Salopek v. Schoemann
Salopek v. Schoemann
Opinion of the Court
The plaintiff, as assignee of J. Maxwell Peyser, an attorney, commenced this action to foreclose a lien asserted under the written agreement of the defendant Robert Schoemann to pay for legal services. The attorney was discharged by his client on the same day the agreement was signed. The court decreed the enforcement of the lien to the extent of the reasonable value of the services performed to the time of discharge. On appeal by the plaintiff it is contended that the attorney was entitled to the enforcement of the lien to the full amount of the contract.
With one exception the correctness of the trial court’s findings on material issues is not in dispute. The record shows that Max Schoemann died testate on June 2, 1937, a resident of the city and county of San Francisco, leaving no wife or issue. His next of kin were two brothers, the defendant, Robert Schoemann, who resided in New York; Otto Schoemann, who resided in Switzerland; and a sister Gertrude Horn, who resided in Germany. The will was holographic and was executed on December 13, 1934. It showed that as of that date the decedent was married, and in the will provision was made for a bequest to the wife. By its terms the residue was to be distributed, 10 percent to the brother Otto; 20 percent to the brother Robert; 10 percent to the sister Gertrude; 30 percent to children of Otto; ten percent and fifteen percent respectively to James and Eugene Schoemann, children of Robert Schoemann. Sam M. Schoemann, a cousin, who lived in California, was designated as executor and was left 5 percent of the estate for his services. The will offered for probate disclosed certain interlineations and alterations in pencil. The declaration of the marital status was stricken. The bequest to the wife was marked out with the notation, "Jennie died July 7, 1935.” The words and figures “ (20%) Twenty percent” in the bequest to Robert Schoemann were drawn through, without the insertion of any substituted figures. The bequest to the sister was apparently raised by alteration to 30 percent of the residue. The testator did not initial or sign the alterations.
The, trial court in the present action found that on June 8, 1937, defendant Sam M. Schoemann filed a petition for pro
In addition to the foregoing the court found that there were no “false, negligent or fraudulent representations or statements to defendant Robert Schoemann as to the law or facts involved in said defendant’s claim to receive a share of the estate of Max Schoemann, deceased, for the purpose of inducing said defendant to retain said J. Maxwell Peyser as his attorney or for any other purpose or at all.” The court declared a lien on the funds held by the defendant Sam M. Schoemann for distribution to Robert Schoemann, to the extent of $300 which the court found to be the reasonable value of the services of Peyser to the time of his discharge. The
It is the plaintiff’s contention that the foregoing quoted finding is entirely in the attorney’s favor and that the only conclusion that can be drawn therefrom is that there was no justification for the rescission of the contract of employment ; consequently that he was discharged without cause and was entitled to recover the full amount of the agreed fee (citing Baldwin v. Bennett, 4 Cal. 392; Webb v. Trescony, 76 Cal. 621 [18 Pac. 796]; Bartlett v. Odd Fellows Savings Bank, 79 Cal. 218 [21 Pac. 743, 12 Am. St. Rep. 139]; Kirk v. Culley, 202 Cal. 501 [261 Pac. 994]; Elconin v. Yalen, 208 Cal. 546, 549 [282 Pac. 791]; Zurich G. A. & L. Ins. Co. Ltd. v. Kinsler, 12 Cal. (2d) 98 [81 P. (2d) 913]; Echlin v. Superior Court, 13 Cal. (2d) 368 at 375 [90 P. (2d) 63, 124 A. L. R. 719].) The defendants contend that the quoted finding is not supported by the evidence; that the record discloses ample justification for the attorney’s discharge, in which event the only question is the reasonable value of his services to the time of discharge.
There seems to be no divergence of authority to the effect that if an attorney is discharged for sufficient cause he is entitled to no more than the reasonable value of his services rendered prior to his discharge. The important and controlling question on the appeal is whether the quoted finding is supported by the evidence. When considered as a firiding absolving the attorney of any fraudulent purpose or intent in inducing the contract, it is' supported by the evidence; but if it be deemed a finding that his conduct would not justify his discharge it is unsupported.
