Judge may issue 'unclean hands' ruling in malpractice case

LOS ANGELES--Los Angeles County Superior Court Judge Terry A. Green said Monday he was inclined to issue his first "unclean hands" instruction to the jury, on behalf of the defense in a legal malpractice case, as he referred to multiple suits the plaintiff has brought against previous legal representatives.

"I've never seen a case where you have serial lawsuits like this," the judge said. "There's something wrong here."

"It's unclear who the victim is here," Green said, wondering whether it was the plaintiff or the attorney on the witness stand who actually been wronged.

"I don't think I've ever given an unclean hands instruction in a case," Green said. "I think I'm going to give the instruction." Green noted he was "going out on a limb."

Under earlier cross-examination by plaintiff's attorney Kathleen Bliss of Kathleen Bliss Law, defendant Dominique Shelton, an Edwards Wildman attorney who was in charge of he plaintiff's lawsuit against a British newspaper, testified about how she consulted with her firm's general counsel "in the period where the fee dispute issue broke out" with the client.

In the summer of 2012, Shelton said she and firm general counsel Jeffrey Swope began jointly drafting emails to send to client Shahrokh Mireskandari to address various fee and strategy complaints he had against the law firm.

"You became concerned that he may not pay. Is that correct?" Bliss asked.

Shelton repeatedly characterized Mireskandari as an individual trying to lay the groundwork to "play the firm" and not pay his bills, a fear she said was justified. Mireskandari has sued several of his former legal representatives and testified he got them to repay tens of thousands of dollars in fees.

The former solicitor was disbarred in Britain after the Daily Mail ran a series of 2008 stories alleging he falsified legal qualifications and had prior criminal convictions related to a telemarketing fraud case. Mireskandari sued Edwards Palmer after a brief period of representation, accusing them of overcharging him and misrepresenting their expertise. Specifically he said Shelton did not know advise him the newspaper would likely file an anti-SLAPP motion when sued, and when that happened, she said his case would cost much more. Shahrokh Mireskandari v. Edwards Wildman Palmer BC517799 (filed Aug 9, 2013, L.A. Sup. Ct.).

Green told defense attorneys he was concerned the evidence may show Shelton was "over her head."

Shelton, the only individual attorney named as a defendant along with the firm, testified Monday that in the context of the disputes with Mireskandari it was not automatic that an attorney should put the interests of a client above the well-being of the firm but acknowledged she had a duty to the plaintiff.

"He was wanting to be adversarial with the firm," Shelton testified. "We were on pins and needles with this client."

Bliss responded, "Ms. Shelton, he was angry because he did not know about the anti-SLAPP, and you cannot dispute that."

Bliss then shifted to Shelton's use of the words "pencils down" in an email to her team, suggesting no more work for Mireskandari because he was not paying.

Bliss tried to frame Shelton's actions as naked attempts to protect Edwards Wildman's financial interest.

"I don't believe that is correct," Shelton said, adding she and other members of her team continued to work on Mireskandari's case after those words were used.

"Sounds like you were getting a lot of pressure from the firm to get those bills paid," Bliss said.

Shelton also denied that was the case

On redirect, defense attorney John M. Moscarino of Valle Makoff LLP, read parts of the retainer agreement between Edwards Wildman and Mireskandari, which said estimates are not binding unless the agreement "clearly states the changes will not exceed the estimate."

Editors note: An earlier version of this article wrongly stated that Edwards Wildman Palmer LLP attorney Dominique Shelton admitted she didn't know an anti-SLAPP motion was a probable defense in a libel or invasion of privacy case against a media organization when she represented a plaintiff against a newspaper. The article also initially did not fully report Shelton's testimony that she honored her duty of loyalty to the client. The Daily Journal regrets the errors.