Supreme Court of Pennsylvania Holds Onto Its Authority to Monitor Attorney Conduct
If a Pennsylvania attorney engages in misconduct involving the collection and distribution of a client’s settlement funds, the Supreme Court of Pennsylvania provides the exclusive remedy to the client through the Rules of Professional Conduct and Rules of Disciplinary Enforcement (“Rules”). The Unfair Trade Practices and Consumer Protection Law (“UTPCPL”) (and the possibility of treble damages that go with that Pennsylvania statute) does not apply. So held the Supreme Court of Pennsylvania in Beyers v. Richmond, a December 28, 2007 decision.
In Beyers, an unhappy client sued her attorney and his law firm, alleging negligent supervision, negligence, conflict of interest, breach of fiduciary duty, fraudulent misrepresentation, and violation of the UTPCPL. The trial court awarded treble damages on the UTPCPL claim, and the Superior Court affirmed.
The Supreme Court of Pennsylvania, however, disagreed. It held that, although it was disturbed by the attorney’s conduct, the UTPCPL did not apply. Instead, the Rules are the exclusive remedy under the facts of the case. The Pennsylvania Constitution grants the appellate court the exclusive authority to monitor Pennsylvania attorneys’ conduct in practicing law. That grant of authority is consistent with the separation of powers between the Pennsylvania judiciary and legislative branches of government and is intended to ensure the efficient administration of justice. Pursuant to the constitutional authority, the Supreme Court of Pennsylvania enacted the Rules to regulate and monitor conduct of Pennsylvania attorneys.
The holding was fact-specific. As a general rule, though, it seems safe to assume that, where professional misconduct by an attorney is involved (as opposed to an attorney’s debt-collection practices, for example), the Supreme Court of Pennsylvania is not going to allow the Pennsylvania legislature to trump its exclusive authority to govern Pennsylvania attorneys in the practice of law.
