|
ATTORNEY disciplinary proceeding.
Attorney's license suspended.
-
¶1 PER CURIAM. We review the report
of the referee, Attorney John Nicholas
Schweitzer, recommending that the court
suspend the Wisconsin law license of
Attorney Melinda Alfredson for 90 days and
order her to pay the full costs of this
disciplinary proceeding. The referee wrote
the report after Attorney Alfredson and the
Office of Lawyer Regulation (OLR) entered
into a stipulation concerning Attorney
Alfredson's misconduct in two client matters
and her failure to cooperate with the OLR's
investigation into her misconduct. Neither
party has appealed from the referee's report
and recommendation, and thus our review
proceeds under Supreme Court Rule (SCR)
22.17(2).
¶2 We agree that Attorney Alfredson's
professional misconduct warrants a 90-day
suspension. We further agree that Attorney
Alfredson should pay the full costs of this
matter, which total $2,649.59 as of November
15, 2018. No restitution was sought and
none is ordered.
|
|
¶3 Attorney Alfredson obtained her
Wisconsin law license in 2009. In 2017,
this court suspended her law license for 60
days based on 16 counts of misconduct
arising out of her representation of two
clients, her various trust account
violations, and her failure to cooperate
with the OLR's investigation into her
misconduct. See In re Disciplinary
Proceedings Against Alfredson, 2017 WI 6,
373 Wis. 2d 79, 890 N.W.2d 13 ("Alfredson
I").
¶4 In March 2018, the OLR filed the
underlying complaint against Attorney
Alfredson. The OLR alleged that Attorney
Alfredson had engaged in six counts of
misconduct based on her work for clients
R.R. and M.T., as well as her failure to
cooperate with the OLR's investigation into
her misconduct. The OLR sought a four-month
suspension of Attorney Alfredson's law
license.
¶5 In mid-October 2018, following the
filing of an answer and the appointment of
the referee, the parties executed a
stipulation in which Attorney Alfredson
withdrew her answer and stipulated to the
factual allegations and misconduct charges
of the complaint, as amended in the
stipulation. Both the OLR and Attorney
Alfredson agreed that a 90–day suspension
was appropriate. The parties further agreed
that the stipulation was not the result of
plea bargaining; that Attorney Alfredson's
entry into the stipulation was knowing and
voluntary; and that she understood the
misconduct allegations as amended by the
stipulation, her right to contest those
allegations, and the ramifications of her
entry into the stipulation.
¶6 In late October 2018, the referee
filed his report and recommendation. The
referee accepted the parties' stipulation
and found, based on the stipulation, that
the following facts were true.
Representation of R.R. (Counts 1-
4)
¶7 In February 2015, R.R. and his wife
divorced. R.R. was represented by counsel
other than Attorney Alfredson at the time.
¶8 In approximately September 2015,
R.R. hired Attorney Alfredson to represent
him after he had fallen behind on certain
post-divorce obligations. R.R. owed his ex-
wife past-due maintenance and attorney's
fees. In addition, R.R. had not yet
attempted to sell a boat that he and his ex-
wife had owned during their marriage, even
though the divorce judgment required that
the boat be placed on the market for sale.
¶9 In mid-October 2015, a family court
commissioner found R.R. in contempt and
imposed a $2,405.95 purge condition.
¶10 On October 20, 2015, R.R. informed
Attorney Alfredson that he had sold the boat
for $7,500. Attorney Alfredson and R.R.
agreed that the proceeds from the sale would
be deposited into Attorney Alfredson's trust
account; that the proceeds would be used to
pay the $2,405.95 purge amount; and that the
remainder of the proceeds ($5,094.05) would
be held in trust pending documentation of
receipts for storage and the bank payoff for
the boat, for which R.R.'s ex-wife was
partially responsible.
¶11 Attorney Alfredson never deposited
the boat sale proceeds into a trust account.
Rather, on October 22, 2015, she deposited
the check that R.R. had received for the
boat in a non-trust account held by the law
firm where she worked at the time. Attorney
Alfredson subsequently transferred a portion
of the funds to a second non-trust account
held by the firm, and transferred another
portion of the funds to a third non-trust
account held by the firm.
¶12 In November 2015, Attorney Alfredson
provided R.R.'s ex-wife's lawyer with a
check, drawn from one of these non-trust
accounts, for the $2,405.95 purge amount.
Attorney Alfredson also used some of R.R.'s
funds for her own personal use.
