# Petition — Drummond v. Stahl

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## Record

- **Collection:** Supreme Court brief
- **Document type:** Petition
- **Published:** January 1, 1981
- **Citation:** 450 U.S. 967

## Text

Supreme Court, U.S,
rtiLe @

80-113¢ JAN 6 1981

MICHAEL RODAK, JR., CLERK

In the Supreme Court of the United States

October Term, 1980

WILLIAM H. DRUMMOND,
Petitioner,

VS.

LOUIS A. STAHL and MARY K. STAHL, Husband and
Wife and STREICH, LANG, WEEKS, CARDON
& FRENCH, a Professional Association,
Respondents.

PETITION FOR A WRIT OF CERTIORARI TO THE
COURT OF APPEALS OF THE
STATE OF ARIZONA

DonaLp R, Kunz
(Counsel of Record)
3003 North Central Avenue
Suite 2600
Phoenix, Arizona 85012

Counsel for Petitioner

E. L. Menpenwatt, Ixc., 926 Cherry Street, Kansas City, Mo. 64106, (816) 421-3030

THE QUESTIONS PRESENTED FOR REVIEW

This petition requests the Court to review two sep-
arate questions.

Can a state, consistently with the due process require-
ments of the Fourteenth Amendment, confer on a lawyer
“absolute” privilege to file charges of unethical conduct
against another lawyer (his litigation opponent) which
were concededly groundless and which were made for the
concededly malicious purpose of delaying the litigation:

Question 1—where the charges were made to the
bar association?

Question 2—where the charges are made to the
court in which the litigation was pending?

The effects of the mere acts of filing of these two sep-
arate charges—without regard to their merits—were:

(a) to deprive the accused lawyer’s client of his ex-
perienced, knowledgeable counsel in the midst
of major litigation; and

(b) to deprive the accused lawyer of his long-time,
very valuable client without any remedy what-
ever for this injury.

By a 3-2 split decision,* the Supreme Court of Arizona
has refused to review these questions.

*A. 23.

Il

THE PARTIES TO THE PROCEEDING

Petitioner Drummond and Respondent Louis A. Stahl
are practicing lawyers, both members of the State Bar of
Arizona.

Respondent Streich, Lang, Weeks, Cardon & French,
P.A., is the law firm of which Stahl is a partner.

Respondent Mary K. Stahl is the wife of Louis Stahl
and is joined only as a member of that marital community.

The State Bar of Arizona filed an amicus curiae brief
below, but was not a party to the proceedings.

Ii

TABLE OF CONTENTS

PETITION—-
The Questions Presented for Review ..............:-....-. I
The Parties to the Proceeding ....................:.:s0sssese0-- II
MI OE FARA ong ane sese cesses conics ibilabuidaside IV
ee Re Eee 1
Statement of Jurisdiction ......22.....2.......ccccoceccssocesese 2
The Constitutional Provisions Involved ................ 3
ONIN OE IN naan cseasn ssn ss ctssheninenenerancocs 3
Reasons for Granting the Writ 20000000... 9
I RR aac n OR Se Sk Rac OL ERR EI 14
APPENDIX—
TN a ee he Al

Other Orders Below and Excerpts Showing How
Constitutional Questions Were Raised and De-

Ne cscs cls doasasasien teachin tas esesceeictediaeenciissoscutcncsioaslvaaides Al0
a EEE MET REE EE Al0
Motion for New Trial (Excerpt) 2.0.0.0... All
Order Denying New Trial .....0.0..0.0...........ccese0e- Al2
Appellant’s Opening Brief (Excerpt) .............. Al13
Appellant’s Reply Brief (Excerpt) .................. Al7
Opinion Below (Excerpt) ..............:cccececcssesseeeeeees Alg
Motion for Rehearing (Excerpt) 0.000000... A20
Order Denying Rehearing ....00...............escssce- A22
Order Denying Review ....0..........:.ccccccccceccsseceeeeee A23
OE ihc eskiic itis ostincaniietititanendaaints seek cent A24

Constitutional Provisions and Statutes Involved .... A25

IV

TABLE OF AUTHORITIES

CASES
Abood v. Detroit Board of Education, 431 U.S. 209 2
Angle v. Chicago St. M. & O. Ry., 151 U.S. 1 ........ 9
Bates v. State Bar of Arizona, 433 U.S. 350 ............ 14
Forbes Pioneer Boat Line v. Everglades Drainage
MT, I is Uy UO acne cccsectccccsecntceccssccereeye 9
Gibbes v. Zimmerman, 290 U.S. 326-0... 9
Graham v. Goodcell, 282 U.S. 409, 426 0000... 9
Kelly v. Perry, 111 Ariz. 382, 531 P.2d 139 ............ 11
Middleton v. Wallichs Music & Entertainment Co.,
Inc., 24 Ariz.App. 180, 536 P.2d 1072 (1975) ........ 9
Ue hy, I OT, TI encase cates ccscieccneceencee 10
Republic National Gas Co. v. Oklahoma, 334 U.S.
EE SOE ES LOT ARNEL eee TA Re 3

Saf-Gard Products, Inc. v. Service Parts, Inc., 532
F.2d 1266 (9th Cir. 1976), cert.den. 429 U.S. 896 4

Shelley v. Kraemer, 334 U.S. 1 .o......n.n..-ncccccescceseseceeee 10
Stewart v. Fahey, 14 Ariz.App. 149, 481 P.2d 519... 11
Zecen ©. Arizona, 419 U.S, 361 ................................... 3
Town of Chino Valley v. State Land Department,
‘ 119 Ariz. 243, 580 P.2d 704 (1978) 200. 9
CONSTITUTIONAL PROVISIONS
Fourteenth Amendment, Section 1 0.000.000.0000... 3, 7,9
STATUTES
es 2
SERRE i nae aaa 2
Re CD ova crecshncnceesssvquseissocundicciisecaestie 2

I Nat dcotesthabesioncnnonsusscessteicidessesnisinesnn 2

OTHER AUTHORITIES

12 Moore on FEDERAL PrRacTIcE—

1508.01[3]

Ce
RI, i oiciealiiceinains

Rest. (2d) Torts §587

| __, RRCaeT :

In the Supreme Court of the United States

October Term, 1980

WILLIAM H. DRUMMOND,
Petitioner,

VS.

LOUIS A. STAHL and MARY K. STAHL, Husband and
Wife and STREICH, LANG, WEEKS, CARDON
& FRENCH, a Professional Association,
Respondents.

PETITION FOR A WRIT OF CERTIORARI TO THE
COURT OF APPEALS OF THE
STATE OF ARIZONA

William H. Drummond, your Petitioner, prays that a
writ of certiorari issue to review the judgment of the Court
of Appeals of the State of Arizona expressed in its man-
date issued October 24, 1980, in the above-entitled case.

THE OPINION BELOW

The opinion of the Court of Appeals of the State of
Arizona has not been reported but is set forth in the Ap-
pendix, pp. Al-9.

