April 1, 2009 – The Wisconsin Lawyers’ Fund for Client Protection Committee approved $181,853.66 in reimbursements to victims of lawyer theft in fiscal year 2008 - 09. The committee considered 37 claims, approved 21 claims, denied eight claims, and deferred five claims totaling $35,633 to the Aug. 18, 2009 meeting. One claim was approved conditionally, and three claims were withdrawn by the individual claimants because their attorneys paid the claimants what they were seeking prior to the committee meeting.

Assessment. The committee has approved a $16 assessment for FY 2010 per SCR 12.97(3). Wisconsin-licensed attorneys, except those classified as inactive, subsidize the fund through an annual assessment.

“In determining the assessment, the committee noted that claims paid during the current fiscal year brought the sufficiency level well below the $250,000 established per Wisconsin Supreme Court Rule,” says Deb Smith, committee chair. “The committee further considered that there is already a significant amount in deferred and pending claims. It also was aware that applications for reimbursement have been distributed by the administrator of the fund and by the Office of Lawyer Regulation to former clients of several specific attorneys that are expected to generate large claims. The committee also anticipates additional claims to be filed against attorneys it has recently approved claims against. In addition, the committee believes the $16 assessment was a prudent estimate of our immediate needs to pay claims in the next fiscal year.”

Disbursements. Fiscal year 09 claims were approved for clients of:

• Joan Marie Boyd, Shawano (two claims totaling $7,299)

• Peter T. Elliott, Oconomowoc (one claim for $25,709)

• Scott H. Fisher, Menasha (six claims totaling $6,600)

• James M. Gedlen, Hales Corners (one claim for $2,500)

• Donald A. Hahnfeld, West Allis (one claim for $6,000)

• Scott E. Hansen, Appleton (one claim for $5,000)

• Mark R. Kramer, Delafield (one claim for $22,784.40)

• Godrey Y. Muwonge, Milwaukee (one claim for $2,643.35)

• Mark Gerard Pierquet, Green Bay (one claim for $1,200)

• Gerald Proost, Franksville (one claim for $75,000)

• Anne B. Shindell, San Antonio (one claim for $987.82)

• Robert J. Smead, Menasha (three claims totaling $1,680)

Kudos.

At its March meeting, the committee bid goodbye to Joseph P. Wright for his five years of service. Wright is a partner with Stafford Rosenbaum, Madison. During his tenure, the committee approved 190 claims against 51 attorneys totaling $1,168,256.

“Joe has been a tremendous asset to the committee during his tenure,” says Smith. “He has gone above and beyond to help the fund collect restitution in an egregious case and help make the injured client whole.

“Joe has attended several ABA Client Protection Forums and National Client Protection Organization (NCPO) workshops, serving as faculty and participant. He was instrumental in the success of the NCPO workshop hosted by the Fund for Client Protection in Madison this past September.” NCPO is a national organization that serves as an educational resource for the exchange of information among law client protection funds in the United States and Canada,” she said.

Nearly 50 representatives from more than 20 client protection funds in the United States attended the September workshop. It was the first time the State Bar of Wisconsin Lawyers’ Fund for Client Protection had the opportunity to host the annual workshop.

Chief Justice Shirley Abrahamson, State Bar President Diane Diel, and ABA Client Protection Counsel John Holtaway kicked off the workshop, which focused on sharing strategies and practices to maintaining financial integrity while maximizing restitution and subrogation. "It was an honor to be the host state this year,” says Smith. “We presented panels on emerging areas of concern like immigration law as well as programs encouraging funds to join with state and local bars to undertake education efforts that could prevent financial harm to clients. We were very pleased with the number of funds that attended this premier workshop we had a productive two days.”

About the fund. The supreme court established the fund, formerly named the Clients’ Security Fund, in 1981 to reimburse people who lost money through dishonest acts of Wisconsin attorneys. Claims include unearned retainer, theft from estate, misappropriation of funds, conversion of trust account funds, and theft by investment. Claims for reimbursement and all proceedings of the committee are subject to SCR 12.04-11. Reimbursement decisions are made at the discretion of the committee, which meets three times a year.

For more information about the fund, e-mail Kris Wenzel or call (800) 444-9404, ext. 6185, or (608) 250-6185.