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931 N.W.2d 762
Minn.
2019
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Background

  • Boris A. Gorshteyn, admitted 2012, operated Gorshteyn Law, P.C., serving mostly Somali clients who often required interpreters.
  • Director filed a petition and supplemental petition alleging extensive misconduct (2014–2017); Gorshteyn did not answer and the allegations were deemed admitted.
  • Misconduct included misappropriation of approximately $382,000 from client trust accounts, failure to maintain required trust-account records, and improper transfers/disbursements.
  • He repeatedly settled or arbitrated client claims without client knowledge/consent (including reliance on powers of attorney, one forged), failed to notify clients of settlements or disbursements, and did not timely return files.
  • He abandoned his practice in June 2016, failed to supervise case closures or notify clients and successor counsel, and failed to cooperate with the Director’s investigation.
  • The Director sought disbarment; the court considered the admitted facts, aggravating factors, lack of mitigation, and comparable precedents.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether misappropriation of client funds warrants disbarment Director: misappropriation of ~$382,000 (excess fees and unrelated transfers) justifies disbarment Gorshteyn did not respond or contest Court: misappropriation is a particularly serious violation and supports disbarment
Whether pattern of neglect/abandonment warrants severe discipline Director: prolonged client neglect, missed filings, dismissed cases, and abandonment support disbarment No response from Gorshteyn Court: sustained pattern of neglect over years aggravates sanction; supports disbarment
Whether unauthorized settlements, use/forgery of powers of attorney, and conflicts warrant disbarment Director: settling claims without consent, forging/using POAs, undisclosed conflicts show serious ethical breaches No response from Gorshteyn Court: unauthorized settlements and forged POA are grave misconduct and independently support disbarment
Whether failure to cooperate with disciplinary investigation increases sanction Director: noncooperation with audit/Director and in proceedings warrants harsher discipline Gorshteyn did not cooperate or participate Court: noncooperation aggravates sanction (may be considered in addition to substantive misconduct); disbarment ordered

Key Cases Cited

  • In re Swensen, 743 N.W.2d 243 (Minn. 2007) (discipline determined after admissions)
  • In re Matson, 889 N.W.2d 17 (Minn. 2017) (discipline aims to protect public and deter misconduct)
  • In re Lundeen, 811 N.W.2d 602 (Minn. 2012) (misappropriation generally results in disbarment absent substantial mitigation)
  • In re Dovolis, 572 N.W.2d 734 (Minn. 1998) (disbarment for forging signatures and misappropriating client funds)
  • In re Rhodes, 740 N.W.2d 574 (Minn. 2007) (pattern of client neglect can warrant suspension or disbarment)
  • In re Brost, 850 N.W.2d 699 (Minn. 2014) (misappropriation harms public and profession)
  • In re Trombley, 916 N.W.2d 362 (Minn. 2018) (exploitation of vulnerable clients is an aggravating factor)
  • In re Tigue, 900 N.W.2d 424 (Minn. 2017) (restoration/restitution should not be double-counted as an aggravating factor)
Read the full case

Case Details

Case Name: In re Disciplinary Action Against Gorshteyn
Court Name: Supreme Court of Minnesota
Date Published: Jul 31, 2019
Citations: 931 N.W.2d 762; A17-1635
Docket Number: A17-1635
Court Abbreviation: Minn.
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