Og

STATEMENT OF JURISDICTION

The Court of Appeals of the State of Arizona has
original jurisdiction of all civil appeals from the state’s
trial court of original jurisdiction, the Superior Court.
On appeal from the Superior Court, the Court of Appeals
entered its decision adverse to Petitioner on August 19,
1980. A timely Motion for Rehearing? was denied* on
September 24, 1980. Petitioner then filed a timely Petition
for Review‘ in the Supreme Court of Arizona. By a 3-2
decision, the Arizona Supreme Court denied review on
October 15, 1980.° The Court of Appeals then issued its
mandate on October 24, 1980.°

This Court has jurisdiction under Title 28 United States
Code §1257’ to review the judgment below, in that:

(a) The Court of Appeals is the “highest court” of
Arizona “in which a decision could be had”, since
the Supreme Court of Arizona denied review
(Abood v. Detroit Board of Education, 431 U.S.
209; 12 Moore on FepERAL Practice {/509.01) ;

(b) the mandate of the Court of Appeals is a “final
judgment” since it effectively determines this liti-
gation, leaving nothing to be decided in the Arizona
courts (12 Moore on FepERAL Practice {[508.01[3] )
and nothing remains to be done there except the
ministerial act of entry of judgment on the man-

ARS §12-120(A) (A25); ARS §12-120.21(A)(1) (A26).
ARS §12-120.24 (A26).

A22.

ARS §12-120.24 (A26).

A23.

A24-25.

A27,

—~FFrPPre

3

date (Republic National Gas Co. v. Oklahoma,
334 U.S. 62); and

(c) Petitioner’s privileges and immunities under the
Constitution, set up and claimed in this petition,
were set up and claimed at every stage of the pro-
ceedings below (Tacon v. Arizona, 410 U.S. 351;
12 Moore on FEDERAL Practice 510.01).

THE CONSTITUTIONAL PROVISIONS INVOLVED

This case involves the application of Section 1 of the
Fourteenth Amendment to the Constitution:

All persons born or naturalized in the United States,
and subject to the jurisdiction thereof, are citizens of
the United States and of the State wherein they reside.
No State shall make or enforce any law which shall
abridge the privileges or immunities of citizens of the
United States; nor shall any State deprive any person
of life, liberty, or property, without due process of
law; nor deny to any person within its jurisdiction
the equal protection of the laws.

STATEMENT OF THE CASE
Preface

This is not a libel, slander or defamation case. Pe-
titioner’s cause is based on Respondent’s acts of initiating
court and bar association proceedings and the effects of
these acts on Petitioner’s pocketbook, not upon his profes-
sional or personal reputation. The wider effects of Respon-
dent’s acts are felt in the public arena—the proper and
efficient administration of the judicial system.

7%

4

Stahl’s Groundless Acts and Their Effects

Drummond and Stahl are lawyers who were opponents
in a major lawsuit. In the midst of this litigation, Stahl
did two things: (1) he filed conflict of interest charges
against Drummond with the State Bar of Arizona, and
(2) he moved the court in which the case was pending
to disqualify Drummond as counsel for plaintiff.

Each of these acts had two effects: the litigation
came to a complete halt, costing Drummond’s client over
$100,000 in lost income, and Drummond lost his valuable
client of many years.

The charges filed by Stahl were investigated by the
State Bar of Arizona and found to be groundless. In fact,
the way this case comes up,® Stahl’s acts must be taken
here as malicious, taken for the totally improper purposes
of delaying the pending litigation by depriving Drum-
mond’s client of his knowledgeable, experienced attorney,
at the very time he was most needed.

Background Facts

Drummond, a registered patent attorney, had repre-
sented a talented inventor,® Walter Avrea, for many years
until the events of 1976-77 which precipitated this case.

In 1975, Drummond represented Avrea in negotiating
a major contract with Saf-Gard Systems, Inc., to com-
mercially exploit all of Avrea’s patented inventions. Saf-
Gard requested Drummond to represent both Avrea and
Saf-Gard in litigation involving infringement of these
patents by others. Drummond agreed to represent both

8. A2.

9. See, eg., Saf-Gard Products, Inc. v. Service Parts, Inc.,
532 F.2d 1266, 1269 (9th Cir. 1976), cert.den. 429 U.S. 896.

5

Avrea and Saf-Gard, but only after the potential for a con-
flict of interest was discussed and resolved and only after
Saf-Gard, separately represented, agreed that if a conflict
did arise, Drummond would continue to represent Avrea,
his long-time client.

In 1976, the conflict arose. For reasons not material
here, Drummond filed a suit on Avrea’s behalf against
Saf-Gard. This suit involved the title to the Avrea patents
which Drummond was also attempting to enforce on behalf
of both Avrea and Saf-Gard in the infringement litigation
with third parties. Stahl appeared as attorney for Saf-
Gard in the action filed by Drummond involving the
title question.

Several months after Drummond filed the Avrea v. Saf-
Gard suit, Drummond noticed the deposition of the owner-
president of Saf-Gard. Only then did Stahl first raise
the question of Drummond’s supposed conflict of interest.
He threatened that, unless Drummond immediately with-
drew as Avrea’s attorney in the title litigation, he (Stahl)
would file charges of unethical conduct with the Bar and
with the court. Stahl, though new on the scene, declined
Drummond’s invitation to first discuss the matter and
filed (1) charges with the Bar Association, and (2) a mo-
tion in the court to disqualify Drummond as Avrea’s at-
torney.

The Bar thoroughly investigated Stahl’s charges and
“concluded that there was no conflict of interest and the
Bar found no probable cause to proceed against Drum-
mond”.'® But, in the meantime, Stahl’s tactics were suc-
cessful: Avrea’s litigation with Saf-Gard was stalled and
he lost his royalty income. As Avrea put it:

A. (Mr. Avrea) That regardless of whether there
was any conflict of interest or not, I think you

10. Ad4.

6

and I discussed it, it allowed them to delay us
eight or ten months without being able to proceed
and get back my only source of income as my
patents. I believe that eight or ten month delay
cost us well over $100,000 income from those
patents. I think you realize that. I think the
expense of having to go through and bring some-
body else up to date while the Arizona Bar As-
sociation was hearing this conflict charge, that I
had to pursue and I had to start from ground
zero and educate people of the things that hap-
pened over a period of time when you were my
representative whereas all this time I counted
on you being there because you were present in
all these meetings and see the negotiations in the
various things.

Q. (Mr. Drummond) When you say bring other peo-
ple up to date, you mean other attorneys?

A. Replacement counsel, yes, and as I say, losing
eight or ten months while the Arizona Bar de-
cided what in the hell to do.

Because of this delay, Avrea was forced to obtain
other counsel to continue the litigation and, as a direct
consequence, his attorney-client relationship with Drum-
mond, which had existed for many years, was destroyed.

History of This Litigation

After Drummond lost his long-time client, he filed this
action against Stahl in the state courts of Arizona. The
suit alleged that Stahl tortiously interfered with the at-
torney-client contractual relationship between Drummond
and Avrea, that Stahl’s acts were malicious and that these
acts were the direct and proximate cause of the destruction

7

of the contractual relationship between Drummond and
his client.

Stahl moved for summary judgment, claiming ‘“abso-
lute privilege”. Drummond resisted this motion on the
ground that Stahl’s acts were, at most, conditionally priv-
ileged and that such conditional privilege required the trier
of fact to determine Stahl’s state of mind, a fact placed in
sharp dispute by the motion papers and Drummond’s re-

sponse.

