State ex rel. Counsel for Dis. v. Pearson
310 Neb. 256
| Neb. | 2021Background
- Gary R. Pearson, admitted to the Nebraska bar in 1976 and practicing in Lincoln, was charged by the Counsel for Discipline with professional misconduct arising from four matters (Wysong, Truax, Jaunzemis, and a trust-account matter).
- Allegations: charging and collecting unreasonable fees in multiple estate matters; making false statements in court pleadings and to the relator (Wysong); and failing to safekeep client funds in his trust account.
- The parties stipulated most facts; a referee found clear-and-convincing evidence of violations of several Nebraska Rules of Professional Conduct (competence, unreasonable fees, safekeeping funds, candor to tribunal/disciplinary body, and general misconduct) and violation of the attorney oath.
- The referee found respondent had no prior discipline and offered mitigating evidence (age, military service, character letters, cooperation) but criticized his candor and tendency to minimize conduct.
- The referee recommended a 1–2 year suspension; the Nebraska Supreme Court granted the relator’s motion for judgment on the pleadings and imposed an 18-month suspension, with directions to comply with reporting rules and to pay costs.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Pearson charged and collected unreasonable fees | Relator: fees in Wysong, Truax, Jaunzemis were unreasonable and violated Neb. Ct. R. of Prof. Cond. § 3-501.5(a) | Pearson: characterized excess as error/oversight, minimized conduct; no prior misconduct | Court: proved by clear and convincing evidence; violations sustained |
| Whether Pearson made false statements and lacked candor to tribunal/disciplinary body | Relator: false pleadings and misleading statements violated §§ 3-503.3(a)(1) and 3-508.1(a) | Pearson: disputed intent; again characterized conduct as careless mistakes | Court: false statements and candor violations proven |
| Whether Pearson failed to safekeep client funds (trust account) | Relator: respondent commingled/maintained personal funds in client trust account, violating § 3-501.15 | Pearson: did not face misappropriation charge; described as trust-account mishandling | Court: respondent violated safekeeping rule |
| Appropriate discipline for proven violations | Relator: suspension appropriate (referee recommended 1–2 years) | Pearson: mitigation (age, veteran status, long good-standing practice, cooperation) urged leniency | Court: considered aggravating/mitigating factors and imposed an 18-month suspension; ordered compliance and costs |
Key Cases Cited
- State ex rel. Counsel for Dis. v. Wolfe, 301 Neb. 117, 918 N.W.2d 244 (2018) (disciplinary proceedings are reviewed de novo; charges require clear-and-convincing proof and courts weigh specified factors when imposing discipline)
