Methven & Associates Professional Corporation v. Paradies-Stroud et al

Filing 120

ORDER REGARDING APPLICATION FOR SANCTIONS. Show Cause Response due by 7/31/2014. Signed by Judge JEFFREY S. WHITE on 7/21/14. (jjoS, COURT STAFF) (Filed on 7/21/2014)

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IN THE UNITED STATES DISTRICT COURT

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FOR THE NORTHERN DISTRICT OF CALIFORNIA
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METHVEN AND ASSOCIATES
PROFESSIONAL CORPORATION,

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No. C 13-01079 JSW

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v.
For the Northern District of California

United States District Court

Plaintiff,
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ORDER REGARDING
APPLICATION FOR SANCTIONS

SCARLETT PARADIES-STROUD, as
administrator of the ESTATE OF ANDREW
B. STROUD, et al.,

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Defendants.
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Now before the Court is the application filed by Steven Ames Brown for sanctions

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against W. Charles Robinson, former counsel for Interpleader Scarlett Paradies-Stroud as the

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administrator of the Estate of Andrew B. Stroud (“Ms. Stroud”), Andy Stroud, Inc. (“ASI”), and

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Stroud Productions and Enterprises, Inc. (“SPE”) (collectively referred to as the “Stroud

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Defendants”).

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The Court notes that after Mr. Robinson was admonished by the Court that his

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statements regarding the letter dated November 20, 2012 were misleading, he made a similar

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statement to Judge Cousins on January 22, 2014. (See Docket No. 590 in Case No. 08-2348;

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Docket No. 143 in Case No. 09-3796; Docket No. 194 in Case No. 11-5822.) He stated that he

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“sent a letter to the Court on November 20, 2012 in an attempt to advise the Court that no

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representative had been appointed to represent the Stroud Estate.” Mr. Robinson did not inform

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Magistrate Cousins that this Court told Mr. Robinson that the letter he attempted to send was

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not received and that the Court did not accept communications by letters. In the absence of

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providing this information to Magistrate Cousins, the minor addition of the words “in an

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attempt” fail to render Mr. Robinson’s statement any less misleading. Moreover, this statement

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was made in a brief to Magistrate Cousins after Mr. Robinson’s pro hac vice status was

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revoked. Therefore, he was not authorized to submit a brief on behalf of the Stroud Estate. In

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doing so, Mr. Robinson flagrantly ignored this Court’s order.

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Additionally, the Court notes that after the Ninth Circuit informed Mr. Robinson that

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orders imposing sanctions against non-party attorneys are not appealable collateral orders, Mr.

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Robinson represented to this Court “sanction orders issued solely against nonparty attorneys are
immediately appealable.” (Docket No. 107 in Case No. 13-1079.) “Attorneys are officers of

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For the Northern District of California

United States District Court

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the court and have an ethical obligation to advise the court of legal authority that is directly

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contrary to a claim being pressed.” In re Reno, 55 Cal. 4th 428, 510 (2012). “Rule 5–200 of

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the Rules of Professional Conduct addresses the issue and provides that, ‘[i]n presenting a

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matter to a tribunal, a member: [¶] (A) Shall employ ... such means only as are consistent with

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truth; [and] [¶] (B) Shall not seek to mislead the judge ... by an artifice or false statement of fact

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or law....’” Id. (citing Southern Pacific Transp. v. P.U.C. of State of Cal., 716 F.2d 1285, 1291

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(9th Cir.1983) (failure to cite opposing authority is a “dereliction of duty to the court”)).

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Finally, the Court notes that even after the frivolous appeal filed by Mr. Robinson was

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dismissed by the Ninth Circuit, Mr. Robinson has still not paid the $5,000 he was ordered to

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pay by January 6, 2014. Mr. Robinson is admonished that he shall pay the full $5,000 by no

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later than July 31, 2014 or will be held in contempt of Court.

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The Court FURTHER ORDERS Mr. Robinson to show cause in writing by no later than

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July 31, 2014, why he should not be sanctioned $3,000 for the additional misconduct described

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above. Additionally, Mr. Robinson shall show cause why this Court should not refer this matter

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to the New York Bar Association for disciplinary action

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IT IS SO ORDERED.

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Dated: July 21, 2014
JEFFREY S. WHITE
UNITED STATES DISTRICT JUDGE

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For the Northern District of California

United States District Court

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