unethical behavior by attorney

[vrouzeau]

My husband and I have a property in Avoca, NY. It is a house and and warehouse on one piece of land, of which the warehouse is currently rented and the house empty. We have been using our attorney to help us subdivide the land so we can sell the warehouse to the tenant conducting business on it. We received a $12,000 check for a years rent in advance, in case the subdivision does not go through. This process has been going on for several months and the attorney has adviced us not to cash the check, which we need to help us cover the monthly mortgage, since it would not allow us to sell the warehouse if the subdivision goes through. He has had the check in his possession all this time. We have moved overseas, to Cape Town, and therefore left the attorney with a power of attorney to handle the closing of the deal if necessary. After running out of patience, we contacted the tenant with some new terms, for him to take over the mortgage plus a reduced cost for the purchase of the warehouse, or to start paying a new increased rental beginning next month. To our shock, the tenant has informed us that he is good for another year, since our attorney has cashed our check. This attorney has stolen from us and ruined the possibility of closing on this deal. What do we do from here, when there's little we can do to prove this, since he has a power of attorney????

 

[jharris352]

That would be the beauty of holding things for your clients, it's going to be up to him to prove that he did what you wanted with the power of attorney not the other way around. He is probably going to say something about how you owed him money, but even that will not hold water as he can not unilaterally pay himself with funds he is holding basically in trust. I wouldn't panic yet, contact him and demand the funds. It sounds fishy to me all the way around because subdividing land is just not that hard. You do a survey, put new pins out, and record the subdivision with the county.

Contact the Attorney and if he/she doesn't respond quickly contact the Bar and the Police. Good luck.