The trial court granted summary judgment," denied
a new trial’* and Drummond appealed to the Court of Ap-
peals for the State of Arizona. In this appeal, Stahl and the
State Bar of Arizona, amicus curiae, argued that he was en-
titled to “absolute privilege”. Drummond argued (1) that
the privilege, if any, was “conditional”, (2) that summary
judgment was inappropriate in view of the sharp dispute as
to Stahl’s state of mind, and (3) that if the court ignored
Stahl’s state of mind and applied “absolute privilege” in
the face of malice, this‘would violate Drummond’s privilege
against deprivation of property without due process of law
under the Fourteenth Amendment.

The Court of Appeals" applied “absolute privilege” to
b. th of Stahl’s acts, the bar complaint’ and the motion in
court to disqualify Drummond,"* notwithstanding that mal-
ice was assumed as a fact. In his motion for rehearing,
Drummond specifically pointed out that the Court of Ap-
peals had erred on the Constitutional question."* The Court

11. Alo.
12. Al2.
13. Al-9.
14. Av.
15. Aé6.
16. A20.

8

of Appeals denied Drummond’s motion for rehearing.” A
petition for review was filed in the Supreme Court of Ari-
zona, which considered the matter on the basis of the record
before the Court of Appeals,’* which included Drummond’s
motion for rehearing which had emphasized the Constitu-
tional issue.

By a 3-2 decision, the Supreme Court of Arizona de-
nied review.’® The Court of Appeals then issued its man-
date” directing entry of judgment against Petitioner.

Statement Under Rule 21.1(h)

Petitioner raised the federal questions on which he
seeks this review, as follows:

(1) in the court of first instance, by a timely Motion
for New Trial,” which was denied;”?

(2) in the intermediate Court of Appeals, by arguments
in Appellant’s Opening Brief*® and in Appellant’s
Reply Brief** which were rejected in the opinion
below** and by a timely Motion for Rehearing”
which was denied;”" and

(3) in the Supreme Court of Arizona, by a timely Peti-
tion for Review, which was denied.”8

17. A22.
18. A23.
19. A23.
20. A24,
21. All.
22. Al2.

23. A13-16
24. A17-18
25. Al1-9.
26. A20.

27. A22.

28. Ad23.

REASONS FOR GRANTING THE WRIT
Background Principles

The law has historically provided a cause of action
for damages for tortious interference with contract rela-
tionships (Angle v. Chicago, St. M. & O. Ry., 151 U.S. 1)
and such an action is routinely recognized under Arizona
law (Middleton v. Wallichs Music & Entertainment Co.,
Inc., 24 Ariz.App. 180, 536 P.2d 1072 [1975]).

Constitutional Principles

A cause of action is “property” under the Fourteenth
Amendment which is beyond the power of the state to
take without due process of law. Graham v. Goodcell, 282
U.S. 409, 426 (cause of action for amount due under con-
tract)s Forbes Pioneer Boat Line v. Everglades Drainage
District, 258 U.S. 338, 339 (cause of action for tolls unlaw-
fully collected under state statute); Angle v. Chicago, St.
M. & O. Ry., supra, 151 U.S. at 25-26 (cause of action for
tortious interference with contract).

The Constitution does not require a state to provide a
damaged party any particular remedy for a cause of action,
nor does it require that a state provide any particular pro-
cedure to obtain that remedy, but the Fourteenth Amend-
ment does guarantee the preservation of some substantial
right to redress by some effective procedure (Gibbes v.
Zimmerman, 290 U.S. 326) or, as the Arizona Supreme
Court, sitting in banc, said (following Gibbes):

“an efficacious remedy.” (Emphasis added).

(Town of Chino Valley v. State Land Department, 119
Ariz. 243, 580 P.2d 704 [1978]).

10

The Private Effect of the Decision Below

The State of Arizona, through “state action” by its
courts (Shelley v. Kraemer, 334 U.S. 1; Paul v. David, 424
U.S. 693) has violated this fundamental tenent of Constitu-
tional law by judicially conferring absolute privilege on
Stahl, depriving Dr«mmond of any remedy whatever in
any forum under any process of law under any conceivable
state of fact.

The Public Effect of the Decision Below

The “public policy” reasons advanced by the court be-
low for conferring this “absolute privilege” are so shallow
as to be “all surface”, and we respectfully submit, are
legally unsound and factually uncompelling. The result of
the holding below will not subserve but will actually sub-
vert strong public interests.

The Decision and Its Ramifications in Litigation

The present decision of the court below announces
two new “rules of the road” in litigation practice.

The first new rule says that an attorney can, with
impunity, without any truthful cause, in violation of his
sworn duty as an officer of the Court, and directly con-
trary to both Federal and State Rule 11(a) of Civil Pro-
cedure, delay any court proceeding by the simple device
of moving the court to disqualify opposing counsel on
false allegations of conflict of interest. He is “absolutely
privileged” to do this.

To reach this result, the court below had to abolish
the distinction between wholly different causes of action
(i.e., defamation, on the one hand, as against tortious inter-
ference on the other hand) which has been recognized

11

in Arizona” and by the REesTaTEMENT® for decades and
which has been recognized at common law for perhaps
centuries. The court below recognized the distinction but
dismissed it with the following few words:

“Although these Arizona cases*' (involving libel and
slander) do not directly involve a case of tortious
interference ... (they) control the disposition of this
case.” (A6, paraphrased)

The second new rule says that an attorney who is
schooled in, tested by bar examination upon, and expected
to thoroughly understand the principles of legal ethics
can, with impunity, knowingly and for improper purposes,
file false charges of unethical conduct with the state bar
against his litigation opponent, cause the most significant
professional and financial damage to his fellow lawyer,
and, most importantly, effectively deprive the opposing
party of his experienced, long-time counsel! Again, he
is “absolutely privileged” to do this, and neither the lawyer
thus accused nor the client thus deprived has any remedy!

This second new rule of the “litigation road” is again
based on the abolition of the previously clear distinction
between a cause of action for defamation and a cause
of action for tortious interference and upon the further
ground of “public policy”.

29. Stewart v. Fahey, 14 Ariz.App. 149, 481 P.2d 519, cited
with approval by the Arizona Supreme Court in Kelly v. Perry,
111 Ariz. 382, 531 P.2d 139.

30. The RESTATEMENT provides absolute privilege for de-
famatory statements in court proceedings [REST. (2d) Torts §587]
but only a conditional privilege for “wrongful institution of pro-
ceedings” [ResT. (2d) Torts §674].

31. All of the other cases from other jurisdictions cited in
the decision below are, similarly, libel and slander cases rather
than cases dealing with tortious interference or wrongful insti-
tution of proceedings, civil malicious prosecution, etc.

Ls

12

The “public policy” argument (advanced by the State
Bar of Arizona as amicus curiae and adopted by the court
below) is an abject confession of the inability or the failure
of the court below to distinguish between “conditional”
and “absolute” privilege—concepts which are routinely ap-
plied when the litigants are private parties—when the
litigation instead involves lawyers. The second new rule
goes far beyond what is required to avoid “chilling” effects
and even further beyond what is required to enable the
bar to -

“continue to enjoy the privilege of a self-regulating
profession.” (A8)

An “absolute” privilege may need to be extended, as we
acknowledged below, to complaints by laymen—but why
to lawyers? Are not lawyers to be held to the highest
standards, in view of the powers which their privileges
as lawyers entitle them to wield? And if that be true,
despite those privileges as lawyers, are lawyers then simply
to be “lumped together” with the “general public” so far
as immunities are concerned? The State Bar of Arizona,
in its brief amicus curiae below, urged just that:

“We are not concerned with just the immunity of
lawyers but of the public generally, of which the
lawyers constitute but a small part.” (Emphasis added)

The court below agreed with the position of amicus curiae
by drawing no distinction between a lawyer, on the one
hand, and the “general public” on the other hand, thus
conferring upon lawyers the same immunities belonging
to the general public. We respectfully disagree with that
premise. It is just plain wrong for lawyers, as a class,
to claim the powers of that class, which in no sense are
enjoyed by the general public, but then to attempt to
seek the immunities of the “general public” when called
to account for the wrongful exercise of those powers.