¶13 In April 2016, R.R. terminated
Attorney Alfredson and retained a new
lawyer. In a May 9, 2016 letter to R.R.,
Attorney Alfredson agreed to forward the
remaining proceeds from the boat sale to
R.R.'s new lawyer. Later in May 2016,
Attorney Alfredson provided the OLR with a
carbon copy of a purported check that she
allegedly wrote to R.R.'s new lawyer in the
amount of the boat sale proceeds left after
the $2,405.95 purge payment; i.e.,
$5,094.05.
¶14 In early June 2016, the circuit
court ordered that $5,000 of the proceeds
from the boat sale were to be paid to R.R.'s
ex-wife's lawyer within ten business days.
In mid-June 2016, R.R.'s ex-wife's lawyer
wrote R.R.'s new lawyer, inquiring about the
status of the $5,000 payment and stating
that "Attorney Alfredson advises that she
sent the monies from her trust to you."
Attorney Alfredson was copied on this
letter. In response, R.R.'s new lawyer
wrote Attorney Alfredson to say that she had
not received any trust funds from Attorney
Alfredson. Almost four months after
receiving this letter, in October 2016,
Attorney Alfredson delivered a $5,094.95
check made payable to R.R.'s ex-wife's
lawyer. The check was drawn from a non-
trust account.
¶15 In April 2016, R.R. filed a
grievance with the OLR against Attorney
Alfredson. In mid-July 2016, the OLR
notified Attorney Alfredson of the
investigation of R.R.'s grievance and
requested certain information and records
from her. She did not respond.
¶16 In August 2016, the OLR sent
Attorney Alfredson a second request for
information and records via certified mail.
Although Attorney Alfredson signed the
return receipt for the letter, she did not
respond.
¶17 In early September 2016, the OLR
personally served Attorney Alfredson with a
letter in which it threatened to move for a
temporary license suspension for failure to
cooperate with its investigation. In late
September 2016, the OLR received a letter
response from Attorney Alfredson to R.R.'s
grievance. Attorney Alfredson failed to
disclose in her letter that there was any
issue with respect to the delivery of the
remaining proceeds from the boat sale.
¶18 In April 2017, Attorney Alfredson
wrote a letter to the OLR stating that in
May 2016, she had sent a $5,094.05 check to
R.R.'s new lawyer, but she stopped payment
on the check when that lawyer informed her
that she had never received the check.
¶19 In May 2017, the OLR sent a letter
to Attorney Alfredson requesting additional
information and documents. Attorney
Alfredson did not respond.
¶20 In June 2017, the OLR wrote Attorney
Alfredson again, reminding her of her duty
to cooperate. In a July 2017 telephone
conversation with OLR staff, Attorney
Alfredson stated that her response was in
the mail and that she would fax a copy of
the response to the OLR. The OLR received
nothing from Attorney Alfredson.
¶21 In August 2017, the OLR personally
served Attorney Alfredson with a letter in
which it threatened to move for a temporary
license suspension for failure to cooperate
with its investigation. In late August
2017, the OLR received Attorney Alfredson's
faxed response to the OLR's May 2017 letter.
Representation of M.T. (Counts 5-
6)
¶22 In October 2015, M.T. hired Attorney
Alfredson to represent him in a divorce. In
a May 9, 2016 letter to Attorney Alfredson,
M.T.'s wife's lawyer identified certain
personal property items that her client
wanted to retrieve from the marital
residence but that M.T. had allegedly
prevented her from retrieving. Attorney
Alfredson did not directly communicate with
M.T. regarding this issue. M.T.'s wife
moved for contempt based on M.T.'s failure
to return some of the items on the personal
property list.
¶23 In June 2016, M.T. retained a new
lawyer. That same month, M.T.'s new lawyer
asked Attorney Alfredson to provide him with
M.T.'s file as soon as possible. His office
followed-up that request with numerous
written requests and phone calls asking for
the file. Attorney Alfredson did not
provide M.T.'s file until September 2016,
over three months after the new lawyer's
initial request for the file.
