State Bar Court of California

Hearing Department Los Angeles

STIPULATION RE FACTS, CONCLUSIONS OF LAW AND DISPOSITION AND ORDER APPROVING

ACTUAL SUSPENSION

Case Number(s): 09-C-17095, 11-O-13987

In the Matter of: Leon Rubin Laufer, Bar #100995, A Member of the State Bar of California, Respondent).

Counsel For The State Bar: Hugh G. Radigan, Deputy Trial Counsel

1149 Soth Hill Street

Los Angeles, California 90015

213-765-1206

Bar #94251

Counsel for Respondent: Scott J. Drexel, 1325 Howard Avenue, #151

Burlingame, California 94010

650-918-8328

Bar #65670,

Submitted to: Settlement Judge, State Bar Court Clerk’s Office San Francisco.

Filed: November 22, 2011.

  <<not>> checked. PREVIOUS STIPULATION REJECTED

Note:  All information required by this form and any additional information which cannot be provided in the space provided, must be set forth in an attachment to this stipulation under specific headings, e.g., "Facts," "Dismissals," "Conclusions of Law," "Supporting Authority," etc.

A. Parties' Acknowledgments:

1.      Respondent is a member of the State Bar of California, admitted December 1, 1981.

2.      The parties agree to be bound by the factual stipulations contained herein even if conclusions of law or disposition are rejected or changed by the Supreme Court.

3.      All investigations or proceedings listed by case number in the caption of this stipulation are entirely resolved by this stipulation and are deemed consolidated. Dismissed charge(s)/count(s) are listed under "Dismissals."  The stipulation consists of 12 pages, not including the order.

4.      A statement of acts or omissions acknowledged by Respondent as cause or causes for discipline is included under "Facts."

5.      Conclusions of law, drawn from and specifically referring to the facts are also included under "Conclusions of Law".

6.      The parties must include supporting authority for the recommended level of discipline under the heading "Supporting Authority."

7.      No more than 30 days prior to the filing of this stipulation, Respondent has been advised in writing of any pending investigation/proceeding not resolved by this stipulation, except for criminal investigations.

8.      Payment of Disciplinary Costs-Respondent acknowledges the provisions of Bus. & Prof. Code §§6086.10 & 6140.7. (Check one option only):

<<not>> checked. Until costs are paid in full, Respondent will remain actually suspended from the practice of law unless relief is obtained per rule 5.130, Rules of Procedure.

checked. Costs are to be paid in equal amounts prior to February 1 for the following membership years: two billing cycles following the effective date of the Supreme Court order. (Hardship, special circumstances or other good cause per rule 5.132, Rules of Procedure.)  If Respondent fails to pay any installment as described above, or as may be modified by the State Bar Court, the remaining balance is due and payable immediately.

<<not>> checked. Costs are waived in part as set forth in a separate attachment entitled "Partial Waiver of Costs".

<<not>> checked. Costs are entirely waived.

B.      Aggravating Circumstances [for definition, see Standards for Attorney Sanctions for Professional Misconduct, standard 1.2(b)]. Facts supporting aggravating circumstances are required.

 checked. (1)                    Prior record of discipline [see standard 1.2(f)].

checked. (a)                       State Bar Court case # of prior case 90-O-17747 .
checked. (b)                       Date prior discipline effective January 16, 1993.
checked. (c)                       Rules of Professional Conduct/ State Bar Act violations:  Rules of Professional Conduct, rule 4-100(B) and Business Code section 6106
checked. (d)                       Degree of prior discipline two years stayed suspension, two years probation and two months actual suspension.
<<not>> checked. (e)       If Respondent has two or more incidents of prior discipline, use space provided below.

<<not>> checked. (2)      Dishonesty:  Respondent's misconduct was surrounded by or followed by bad faith, dishonesty, concealment, overreaching or other violations of the State Bar Act or Rules of Professional Conduct. 