13

The public will not be the beneficiary of these two
new rules. Instead, it will be the marginal lawyer, who
is not ready for trial (or would simply like to compel
a change of opposing counsel) or the marginal client, whose
only hope is delay, who will benefit. The public will
pay, not benefit, from these delays.** These new rules
unquestionably invite delay with its increased litigation
costs and invite congestion of court calendars and thereby
would discourage and defeat the right of the public to
ready, speedy access to our courts, and to the services
of the attorney of one’s own choosing. Surely the legal
profession is not so ineffective in dealing with itself that
it cannot fashion rules of conduct for lawyers which will
not invite such consequences.

The answer, as to lawyers, is clear and apparent: It
is conditional privilege. If the delays, increased cost and
congestion of litigation calendars invited by the decision
below are to be avoided, considerations of sound public
policy dictate that counsel who wrongfully utilize court
and bar association procedures for such delay be held
personally accountable for the damage they cause, a result
which can only be reached if conditional privilege is ap-
plied.

The court below has decided specific, important ques-
tions of federal Constitutional law. In so deciding, the
court below ignored applicable decisions of this Court be-

32. Report of Bar Counsel to the State Bar of Arizona:

“One cannot avoid considering the interest of Avrea [Drum-
mond’s client in the case in which Drummond’s disqualifi-
cation was urged] in this situation. For many years, he
had relied on the advice and guidance of Drummond. He
undoubtedly believed that Drummond was his attorney
throughout the period of his association with Systems. He
should not be told to abandon him and seek other counsel
unless strong and compelling reasons under the Code of Pro-
fessional Responsibility can be found.” (Emphasis ours)

14

cause, factually, they were not squarely on point. These
federal questions should be settled by this Court because

(1) this Court has not decided these questions,

(2) there is a split of authority among the courts
of last resort of the States on these questions
(A8),

(3) the decision below does not even satisfactorily
resolve these questions in Arizona, due to the
split 3-2 decision (A23) of the Arizona Supreme
Court not to review the decision of the inter-
mediate Court of Appeals, and

(4) wholly aside from the private effect on petitioner’s
constitutional rights, the decision below has broad
and unfortunate implications in the public arena
which is the direct responsibility of this Court—
the effective, timely and efficient administration of
the judicial system.

CONCLUSION

We urge that the court below glossed over and erred
on a basic Constitutional issue dressed in the sheep’s cloth-
ing of a mere “private” issue. Legally, it is no answer
that private interests must give way to “public policy”
when the private interests are Constitutionally guaranteed.
And, practically, the protection of private Constitutionally
guaranteed interests has a curious way of turning out
to be the best way of protecting the public interest. Bates
v. State Bar of Arizona, 433 U.S. 350.

We respectfully urge the Court to grant this Petition
for a Writ of Certiorari.

DonaLp R. Kunz
3003 N. Central Avenue
Phoenix, Arizona 85012
Counsel for the Petitioner

Al

APPENDIX

THE OPINION BELOW
(Filed August 19, 1980)

IN THE COURT OF APPEALS
STATE OF ARIZONA
DIVISION ONE
1 CA-CIV 4531
DEPARTMENT C

WILLIAM H. DRUMMOND,
Plaintiff-Appellant,
V.
LOUIS A. STAHL and JANE DOE STAHL, husband and
wife, and STRETCH, LANG, WEEKS, CARDON AND

FRENCH, a Professional Association,
Defendants-Appellees.

OPINION

An Appeal from the Maricopa County Superior Court
Cause No. C-362697
The Honorable Rufus C. Coulter, Jr., Judge

AFFIRMED
OGG, Chief Judge

The appellant/plaintiff, William H. Drummend,
brought suit in the Maricopa County Superior Court alleg-
ing a tortious interference by the appellees/defendants
with an attorney-client contractual relationship of which
Drummond, as a practicing member of the State Bar of
Arizona, was the beneficiary. Drummond asserts the ele-

A2.

ments of such a cause of action are set forth in the case
of Middleton v. Wallich’s Music & Entertainment Company,
Inc., 24 Ariz.App. 180, 536 P.2d 1072 (1975). The defen-
dant, Louis A. Stahl, is also a practicing member of the
State Bar of Arizona. The remaining defendants are
Stahl’s law firm, a professional association, and his wife.
After all pleadings were filed, the trial judge granted
defendants’ motion for summary judgment and plaintiff
filed this appeal. The State Bar of Arizona was granted
permission by this court to file an Amicus Curiae brief
and participate in oral argument of this appeal.

Drummond sets out the two threshold issues to be de-
termined a::

1. Are Stahl and his law firm “absolutely privileged”
to institute disqualification proceedings in the trial
court to prevent Drummond’s further participation
in pending civil litigation?

2. Are Stahl and his law firm “absolutely privileged”
under the facts of this case to file charges of un-
ethical conduct against Drummond with the State
Bar of Arizona?

In this appellate review of the summary judgment,
we must view the evidence and the inferences to be drawn
therefrom in a light most favorable to the appellant. Poggi
v. Kates, 115 Ariz. 157, 564 P.2d 380 (1977); Riedisser v.
Nelson, 111 Ariz. 542, 534 P.2d 1052 (1975). Viewing the
evidence in such a manner, it appears that Drummond
was hired as a patent attorney by Walter C. Avrea and
had a contractual attorney-client relationship with Avrea
dating back to 1965. Drummond also represented both
Avrea and a corporation, known as Saf-Gard Systems, Inc.,
in protecting Avrea’s inventions which were licensed to
Saf-Gard, and in certain other patent infringement actions

A3

where Avrea and Saf-Gard had similar interests. Drum-
mond’s representation of both Avrea and Saf-Gard was
undertaken only after the possibility of a future conflict
of interest was discussed by all parties and their attorneys.
It was determined there was no conflict of interest in these
limited areas, and if a conflict of interest did arise between
Avrea and Saf-Gard, that Drummond would continue to
represent his old client, Avrea.

On February 25, 1976, Drummond filed a Maricopa
County Superior Court action on behalf of Avrea and
others against Saf-Gard and others. On May 13, 1976,
Stahl, representing Saf-Gard, notified Drummond’s office
by a hand-delivered letter that Drummond must withdraw
as Avrea’s attorney on the ground of a conflict of interest
with Saf-Gard. The letter further notified Drummond
that unless he withdrew from the litigation, Stahl would
file charges of unethical conduct against him with the
State Bar of Arizona. According to Stahl’s affidavit, this
letter had been prompted by notification to Stahl by Saf-
Gard that Drummond had previously represented Saf-Gard
and possessed confidential information that would be de-
trimental to Saf-Gard in the pending litigation with Avrea.

