Georgia Commons

Supreme Court of Georgia · bar discipline

In the Matter of Neil Richard Flit

Filed July 15, 2020 · Docket S20Y0637 · 846 S.E.2d 403

The Supreme Court of Georgia accepted an Atlanta-area attorney's request to give up his law license after he admitted holding onto client settlement funds for years without paying them out or explaining what happened to the money.

In plain language

Neil Richard Flit, a member of the State Bar of Georgia since 2007, was accused in two separate disciplinary cases of mishandling client settlement money he was holding in trust. In one case, he settled a client's personal injury claim in 2013 but did not give the client's estate an accounting or pay out the settlement funds until 2018, after the client died. In another case, he settled a different client's injury claim in 2016 but did not account for or deliver her funds until 2019. After the State Bar filed a formal complaint, Flit asked to voluntarily surrender his law license rather than fight the charges. A special master reviewed the matter, found Flit's conduct violated the Georgia Rules of Professional Conduct governing safekeeping of client funds, and recommended the court accept the surrender. The Supreme Court of Georgia agreed and ordered his name removed from the rolls of attorneys licensed to practice in the state.

What the court decided

An attorney who admits failing to promptly account for and deliver client settlement funds held in trust violates Rule 1.15 (I) of the Georgia Rules of Professional Conduct, an offense punishable by disbarment, and voluntary surrender of license is an acceptable substitute for full disbarment proceedings.

Why it matters

The case removes an attorney from practice for failing to promptly pay clients money they were legally owed, reinforcing that Georgia lawyers who mishandle trust account funds face losing their license, which protects clients who rely on attorneys to safeguard settlement money.

Outcome

Voluntary surrender of license accepted

How the court got there

  1. The special master reviewed two separate State Disciplinary Board dockets in which Flit admitted he held client settlement funds in his trust account for years without giving an accounting or paying the money owed, violating Rule 1.15 (I) of the Georgia Rules of Professional Conduct, which requires lawyers to safeguard and promptly deliver client funds.
  2. The special master noted that the maximum penalty for this violation is disbarment, and that under the rules a voluntary surrender of license is treated as equivalent to disbarment rather than a lesser punishment.
  3. Relying on prior cases where the court accepted voluntary surrender for similar failures to disburse or account for client funds, the special master recommended the court accept Flit's petition rather than proceed with a full disciplinary hearing.
  4. The Supreme Court of Georgia reviewed the record, agreed with the special master's findings and recommendation, and ordered Flit's name removed from the rolls of attorneys authorized to practice law in Georgia.

Topics

  • attorney discipline
  • voluntary surrender of license
  • client trust funds
  • State Bar of Georgia

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