¶24 The referee reviewed the complaint
and stipulation and concluded that, in
connection with her work for R.R. and M.T.,
Attorney Alfredson had committed the
following forms of misconduct:
|
|
• Count One: By failing to hold R.R.'s
funds in trust, Attorney Alfredson violated
SCR 20:1.15(b)(1).
|
|
• Count Two: By failing to promptly
deliver funds that she collected in connection
with her representation of R.R. to R.R.'s ex-
wife's lawyer, Attorney Alfredson violated
former SCR 20:1.15(d)(1), and SCR 20:1.15(e)
(1).
|
|
• Count Three: By converting R.R.'s
funds that she received in connection with her
representation of R.R. for her own personal
use, Attorney Alfredson violated SCR
20:8.4(c).
|
|
• Count Four: By failing to timely
provide the OLR with a written response to
R.R.'s grievance, and by failing to timely
provide the OLR with a response to the OLR's
additional request for information, Attorney
Alfredson violated SCR 22.03(2), enforced via
SCR 20:8.4(h).
|
|
• Count Five: By failing to address
with M.T. the personal property issue set
forth in his wife's lawyer's May 9, 2016
letter, Attorney Alfredson violated SCR
20:1.3.
|
|
• Count Six: By failing to timely
deliver M.T.'s case file to successor
counsel, Attorney Alfredson violated SCR
20:1.16(d).
¶25 The referee then considered
appropriate discipline. He adopted, without
analysis, the OLR's reasoning and
recommendation set forth in its sanction
memorandum. In that memorandum, the OLR
discussed certain cases that, in its view,
justified a 90-day suspension period.
See
In re Disciplinary Proceedings Against
Briggs, 2014 WI 119, 358 Wis. 2d 493, 861
N.W.2d 528 (90-day suspension for lawyer
with no prior discipline who committed 12
counts of misconduct); see also In re
Disciplinary Proceedings Against Woods,
2008
WI 79, 311 Wis. 2d 213, 751 N.W.2d 840 (90-
day suspension for lawyer with an extensive
disciplinary history who committed four
counts of misconduct). The OLR also
discussed various aggravating and mitigating
factors. On the aggravating side of the
scale, the OLR noted that Alfredson has a
disciplinary history, converted client funds
for personal use, and engaged in misconduct
with a pattern of neglect, dishonesty, and
failure to cooperate. On the mitigating
side of the scale, the OLR noted Attorney
Alfredson's "lack of substantial legal
experience," her acknowledgement of her
misconduct, and her provision of
"confidential information to OLR regarding
family and medical issues which affected her
ability to practice law during the time
period in question."
¶26 Ultimately, the referee accepted the
parties' stipulated discipline and
recommended a 90-day suspension. He also
recommended that Attorney Alfredson be held
responsible for all the costs of this
disciplinary proceeding, which total
$2,649.59 as of November 15, 2018.
|
|
¶27 No appeal was filed, so we review
this matter pursuant to SCR 22.17(2). We
will affirm the referee's findings of fact
unless they are clearly erroneous. We
review conclusions of law de novo. See
In
re Disciplinary Proceedings Against
Eisenberg, 2004 WI 14, ¶5, 269 Wis. 2d 43,
675 N.W.2d 747. We may impose whatever
sanction we see fit, regardless of the
referee's recommendation. See In re
Disciplinary Proceedings Against Widule,
2003 WI 34, ¶44, 261 Wis. 2d 45, 660 N.W.2d
686.
¶28 There is no showing that any of the
referee's findings of fact, based on the
parties' stipulation, are clearly erroneous.
Accordingly, we adopt them. We also agree
with the referee's legal conclusions that
Attorney Alfredson violated the supreme
court rules noted above.
¶29 The central issue for this court is
whether a suspension greater than the 90-day
recommended suspension is in order. Our
concern over the length of suspension is
prompted by our February 2017 decision in
Alfredson I, in which we noted that the
60-
day suspension we imposed was "modest" given
the facts at hand, and cautioned that a
longer suspension would have been in order
had Attorney Alfredson been previously
disciplined. Alfredson I, 373 Wis. 2d
79,
¶35. We warned Attorney Alfredson "that the
court may impose progressively severe
sanctions when an attorney engages in
repeated misconduct," and we imposed the
stipulated 60-day suspension "with the
expectation that Attorney Alfredson will not
commit future misconduct subjecting her to
additional discipline." Id. Attorney
Alfredson is now back before us——and,
troublingly, the facts show that she failed
to cooperate with the OLR's investigation
regarding her representation of R.R. even
after the February 2017 issuance of
Alfredson I.
|
|
¶30 "This court has long adhered to the
concept of progressive discipline in
attorney regulatory cases." In re
Disciplinary Proceedings Against Netzer,
2014 WI 7, ¶49, 352 Wis. 2d 310, 841 N.W.2d
820. The question for us here is whether
moving from a 60-day suspension to the
recommended 90-day suspension constitutes a
sufficiently serious step in the progressive
discipline process.