Before responding to Stahl’s letter, Drummond filed
a complaint against Stahl with the State Bar of Arizona
and enclosed a copy of such complaint along with his reply
letter which stated:

“If you want to go ahead and file the complaint,
be my guest. However, if you have any interest in
confirming whether you have all of the facts, please
“call me and we can arrange a time for you to confer
with me before taking precipitous action.”

When Drummond failed to withdraw as requested,
Stahl did not further contact Drummond, but proceeded to

A4

file a complaint with the State Bar of Arizona. Stahl also
filed a superior court motion to compel Drummond to with-
draw from the pending Avrea v. Saf-Gard litigation. There-
after Drummond withdrew from representing Saf-Gard in
two pending patent infringement actions against third
parties, while continuing his representation of Avrea.

While the Stahl complaint was pending, Drummond
was requested by Saf-Gard to perform certain patent
services in other cases which were in fact performed.
Sometime later he withdrew from all representation of both
Avrea and Saf-Gard. Upon stipulation of counsel, Stahl’s
superior court motion to disqualify Drummond was post-
poned indefinitely.

It appears that prior to Stahl’s complaint with the Bar
Association, Drummond had always had a good attorney-
client relationship with Avrea, although Avrea owed him
substantial unpaid attorney fees. The Stahl complaint
and motion caused Avrea delay in his litigation while the
State Bar of Arizona investigated the complaint. Because
of this delay, Avrea requested that Drummond withdraw
as his counsel so that new counsel could be retained to
recommence the diligent prosecution of the case. After
many months, with no payments on Avrea’s past-due
balance, Drummond filed an action to recover past-due
attorney fees and expenses.

The Drummond complaint against Stahl was dis-
missed by the State Bar. The Stahl conflict of interest
complaint against Drummond was investigated by counsel
for the Arizona State Bar. The Bar counsel concluded that
there was no actual conflict of interest and the Bar found
no probable cause to proceed against Drummond.

In an affidavit filed by counsel for the State Bar of
Arizona, the following pertinent conclusions were found:

A5

“3. In the course of my investigation as bar
counsel, I discussed Mr. Stahl’s complaint with Mr.
Stahl and Mr, Jock Patton of Mr. Stahl’s firm. Based
upon such discussions and my review of those docu-
ments and materials which I considered material and
relevant to the complaint, it is my opinion that Mr.
Stahl’s complaint was brought in good faith.

4. Based upon my efforts in connection with my
activities as bar cuonsel, including both legal and
factual analysis, Mr. Stahl’s complaint was not frivo-
lous. It is my opinion that reasonable minds of the
bar could differ as to whether there existed an ethical
breach, even though it was my opinion that there was
no actual conflict of interest. The issues were diffi-
cult and I did substantial deliberation on this matter.”

It is Drummond's position that Stahl, while acting
on behalf of his marital community and as agent of his
firm, intentionally and maliciously induced or caused a
breach or termination of the Avrea/Drummond attorney-
client relationship, resulting in the loss of the monetary
and professional expectancies to be derived therefrom.

It is Stahl’s position that the motion to require Drum-
mond to withdraw from the superior court action and the
complaint filed with the State Bar of Arizona were abso-
lutely privileged and that Drummond has no cause of
action.

WAS THE SUPERIOR COURT MOTION
ABSOLUTELY PRIVILEGED?

It is our opinion that the motion filed by Stahl, on
behalf of his client Saf-Gard, to compel Drummond to
withdraw as Avrea’s attorney in the pending Avrea v.
Saf-Gard litigation was privileged under the facts of this
case.

A6

An affirmative defense, such as privilege, may be
raised and determined on a motion to dismiss, where the
facts constituting the defense appear in the pleadings. Si-
erra Madre Development, Inc. v. Via Entrada Townhouses
Association, 20 Ariz. App. 550, 514 P.2d 503 (1973). From
our reading of the pleadings and affidavits filed in the
motion for summary judgment, it appears there were suffi-
cient undisputed facts from which the trial judge could
grant summary judgment.

The allegation in the motion to compel Drummond
to withdraw on the grounds that he had a conflict of
interest is the type of defamatory statement in litigation
proceedings that should be absolutely privileged. Defama-
tory statements contained in pleadings are absolutely priv-
ileged if they are connected with or have any bearing
on or are related to the subject of inquiry. Sierra Madre
Development, Inc. v. Via Entrada Townhouses Association.
See Restatement (Second) of Torts § 587 (1977). Parties
to judicial proceedings are generally granted an absolute
privilege to use defamatory language in pleadings because
of an “overriding public interest” that persons should speak
freely and fearlessly in litigation. Stewart v. Fahey, 14
Ariz. App. 149, 150, 481 P.2d 519, 520 (1971). A statement
made in the course of a judicial hearing is absolutely
privileged as long as it bears some relation to the subject
judicial proceeding. Todd v. Cox, 20 Ariz. App. 347, 512
P.2d 1234 (1973). /

Although these Arizona cases do not directly involve
a case of tortious interference with a contractual relation-
ship, the reasoning and legal principles set out have appli-
cation to and control the disposition of this case. The
motion to force Drummond to withdraw as counsel had
a direct relationship to the superior court proceedings and
under the facts of this case was entitled to an absolute
privilege.

AT

WAS THE STAHL COMPLAINT TO THE ARIZONA
STATE BAR ABSOLUTELY PRIVILEGED?

Both Lrummond and Stahl make basically the same
arguments relative to this issue that they made to the
first issue. The State Bar of Arizona contends that public
policy dictates that there must be immunity to all persons
from any liability arising from the filing of a complaint
with the State Bar which charges an attorney with un-
ethical conduct. Drummond agrees there is a “conditional”
privilege, both as to the making of a report of Drummond's
supposed unethical conduct to the Bar Association and
as to the initiation of proceedings to disqualify Drummond
as Avrea’s counsel in the superior court. Drummond fur-
ther argues that these conditions include factual consider-
ations such as the truth or falsity of the matters alleged,
the motives of the defendant, the existence or non-existence
of probable cause, and the question of whether such con-
duct involved legal malice. Drummond concludes that
until such factual matters are determined by a trial, the
granting of summary judgment is in error.

The State Bar answers this argument by stating that
to allow a “conditional” privilege would allow the institu-
tion of a civil action by the mere addition of an “actual
malice” allegations. This would permit a civil action
against anyone who has complained to the State Bar and
subject such complainant to the full, expensive scope of
discovery and litigation, thus “chilling” the motivation of
those who believe they have knowledge of improper legal
behavior.

In our opinion, public policy and legal precedent com-
pel us to adopt the position that there is an absolute
privilege extended to anyone who files a complaint with
the State Bar alleging unethical conduct by an attorney.

A8

The State Bar of Arizona is an arm of the Arizona
Supreme Court. Bridegroom v. State Bar, 27 Ariz. App.
47, 550 P.2d 1089 (1976). The Supreme Court has directed
that written complaints against lawyers are to be filed
with the State Bar. Ariz. Sup.Ct. Rule 33(a)1. The State
Bar acts in a judicial capacity in dealing with the conduct
of attorneys. Wiener v. Weintraub, 22 N.Y.S.2d 330, 239
N.E.2d 540 (1968); Baggott v. Hughes, 34 Ohio Misc. 63,
296 N.E.2d 696 (1973). The Restatement (Second) of Torts
(1977), §§ 585-589, grants an absolute privilege for
defamatory statements made in a judicial proceeding, so
long as such statements bear some relationship to the
proceedings.

