145 So. 3d 1011
La.2014Background
- Respondent Clarence T. Nalls, Jr. is a Louisiana attorney who was previously suspended for one year and one day in a fully deferred disposition (2006) and began a two-year probation; the court later revoked probation and made the suspension executory in 2009.
- Respondent has not sought reinstatement and remains suspended as of the current proceedings.
- In the present disciplinary matter, formal charges were filed in 2012 alleging unauthorized practice after suspension and misappropriation/mishandling of funds belonging to a client, Wade Garner, and a separate client, Linder Shields.
- Respondent allegedly continued to represent Garner post-suspension, engaged in correspondence and court activity, and failed to provide Garner a file or an accounting of funds.
- Respondent accepted a $2,500 advance fee from Shields after suspension and did not inform her of his suspension, instead indicating other attorneys would appear for her.
- The Hearing Committee found multiple rule violations (1.15, 1.16, 5.5, 8.4(c), and related Supreme Court Rule XIX) and negligently violated duties to clients; the Board recommended disbarment with restitution and an accounting.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Did Nalls engage in unauthorized practice after suspension? | ODC argues Yes; continued practice after suspension. | Nalls contends the evidence does not prove clear, convincing unauthorized practice. | Disbarment warranted; respondent knowingly practiced after suspension. |
| Did Nalls mishandle and fail to account for client funds? | ODC asserts substantial mismanagement and conversion of funds. | Nalls disputes accounting conclusions and scope of mismanagement. | Respondent violated 1.15(d), 1.16(d), and 8.4(c); ordered accounting and restitution; sanctions support disbarment. |
| Did respondent fail to inform clients of his suspension and mislead them about representation? | ODC contends did not notify Garner/Shields and improperly accepted fees post-suspension. | Nalls argues conduct was not intentionally deceptive to a degree establishing disbarment. | Knowingly disregarded suspension; deceitful conduct supports disbarment. |
| Is disbarment the appropriate sanction given the misconduct? | ODC seeks disbarment; board recognized serious misconduct with aggravating factors. | Nalls urged lesser discipline or no discipline; arguments rejected by board and court. | Disbarment affirmed as baseline sanction given egregious misconduct and aggravating factors. |
Key Cases Cited
- In re: Jackson, 843 So.2d 1079 (La. 2003) (unauthorized practice after suspension; consequences depend on state of mind)
- In re: Lindsay, 976 So.2d 1261 (La. 2008) (conscious flouting of court authority leads to disbarment)
- In re: Jones, 747 So.2d 1081 (La. 1999) (disbarment for repeated unauthorized practice after suspension)
- In re: Banks, 18 So.3d 57 (La. 2009) (original-jurisdiction review; manifest-error standard applies to findings)
- Louisiana State Bar Ass'n v. Reis, 513 So.2d 1173 (La. 1987) (discipline aims to protect public, integrity; baseline considerations)
- Louisiana State Bar Ass'n v. Whittington, 459 So.2d 520 (La. 1984) (factors for aggravation/mitigation in imposing discipline)
