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1
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OPINION
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EXTRACTED KEY WORDS
ATTORNEY CLIENT AGREEMENTS NONREFUNDABLE RETAINER MATTER PROFESSION COOPERMAN SPECIAL NONREFUNDABLE RETAINER LAWYER REFUND DISCHARGE PUBLIC POLICY CHARGES NY2D APPELLATE DIVISION DISCIPLINE VIOLATION GRIEVANCE COMMITTEE RENDER REASON COURT TERMINATE RESPONSIBILITY MINIMUM FEE FEE ARRANGEMENTS EMPLOYMENT CONTRACT SUPRA WITHDRAW |
IN THE MATTER OF EDWARD M. COOPERMAN, AN ATTORNEY AND COUNSELOR-AT-LAW,
ADMITTED UNDER THE NAME OF EDWARD MICHAEL COOPERMAN. GRIEVANCE COMMITTEE FOR
THE TENTH JUDICIAL DISTRICT, EDWARD M. COOPERMAN,
83 N.Y.2d 465, 633 N.E.2d 1069, 611 N.Y.S.2d 465 (1994).
March 17, 1994
2 No. 25 (1994 NY Int. 028)
Decided March 17, 1994
_________________________________________________________________
This opinion is uncorrected and subject to revision before publication
in the New York Reports.
BELLACOSA, J.:
The issue in this appeal is whether the appellant attorney violated
the Code of Professional Responsibility by repeatedly using special
nonrefundable retainer fee agreements with his clients. Essentially,
such arrangements are marked by the payment of a nonrefundable fee for
specific services, in advance and irrespective of whether any
professional services are actually rendered. The local Grievance
Committee twice warned the lawyer that he should not use these
agreements. After a third complaint and completion of prescribed
grievance proceedings, the Appellate Division suspended the lawyer
from practice for two years. It held that the particular agreements
were per se violative of public policy. We affirm the order of the
Appellate Division.
I.
In 1990, the petitioner, Grievance Committee for the Tenth Judicial
District, initiated a disciplinary proceeding charging attorney
Cooperman with 15 specifications of professional misconduct. They
relate to his use of three special nonrefundable retainer fee
agreements.
The first five charges derive from a written fee agreement to
represent an individual in a criminal matter. It states: "My minimum
fee for appearing for you in this matter is Fifteen Thousand ($15,000)
Dollars. This fee is not refundable for any reason whatsoever once I
file a notice of appearance on your behalf". One month after the
agreement, the lawyer was discharged by the client and refused to
refund any portion of the fee. The Grievance Committee sent Cooperman
a Letter of Caution relating to this matter. He rejected the
admonition, claiming the fee was nonrefundable. The Letter of Caution
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