<<not>> checked. (3)      Trust Violation:  Trust funds or property were involved and Respondent refused or was unable to account to the client or person who was the object of the misconduct for improper conduct toward said funds or property.

 checked. (4)                    Harm:  Respondent's misconduct harmed significantly a client, the public or the administration of justice.  Respondent’s conviction of violation of Penal Code section 549 (accepting false or fraudulent claims against insurers)significantly harmed in public and the administration of justice in the 11-O-13987 matter, the client was required to enter into a payment plan with the medical lien holder and his credit rating negatively impacted.

<<not>> checked. (5)      Indifference:  Respondent demonstrated indifference toward rectification of or atonement for the consequences of his or her misconduct.

<<not>> checked. (6)      Lack of Cooperation:  Respondent displayed a lack of candor and cooperation to victims of his/her misconduct or to the State Bar during disciplinary investigation or proceedings. 

<<not>> checked. (7)      Multiple/Pattern of Misconduct:  Respondent's current misconduct evidences multiple acts of wrongdoing or demonstrates a pattern of misconduct.

<<not>> checked. (8)      No aggravating circumstances are involved.

Additional aggravating circumstances:

C. Mitigating Circumstances [see standard 1.2(e)]. Facts supporting mitigating circumstances are required.

<<not>> checked. (1)      No Prior Discipline:  Respondent has no prior record of discipline over many years of practice coupled with present misconduct which is not deemed serious.

<<not>> checked. (2)      No Harm:  Respondent did not harm the client or person who was the object of the misconduct. 

checked. (3)                     Candor/Cooperation:  Respondent displayed spontaneous candor and cooperation with the victims of his/her misconduct and to the State Bar during disciplinary investigation and proceedings.  Respondent cooperated with the State Bar during the pendency of this matter.

<<not>> checked. (4)      Remorse:  Respondent promptly took objective steps spontaneously demonstrating remorse and recognition of the wrongdoing, which steps were designed to timely atone for any consequences of his/her misconduct. 

<<not>> checked. (5)      Restitution:  Respondent paid $ on  in restitution to  without the threat or force of disciplinary, civil or criminal proceedings.

<<not>> checked. (6)      Delay:  These disciplinary proceedings were excessively delayed.  The delay is not attributable to Respondent and the delay prejudiced him/her.

<<not>> checked. (7)      Good Faith:  Respondent acted in good faith.

<<not>> checked. (8)      Emotional/Physical Difficulties:  At the time of the stipulated act or acts of professional misconduct Respondent suffered extreme emotional difficulties or physical disabilities which expert testimony would establish was directly responsible for the misconduct.  The difficulties or disabilities were not the product of any illegal conduct by the member, such as illegal drug or substance abuse, and Respondent no longer suffers from such difficulties or disabilities.

<<not>> checked. (9)      Severe Financial Stress:  At the time of the misconduct, Respondent suffered from severe financial stress which resulted from circumstances not reasonably foreseeable or which were beyond his/her control and which were directly responsible for the misconduct.

<<not>> checked. (10)    Family Problems:  At the time of the misconduct, Respondent suffered extreme difficulties in his/her personal life which were other than emotional or physical in nature.

<<not>> checked. (11)    Good Character:  Respondent's good character is attested to by a wide range of references in the legal and general communities who are aware of the full extent of his/her misconduct.

<<not>> checked. (12)    Rehabilitation:  Considerable time has passed since the acts of professional misconduct occurred followed by convincing proof of subsequent rehabilitation.

<<not>> checked. (13)    No mitigating circumstances are involved.

