In Re Zilberberg
In Re Zilberberg
Dissenting Opinion
dissenting in part:
I agree with much of Judge Terry’s analysis, but take issue with the disposition. Here, the Virginia conduct may or may not have been such as to “warrant substantially different discipline in the District of Columbia.” One cannot tell with assurance from the facts related in the Virginia Board’s findings, but the Board’s perception that such might well be the case does not seem unwarranted. Accordingly, I would remand to the Board for further factual inquiry. I do not think that the presumption in favor of reciprocal discipline is so compelling that it applies even where the other jurisdiction’s proceedings leave significant doubt as to the extent of the attorney’s wrongful conduct.
Opinion of the Court
On January 5, 1987, respondent Zilber-berg, an attorney, was suspended from the practice of law in the state of Virginia for three years. The Virginia State Bar Disciplinary Board found that Mr. Zilberberg had violated Virginia Disciplinary Rules 1-102 (conduct involving dishonesty, fraud, deceit, or misrepresentation), 9-102 (commingling, failure to notify client promptly of receipt of funds, and failure to pay client such funds promptly on request), and 9-103 (failure to maintain detailed records of client funds).
I
The facts underlying Mr. Zilberberg’s suspension in Virginia are summarized in the order of the Virginia State Bar Disciplinary Board (“the Virginia Board”). The suspension arose from his representation of Julia Brown in a personal injury case. In May 1985, shortly after Mr. Zilberberg had left private practice and gone to work as an attorney for a government agency, he received a $2500 settlement check from an insurance company in full settlement of Mrs. Brown’s claim against its insured. One-third of this check constituted Zilber-berg’s fee. At that time he did not have a separate trust account for client funds related to his private practice,
On June 14, 1985, Mr. Zilberberg wrote a cheek for $1633.66 to Mrs. Brown, her share of the settlement proceeds, which he asked her not to deposit for several days. When eventually she did deposit it, the check was dishonored for insufficient funds. At the time Mr. Zilberberg wrote this check, his checking account balance was $301.65. Finally, on July 8, Mr. Zilber-berg delivered to Mrs. Brown a certified check for the full amount due. Some time thereafter he paid Mrs. Brown an additional $130 to cover her travel expenses when she came to Washington on June 14 to pick up the check that later bounced.
Although Mr. Zilberberg does not dispute these facts — indeed, he stipulated to them in the Virginia proceeding — he urges before this court, as he did before the Board, that there were mitigating circumstances. He points out tbat these events took place not only while he was closing his private practice but also during a period of great personal stress, when he was going through a divorce and, at the same time, losing his eyesight to cataracts.
II
Under Rule XI, § 11(c) of this court’s Rules Governing the Bar, “[rjecip-rocal discipline shall be imposed unless the attorney demonstrates, by clear and convincing evidence,” that the case falls within one or more of five specifically enumerated exceptions. The rule thus creates a rebut-table presumption that the discipline will be the same in the District of Columbia as it was in the original disciplining jurisdiction.
In its order of suspension, the Virginia Board made factual findings which we have summarized in part I of this opinion: that Mr. Zilberberg received the settlement check, deposited it in his own account (having no trust account at the time), misrepresented to Mrs. Brown the status of her case, kept from her the fact that he had received the check, and later gave her a check that bounced before finally delivering to her a certified check for the amount due from the settlement. The Virginia Board also found that Zilberberg had “no current records of when the check was received or deposited.” Significantly lacking from the Virginia order, however, was any finding that Mr. Zilberberg’s conceded misappropriation of his client’s funds
The Board based its recommendation of disbarment on the fact that there was “no indication that [Zilberberg’s] misappropriation was inadvertent or the result of simple negligence....” Observing that in such circumstances “disbarment would be the appropriate discipline in the District of Columbia” under our decision in In re Addams, 579 A.2d 190 (D.C. 1990) (en banc), the Board concluded that Zilberberg should be disbarred. This conclusion overlooks the fundamental difference between disciplinary proceedings originating in the District of Columbia, in which establishing whether a misappropriation was the result of “simple negligence” or something more is of singular importance,
Bar Counsel argues that the Board was justified in inferring from the record of the Virginia proceedings that Mr. Zilberberg’s misappropriation was intentional, and that Zilberberg should therefore be disbarred. We do not think the Board actually drew such an inference; rather, it appears that the Board merely assumed that what it saw as the Addams rule would apply automatically in a reciprocal proceeding. We hold that such an assumption is unwarranted. To apply Addams automatically to a case such as this would result in “an inconsistent disposition involving identical conduct by the same attorney.” In re Velasquez, supra, 507 A.2d at 147. Such a result is beyond the scope of the Addams opinion and clearly was not addressed by the Addams court.
The issue before us, therefore, is whether the Virginia record is sufficient to justify a greater sanction than the Virginia Board imposed — ie., sufficient to overcome the presumption that our sanction will be the same as Virginia’s. We conclude that it is not. We hold that in a reciprocal proceeding, when a greater sanction is sought in the District of Columbia, the record must affirmatively show that a greater sanction is warranted — as it did, for example, in In re Reid, 540 A.2d 754 (D.C. 1988), and In re Larsen, 589 A.2d 400 (D.C. 1991). If the existing record from the original disciplining jurisdiction is insufficient for that purpose, then the record must be augmented before a greater sanction may be imposed. The usual means of augmentation will probably be, we expect, a de novo hearing before a hearing committee. See D.C. Bar Rule XI, § 11(g)(2).
