Goyal v. Gas Technology Institute

Ct. of Appeals imposed $7,500 in Rule 38 sanctions against plaintiff’s former attorney as means to compensate plaintiff for time spent in opposing in instant appeal $70,000 lien that former counsel asserted in underlying action that plaintiff had filed against his former employer. Ct. of Appeals found that counsel’s assertion of said lien was unjustified, where said lien had no mathematical correlation to proposed settlement that plaintiff had rejected, and where counsel’s legal arguments in support of his payment demands were frivolous in light of counsel’s agreement to contingency fee that precluded counsel from asserting any quantum meruit recovery under this record. Fact that plaintiff was unrepresented in appeal did not preclude Rule 38 sanction, such that $7,500 award represented approximately $50 per hour for plaintiff’s time spent in instant appeal. Ct. further noted that it was sending opinion to ARDC for any action against counsel.