2006.
E.T. remained in custody and was not present
in court at the January 10 adjournment.
¶11 On January 18, 2006, Attorney
Anderson appeared by telephone to request
another adjournment due to a trial in a
different court. The matter was adjourned
to January 20, 2006. E.T. remained in jail
and did not appear in court on January 18.
Attorney Anderson failed to advise him of
what had transpired.
¶12 On January 20, 2006, Attorney
Anderson moved to reduce bail, stating
grounds other than those provided in E.T.'s
pro se motion. Attorney Anderson did not
provide E.T. with a copy of this new bail
reduction motion. Attorney Anderson
appeared on January 20 and argued the bail
issue on E.T.'s behalf; E.T. was not brought
to court. The bail reduction motions were
denied and the suppression hearing was
adjourned to April 20, 2006.
¶13 Although E.T. was brought to court
for the April 20, 2006, suppression hearing,
the court adjourned the hearing due to time
constraints. At the May 18, 2006, adjourned
hearing, E.T. once again was in court but
the suppression hearing was adjourned yet
again, this time to September 21, 2006, due
to a co-defendant's attorney's conflict.
¶14 On June 2, 2006, the court denied
another bail reduction motion; E.T. remained
in jail and was not at the hearing.
Attorney Anderson spoke with E.T. by
telephone and agreed to meet with him in
person to discuss his case. However,
Attorney Anderson had no contact with E.T.
between June 2, 2006, and September 20,
2006. On September 21, 2006, the State
dismissed the Milwaukee County case because,
on that day, the U.S. Attorney filed a
federal criminal complaint against E.T.
stemming from the same circumstances.
Attorney Anderson advised E.T. on that date
that the state charges had been dismissed.
¶15 With respect to contesting the
forfeiture of more than $48,000 of E.T.'s
bank accounts and cash, the DEA notified
E.T. on March 22 and April 5, 2005, that
certain claims must be filed with the DEA's
counsel by April 26, 2005, and others must
be filed by May 10, 2005. Attorney Anderson
did not mail the notices contesting the
forfeiture of most of the seized assets
until April 28, 2005.
¶16 On May 13, 2005, the DEA notified
Attorney Anderson that because they were
received after the April 26 deadline, E.T.'s
notices regarding most of the seized assets
were being returned. On June 3, 2005,
Attorney Anderson filed a petition for
remission regarding the rejected claims, but
failed to provide E.T. with copies until
December 2006.
¶17 On June 6, 2005, the DEA sent
Attorney Anderson a second notice of its
seizure of $8,946 cash belonging to E.T. To
contest this forfeiture, the notice required
E.T. to file a claim by July 11, 2005. On
July 7, 2005, Attorney Anderson sent a
notice contesting the forfeiture but it was
not until December 2006 that he provided
E.T. a copy of the DEA's notice or the filed
claim. On July 29, 2005, the U.S. Attorney
filed a notice for civil forfeiture, a
complaint, and verification for the
forfeiture of $8,946 in cash and $1,926.50
in a bank account belonging to E.T.
¶18 On August 5, 2005, E.T. wrote
Attorney Anderson, complaining he had not
received copies of documents relating to the
federal forfeiture action. Attorney
Anderson did not reply. On August 10, 2005,
the DEA denied Attorney Anderson's June 3,
2005, petition for remission and advised him
that E.T. could file one request for
reconsideration based on material not
previously submitted, provided it was
postmarked within ten days of Attorney
Anderson's receipt of the DEA's August 10
letter.
¶19 On August 24, 2005, the forfeiture
complaint was served upon Attorney
Anderson. Attorney Anderson took no
action. On October 18, 2005, the U.S.
Attorney filed a motion for default
judgment, which Attorney Anderson received
by mail. Attorney Anderson took no action
with respect to the default judgment
motion. Attorney Anderson did not notify
E.T. until February 2007 of the rejection of
his claims for the return of the seized
property or his right to reconsideration.
