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Kirkland lawyer James J. Stefnik (WSBA No. 5364, admitted 1973) has been suspended from the practice of law for two years, effective February 16, 1997. The discipline arises out of two proceedings. In the first proceeding, following a hearing, Stefnik was found to have violated RPC 1.2, RPC 1.3, and RPC I.4, by failing to timely file a community property agreement, failing to prepare a will in accordance with client instructions and failing to follow client instructions for an estate plan. Stefnik was also found to have violated RPC 1.7(b) and RPC 1.8(a), by borrowing $40,000 from that client, under terms that were not reasonable and without obtaining the required written waiver of the conflict of interest that arises in borrowing money from a client.
In the second matter, Stefnik stipulated that he violated RPC 8.4(c), by making a materially false statement on a mortgage application when he substantially overstated his income, violated RPC 1.3, by failing to act diligently to avoid the entry of a default judgment against clients in two separate matters, and violated RPC 1.4, by failing to inform the two clients of the entry of the default judgments. Stefnik must receive psychotherapy treatment during the period of suspension as a condition of reinstatement. In addition, an independent psychologist or psychiatrist selected by the Association must certify that Stefnik has been so rehabilitated as to make it unlikely that Stefnik's personality disorder, depression or other mental impairment would contribute to any further ethical misconduct. Stefnik is also required to make six substantial monthly payments of restitution to his former client. Upon reinstatement, Stefnik will be on probation for two years and must complete restitution within the probationary period, unless the repayment term is extended by Disciplinary Counsel or by order of the Disciplinary Board. Stefnik must pay disciplinary costs of $8,092.40.
Respondent lawyer was represented by John G. Cooper of Seattle. The hearing officer was R. Michael Kight of Everett. The Association was represented by disciplinary counsel William G. McGillin and Jean K. McElroy.
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