Although there is some authority to the contrary, Lee
v. W. E. Fuetterer Battery & Supplies Company, 323 Mo.
1204, 23 S.W.2d 45 (1929); Sassower v. Himwich, 236 N.Y.S.
2d 491 (1962), the majority of courts that have faced
this issue have held there is an absolute privilege for
anyone who files a complaint alleging unethical conduct
by an attorney with a State Bar Grievance Committee.
Wong v. Schorr, 51 Hawaii 608, 466 P.2d 441 (1970);
Richeson v. Kessler, 73 Idaho 548, 255 P.2d 707 (1953);
Kerpelman v. Bricker, 23 Md.App. 628, 329 A.2d 423 (1974);
Wiener v. Weintraub; McCurdy v. Hughes, 63 N.D. 435,
248 N.W. 512 (1933); Ramstead v. Morgan, 219 Ore. 383,
347 P.2d 594 (1959).

We must weigh the possible harm to attorneys in
the filing of a malicious complaint against the need to
encourage the reporting of unethical conduct. In weighing
these conflicting interests, it is our opinion that public
policy demands the free reporting of unethical conduct
if we are to continue to enjoy the privilege of a self-
regulating profession.

A9

Drummond makes a further argument that any action
by the State of Arizona by either legislative enactment
or judicial decision to grant an absolute privilege would
amount to state action depriving Drummond of due process
of law and equal protection of the laws as guaranteed
by the 14th Amendment, Section 1 of the United States
Constitution, and by the parallel provisions of Article 2,
§§ 4 and 13 of the Arizona Constitution.

We have been cited to no reported cases supporting
such a theory and have been unable to find any such
cases. The existence of such an absolute privilege has
been upheld by the majority of states that have considered
this issue, and we see no validity to this challenge on
constitutional grounds.

The decision of the trial court granting summary judg-
ment is affirmed.

Jack L. Ogg, Chief Judge
Division One

Concurring:

Joe W. Contreras, Presiding Judge
Department C
Eino M. Jacobson, Judge

Al0

OTHER ORDERS BELOW AND EXCERPTS
SHOWING HOW CONSTITUTIONAL QUES-
TIONS WERE RAISED AND DECIDED

SUMMARY JUDGMENT
(Entered April 12, 1978)

THE SUPERION COURT OF ARIZONA
MARICOPA COUNTY

No. C 362697 (Assigned to the Honorable
Rufus C. Coulter - Div. 21)

William H. Drummond,
Plaintiff,

vs.

LOUIS A. STAHL and JANE DOE STAHL, husband
and wife, and STREICH, LANG, WEEKS,
CARDON & FRENCH, a professional association,
Defendants,

JUDGMENT

This matter having come before the court on defen-

dants’ motion for summary judgment on March 24, 1978,
the court having heard at that time oral argument of
counsel, the court having taken the matter under advise-
ment, and the court having given full consideration to

the matter,

IT IS ORDERED, ADJUDGED AND DECREED that
defendants have judgment against plaintiff.

DATED this 5 day of April, 1978.

Rufus C. Coulter, Jr.
Judge of the Superior Court

—

All

EXCERPT FOR MOTION FOR NEW TRIAL
IN COURT OF FIRST INSTANCE

(Filed Apri: i8, 1978)

IN THE SUPERIOR COURT OF THE
STATE OF ARIZONA

No. C-362697

WILLIAM H. DRUMMOND,
Plaintiff,
vs.

LOUIS A. STAHL, et ux., et al.,
Defendants.

MOTION UNDER RULE 59 A.R.C.P. FOR NEW TRIAL

NOW COMES PLAINTIFF and respectfully moves
the Court for a new trial of this action on the ground
that the Judgment entered April 5, 1978 is contrary to
law, in the following respects:

+ ** * * *

3. The Summary Judgment of April 5, 1978, granting
Defendant Stahl absolute immunity (as set forth in ground
No. 2 above), is state action depriving Plaintiff of equal
protection of the laws and due process of law as set forth
in the 14th Amendment (Section 1) of the Constitution
of the United States of America and the parallel provisions
of the Constitution of the State of Arizona. (Par. 3, p. 2,
Motion for New Trial)

Al2

ORDER DENYING NEW TRIAL

(Entered June 14, 1978)

IN THE SUPERIOR COURT OF THE STATE OF
ARIZONA IN AND FOR THE COUNTY
OF MARICOPA

No. C-362697

WILLIAM H. DRUMMOND,
Plaintiff,
vs.

LOUIS A. STAHL, et ux., et al.,
Defendants.

ORDER

Plaintiff's Motion for New Trial and Defendants’
Response thereto having been considered by the Court,
and the Court having heard the arguments of counsel
thereon, and being fully advised in the premises:

IT IS HEREBY ORDERED that Plaintiff’s Motion
for a New Trial is denied.

DONE IN OPEN COURT THIS 14 DAY OF JUNE,
1978.

Rufus C, Coulter, Jr.
Judge of the Superior Court

Al13

EXCERPT FROM APPELLANT’S OPENING BRIEF

IN THE COURT OF APPEALS OF THE
STATE OF ARIZONA
Division One
No. 1CA-CIV 4531

(Maricopa County Superior Court Cause No. C 362967)

WILLIAM H. DRUMMOND,
Appellant,
vs,

LOUIS A: STAHL and MARY KATHLEEN STAHL, hus-
band and wife, and STREICH, LANG, WEEKS, CARDON
& FRENCH, a Professional Association,
Appellees.

Plaintiff-Appellant, William H. Drummond, appeals
to the Court of Appeals of the State of Arizona, Division
One, from the Judgment of the Superior Court of Maricopa
County, Honorable Rufus C, Coulter, Jr., presiding, entered
pursuant to an Order granting Summary ~udgment in
favor of Defendants-Appellees and from the subsequent
Order denying Plaintiff’s Motion for New Trial.

* * * * *

V. APPLICATION OF AN “ABSOLUTE PRIVILEGE”
TO STAHL’S ACTIONS WOULD CONSTITUTE
“STATE ACTION” DEPRIVING DRUMMOND OF
DUE PROCESS OF LAW AND EQUAL PROTEC-
TION OF THE LAWS.

If the action of the Trial Court in granting Defen-
dants’ Motion for Summary J udgment is sustained on a
theory of “absolute privilege’, then the granting of sum-

Al4

mary judgment by the Trial Court and the affirmance of
that action by this Court constitutes state action denying
Drummond due process of law and equal protection of the
laws as guaranteed by the 14th Amendment (Section 1)
of the United States Constitution and by the parallel pro-
visions (Article 2, §4 and §13) of the Constitution of the
State of Arizona.

Section 1 of the 14th Amendment to the Constitution
of the United States provides, inter alia:

“

. nor shall any State deprive any person of
life, liberty or property without due process of law;
nor deny to any person within its jurisdiction the
equal protection of the laws.”