¶20 Attorney Anderson stipulated to
three counts of misconduct arising from his
representation of E.T.:
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• Count One. Attorney Anderson
violated SCR 20:1.3 by failing to file
claims timely and failing to take action on
his client's behalf with regard to the
Complaint for Civil Forfeiture filed on July
29, 2005, or the Motion for Default Judgment
filed on October 18, 2005.
• Count Two. Attorney Anderson
violated former SCR 20:1.4(a) by failing to
respond to his client's reasonable requests
for information and to communicate case
developments to his client in a timely
manner.
• Count Three. Attorney Anderson
violated SCR 20:1.4(b) by failing to explain
to his client the effect of correspondence
he received from the DEA and the U.S.
Attorney's Notice of Complaint for Civil
Forfeiture of Property, Verified Complaint
for Forfeiture, Verification, Motion for
Default Judgment, Judgment of Default and
Forfeiture, and Application to Clerk for
Entry of Judgment; failing to explain the
implications of the assistant district
attorney's May 4, 2005, letter; and failing
to explain the implications of the State's
dismissal of the Milwaukee County case,
including that the case was dismissed due to
the charges in federal court, and that
Attorney Anderson's representation would not
include representation with regard to the
federal charges.
¶21 Because of Attorney Anderson's
stipulation to the three counts of
misconduct, the only issue litigated at the
disciplinary hearing was the level of
sanction. E.T. testified by telephone that
due to the lack of communication with
Attorney Anderson, he suffered stress while
confined for two and one-half years in the
Milwaukee County jail. E.T. testified he
paid Attorney Anderson $2,500. E.T. stated
he believed Attorney Anderson's caseload was
too heavy to permit proper representation.
E.T. said Attorney Anderson had contacted
him a couple of times during the two and one-
half years he was in jail. E.T. claimed the
sums forfeited represented benefit payments
from his military service. E.T. further
testified that a few days after the state
charges were dismissed, he retained separate
counsel on the federal charges through the
federal public defender's office. E.T. was
subsequently sentenced to a lengthy term in
federal prison for drug-related offenses.
¶22 The referee observed Attorney
Anderson admitted he mishandled the
forfeiture. The referee considered that
Attorney Anderson had fully cooperated with
the OLR and showed contrition at the
disciplinary hearing, but concluded these
actions did not outweigh the harm to E.T.,
which was Attorney Anderson's fourth
disciplinary proceeding involving similar
supreme court rules in six years. The
referee also noted that while subject to the
disciplinary proceedings resulting in his
2005 public reprimand, Attorney Anderson was
engaged in similar misconduct in this
matter.
¶23 The referee recommended that
Attorney Anderson be required to compensate
E.T. within 365 days for the $10,872.50
forfeited by the DEA. The referee
recommended that if Attorney Anderson would
fail to make the payment, Attorney Anderson
should remain obligated to make the payment
and his license to practice law should be
suspended for 60 days. The referee also
recommended the full costs of this
proceeding be imposed and, if Attorney
Anderson would fail to pay the costs within
180 days, his license be suspended until
costs are paid in full.
¶24 The OLR objects to the recommended
stayed suspension dependent upon a monetary
sanction. The OLR states it does not seek
restitution of forfeited sums because the
funds were not in Attorney Anderson's direct
control. The OLR says the forfeited funds
constitute incidental or consequential
damages resulting from Attorney Anderson's
misconduct, but claims that reimbursement
fails to achieve the goals of attorney
discipline. The OLR contends that a stayed
suspension does not protect the public or
legal system from further misconduct, nor
would it impress upon Attorney Anderson the
seriousness of his misconduct.
¶25 Attorney Anderson responds that the
recommended sanction is a severe financial
burden, but he does not challenge the
amount. He argues his misconduct does not
involve dishonesty and, therefore, a license
suspension is not justified. He states he
is painfully aware of the seriousness of his
misconduct and requests the court impose the
referee's recommended sanction.