¶31 On these facts, we conclude the
answer is yes——though it is a close call.
The closeness of the call stems from the
weakness of certain mitigating circumstances
identified by the OLR in its sanction
memorandum——which, again, the referee
endorsed in its entirety without analysis.
The OLR stated that Attorney Alfredson's
"lack of substantial legal experience"
should count as a mitigating factor. But
Attorney Alfredson was admitted to the bar
in 2009, and the misconduct in this case
occurred years later, in 2015 through much
of 2017. By this time, Attorney Alfredson
was not a brand-new lawyer. Moreover, the
ethical principles she violated are not
elusive: hold client funds in trust; do not
spend them on personal matters; pay client
funds owed to third parties promptly;
communicate with clients diligently;
cooperate with the OLR, etc. Even the
greenest lawyer is charged with knowledge of
these basic rules. Surely Attorney
Alfredson, with multiple years of experience
under her belt, should have known better.
¶32 We also cannot assign any weight to
the OLR's statement in its sanction
memorandum that Attorney Alfredson provided
"confidential information" to the OLR
regarding "family and medical issues which
affected her ability to practice law during
the time period in question."
Problematically, there is no evidence in the
record regarding the nature of Attorney
Alfredson's alleged family and medical
issues, or their possible nexus to her
misconduct. The parties' stipulation
provides no details, and the issues went
unaddressed by the referee. Thus, nothing
stands behind the assertion that Attorney
Alfredson's family and medical issues should
partially excuse her misconduct except the
parties' own say-so. That is not enough.
See In re Disciplinary Proceedings
Against
Davig Huesmann, 2018 WI 114, ¶40, 385 Wis.
2d 49, _ N.W.2d _ (declining to consider
lawyer's personal and substance abuse
problems as mitigating factors absent a
"showing in [the] record that those problems
were the cause of her professional
misconduct"); In re Disciplinary
Proceedings
Against Sosnay, 209 Wis. 2d 241, 243, 562
N.W.2d 137, (1997) ("Absent a causal
connection between an attorney's medical
condition and that attorney's professional
misconduct, the medical condition may not be
considered a factor mitigating either the
seriousness of the misconduct or the
severity of discipline to be imposed for
it.")
¶33 Nevertheless, we conclude that a 90-
day suspension of Attorney Alfredson's law
license is sufficient to impress upon her
the seriousness of her professional duties
and to deter her and others from engaging in
similar misconduct. We note the presence of
certain mitigating factors. Attorney
Alfredson did, ultimately, endeavor to
rectify the consequences of her misconduct.
She also entered into a stipulation that
resolves this disciplinary proceeding,
wherein she explicitly acknowledged that her
misconduct caused harm and that she was
wrong for failing to cooperate with the
OLR's investigation. In addition to these
mitigating factors, we note that a roughly
analogous case, In re Disciplinary
Proceedings Against Wood, 2014 WI 116, 358
Wis. 2d 472, 854 N.W.2d 844, provides
support for a 90-day suspension. See
id.
(imposing a 90-day suspension on a
respondent-lawyer who had been suspended the
previous year in his first disciplinary
matter, and who stipulated to seven
misconduct counts, including failing to keep
a client informed of the case status,
failing to cooperate with the OLR, and
various trust account violations). We
impose this 90-day suspension with the same
caveat that we gave in Alfredson I: we
expect that Attorney Alfredson will not
commit future misconduct, and should this
expectation be disappointed, our progressive
discipline system will await.
¶34 As is our normal practice, we find
it appropriate to impose the full costs of
this disciplinary proceeding on Attorney
Alfredson. See SCR 22.24(1m).
¶35 Finally, as to restitution, none was
sought and none is ordered.
¶36 IT IS ORDERED that the license of
Melinda Alfredson is suspended for a period
of 90 days, effective April 9, 2019.
¶37 IT IS FURTHER ORDERED that within 60
days of the date of this order, Melinda
Alfredson shall pay to the Office of Lawyer
Regulation the costs of this proceeding,
which are $2,649.59 as of November 15, 2018.
¶38 IT IS FURTHER ORDERED that Melinda
Alfredson shall comply with the provisions
of SCR 22.26 concerning the duties of a
person whose license to practice law in
Wisconsin has been suspended.
¶39 IT IS FURTHER ORDERED that
compliance with all conditions of this order
is required for reinstatement. See SCR
22.28(2).
|