Additional mitigating circumstances: **

D. Discipline:

checked. (1)                     Stayed Suspension:

checked. (a)                       Respondent must be suspended from the practice of law for a period of two years.
<<not>> checked. i.          and until Respondent shows proof satisfactory to the State Bar Court of rehabilitation and present fitness to practice and present learning and ability in the law pursuant to standard 1.4(c)(ii) Standards for Attorney Sanctions for Professional Misconduct.
<<not>> checked. ii.         and until Respondent pays restitution as set forth in the Financial Conditions form attached to this stipulation.
<<not>> checked. iii.        and until Respondent does the following:
checked. (b)                       The above-referenced suspension is stayed.

 checked. (2)                    Probation:  Respondent must be placed on probation for a period of , which will commence upon the effective date of the Supreme Court order in this matter.  (See rule 9.18, California Rules of Court.)

<<not>> checked. (3)      Actual Suspension:

checked. (a)                       Respondent must be actually suspended from the practice of law in the State of California for a period for a period of five months.
<<not>> checked. i.          and until Respondent shows proof satisfactory to the State Bar Court of rehabilitation and present fitness to practice and present learning and ability in the law pursuant to standard 1.4(c)(ii), Standards for Attorney Sanctions for Professional Misconduct
<<not>> checked. ii.         and until Respondent pays restitution as set forth in the Financial Conditions form attached to this stipulation.
<<not>> checked. iii.        and until Respondent does the following:

E. Additional Conditions of Probation:

<<not>> checked. (1)      If Respondent is actually suspended for two years or more, he/she must remain actually suspended until ** he/she proves to the State Bar Court his/her rehabilitation, fitness to practice, and learning and ability in the general law, pursuant to standard 1.4(c)(ii), Standards for Attorney Sanctions for Professional Misconduct.

checked. (2)                     During the probation period, Respondent must comply with the provisions of the State Bar Act and Rules of Professional Conduct.

checked. (3)                     Within ten (10) days of any change, Respondent must report to the Membership Records Office of the State Bar and to the Office of Probation of the State Bar of California ("Office of Probation"), all changes of information, including current office address and telephone number, or other address for State Bar purposes, as prescribed by section 6002.1 of the Business and Professions Code.

checked. (4)                     Within thirty (30) days from the effective date of discipline, Respondent must contact the Office of Probation and schedule a meeting with Respondent's assigned probation deputy to discuss these terms and conditions of probation. Upon the direction of the Office of Probation, Respondent must meet with the probation deputy either in-person or by telephone. During the period of probation, Respondent must promptly meet with the probation deputy as directed and upon request.

checked. (5)                     Respondent must submit written quarterly reports to the Office of Probation on each January 10, April 10, July 10, and October 10 of the period of probation. Under penalty of perjury, Respondent must state whether Respondent has complied with the State Bar Act, the Rules of Professional Conduct, and all conditions of probation during the preceding calendar quarter. Respondent must also state whether there are any proceedings pending against him or her in the State Bar Court and if so, the case number and current status of that proceeding. If the first report would cover less than 30 days, that report must be submitted on the next quarter date, and cover the extended period.
In addition to all quarterly reports, a final report, containing the same information, is due no earlier than twenty (20) days before the last day of the period of probation and no later than the last day of probation.

<<not>> checked. (6)      Respondent must be assigned a probation monitor. Respondent must promptly review the terms and conditions of probation with the probation monitor to establish a manner and schedule of compliance. During the period of probation, Respondent must furnish to the monitor such reports as may be requested, in addition to the quarterly reports required to be submitted to the Office of Probation. Respondent must cooperate fully with the probation monitor.

checked. (7)                     Subject to assertion of applicable privileges, Respondent must answer fully, promptly and truthfully any inquiries of the Office of Probation and any probation monitor assigned under these conditions which are directed to Respondent personally or in writing relating to whether Respondent is complying or has complied with the probation conditions.

checked. (8)                     Within one (1) year of the effective date of the discipline herein, Respondent must provide to the Office of Probation satisfactory proof of attendance at a session of the Ethics School, and passage of the test given at the end of that session.

No Ethics School recommended.  Reason:

<<not>> checked. (9)      Respondent must comply with all conditions of probation imposed in the underlying criminal matter and must so declare under penalty of perjury in conjunction with any quarterly report to be filed with the Office of Probation.

checked. (10)                   The following conditions are attached hereto and incorporated: 

<<not>> checked. Substance Abuse Conditions.

