In the Matter of Glen Roy Fagan
Filed July 6, 2022 · Docket S22Y0802 · 876 S.E.2d 242
The Supreme Court of Georgia disbarred a former in-house lawyer who forged settlement documents and stole over $41,000 from his corporate employer's settlement funds while serving as its associate general counsel.
In plain language
Glen Roy Fagan worked as in-house counsel for a trucking company, U.S. Xpress, overseeing employment lawsuits and complaints. He fabricated a discrimination complaint and fake settlements in two employee matters, forged the employees' signatures, set up a shell law firm to receive the settlement checks, and then kept the money for himself. He also lied to his employer about the status of these cases even after leaving the company. After the company discovered the fraud and complained to Tennessee bar authorities, Fagan repaid the stolen money with interest, but he had already resigned from the Georgia Bar and did not respond to the disciplinary complaint filed against him here. A Special Master found the allegations were deemed admitted because of his default and recommended disbarment. The Supreme Court of Georgia reviewed the record, agreed with the Special Master's findings and recommendation, and ordered Fagan disbarred.
What the court decided
The court held that Fagan violated multiple rules of professional conduct, including misusing client information, misappropriating settlement funds, engaging in dishonest and fraudulent conduct, and failing to cooperate with disciplinary authorities, and that disbarment is the appropriate sanction for such knowing conversion of client property and fraud.
Why it matters
The ruling confirms that lawyers cannot escape Georgia discipline by resigning from the bar before misconduct comes to light, and it reinforces that stealing client funds and forging documents will result in disbarment even if the money is later repaid.
Outcome
Disbarred
How the court got there
- Because Fagan never answered the State Bar's formal complaint, which was properly served by publication, he was found in default under the Bar Rules, meaning the factual allegations in the complaint were treated as admitted.
- The court confirmed that resigning from the State Bar before a complaint is filed does not shield a lawyer from discipline for conduct that occurred while he was still a member, since Bar Rules keep resigned lawyers subject to discipline for prior misconduct.
- Applying the admitted facts, the court found Fagan violated rules against conflicts of interest, misusing client information, misappropriating client funds, engaging in fraud and dishonesty, and failing to respond to disciplinary authorities, by forging settlement documents, creating a shell company to receive stolen settlement funds, and lying to his employer about case status.
- Using the ABA Standards for Imposing Lawyer Sanctions, the court found that Fagan acted knowingly, violated duties to his client and the profession, and caused potential significant injury, and that disbarment is the standard sanction when a lawyer knowingly converts client property or engages in intentional fraud that undermines fitness to practice law.
- The court weighed aggravating factors, including a dishonest and selfish motive, a pattern of multiple offenses, substantial legal experience, and illegal conduct such as theft, forgery, and wire fraud, which outweighed any mitigation, especially since Fagan waived his chance to present mitigating evidence.
- The court also clarified that a Special Master lacks authority to invite mitigation evidence from a defaulted respondent on his own, though it agreed Fagan had ultimately waived his right to present such evidence through his default.
From the opinion
“the potential laundry list of criminal charges [Fagan] could have, and may still face, is substantial”
Topics
- attorney disbarment
- forged settlements
- misappropriated client funds
- State Bar of Georgia
- in-house counsel misconduct