In Re Powell Ii

953 N.E.2d 1060 (2011)

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Nature of the Case

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Facts

Ross represented T.G. in obtaining a settlement of a personal injury action. T.G. had a history of drug and alcohol abuse, and she was in an apparently abusive and controlling relationship with J.S., the father of her six children. Ross created a 'special needs trust' to hold $42,500 from the settlement to preserve T.G.'s eligibility for public assistance and to prevent rapid depletion by T.G. This was done with T.G.'s consent. Ross agreed to become the trustee because he was unable to find any other qualified individual or institution to serve. Almost immediately T.G. began hounding Ross for the money. T.G., accompanied by J.S., consulted D about getting access to the funds. D suggested that he could take the case on a contingent basis. D and T.G. agreed to a fee of 1/3rd of whatever was in the trust. The agreement also stated: • T.G. and her family have sought legal representation for some time, and no attorney is willing to take on this case.• T.G. had been given the option of paying on an hourly basis. • The agreement could result in a substantial fee for Respondent for little work. • The parties agreed that the one-third fee was reasonable under the circumstances. • J.S. attested to all the statements and signed as a witness. D faxed a letter to Ross. Ross faxed back and offered to have the trust pay for one or two hours for legal work. Ross told D all of the facts. D executed documents terminating the trust, in accordance with T.G.'s wishes. The bank refused to release the money. D and T.G. then went to another branch of Fifth Third Bank and D executed a signature card for the trust account. D prepared an accounting showing $14,815.55 as his fee, $200 to be held for any tax and accounting fees, and $29,429.62 for T.G. D and T.G. went to yet another branch created a new account for T.G. for $29,429.62 and D wrote a check on the trust account to his firm for $14,815.55. D was investigated by P for misconduct for collecting an unreasonable fee.