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A look at the Akron Bar’s fee arbitration committee
SHERRY KARABIN
Legal News Reporter
Published: December 2, 2016
When clients have concerns about the professional misconduct of an attorney they may turn to the Akron Bar Association certified grievance committee, but when the matter is of a monetary nature, members of the fee arbitration committee often hear the allegations.
Sole practitioner and vice chair Ellen Kaforey said the purpose of the fee arbitration committee is to provide attorneys and their clients with “a fair and effective method of resolving disputes.”
Much like the grievance committee, the fee arbitration committee contains attorneys and non-attorney lay members. The committee currently includes 24 lawyers and nine laypeople.
Kaforey said attorney members must have practiced for at least five years and cannot be judges or permanent full- or part-time referees or magistrates in the state.
“The laypeople are approved by the board of trustees,” she said.
The committee’s bylaws were first developed and approved by the Akron Bar Association executive committee (now board of trustees) in September 1989. Since then the board has passed a number of amendments, most recently in November 2014.
In addition to hearing disputes between attorneys and clients, committee chair and sole practitioner Derek Cek said members also handle fee claims that arise between attorneys.
“We do not hear matters that are the subject of litigation,” said Cek. “Typically we get complaints or petitions from a client who is not satisfied with the fee arrangement or feels he or she overpaid for some portion of legal services or a combination of the two. Fee disputes between attorneys are not as common.”
In Cek’s case this is the fourth year he’s chaired the fee arbitration committee.
A native of Akron, Cek received his bachelor’s degree in economics and his juris doctor from The University of Akron. He joined the bar association in 2001 and has served as chair and vice chair of the unauthorized practice of law committee.
“As a private practitioner my view is that it’s important to be involved in the Akron Bar Association because we deal with issues that affect the community,” said Cek, who focuses on matters ranging from family law and probate to real estate. “This committee serves a very important purpose since it handles complaints from citizens who may have spent their entire paycheck to pay for an attorney and have a problem in the fees charged by their attorney.
“I believe we have an obligation to hear and resolve these matters so that everyone involved gets a fair hearing and no one feels taken advantage of.”
Kaforey joined the Akron Bar Association in the early ‘90s, shortly after graduating from The University of Akron School of Law. She has chaired the criminal law section and is currently a member of the estate planning, probate and elder law section.
This is her first term as vice chair of the fee arbitration committee, but she’s served as a member for two years.
Unlike some of the other sections and committees, the fee arbitration committee does not have monthly meetings, offer CLEs or hold social events.
“We did have an orientation meeting in October to go over the bylaws,” said Kaforey.
She said the committee’s work begins when a client files a petition with the bar association.
“The bar counsel, Wayne Rice, will review the initial petition or documentation submitted to ascertain if there are allegations of ethical misconduct which should be investigated and to determine jurisdiction over the matter,” said Kaforey.
“Allegations of ethical misconduct will be referred to the certified grievance committee for investigation prior to the commencement of fee arbitration.”
Akron Bar Association Bar Counsel Wayne Rice said sometimes clients know from the beginning that they need “a fee arbitration. But in many cases the complaints come in as ethical allegations and as we review and investigate the matter, we are able to determine there is no violation of the Rules of Professional Conduct, but the parties may be able to work out their differences through the fee arbitration process.
“It gives the public another means for resolving their dissatisfaction with their attorney when the issue is clearly of a monetary nature rather than an ethical one.”
Kaforey said if there is a matter to be heard, members of the fee arbitration committee will get an email asking who might be available to handle it. “Our members practice in a variety of areas and we try and have a member with experience in the particular matter hear the dispute,” she said.
The petitioner and the attorney are asked to consent to binding arbitration.
“Once the parties consent to the arbitration process, they cannot back out,” said Cek. “The bar counsel puts together a panel that will hear the evidence presented.”
The committee handles monetary disputes of $250 or more, said Kaforey. If the amount is $1,000 or less one member will be assigned. If it exceeds $1,000 two attorneys and one layperson will arbitrate the matter.
“Attorneys will be asked to submit a written response to the complaint,” said Kaforey. “On the day of the hearing each side is asked to summarize their position and afterwards they have the option of meeting privately to discuss a settlement.
“If no settlement is reached, the selected panel chair presides and the member or members of the panel will ask questions.”
Cek said once a decision is reached, it is final. If a party fails to comply with the directive within 30 days, “the arbitration award may be enforced in court by either party,” he said.
“I am happy to be a member of this committee, which I believe performs an important function,” said Kaforey.