Peyser testified that when Robert Schoemann consulted him and submitted the will to him, he advised that the proper procedure would be to file a contest of the will; that if the contest was successful Schoemann would be entitled to one-third of the estate, but that if the contest was unsuccessful and the court determined that the alterations should stand as in accordance with the intention of the testator to cancel the bequests stricken out, 40 percent of the estate would go into the residue and he would still have 13 percent of the estate. He testified that he also advised Robert Schoemann that if the contest was successful his sons’ bequests would not be affected. It appeared that before Robert signed the agreement he informed Peyser that he would “rather be killed” than see
It appears beyond dispute that when Peyser became acquainted with the facts and with his client’s purpose to do nothing which would prevent his two sons from receiving their legacies, he prepared a contract in which he agreed to prosecute to final judgment all proceedings necessary “to declare invalid and to defeat the will of Max Schoemann, deceased. ’ ’ Peyser knew or should have known that if the will were declared invalid the sons would receive nothing thereunder. Peyser also advised Robert Schoemann that he would have him appointed administrator of the estate, when he knew that Robert was not a resident of the State of California. Peyser also prepared and filed the contest on behalf of Robert Schoemann in which the grounds of contest were alleged to be unsoundness of mind, infirmity of mind and body, lack of due execution, and “that said document by striking a line through the words and figures: ‘(20%) Twenty percent’ in violation of law and not witnessed by the said testator; that said alteration purporting to be a bequest to the petitioner, Robert Schoemann was not the legal act of the said deceased, but was the result of undue influence of certain persons whose names are unknown to this contestant.”
On the day the employment agreement was signed and the contract filed, Robert Schoemann showed the document to his sons. They told him that he had been misinformed by Peyser; that if the will were defeated they would receive nothing, and that he could not be appointed administrator because he resided in New York. That same day Robert Schoemann consulted another lawyer to verify these statements and was advised that Peyser had misinformed and misguided him. He immediately gave the notice of rescission.
It is true that the procedure to be pursued in protecting his client’s interest is generally for the attorney to decide. (Zurich G. A. & L. Ins. Co., Ltd. v. Kinsler, supra.) But
The judgment is affirmed.
Curtis, J., Edmonds, J., and Carter, J., concurred.
Concurring Opinion
The judgment of the trial court should be affirmed on the ground that the compensation of an attorney employed under a contingent fee contract and discharged without cause should be measured by the reasonable value of the services performed, not by the fee fixed in the contract. The cases in this state allowing recovery of the full contract fee under such circumstances should be overruled. (Webb v. Trescony, 76 Cal. 621 [18 Pac. 796]; Zurich G. A. & L. Ins. Co., Ltd. v. Kinsler, 12 Cal. (2d) 98, 102 [81 P. (2d) 913].) It is true that a majority of jurisdictions permit such recovery. (See cases collected in 136 A. L. R. 242.) But a strong and growing minority hold that under a contingent fee contract an attorney may recover only the reasonable value of services rendered by him prior to discharge. (Cole v. Myers, 128 Conn. 223 [21 A. (2d) 396, 136 A. L. R. 226]; Hubbard v. Goffinett, 253 Ky. 779 [70 S. W. (2d) 671]; Pye v. Diebold, 204 Minn. 319 [283 Pac. 487]; Krippner v. Matz, 205 Minn. 497 [287 N. W. 19]; Martin v. Camp, 219 N. Y. 170 [114 N. E. 46]; Wright v. Johanson, 135 Wash. 696 [233 Pac. 16, 236 Pac. 807]; Cavers v. Old Nat. Bank & Union Trust Co., 166 Wash. 449 [7 P. (2d) 23], and other cases cited 136 A. L. R. 254.) Sound reasons of policy and justice support the minority rule and it should be followed by this court. It is recognized as a part of the ethical rules governing the legal profession that an attorney will not sue a client for a fee except to prevent injustice, imposition or fraud. (See American Bar Association, Canons of Professional Ethics, Canon 14.)
The principles involved are well stated in the recent case of Cole v. Myers, 128 Conn. 223 [21 A. (2d) 396, 136 A. L. R. 226]: “An attorney at law is an officer of the court; a minister of justice. He is entitled to fair compensation for his services, but since, because of the highly confidential relationship, the client may discharge him even without just cause, he should receive reasonable compensation for the work he has done up to that point, and not the agreed fee he probably
Traynor, J., concurred.
Reference
- Full Case Name
- E. C. SALOPEK, Appellant, v. ROBERT SCHOEMANN Et Al., Respondents
- Cited By
- 30 cases
- Status
- Published