<<not>> checked. Law Office Management Conditions.

<<not>> checked. Medical Conditions.

checked. Financial Conditions.

F. Other Conditions Negotiated by the Parties:

checked. (1)                     Multistate Professional Responsibility Examination:  Respondent must provide proof of passage of the Multistate Professional Responsibility Examination ("MPRE"), administered by the National Conference of Bar Examiners, to the Office of Probation during the period of actual suspension or within one year, whichever period is longer.  Failure to pass the MPRE results in actual suspension without further hearing until passage. But see rule 9.10(b), California Rules of Court, and rule 5.162(A) & (E), Rules of Procedure.

<<not>> checked. No MPRE recommended.  Reason:

 checked. (2)                    Rule 9.20, California Rules of Court:  Respondent must comply with the requirements of rule 9.20, California Rules of Court, and perform the acts specified in subdivisions (a) and (c) of that rule within 30 and 40 calendar days, respectively, after the effective date of the Supreme Court's Order in this matter.

<<not>> checked. (3)      Conditional Rule 9.20, California Rules of Court:  If Respondent remains actually suspended for 90 days or more, he/she must comply with the requirements of rule 9.20, California Rules of Court, and perform the acts specified in subdivisions (a) and (c) of that rule within 120 and 130 calendar days, respectively, after the effective date of the Supreme Court's Order in this matter.

checked. (4)                     Credit for Interim Suspension [conviction referral cases only]:  Respondent will be credited for the period of his/her interim suspension toward the stipulated period of actual suspension. Date of commencement of interim suspension: July 8, 2011.

<<not>> checked. (5)      Other Conditions:

Attachment language (if any):

 


 

Financial Conditions

In the Matter of: Case Number(s):

Leon Rubin Laufer 09-C-17095 and 11-O-13987(inv)

 

 

a. Restitution

Respondent must pay restitution (including the principal amount, plus interest of 10% per annum) to the payee(s) listed below. If the Client Security Fund ("CSF”) has reimbursed one or more of the payee(s) for all or any portion of the principal amount(s) listed below, Respondent must also pay restitution to CSF in the amount(s) paid, plus applicable interest and costs.

 

Payee

Principal Amount Interest Accrues From

 

Yevgeny Korolyov 1160.25 April 24, 2009

 

[X] Respondent must pay above-referenced restitution and provide satisfactory proof of payment to the Office of

 

Probation not later than Ninety days from the filing of the Supreme Court discipline order herein

 

b. Installment Restitution Payments

Respondent must pay the above-referenced restitution on the payment schedule set forth below. Respondent must provide satisfactory proof of payment to the Office of Probation with each quarterly probation report, or as otherwise directed by the Office of Probation. No later than 30 days prior to the expiration of the period of probation (or period of reproval), Respondent must make any necessary final payment(s) in order to complete the payment of restitution, including interest, in full.

 

Payee lCSF (as applicable) Minimum Payment Amount Payment Frequency

 

[ ] If Respondent fails to pay any installment as described above, or as may be modified by the State Bar Court, the remaining balance is due and payable immediately.

 

c. Client Funds Certificate

[  ]  1.  If Respondent possesses client funds at any time during the period covered by a required quarterly

report, Respondent must file with each required report a certificate from Respondent and/or a certified

public accountant or other financial professional approved by the Office of Probation, certifying that:

 

a.       Respondent has maintained a bank account in a bank authorized to do business in the State of

            California, at a branch located within the State of California, and that such account is designated

            as a "Trust Account" or "Clients’ Funds Account";

 

b.       Respondent has kept and maintained the following:

 

i.          A written ledger for each client on whose behalf funds are held that sets forth:

            1. the name of such client;

            2. the date, amount and source of all funds received on behalf of such client;

