ILNews

High court rules on client-attorney relationship

Jennifer Nelson
January 1, 2007
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The Indiana Supreme Court today ruled on a case involving an attorney-client relationship, overturning the trial court's grant of summary judgment in favor of the attorney.

In Ronald D. Liggett, d/b/a Liggett Construction Company v. Dean A. and Elisabeth Young, No. 38S0-0703-CV-80, Liggett appealed the trial court ruling in a contract dispute with the Youngs. At the time the Youngs hired Liggett to build their home, Dean Young worked as attorney for Liggett on an unrelated matter.

Liggett initiated a third-party complaint against the Youngs when a supplier of bricks and materials sued Liggett. In turn, the Youngs brought a counterclaim against Liggett seeking damages for allegedly negligent and untimely completion of work under the building contract.

The trial court granted summary judgment in favor of the Youngs.

At a later hearing initiated by Liggett, the trial court considered a motion to reconsider the previous ruling. This time, the trial court didn't address the fact Young acted as Liggett's attorney during the drafting of the contract. Dean Young had made some changes to the contract, which was allowed as long as an attorney did the work.

The court affirmed the previous order, as did the Court of Appeals.

At issue is whether Dean Young violated Professional Conduct Rule 1.8 and the Preamble of the Indiana Rules of Professional Conduct by hiring Liggett as his homebuilder and making changes to the standard contract.

The evidence from the trial court doesn't show that Dean Young's transaction with Liggett was fair and honest or was a standard commercial transaction, as is required under Prof. Con. R. 1.8, wrote Justice Brent Dickson. Liggett asserted that Rule 1.8(a) rendered the contract void because Dean Young served as his attorney at the time the contract was entered into.

Of significance in this case, Justice Dickson wrote, is that Liggett's claims against the Youngs are for materials and labor not included in the original base contract but were from additional items Liggett claimed were performed at the Youngs' request. Dean Young inserted language into the contract that allowed changes to be made.

The Supreme Court concluded the evidence on the Youngs' motion for partial summary judgment did not affirmatively establish an absence of an issue of material fact that the building contract transaction was fair and honest. Also, there was nothing to show the transaction should, as a matter of law, be treated as a standard commercial transaction to which common law presumption did not apply.

The Youngs are not entitled to summary judgment on their claims or Liggett's claims against them. The court remanded the matter to the trial court to resolve the remaining claims of both parties.
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  1. A traditional parade of attorneys? Really Evansville? Y'all need to get out more. When is the traditional parade of notaries? Nurses? Sanitation workers? Pole dancers? I gotta wonder, do throngs of admiring citizens gather to laud these marching servants of the constitution? "Show us your billing records!!!" Hoping some video gets posted. Ours is not a narcissistic profession by any chance, is it? Nah .....

  2. My previous comment not an aside at court. I agree with smith. Good call. Just thought posting here a bit on the if it bleeds it leads side. Most attorneys need to think of last lines of story above.

  3. Hello everyone I'm Gina and I'm here for the exact same thing you are. I have the wonderful joy of waking up every morning to my heart being pulled out and sheer terror of what DCS is going to Throw at me and my family today.Let me start from the !bebeginning.My daughter lost all rights to her 3beautiful children due to Severe mental issues she no longer lives in our state and has cut all ties.DCS led her to belive that once she done signed over her right the babies would be with their family. We have faught screamed begged and anything else we could possibly due I hired a lawyer five grand down the drain.You know all I want is my babies home.I've done everything they have even asked me to do.Now their saying I can't see my grandchildren cause I'M on a prescription for paipain.I have a very rare blood disease it causes cellulitis a form of blood poisoning to stay dormant in my tissues and nervous system it also causes a ,blood clotting disorder.even with the two blood thinners I'm on I still Continue to develop them them also.DCS knows about my illness and still they refuse to let me see my grandchildren. I Love and miss them so much Please can anyone help Us my grandchildren and I they should be worrying about what toy there going to play with but instead there worrying about if there ever coming home again.THANK YOU DCS FOR ALL YOU'VE DONE. ( And if anyone at all has any ideals or knows who can help. Please contact (765)960~5096.only serious callers

  4. He must be a Rethuglican, for if from the other side of the aisle such acts would be merely personal and thus not something that attaches to his professional life. AND ... gotta love this ... oh, and on top of talking dirty on the phone, he also, as an aside, guess we should mention, might be important, not sure, but .... "In addition to these allegations, Keaton was accused of failing to file an appeal after he collected advance payment from a client seeking to challenge a ruling that the client repay benefits because of unreported income." rimshot

  5. I am not a fan of some of the 8.4 discipline we have seen for private conduct-- but this was so egregious and abusive and had so many points of bad conduct relates to the law and the lawyer's status as a lawyer that it is clearly a proper and just disbarment. A truly despicable account of bad acts showing unfit character to practice law. I applaud the outcome.

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