It is clear that the law of the State of Arizona pro-
vides a cause of action for damages for tortious interference
with advantageous contractual relationships. See, e.g.,
Middleton v. Wallichs Music & Entertainment Co., Inc.,
cited supra page 24. This cause of action is a vested “prop-
erty” right which is protected against impairment by
state action under the 14th Amendment. Terraccioma v.
Magee, 148 A.2d 68, 53 N.J.Super 557 (1959); Bush v. Reid,
516 P.2d 1215 (Alaska 1973) and it is clear that the action
of the Court below and any action of this Court applying
an “absolute” immunity rule would constitute “state ac-
tion”; Shelley v. Kraemer, 68 S.Ct. 836, 92 L.Ed. 1161, 334
U.S. 1 (1948); Paul v. Davis, 96 S.Ct. 1155, 47 L.Ed.2d 405,
424 U.S. 693 (1976); National Airport Corp. v. Wayne Bank,
252 N.W.2d 519 (Mich. App. 1977); United States v. Stan-
dard Oil Co. of California, 21 F.Supp. 645 (D.C.Cal. 1938),
aff'd 107 F.2d 402 (9th Cir. 1940).

While neither the Federal nor the State Constitu-
tions require that a state provide any particular procedure
or particular -medy to a plaintif who is injured by tor-

Al5

tious conduct of another, they do guarantee the preserva-
tion of a substantial right to redress by some effective
procedure. Gibbes v. Zimmerman, 54 S.Ct. 140, 78 L.Ed.
342, 290 U.S. 326 (1933).

Applying the foregoing principles, the courts have
condoned state action which places limitations upon lia-
bility of governmental officers and private persons or
firms, so long as the limitations were reasonable. For ex-
ample, a reasonable (6-year) period of limitations on a
claim for medical malpractice is not a denial of due process
or equal protection, Landgraff v. Wagner, 26 Az.App. 49,
546 P.2d 26 (1976) but a general and very short (120-day)
statute of limitations on tort claims against political sub-
divisions and municipalities was held unconstitutional as
applied to claims by minors as a denial of due process,
Hunter v. North Mason High School, 529 P.2d 898, 12
Wash.App. 304 (1974), aff'd. 539 P.2d 845, 85 Wash.2d
810 (1975).

And an Illinois statute conferring conditional immunity
from tort liability on employees of a political subivision
was held constitutional only as it permitted escape from
liability for simple negligence and did not attempt to confer
immunity for willful or wanton negligence, Sullivan v.
Midlothian Park District, 52 Ill.2d 271, 281 N.E.2d 659
(1972). But state action authorizing immunity from civil
damages for libel if a newspaper merely published a ro-
traction was invalid as a denial of due process, Byers v.
Meridian Printing Co., 95 N.E. 917 (Ohio, 1911).

As noted above, Plaintiff-Appellant does not seek a
ruling of this Court that Defendant Stahl’s activities were
wholly unprivileged, and we acknowledge the undoubted
existence of a conditional privilege, both as to the making
of a report of Drummond’s supposed unethical conduct to
the Bar Association and as to the initiation of proceedings

Al6

in the Superior Court to disqualify Drummond as Mr.
Avrea’s counsel. The “conditions”, however, upon which
such privilege must be founded must include factual con-
siderations of the truth or falsity of the matters alleged,
the purpose or motive of the Defendant, the existence or
non-existence of probable cause and, without doubt, the
question of whether such conduct involved legal malice.
Any action by the State of Arizona, by either legislative
enactment or judicial decision, to remove such considera-
tions from a determination of the actor’s liability, i.e., the
imposition of a theory of “absolute” privilege, would
amount to clear “state action” which deprives Drummond
of due process of law and the equal protection of the laws.
(Appellant’s Opening Brief, pp. 37-41)

Al17

EXCERPT FROM APPELLANT’S REPLY BRIEF

IN THE COURT OF APPEALS
OF THE
STATE OF ARIZONA
Division One

No. 1 CA-CIV 4531

(Maricopa County Superior Court Cause
No. C 362697)

WILLIAM H. DRUMMOND,
Appellant,

VS.

LOUIS A. STAHL and MARY KATHLEEN STAHL,

husband and wife, and STREICH, LANG, WEEKS,

CARDON & FRENCH, a Professional Association,
Appellees

* *£+ * & &

We have but one further comment: This Reply Brief
does not address itself to the Constitutional considerations
raised in the Opening Brief due only to the fact that that
issue was not addressed in the Appellees’ Answering Brief
[except for Appellees’ notation that Appellees were aware
of no similar case which “has ever been challenged on Con-
stitutional grounds”; (AB11)]. Matters of Constitutional-
ity are not, of course, confined to matters “heretofore
raised”; if they were, Arizona juries in negligence cases
would probably still be instructed that they “must” re-

Al8

turn a verdict for the defendant if plaintiff was found to
be contributorily negligent in any degree (a practice which
was consigned to “past history” when this Court first com-
prehensively addressed the problem in 1956 in the case of
Wolfswinkel v. Southern Pacific Co., 81 Ariz. 302, 305 P.2d
447, notwithstanding that the Constitutional provision re-
sulting in the change of practice had been enacted in
1910!) Anpellant respectfully submits, of course, that if
disposition of the “threshold issues” of this action involve
a conference upon Appellees of “absolute immunity”, then
the Constitutional issues raised in Appellant’s Opening
Brief ought properly to be met. (Appellant’s Reply Brief,
pp. 34-35)

Alg

EXCERPT FROM THE OPINION BELOW
(Filed August 19, 1980)

IN THE COURT OF APPEALS
STATE OF ARIZONA
DIVISION ONE

1 CA-CIV 4531
DEPARTMENT C

WILLIAM H. DRUMMOND,
Plaintiff-Appellant,
v.
LOUIS A. STAHL and JANE DOE STAHL, husband
and wife, and STREICH, LANG, WEEKS, CARDON

AND FRENCH, a Professional Association,
Defendants-Appellees.

OPINION

* * * * +

Drummond makes a further argument that any action
by the State of Arizona by either legislative enactment
or judicial decision to grant an absolute privilege would
amount to state action depriving Druminond of due process
of law and equal protection of the laws as guaranteed
by the 14th Amendment, Section 1 of the United States
Constitution, and by the parallel provisions of Article 2,
§§ 4 and 13 of the Arizona Constitution.

We have been cited to no reported cases supporting
such a theory and have been unable to find any such
cases. The existence of such an absolute privilege has
been upheld by the majority of states that have considered
this issue, and we see no validity to this challenge on
constitutional grounds.

A20

EXCERPT FROM MOTION FOR REHEARING

IN THE COURT OF APPEALS
OF THE STATE OF ARIZONA
DIVISION ONE

1 CA-CIV 4531
DEPARTMENT C
Maricopa County Superior Court No. C-362697

WILLIAM H. DRUMMOND,
Plaintiff-Appellant,

vs.

LOUIS A. STAHL and JANE DOE STAHL, husband
and wife, and STREICH, LANG, WEEKS, CARDON
AND FRENCH, a professional association,
Defendants-Appellees.

MOTION FOR REHEARING

Plaintiff-Appellant respectfully moves the Court, pur-
suant to Rule 22(a), A.R.C.P., for rehearing and reconsid-
eration of its decision filed August 19, 1980.

The Constitutional Issue

As set forth above, we respectfully urge that the Court
of Appeals erred in its decisions of “public” issues of
this appeal.

Just as respectfully, we urge that the Court of Appeals
glossed over and erred on a basic constitutional issue
dressed in the sheep’s clothing of a mere “private” issue.

