Bill Text: CT HB07267 | 2017 | General Assembly | Comm Sub

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Bill Title: An Act Concerning The Fiduciary Responsibilities Of Attorneys Who Are Prohibited From Practicing Law.

Spectrum: Committee Bill

Status: (Introduced - Dead) 2017-04-20 - File Number 660 [HB07267 Detail]

Download: Connecticut-2017-HB07267-Comm_Sub.html

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General Assembly		Raised Bill No. 7267
January Session, 2017		LCO No. 5162
		*_____HB07267JUD___040417____*
Referred to Committee on JUDICIARY
Introduced by:
(JUD)

AN ACT CONCERNING THE FIDUCIARY RESPONSIBILITIES OF ATTORNEYS WHO ARE PROHIBITED FROM PRACTICING LAW.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. (NEW) (Effective October 1, 2017) (a) In every case where an attorney has been suspended, disbarred, placed on inactive status or has resigned, the attorney shall, not later than fourteen days after the date of entry of the suspension, disbarment, placement on inactive status or resignation, take the following actions:

(1) Prepare a written resignation, effective as of the date of entry of the suspension, disbarment, placement on inactive status or resignation, of all appointments as guardian, executor, administrator, trustee, attorney-in-fact or other fiduciary, attaching to such written resignation a copy of the notices sent to the wards, heirs or beneficiaries pursuant to subdivision (2) of this subsection, the mailing address of the wards, heirs or beneficiaries, and the case caption and docket number of the proceedings, if any;

(2) Provide written notice to all wards, heirs and beneficiaries setting forth that (A) the attorney has been suspended, disbarred, placed on inactive status or has resigned and, as a consequence, he or she is disqualified from acting as an attorney effective as of the date of entry of the suspension, disbarment, placement on inactive status or resignation; and (B) the ward, heir or beneficiary should act promptly to enlist the services of another fiduciary or seek legal advice elsewhere, calling attention to any urgency arising from the circumstances of the case;

(3) Refund any part of any fees paid in advance that have not been earned;

(4) Close every trust or other fiduciary account and properly disburse or otherwise transfer all fiduciary funds in his or her possession, custody or control; and

(5) Give such other notice of the Superior Court's action as the court may direct in the public interest.

Unless otherwise ordered by the court, all notices required by this subsection shall be served by certified mail, return receipt requested, in a form approved by the Superior Court.

(b) Whenever the Superior Court deems it necessary, the court may appoint a commissioner of the superior court to take appropriate action in lieu of, or in addition to, the action directed in subsection (a) of this section. The appointment of a commissioner of the superior court shall be at the expense of the attorney who has been suspended, disbarred, placed on inactive status or has resigned unless otherwise ordered by the court.

(c) Orders imposing any suspension of an attorney may be immediate, and orders otherwise imposing disbarment, placement on inactive status or accepting the resignation of the attorney shall be effective thirty days after the date of entry, unless otherwise ordered by the court. After entry of such order, the attorney shall not accept any new retainer or engage as the fiduciary for another in any new case or matter of any nature.

(d) Not later than twenty-one days after the entry date of the order of suspension, disbarment, placement on inactive status or resignation, the attorney shall file with the State-Wide Grievance Committee an affidavit certifying that the attorney has fully complied with the provisions of the order. The attorney shall attach to the affidavit certifying compliance:

(1) A copy of each form of notice, the names and mailing addresses of the wards, heirs, beneficiaries, attorneys, courts and agencies to which notices were sent, and all return receipts or returned mail received up to the date of completion of the affidavit. The attorney shall file supplemental affidavits covering subsequent return receipts and returned mail;

(2) A schedule showing the location, title and account number of every bank account designated as a trust or fiduciary account and of every account in which the attorney holds or held, as of the entry date of the order, any trust or fiduciary funds;

(3) A schedule describing the attorney's disposition of all fiduciary funds in the attorney's possession, custody or control as of the entry date of the order or thereafter;

(4) Such proof of the proper distribution of such funds and the closing of such accounts as has been requested by the State-Wide Grievance Committee, including copies of checks and other instruments;

(5) The attorney's home address or other residential address where communications to the attorney may thereafter be directed.

The attorney shall retain copies of all notices sent and maintain complete records of the steps taken to comply with the notice requirements of this subsection and subsection (a) of this section.

(e) Not later than twenty-one days after the entry date of the order of suspension, disbarment, placement on inactive status or resignation, the attorney shall file with the clerk of the superior court for the judicial district of Hartford:

(1) A copy of the affidavit of compliance required by subsection (d) of this section; and

(2) The attorney's home address or other residential address where communications to the attorney may thereafter be directed.

This act shall take effect as follows and shall amend the following sections:
Section 1	October 1, 2017	New section

JUD

Joint Favorable