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¶26 A referee's findings of fact will
not be overturned unless clearly erroneous.
In re Disciplinary Proceedings Against
Carroll, 2001 WI 130, ¶29, 248 Wis. 2d
662,
636 N.W.2d 718. This court determines the
level of discipline that would be
appropriate under the particular
circumstances, independent of the referee's
recommendation but benefiting from it.
See
In re Disciplinary Proceedings Against
Widule, 2003 WI 34, ¶44, 261 Wis. 2d 45,
660
N.W.2d 686. In determining the level of
discipline, we consider the seriousness of
the misconduct, the need to protect the
public, the courts, and the legal system
from repetitive misconduct, as well as the
need to deter other attorneys from engaging
in similar misconduct. In re Disciplinary
Proceedings Against Arthur, 2005 WI 40,
¶78,
279 Wis. 2d 583, 694 N.W.2d 910.
¶27 We adopt the referee's findings of
fact and conclusions of law as to Attorney
Anderson's professional misconduct. We do
not adopt the referee's recommendation as to
discipline. We conclude Attorney Anderson's
disciplinary history and the nature of his
misconduct warrant a 60-day license
suspension.
¶28 Contrary to Attorney Anderson's
suggestion, not all cases imposing a license
suspension involve dishonesty. See In
re
Disciplinary Proceedings Against Whitnall,
230 Wis. 2d 194, 195-96, 600 N.W.2d 910
(1999). Attorney Whitnall had been
disciplined three previous times. See
id.
His misconduct involved a lack of diligence
and cooperation with the OLR investigation,
resulting in a 60-day suspension. Also, in
the case of In re Disciplinary Proceedings
Against Jones, 176 Wis. 2d 140, 499 N.W.2d
674 (1993), after Attorney Jones had been
disciplined five previous times, he was
found to have violated his duties of
diligence and communication. See Jones,
176
Wis. 2d at 141, 143. His license was
suspended 60 days. Id.
¶29 We are not persuaded a monetary
penalty would satisfy the objectives of
attorney discipline. Attorney Anderson has
demonstrated a pattern of misconduct; this
is his fourth disciplinary proceeding
involving similar misconduct. We note
Attorney Anderson's expressions of remorse
and his cooperation in these proceedings.
We conclude, nonetheless, a license
suspension for a minimal period is called
for under the circumstances. Attorney
Anderson must be impressed with his
professional obligation to pursue diligently
the interests of those persons who rely on
him to protect and further their interests
in the legal system. We conclude
progressive discipline in the form of a 60-
day license suspension is warranted.
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¶30 The OLR does not seek restitution
and the record lacks documentary evidence as
to the source of the forfeited funds; we
decline to order compensation to the client
in this instance.
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¶31 We order Attorney Anderson to pay
the costs of this proceeding within 90 days
of the date of this order. Under SCR 22.24
(1m), the court's general policy is to
impose costs on the respondent. To award
less than full costs, the court must
find "extraordinary circumstances."
Id.
Attorney Anderson has not objected to costs
and has not claimed extraordinary
circumstances to justify a reduction or
deferment of his obligation to pay costs.
¶32 IT IS ORDERED that the license of
Scott F. Anderson to practice law in
Wisconsin is suspended for a period of 60
days, effective June 28, 2010.
¶33 IT IS FURTHER ORDERED that within 90
days of the date of this order, Scott F.
Anderson pay to the Office of Lawyer
Regulation the costs of this proceeding. If
costs are not paid within the time specified
and absent a showing of his inability to pay
the costs, Scott F. Anderson's license to
practice law in Wisconsin shall remain
suspended until further order of the court.
¶34 IT IS FURTHER ORDERED that Scott F.
Anderson shall comply with SCR 22.26
regarding the duties of a person whose
license to practice law in Wisconsin has
been suspended.
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