A21

The clear effect of the present decision of the Court
of Appeals is that Plaintiff-Appellant, who suffered undis-
puted and significant financial damage at Defendant-Ap-
pellee’s hands, is absolutely barred from any remedy. And
this result is reached only because he is a lawyer, not
a layman.

The cases cited in our Opening Brief (please see pp.
37-41) clearly demonstrate that a State cannot, under the
14th Amendment, Section 1, of the United States Constitu-
tion, wreak these effects. It may be true that neither
we nor the Court could find the “spotted calf” case, but
the principles established by the cases we did find
and cite are clearly applicable under the facts of this
case. Drummond cannot be deprived of some form of rem-
edy and he cannot be so deprived either because he is
a lawyer or Stahl is a lawyer, when other plaintiffs who
are not lawyers have immediate recourse and where other
defendants who are not lawyers have, at most, only a
conditional privilege.

The lack of cases squarely on point is not enough
to justify a denial of due process or equal protection.
The same might have been and probably has been said in
virtually every case where a previously unasserted right
sought Constitutional recognition for the first time. It
is no answer that a private interest must give way to
“public policy” when the private interest is Constitution-
ally guaranteed. The protection of private Constitutionally
guaranteed interests has a curious way of turning out
to be the best way of protecting the public interest, as
is amply illustrated by the jurisprudence history of these
United States.

A22

ORDER DENYING MOTION FOR REHEARING
(Entered September 24, 1980)

IN THE COURT OF APPEALS
STATE OF ARIZONA
DIVISION ONE

1 CA-CIV 4531

DEPARTMENT C

MARICOPA County Superior Court
No. C-362697

WILLIAM H. DRUMMOND,
Plaintiff-Appellant,

V.

LOUIS A. STAHL and JANE DOE STAHL, husband
and wife, and STREICH, LANG, WEEKS,
CARDON AND FRENCH, a professional
association,
Defendants-Appellees.

ORDER

Plaintiff-Appellant’s Motion for Rehearing and the re-
sponse thereto were considered by the Court, Presiding
Judge Jack L. Ogg, and Judges Eino M. Jacobson and
Joe W. Contreras participating.

IT IS ORDERED denying plaintiff-appellant’s Motion
for Rehearing.

DATED this 24th day of September, 1980.

Jack L. Ogg, Presiding Judge
Department C

A23

ORDER DENYING PETITION FOR REVIEW

(Entered October 15, 1980)

SUPREME COURT
STATE OF ARIZONA

October 16, 1980
Supreme Court No. 15089-PR
Court of Appeals No. 1 CA-CIV 4531
Maricopa County No. C-362697

WILLIAM H. DRUMMOND,
Appellant,

vs,

LOUIS A. STAHL and JANE DOE STAHL, husband
and wife, and STREICH, LANG, WEEKS,
CARDON AND FRENCH, a Professional
Association,

Appellees.

, “ORDERED: Petition for Review = DENIED.”

Vice Chief Justice William A. Holohan and Justice
Jack D. H. Hays voted to grant.

Record returned to the Court of Appeals, Division
One, Phoenix, this 16th day of October, 1980.

Maryann Hopkins-Young, Clerk

A24

MANDATE OF COURT OF APPEALS

(Issued October 24, 1980)

IN THE COURT OF APPEALS
STATE OF ARIZONA
DIVISION ONE

1 CA-CIV 4531
DEPARTMENT C

WILLIAM H. DRUMMOND,
Plaintiff-Appellant,

Vv

LOUIS A. STAHL and JANE DOE STAHL, husband
and wife, and STREICH, LANG, WEEKS,
CARDON AND FRENCH, a Professional
Association,
Defendants-Appellees.

MANDATE

TO: The Honorable Superior Court for MARICOPA
County, Arizona in relation to Cause No. C-362697.

GREETING:

The above cause was presented in your Court and
was brought before Division One of the Court of Appeals
of the State of Arizona in the manner prescribed by law.
This Court rendered its opinion and caused the same to
be filed on the 19th day of August, 1980.

A25

A petition for review was filed. The record was for-
warded to the Arizona Supreme Court. By order dated
the 15th day of October, 1980, the Arizona Supreme Court
denied the petition for review, Supreme Court No. 15089-
PR.

NOW, THEREFORE, YOU ARE COMMANDED that
such proceedings be had in said cause as shall be required
to comply with the opinion of this Court, a copy of the
opinion being attached hereto.

WITNESS, THE HONORABLE JACK L. OGG, Pre-
siding Judge, Department C, Division One of the Court
of Appeals of the State of Arizona, this 24th day of Oc-
tober, 1980.

Glen D. Clark, Clerk

CONSTITUTIONAL PROVISIONS AND
STATUTES INVOLVED

Section 1 of the Fourteenth Amendment to the Constitution

All persons born or naturalized in the United States,
and subject to the jurisdiction thereof, are citizens of
the United States and of the State wherein they reside.
No State shall make or enforce any law which shall
abridge the privileges or immunities of citizens of the
United States; nor shall any State deprive any person
of life, liberty, or property, without due process of
law; nor deny to any person within its jurisdiction the
equal protection of the laws,

ARS § 12-120(A)

There is created a court of appeals which shall con-
stitute a single court and such court shall be a court
of record.

ARS § 12-120.21(A) (1)
A. The court of appeals shall have:

1. Appellate jurisdiction in all actions and pro-
ceedings originating in or permitted by law to be ap-
pealed from the superior court, except criminal actions
involving crimes for which a sentence of death or
life imprisonment has actually been imposed.

ARS § 12-120.24

A party against whom a decision has been rendered
or against whom a motion for dismissal of the action
has been granted in the court of appeals may file in
such court a motion for rehearing after the rendition
of the decision or order of dismissal, setting forth with
particularity the reasons why he believes the decision
or order of dismissal erroneous. The opposite party
may file his response to such motion. If the motion is
denied, and the party against whom the decision or
order has been rendered desires a further review by
the supreme court, he shall serve upon the opposite
party and file with the clerk of the division a state-
ment that he desires such review. The clerk of the
division shall thereupon transmit the record in the case
to the clerk of the supreme court. The supreme
court shall either grant or deny the request for re-
view. No further briefs or oral argument shall be
filed or had unless the supreme court so directs. If no
request for review by the supreme court has been filed,
or upon the receipt from the clerk of the supreme court
of notification that the request for review has been
denied, the clerk of the division shall, if the matter
has been decided by formal Opinion, issue the mandate
of the court of appeals, if no written formal opinion

has been rendered then by certified copy of the order
of the court.

Title 28 U.S.C. § 1257

Final judgments or decrees rendered by the high-
est court of a State in which a decision could be had,
may be reviewed by the Supreme Court as follows:

(1) By appeal, where is drawn in question the
validity of a treaty or statute of the United States
and the decision is against its validity.

(2) By appeal, where is drawn in question the
validity of a statute of any state on the ground of its
being repugnant to the Constitution, treaties or laws
of the United States, and the decision is in favor of
its validity.

(3) By writ of certiorari, where the validity of
a treaty or statute of the United States is drawn in
question or where the validity of a State statute is
drawn in question on the ground of its being repugnant
to the Constitution, treaties or laws of the United
States, or where any title, right, privilege or immunity
is specially set up or claimed under the Constitution,
treaties or statutes of, or commission held or authority
exercised under, the United States.

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385007_1107%3A1. Public record. Not legal advice.
