Where Negligent Misappropriation Gets A Reprimand

 A letter of reprimand approved by the New Jersey Supreme Court has this rather depressing observation on sanction from the Disciplinary Review Board

Generally, reprimands are imposed for negligent misappropriation of client funds, even when accompanied by other, non-serious infractions, such as recordkeeping deficiencies, commingling, or failure to promptly deliver funds to clients..

Since when is commingling a “non-serious” infraction? And failure to deliver someone else’s money to them? 

Here, respondent’s misconduct was serious and negligently exposed Francisco’s attorney trust account funds to invasion. There are no aggravating factors to consider in this case. In mitigation, respondent has no disciplinary history and he readily admitted his misconduct by consenting to discipline. With the OAE’s assistance, he promptly took corrective measures to address his recordkeeping deficiencies.

Based on the above precedent and the absence of aggravation, the Board determined that respondent’s misconduct warrants a reprimand.

The issue came to light when an escrow check bounced, leading to an audit.

The court’s order is linked here. (Mike Frisch)