FOR PUBLICATION
APPELLANT PRO SE
: ATTORNEYS FOR APPELLEE:
JOHN ALVARADO KEVIN P. MCGOFF
Pendleton, Indiana MARK E. KAMISH
Kiefer & McGoff
Indianapolis, Indiana
JOHN ALVARADO, )
)
Appellant-Plaintiff, )
)
vs. ) No. 48A02-0403-CV-273
)
SARAH NAGY, )
)
Appellee-Defendant. )
Appellees Appendix at 13. Nagy notified Alvarado by letter of the MCPOs
decision and informed him that there remained the option of post-conviction relief to
accomplish the same end. She advised him that the fee for such
an action would be $20,000 - $25,000, but that she would begin work
in this matter for half of the flat fee up front and the
remaining paid in monthly installments. Id. at 12. Alvarado responded with
the following letter:
I am writing you in reference to obtaining the entire case file pursuant
to Rule 1.16(a) and Indiana Code § 33-1-21-9.
Specifically, I am requesting a copy of the correspondence that you sent to
the State of Indiana on September 20, 2002.
Also, at this time, I feel that I was mislead [sic] into the
agreement and that the flat fee that was closed [sic] with that agreement
was unreasobale [sic] pursuant to the provisions on Indiana Rule of Professional Conduct
1.5.
Wherefore, at your earliest convenience I would appreciate that you forward me $2000.00
in unearned fees, to satisfy this unfair representation. I request that you
please note also, that in your correspondence dated December 17, 2001, you informed
me that the cost of your representation based on a jury trial would
have been $15,000. Thereafter, you informed me in your correspondence dated October
31, 2002 the fees would be $20,000 to $25,000.
You are requested to respond within ten (10) days or further action will
be taken in this matter.
Id. at 14.
Nagy refused Alvarados request to refund a portion of the fee he had
paid. On December 11, 2003, Alvarado filed a complaint in the Madison
Circuit Court seeking compensatory and punitive damages. A more detailed summary of
that complaint will be set out later in this opinion. On February
25, 2004, Nagy filed Defendants Second Motion to Dismiss, alleging that the Madison
Circuit Court did not have jurisdiction over the subject matter of Alvarados complaint,
which the complaint described as matters relating to the practice of law.
Id. at 25. The trial court granted the motion to dismiss on
March 3, 2004, and this appeal ensued.
This court has observed that a court either has jurisdiction or it does
not. Kondamuri v. Kondamuri, 799 N.E.2d 1153 (Ind. Ct. App. 2003), trans.
denied. For this reason, the question of jurisdiction is a question of
law that is reviewed de novo. Id. There are three types
of jurisdiction, only one of which - jurisdiction of the subject matter
is implicated here. Subject matter jurisdiction refers to the courts power to
hear and decide a class of cases. Id. Generally, the question
of subject matter jurisdiction is resolved by determining whether the claim involved falls
within the general scope of authority conferred on the court by statute or
the Indiana Constitution. The question of subject matter jurisdiction may be raised
at any time. Id.
The appropriate standard of reviewing rulings on motions to dismiss for lack of
subject matter jurisdiction depends upon what occurred in the trial court. Hubbard
v. Columbia Womens Hosp. of Indianapolis, 807 N.E.2d 45 (Ind. Ct. App. 2004).
Specifically, the standard depends upon (1) whether the trial court resolved disputed
facts in making its decision, and (2) if it did resolve disputed facts,
whether it conducted an evidentiary hearing or ruled on a paper record.
Id. Where, as here, the pertinent facts are not in dispute, the
question is purely one of law. Id.
Nagy sought dismissal on grounds that the action Alvarado initiated in filing his
complaint was essentially a matter of attorney discipline and it is the
exclusive province of [the Indiana Supreme Court] to regulate professional activity. Appellees
Appendix at 25. The trial court granted Nagys motion without explaining its
rationale. In such cases, we must presume the court granted the motion
to dismiss on all the grounds set forth in the motion. Lawson
v. First Union Mortg. Co., 786 N.E.2d 279 (Ind. Ct. App. 2003).
It is beyond debate that the Indiana Supreme Court is indeed the exclusive
arbiter of matters involving attorney discipline in this state. Such exclusive jurisdiction
is conferred by the Indiana Constitution. See Ind. Const., art. 7, section
4; In re Keller, 792 N.E.2d 865 (Ind. 2003). Thus, we fully
agree that the Madison Circuit Court has no jurisdiction over attorney discipline cases.
We conclude, however, that the rule does not apply here because the
instant case does not fit in that category of cases.
The pivotal question before us is whether Alvarados action can fairly be categorized
as a case involving attorney discipline. We begin by considering the nature
of the class of cases over which the supreme court has exclusive jurisdiction.
Article 7, section 4 of the Indiana Constitution describes that class of
cases as including: [A]dmission to the practice of law; discipline or disbarment of
those admitted; [and] the unauthorized practice of law, discipline, removal, and retirement of
justices and judges[.] Although the foregoing provision does not define the meaning
of the phrase attorney discipline, (which we will hereafter use to describe the
category of cases identified in article 7, section 4) the list aids in
understanding the parameters of the category.
The listed items are consistent with the traditional meaning of the term discipline,
which is, a rule or system of rules governing conduct or activity.
Merriam-Webster Online Dictionary (2004), available at http://www.m-w.com/cgi-bin/dictionary?book=Dictionary&va=discipline. We note that in
exercising its jurisdiction in this area, the supreme court has promulgated rules by
which the practice of law is governed in this state. See Ind.
