I read that an obviously displeased U.S. District Judge P.K. Holmes will penalize 16 lawyers he's accused of unethically moving a class-action case from federal into state court to get a better settlement and avoid scrutiny.
The judge wasn't mincing words either, describing the lawyers' questionable actions as "unequivocally improper," exhibiting "bad faith," and "misleading conduct."
Holmes, from Fort Smith, also referred to their actions moving from one venue to the other less-restrictive court as "objectively unreasonable under the circumstances."
As a result, one of the 16 from four states cited, John Goodson of Texarkana, a University of Arkansas trustee and husband of Arkansas Supreme Court Justice Courtney Goodson, found himself included in yet another headline-grabbing story.
The judge's order, according to reporter Lisa Hammersly, says the attorneys "abused the federal court system through their conduct in this case."
Holmes plans to determine just how much "dishonesty of belief, purpose or motive" each attorney reflected, and the appropriate penalty.
Attorneys Holmes finds acted in flagrant bad faith would be required to file notices in Arkansas federal courts in class-action cases where a settlement is filed and the attorneys appear. The notice, the order says, would say the attorney "has previously been sanctioned for improper conduct in connection with a class-action settlement agreement." Any plaintiffs' counsel whose violation was in bad faith "would have to file a notice of sanction for improper conduct any time they asked to be appointed as a class counsel or any pending case where they are acting as class counsels."
Lawyers whose violations weren't necessarily committed in bad faith would be given an admonition, reprimand, caution, censure or similar sanction. Holmes' order says "an appropriate sanction is necessary to vindicate judicial authority."
This ethical train wreck stemmed from the case Adams v. USAA, which was initially filed in Polk County Circuit Court in December 2013 but moved to U.S. District Court in Fort Smith the next month. Attorneys agreed on a settlement in principle on March 31, 2015, which included dismissing the action but refiling it in Polk County. Two weeks later attorneys filed a report with Holmes which proposed "several dates for continued litigation of this action in this court."
All that shuffling was enough for Holmes to invite 17 attorneys into his courtroom (woodshed) this February to show cause why they shouldn't be sanctioned for "forum shopping."
Holmes found 16 of the 17 in violation of the rule in the Federal Rules of Civil Procedure governing ethical issues, Hammersly reported.
Other Arkansas lawyers cited were Goodson's partner Matt Keil; W.H. Taylor, Timothy Myers, Stevan Vowell and William Putman of Taylor Law Partners in Fayetteville; Stephen Engstrom of Little Rock; and Tom Thompson and Casey Castleberry of Murphy, Thompson, Arnold, Skinner & Castleberry in Batesville.
Judge Holmes will determine how the latest shame in Arkansas jurisprudence and ethics plays out at a June 24 hearing.
Augustine giving back
The annual M&N Augustine Easter Feed in Fayetteville on the Saturday before Easter keeps growing and improving under the guiding hand of its founder, Dr. Merlin Augustine.
For me, this compassionate man with a heart as large as the cavernous Central United Methodist Church auditorium he fills with the hungry every year defines the very notion of unity in the cause of giving back.
Although I had to miss my place as the bread dispenser for this year's event, I know it was the largest yet, serving 6,043 meals either in the church or delivered by the army of volunteers. It's a warm feeling indeed to see everyone from judges to congressmen, legislators, city and county officials and others volunteering time and energy to serve those in need of a hot Easter meal with all the trimmings.
I was told the serving line's drill sergeant and friend, attorney Jim Rose III of Fayetteville, took my dare and wore a tuxedo this year, which I envision much like a penguin barking lawyerly commands to subordinates.
Dr. Augustine, whom I've long known best as "my golden friend," established this annual feed using the $10,000 his parents left to him and his family. Rather than buy another thing for themselves, the family voted to initiate this event that has continued to swell over more than a decade. Dr. Augustine, who openly gives all the credit for such success to his creator, certainly sets a high bar for the rest of us. And because of his Easter Feed and other selfless community projects he creates and inspires, his legacy is ensured long after his time among us fades. If we each were that kind of person, what a wonderful world it would be.
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Mike Masterson's column appears regularly in the Arkansas Democrat-Gazette. Email him at mmasterson@arkansasonline.com.
Editorial on 04/24/2016