| Description: |
John O. McLendon (WSBA No. 1187, admitted 1969), of Spokane, was suspended for sixty days, following a stipulation to discipline, by order of the Supreme Court, effective September 9, 2002. Mr. McLendon was disbarred prior to the effective date of this suspension. This discipline is based on his failure to comply with a prior disciplinary order between 1993 and 2000.
In 1993, the Supreme Court imposed restitution as part of a disciplinary sanction. The Court required Mr. McLendon to enter into a payment plan as part of his reinstatement to active status. Mr. McLendon was reinstated to active status in April 1993. Between March and early December 1993, the Office of Disciplinary Counsel (ODC) sent Mr. McLendon several letters proposing payment plans and asking for more information. Mr. McLendon failed to respond, so ODC opened a new disciplinary proceeding based on failure to comply with the court order requiring agreement to a payment plan. After the new disciplinary proceeding was initiated, Mr. McLendon agreed to a payment plan requiring $500 minimum monthly payments to the victims listed in the restitution agreement. The agreement did not indicate how the payments should be allocated among the victims. The separate criminal proceeding in Spokane Superior Court obliged Mr. McLendon to make restitution of $101,984.27 to five victims. Additionally, some of the victims also obtained separate civil judgments against Mr. McLendon. The victims in the disciplinary proceeding, criminal proceeding and civil proceedings were not identical. As of February 18, 1993, Mr. McLendon owed $152,395 to the victims listed in the disciplinary proceeding.
Between January 1994 and March 2000, Mr. McLendon did not pay a minimum of $500 each month, but the average of all payments over that time was slightly over $500 per month. The hearing officer found that Mr. McLendon willfully failed to make the required minimum payments and provide the required periodic income reporting to ODC. Mr. McLendon intentionally handled a significant portion of his business on a cash basis and failed to keep records of this business to avoid the reporting requirements.
Mr. McLendon did not distribute the restitution payments to the victims pro rata. He paid the victims with criminal or civil orders, or other who threatened litigation. Some victims received no payments.
Mr. McLendon’s conduct violated RLD 5.3(c), stating that failure to make restitution payments when ordered may constitute grounds for discipline.
Christine Gray represented the Bar Association. Dustin Deissner represented Mr. McLendon at hearing. F. Lawrence Taylor represented Mr. McLendon on appeal. Diehl Rettig was the Hearing Officer.
|