Bar License Modification Program

The California State Bar Court Review Department has recommended the disbarment of an attorney for extensive misconduct in loan modification matters.

Choe was admitted to the State Bar of California in 1997. He has no prior record of discipline. For more than a decade, he ran a small civil law practice in the Koreatown neighborhood of Los Angeles. Around 2008, Choe rapidly expanded his practice for the purpose of providing home-loan modification services and other forms of loan forbearance, including bankruptcy and foreclosure defense. At the height of his practice, he had law offices in San Jose and Los Angeles. Choe1 was the sole owner of the practice and testified he “operated three law offices with over 35 lawyers and 50 administrative staff, with approximately over 1300 active clients.” All attorneys he employed were independent contractors …

The hearing judge found three factors in aggravation: (1) multiple acts; (2) significant harm; and (3) indifference. We agree but assign aggravating weight to only the first two.

First, we agree that Choe committed multiple acts of misconduct (std. 1.5(b)) and assign this factor serious weight in aggravation given the breadth and scope of his misconduct. Second, Choe significantly harmed his clients (std. 1.5(j)). He exploited their financial desperation and his fiduciary position by charging advance fees in violation of Section 2944.7, and then failing to refund those fees. Further, the bankruptcy courts and system were harmed by Choe’s disregard of the bankruptcy laws and his dishonesty regarding his excessive fees. Third, while we agree with the hearing judge that Choe has demonstrated indifference, as described throughout this opinion, we assign this factor no weight in aggravation as our culpability analysis has subsumed our consideration of that factor (std. 1.5(k)).

(Mike Frisch)