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Donald B. Kronenberg (WSBA No. 13979, admitted 1984), of Seattle, was suspended for two years, effective May 12, 2006, by order of the Washington State Supreme Court following a stipulation approved by the Disciplinary Board. This discipline was based on Mr. Kronenberg’s conduct in 1996 involving a conflict of interest and refusal to refund the unearned portion of a fee. The stipulation incorporated by reference of the facts set forth in Cotton v. Kronenberg, 111 Wn. App. 258, 44 P.3d 878 (2002). Mr. Kronenberg was previously disbarred by Supreme Court order effective August 18, 2005. See In re Discipline of Kronenberg, 155 Wn.2d 184, 117 P.3d 1134 (2005).
In March 1996, Mr. Kronenberg was hired by a client charged with three counts of felony rape of a child. The client signed a fee agreement prepared by Mr. Kronenberg which provided that attorney fees would be charged at the rate of $140 per hour. At the time, the client signed a statutory warranty deed granting a parcel of real property to Mr. Kronenberg. The client also transferred to Mr. Kronenberg title to a mobile home located on the property. A few days later, the client signed another agreement prepared by Mr. Kronenberg. The second agreement set forth the terms of a “nonrefundable fee” for defense against the child rape charges. The agreement estimated that fees “could be anywhere from $10,000 to $30,000.” The agreement further provided for the transfer of the realty and mobile home to Mr. Kronenberg in full satisfaction of all fees earned in the case. Within a week, Mr. Kronenberg recorded the deed, and within months he sold the property for $42,000.
In July 1996, the trial court granted a motion by prosecutors to have Mr. Kronenberg removed from the case based on allegations of witness tampering. Thereafter, new counsel for the client negotiated a plea and sentence recommendation. As a result of these negotiations, no criminal charges went to trial.
After Mr. Kronenberg’s dismissal, the client requested a refund of the unearned balance of the fees generated by the sale of the realty and mobile home. Mr. Kronenberg denied the request.
Mr. Kronenberg’s conduct violated RPC 1.5(a) requiring that a lawyer’s fee be reasonable; RPC 1.8(a), prohibiting a lawyer from entering into a business transaction with a client or knowingly acquiring an ownership, possessory, security or other pecuniary interest adverse to a client unless the transaction and terms on which the lawyer acquires the interest are fair and reasonable to the client and are fully disclosed and transmitted in writing to the client in a manner which can be reasonably understood by the client, the client is given a reasonable opportunity to seek the advice of independent counsel in the transaction, and the client consents thereto; and RPC 1.15(d), requiring that a lawyer take steps to the extent reasonably practicable to protect a client’s interests upon termination of representation, such as, inter alia, refunding any advance payment of fee that has not been earned.
Joanne S. Abelson represented the Bar Association. Mr. Kronenberg represented himself. Kimberly A. Boyce was the hearing officer. |