            3. the date, amount, payee and purpose of each disbursement made on behalf of such

            client; and,

            4. the current balance for such client.

ii.         a written journal for each client trust fund account that sets forth:

            1. the name of such account;

            2. the date, amount and client affected by each debit and credit; and,

            3. the current balance in such account.

iii.        all bank statements and cancelled checks for each client trust account; and,

iv.        each monthly reconciliation (balancing) of (i), (ii), and (iii), above, and if there are any

            differences between the monthly total balances reflected in (i), (ii), and (iii), above, the

            reasons for the differences.

            c.          Respondent has maintained a written journal of securities or other properties held for clients that specifies:

            i. each item of security and .property held;

            ii. the person on whose behalf the security or property is held;

            iii. the date of receipt of the security or property;

            iv. the date of distribution of the security or property; and,

            v. the person to whom the security or property was distributed.

 

2.  If Respondent does not possess any client funds, property or securities during the entire period

     covered by a report, Respondent must so state under penalty of perjury in the report filed with the

     Office of Probation for that reporting period. In this circumstance, Respondent need not file the

     accountant’s certificate described above.

 

3. The requirements of this condition are in addition to those set forth in rule 4-100, Rules of Professional Conduct.

 

d. Client Trust Accounting School

[ ] Within one (1) year of the effective date of the discipline herein, Respondent must supply to the Office of  Probation satisfactory proof of attendance at a session of the Ethics School Client Trust Accounting School, within the same period of time, and passage of the test given at the end of that session.

 


 

SIGNATURE OF THE PARTIES

Case Number(s): 09-C-17095, 11-O-13987

In the Matter of: Leon Rubin Laufer

 

By their signatures below, the parties and their counsel, as applicable, signify their agreement with each of the recitation and each of the terms and conditions of this Stipulation Re Facts, Conclusions of Law and Disposition.

 

Signed by:

Respondent: Leon Rubin Laufer

Date: 11/7/11

 

Respondent’s Counsel: Scott J. Drexel

Date: 11/7/11

 

Deputy Trial Counsel: Hugh G. Radigan

Date: November 8, 2011

ACTUAL SUSPENSION ORDER

Case Number(s): 09-C-17095, 11-O-13987

In the Matter of: Leon Rubin Laufer

 

Finding the stipulation to be fair to the parties and that it adequately protects the public, IT IS ORDERED that the requested dismissal of counts/charges, if any is GRANTED without prejudice, and:

 

checked. The stipulated facts and disposition are APPROVED AS MODIFIED as set forth below, and the DISCIPLINE IS RECOMMENDED to the Supreme Court.

Page 2 – Section A. (8) – Checked box.  After first sentence - Add (“years 2013 and 2014)

The parties are bound by the stipulation as approved unless: 1) a motion to withdraw or modify the stipulation, filed within 15 days after service of this order, is granted; or 2) this court modifies or further modifies the approved stipulation. (See rule 5.58 (E) & (F), Rules of Procedure.) The effective date of this disposition is the effective date of the Supreme Court order herein, normally 30 days after the file date. (See rule 9.18(a), California Rules of Court.)

Signed by:

Judge of the State Bar Court: Richard A. Platel

Date: 11-21-11

 


 

DECLARATION OF SERVICE

by

U.S. FIRST-CLASS MAIL/U.S. CERTIFIED MAIL/OVERNIGHT DELIVERY/FACSIMILE-ELECTRONIC TRANSMISSION

 

CASE NUMBER(s): 09-C-17095; 11-O-13987 (inv)

 

l, the undersigned, am over the age of eighteen (18) years and not a party to the within action, whose business address and place of employment is the State Bar of

California, 1149 South Hill Street, Los Angeles, California 90015, declare that:

 

·         on the date shown below, I caused to be served a true copy of the within document described as follows:

 

 

 checked. By U.S. First.Class Mail: (CCP §§ 1013 and 1013(a))

<<not>> checked. By U.S. Certified Mail: (CCP §§ 1013 and 1013(a))

·         in accordance with the practice of the State Bar of California for collection and processing of mail, I deposited or placed for collection and mailing in the City and County of Los Angeles.