In the case before us, Mr. Zilberberg’s misappropriation is undisputed, but there is some doubt about whether it was intentional or merely the result of “simple negligence.” The Virginia Board’s findings of fact shed no light on the critical issue of whether the misappropriation was knowing and intentional or merely negligent.
We see no need to remand the case to the Board as we did in In re Brickle, 521 A.2d 271 (D.C. 1987). In Brickie an attorney resigned from the Virginia bar while misappropriation charges were pending against him, and his license to practice law was revoked. Under Virginia law, an attorney who resigns under such circumstances “is deemed to have admitted those charges.” Id. at 272 (citation omitted). Our Board on Professional Responsibility recommended that the same discipline be imposed in the District of Columbia, viz., “revocation” of
The only remaining matter to be decided is the effective date of the sanction. Under In re Goldberg, 460 A.2d 982, 985 (D.C. 1988), and Board Rule 8.5(b), a reciprocal suspension or disbarment may be made to run concurrently with the sanction imposed elsewhere if the attorney promptly notifies Bar Counsel of that sanction and voluntarily refrains from practicing in the District of Columbia. The Board’s report tells us that Mr. Zilberberg has complied with this rule by submitting an affidavit “attesting to his cessation of practice in the District of Columbia since the date of his Virginia suspension.” The Board accordingly recommends that our sanction be imposed nunc pro tunc as of the effective date of the Virginia suspension. We accept that recommendation.
It is therefore ORDERED that Mark H. Zilberberg be, and hereby is, suspended from the practice of law in the District of Columbia for a period of three years, effective January 5, 1987.
. At the time of Mr. Zilberberg's suspension, the District of Columbia Code on Professional Responsibility contained substantially similar disciplinary rules. So do our new Rules of Professional Conduct, which took effect on January 1, 1991.
. The Virginia Board found that Mr. Zilberberg maintained no trust account as of April 30, 1985, when he was employed by the government. There is no finding one way or the other as to whether he ever had such an account before he closed his practice.
. His bank statement, however, showed a deposit of $2500 on May 6, 1985.
. Fortunately, Mr. Zilberberg's vision has since been substantially restored by cataract surgery.
.He has, however, twice been disciplined in the state of Virginia since his three-year suspension was imposed in January 1987. In August 1989 Mr. Zilberberg was suspended from the practice of law in Virginia for ninety days, to run consecutively to his three-year suspension, for neglect of a client's case. The following year, in June 1990, he was reprimanded by the Virginia State Bar Disciplinary Board for failure to notify a client of his 1987 suspension.
. The judge who served as referee in the Florida proceedings found that Mr. Zilberberg’s "mitigation overwhelms his offenses.”
. Because Mr. Zilberberg’s misconduct occurred before January 1, 1991, this case is governed by our former Code of Professional Responsibility, not our current Rules of Professional Conduct. See note 1, supra. The order promulgating the new Rules states in part:
[Wjith respect to conduct occurring before January 1, 1991, the provisions of the Code of Professional Responsibility in effect on the date of the conduct in question are the governing rules of decision for this court, the Board on Professional Responsibility, its Hearing Committees, and Bar Counsel.
Order No. M-165-88, filed March 1, 1990 (emphasis added). In this opinion, however, we shall cite the relevant portions of the new Rules, since they are materially identical to the former Code. (There is one difference between the new section 11(c) and the former section 18(5), but it does not affect the outcome of this case.)
. "Depositing client funds into an attorney’s operating account” — or personal account, as in this case — "constitutes commingling; misappropriation occurs when the balance in that account falls below the amount due to the client.” In re Micheel, 610 A.2d 231, 233 (D.C. 1992) (citation omitted).
. We held in In re Addams:
[I]n virtually all cases of misappropriation, disbarment will be the only appropriate sane*835 tion unless it appears that the misconduct resulted from nothing more than simple negligence.
579 A.2d at 191 (emphasis added).
.This is not inconsistent with our holding in In re Reid, supra, that such a hearing is not required before a greater sanction may be recommended by the Board and imposed by the court. All we are saying here is that, if the existing record is insufficient, the most likely way to remedy that insufficiency is to hold a hearing and place on the record the grounds for a greater sanction, whatever they may be.
. The basis of the dishonesty ruling by the Virginia Board is equally obscure, but it apparently relates to Mr. Zilberberg’s misrepresentation to his client, not the misappropriation itself.
. We need not, and do not, decide whether such mitigating factors would be sufficient to warrant a lesser sanction than disbarment under Addams, supra, 579 A.2d at 191 (court "shall regard a lesser sanction as appropriate only in extraordinary circumstances”).
Reference
- Full Case Name
- In Re Mark H. ZILBERBERG, Respondent, a Member of the Bar of the District of Columbia Court of Appeals
- Cited By
- 198 cases
- Status
- Published