Akron Bar Assn. v. Carr
963 N.E.2d 802
Ohio2012Background
- Akron Bar Association filed a complaint against Jeffrey A. Carr for violating several Rules of Professional Conduct.
- Carr represented Silas Pearson in a real-estate purchase-related suit against Coldwell Banker and an agent, commencing December 2008.
- Carr charged Pearson $240 per hour for about ten months, totaling $13,944 for 58.1 hours plus a $250 filing fee by December 2008 through July 2009.
- The case settled in September 2009 for $7,500; Carr billed for mediation and dismissal, gave a $1,000 reduction, and offset the balance against the settlement proceeds.
- Pearson ultimately received a $250 check from Carr, with Carr retaining $7,250, resulting in Pearson paying $14,000 in fees for $7,250 of value.
- An expert (R. Scott Haley) testified that many billed hours were excessive and that research on property taxes was readily available to the public, undermining Carr’s fee reasonableness.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Carr charged a clearly excessive fee | Carr charged excessive fees, violating 1.5(a). | Carr contends charges were reasonable given case complexity. | Yes, fee was clearly excessive. |
| Whether other charges were proven or not | Relator proved remaining charges unsupported by proof. | Carr contested the factual basis for other charges. | Other charges not proven. |
| Appropriate sanction for excessive fees | Sanction should reflect severity and protect clients. | Sanction should be limited given mitigating factors. | Six-month stayed suspension with conditions. |
| Restitution and costs beforeactivation of status | Carr should restitute $7,250 and pay costs. | Proceedings should allow restoration only after restitution and costs are paid. | Restitution and costs required prior to restoration to active status. |
Key Cases Cited
- Disciplinary Counsel v. Smith, 124 Ohio St.3d 49 (2009-Ohio-5960) (six-month stay/no prior record in excessive-fee sanctions)
- Toledo Bar Assn. v. Johnson, 121 Ohio St.3d 226 (2009-Ohio-777) (six-month suspension stayed on conditions for excessive fees)
- Cleveland Bar Assn. v. Character-Floyd, 83 Ohio St.3d 306 (1998) (six-month stayed suspension for excessive-fee misconduct)