 

<< not>> checked. By Overnight Delivery: (CCP §§ 1013(c) and 1013(d))

·         I am readily familiar with the State Bar of California’s practice for collection and processing of correspondence for overnight delivery by the United Parcel Service (’UPS’).

 

<< not>> checked. By Fax Transmission: (CCP §§ 1013(e) and 1013(0)

·         Based on agreement of the parties to accept service by fax transmission, I taxed the documents to the persons at the fax numbers listed herein below. No error was reported by the fax machine that I used. The original record of the fax transmission is retained on file and available upon request.

 

By Electronic Service: (CCP § 1010.6)

·         Based on a court order or an agreement of the parties to accept service by electronic transmission, I caused the documents to be sent to the person(s_ at the electronic addresses listed herein below. I did not receive, within a reasonable time after the transmission, any electronic message or other indication that the transmission was unsuccessful.

 

checked. (for U.S. First- Class Mail) in a sealed envelope placed for collection and mailing at Los Angeles, addressed to: (see below)

 

<<not>> checked. (for Certified Mail) in a sealed envelope placed for collection and mailing as certified mail, return receipt requested,

Article No.:  at Los Angeles, addressed to: (see below)

 

<<not>> checked. (for Overnight Delivery) together with a copy of this declaration, in an envelope, or package designated by UPS,

Tracking No.: addressed to: (see below)

 

Person Served: Scott J. Drexel

Business-Residential Address:  1325 Howard Avenue, #151 Burlingame, CA 94010

Fax Number:

Electronic Address: **

Courtesy Copy to: **

 

<< not>> checked. via inter-office mail regularly processed and maintained by the State Bar of California addressed to:

 

N/A

 

I am readily familiar with the State Bar of California’s practice for collection and processing of correspondence for mailing with the United States Postal Service, and overnight delivery by the United Parcel Service (’UPS’). In the ordinary course of the State Bar of California’s practice, correspondence collected and processed by the State Bar of California would be deposited with the United States Postal Service that same day, and for overnight delivery, deposited with delivery fees paid or provided for, with UPS that same day.

 

I am aware that on motion of the party served, service is presumed invalid if postal cancellation date or postage meter date on the envelope or package is more than one day after date of deposit for mailing contained in the affidavit.

 

I declare under penalty of perjury, under the laws of the State of California, that the foregoing is true and correct. Executed at Los Angeles, California, on the date shown below.

 

DATED: November 8, 2011

SIGNED BY: Juli Jenewein

Declarant

CERTIFICATE OF SERVICE

 

[Rules Proc. of State Bar; Rule 5.27(B); Code Civ. Proc., § 1013a(4)]

 

I am a Case Administrator of the State Bar Court of California. I am over the age of eighteen and not a party to the within proceeding. Pursuant to standard court practice, in the City and County of San Francisco, on November 22, 2011, I deposited a true copy of the following document(s):

 

STIPULATION RE FACTS, CONCLUSIONS OF LAW AND DISPOSITION AND ORDER APPROVING

 

in a sealed envelope for collection and mailing on that date as follows:

 

checked. by first-class mail, with postage thereon fully prepaid, through the United States Postal Service at San Francisco, California, addressed as follows:

 

Scott John Drexel

1325 Howard Ave #151

Burlingame, CA 94010

 

Courtesy copy:

 

Checked  by interoffice mail through a facility regularly maintained by the State Bar of California addressed as follows:

 

Hugh G. Radigan, Enforcement, Los Angeles

 

I hereby certify that the foregoing is true and correct. Executed in San Francisco, California, on November  22, 2011.

 

Signed by:

Bernadette C.O. Molina

Case Administrator

State Bar Court