Posts Tagged ‘attorney fees’

Why doesn’t Florida Bar punish auto insurance plaintiff attorney?

Friday, September 3rd, 2010

Michael Ira Libman violated the Rules of Professional Conduct. The attorney regularly kicked back a percentage of his legal fees to a non-lawyer business. Why wasn’t he punished? And what does the Florida Bar’s lack of discipline tell other attorneys about how to conduct themselves?

Libman had a secret deal with Continental Provider Services, a non-lawyer business that prepared legal pleadings and/or documents for him that he then billed as his own work at an hourly rate of up to $450 per hour.

United Automobile Insurance Company (UAIC) shared this information with the Florida Bar. The Bar’s investigation confirmed the facts and confirmed that such behavior by Mr. Libman violated Rule 4-5.4 of the Rules of Professional Conduct and was worthy of discipline.

One might expect that he would be fined, reprimanded, suspended, or possibly disbarred. Instead, the Bar issued a “Report of No Probable Cause and Letter of Advice” to Libman. The same Michael Ira Libman who once bragged, “You know all our cases are phony and we bribe the judges.”

In the latest Libman transgression, the Bar accused UAIC of having a bias in pursuit of the grievance. UAIC uncovered the unethical conduct, obtained the necessary affidavits and evidence to support the allegations, and submitted the documents to the Bar.

Of course UAIC had a bias against Libman.  If UAIC didn’t believe Libman was unethical, it wouldn’t have submitted the complaint.  Doesn’t every person filing a complaint to the Florida Bar have a bias against the lawyer they are complaining about?

Was it that Libman had an explanation for his unethical actions? No. Was it that mitigating circumstances somehow excused his unethical behavior? No. To date, the Bar has offered no explanation why it issued no discipline whatsoever in this matter, other than that the complainant was biased.

The Bar’s lack of action is troubling to say the least. It sends a message to every attorney in the state that it’s OK to cheat and lie. If your client or others paying your bills complain, just argue that they are biased. If independent investigators catch you red-handed, relax. The Bar won’t take action.

It’s a disgrace.

South Florida judges halting fee abuse by plaintiff PIP attorneys

Wednesday, August 11th, 2010

County court judges in Miami-Dade and Broward counties have taken notice that attorney fee claims by plaintiff personal injury protection (PIP) attorneys are out of control.

In recent hearings, judges Andrew Hague, Gladys Perez, Lisa Walsh, Caryn Canner Schwartz and Myriam Lehr in Miami-Dade County and Judge Leonard Feiner in Broward County, slashed plaintiff attorney’s fee claims by as much as 50%.

These Florida judges see the billing abuse that PIP attorneys have been engaging in for far too long. Florida drivers have been footing the bill for this abuse and we are glad these judges have taken notice.

As previously reported here, the hourly rates claimed by and awarded to plaintiff PIP attorneys in Miami-Dade and Broward counties are equally out of control. In Broward County, Judges Leonard Feiner, Robert Lee and Linda Pratt have reduced hourly rates previously awarded by their fellow judges.  In Miami-Dade County, Judges Myriam Lehr and Shelley Kravitz have done the same.

We appreciate that these judges are addressing the problem — doing what is right in this tough economy. We hope other judges will step up as well.

Appellate court victory in PIP lawsuit earns national attention for UAIC

Friday, July 30th, 2010

A victory in state court has produced national attention for United Automobile Insurance Corporation. As reported on this blog first, United Automobile won a nullification of legal fees from a panel of circuit court judges in Miami-Dade County in a case where the plaintiff sought to recover $2.53 in alleged overdue interest.

Insurance News Net contacted company founder and CEO Richard Parrillo Sr. and the company’s chief legal counsel, Jill Carabotta. Among the audio highlights of the interview with them:

We had to go to the appellate court to get justice. We have found that in many instances we don’t get justice in the county courts.

For the first time, we are seeing a little light at the end of the tunnel. Things were so prejudiced against us.

I think additional legislative changes are needed. Many safeguards have been run over by county judges…just annihilated.

The interview is online and you can hear it in its entirety  here.

No ‘PIP time machine’ for auto insurance claim, says Miami-Dade court

Saturday, July 17th, 2010

Been in a car accident? No insurance policy? No problem. At least that is one driver’s thought when she bought insurance from United Automobile Insurance Company (UAIC) after her daughter was injured in a collision.

Now, more than four years and seven months later, a Miami-Dade County circuit court, sitting in its appellate capacity, says that county court judge Teretha Thomas erred when she found a UAIC adjuster could promise coverage despite there being no insurance policy in effect.

A driver was involved in an accident on Dec. 7, 2005, at 7:55 a.m., in which her daughter was a passenger, according to court records. At 10:23 a.m., the driver purchased an insurance policy with UAIC. The next day, the daughter began receiving treatment for injuries allegedly received in the accident, and made a claim for payment through UAIC.

When the medical provider submitted the bill, UAIC did not pay and was sued. When the provider’s attorney, Todd A. Landau, took the deposition of UAIC’s claims adjuster, that person erroneously said the company had no issue with regard to coverage.

Landau argued to Judge Thomas that the adjuster’s testimony meant UAIC had no objection to paying the claim. The judge agreed and ordered a judgment before the lawsuit went to trial.

UAIC appealed and three circuit court judges sitting in their appellate capacity agreed that UAIC never promised to pay the medical bills. The judges unanimously ruled that while insurance coverage cannot be forfeited, it also cannot be created where it doesn’t exist. And any agreement to change the effective date – or time – of coverage cannot come after a lawsuit is filed.

It’s obvious to us that any responsible driver that you should have insurance before you get behind the wheel. You cannot force an insurance company to pay for an accident when no insurance policy was purchased or in effect. That’s plain common sense.

The appellate court agreed with our reasoning and granted UAIC’s motion for attorney fees. The court found the appeal was frivolous as there was no reasonable basis in fact or law to uphold Landau’s argument that coverage should exist despite no insurance policy being in effect. Landau wrote a check to UAIC for $15,250.