Rules of Professional Conduct. In its role as exclusive arbiter over matters
of attorney discipline, the supreme court is responsible for enforcing those rules.
In Levy v. State, 799 N.E.2d 71 (Ind. Ct. App. 2003), trans. denied,
this court recently discussed the nature of the supreme courts duties in performing
this function. For instance, we noted the Indiana Constitution confers upon the
court exclusive jurisdiction relating to the disbarment or discipline of attorneys. Id.
at 72 (quoting In re Mann, 270 Ind. 358, 360, 385 N.E.2d 1139,
1141 (1979)). We described the courts duties in this regard as including,
preserv[ing] the integrity of the legal profession and safeguard[ing] the public from those
who do not meet acceptable standards of professional behavior, Levy v. State, 799
N.E.2d at 72 (quoting In re Mann, 270 Ind. at 360, 385 N.E.2d
at 1141), and regulat[ing] professional legal activity in this state. Levy v.
State, 799 N.E.2d at 73 (quoting In re Murgatroyd, 741 N.E.2d 719, 719
(Ind. 2001)). Meting out punishment in cases where misconduct is found is
an exclusive and integral part of this oversight responsibility. Finally, and most
significantly, we note that the Indiana Rules for Admission to the Bar and
Discipline of Attorneys prescribesthe penalties that may be imposed by the supreme court
upon a finding of misconduct, to wit:
One of the following types of discipline may be imposed upon any attorney
found guilty of misconduct: permanent disbarment from the practice of law; suspension for
a definite or an indefinite period from the practice of law subject to
reinstatement as hereinafter provided; suspension for a definite period, not to exceed six
(6) months, from the practice of law with provision for automatic reinstatement upon
such conditions as the Court shall specify in the order of suspension; a
public reprimand; a private reprimand; or a private administrative admonition.
Admis. Disc. R. 23(3)(a). Also, Rule 23(3)(c) authorizes the court, in lieu
of suspension or disbarment, to place attorneys on probation where deemed appropriate.
Conspicuously absent from the list of sanctions the court may impose as part
of the disciplinary process is any type of monetary fine.
To review, the Indiana Supreme Court has exclusive jurisdiction over matters of attorney
discipline. In discharging that responsibility, it regulates professional legal activity in order
to preserve the integrity of the legal profession and safeguard the public from
those who do not meet acceptable standards of professional behavior. See Levy
v. State, 799 N.E.2d 71. To that end, the court promulgated rules
of conduct by which members of the bar must abide. A failure
to do so subjects an attorney to disciplinary proceedings before the court, which
may impose certain, enumerated penalties upon a finding of misconduct. Such penalties
include reprimands or restrictions placed upon the future practice of law, but do
not include monetary sanctions.
Returning now to the instant case, we must decide whether Alvarados action against
Nagy belongs in the category of attorney discipline cases described in detail above,
and over which the Indiana Supreme Court has exclusive jurisdiction. We conclude
that it falls well outside those boundaries. So far as we can
tell, the primary argument in support of Nagys position is that Alvarados complaint
seeks punitive damages, i.e., damages designed to punish the wrongdoer and discourage him
and others from similar conduct in the future[.] Wohlwend v. Edwards, 796
N.E.2d 781, 785 (Ind. Ct. App. 2003). Nagy reasons that punitive damages
equals attorney punishment which in turn may only be decided by the
supreme court, apparently in whatever form it may take. The flaw in
this reasoning is that the element of Alvarados lawsuit that Nagy contends takes
it within the realm of attorney discipline, i.e., punitive damages, is not an
authorized punishment and thus not a part of the disciplinary process under the
auspices and jurisdiction of the Indiana Supreme Court. Moreover, the conduct of
which Alvarado complains, to the extent it can be discerned, is not the
sort of misconduct the disciplinary process enacted by the supreme court is meant
to address.
What sort of case is this, then? We conclude that Alvarados perhaps
inartfully drafted complaint for damages states a claim for legal malpractice. We
make this determination after evaluating the nature of the underlying substantive claim set
out in the complaint. In so doing, we look beyond the labels
used by Alvarado, and look instead to the substance and central character of
the complaint, the rights and interests involved, and the relief demanded. See
Morris v. Bank One, Indiana, N.A., 789 N.E.2d 68 (Ind. Ct. App. 2003),
trans. denied. Alvarados complaint alleges that Nagy signed a contract to represent
him in seeking a sentence modification. Nagy did not accomplish that goal
and Alvarado charges that he should not have to pay her fee.
Obviously, he was dissatisfied with her performance under the contract and seeks return
of the contractual fee. Any contract for work includes an implied duty
to do the designated work skillfully, carefully, and in a workmanlike manner.
INS Investigations Bureau, Inc. v. Lee, 784 N.E.2d 566 (Ind. Ct. App. 2003),
trans. denied. The failure to do so is an actionable tort, as
well as a breach of contract. Id. As indicated above, punitive
damages are not incompatible with a lawsuit to recover legal fees expended for
allegedly flawed representation, and do not remove said lawsuit from the realm of
legal malpractice into the real of attorney discipline.
Finally, we wish to emphasize that our conclusion that the trial court erred
in granting Nagys motion to dismiss should not be interpreted as a comment
upon the merits of Alvarados lawsuit. Indeed, the basis for Alvarados claim
of substandard performance is threadbare at best. We hold only that the
matter to be decided therein lies squarely within the jurisdiction of the Madison
Circuit Court.
Judgment reversed.
MATHIAS, J., and DARDEN, J., concur.