FACTS:
Atty. Leon G. Maquera was suspended from the practice of law in Guam for two years due to a disciplinary case filed against him by the Guam Bar Ethics Committee. The Supreme Court received a letter from the District Court of Guam informing them of the suspension. The Court referred the matter to the Bar Confidant for comment and found that the disbarment or suspension of a member of the Philippine Bar in a foreign jurisdiction is also a ground for disbarment or suspension in the Philippines according to Section 27, Rule 138 of the Revised Rules of Court. The Bar Confidant requested certified copies of the record of Maquera's case to determine whether his acts in Guam also violated his oath as a member of the Philippine Bar. The Court received the certified copies and forwarded the case to the Integrated Bar of the Philippines (IBP) for investigation and recommendation. The IBP found that Maquera was suspended in Guam for misconduct, specifically for acquiring his client's property as payment for his legal services, selling it, and obtaining an unreasonably high fee. The IBP recommended an indefinite suspension from the practice of law in the Philippines until Maquera updates and pays his IBP membership dues in full.
ISSUES:
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Whether the acts of acquiring, exercising, and selling the right of redemption of the client's property constitute a violation of Philippine law or the standards of ethical behavior for members of the Philippine Bar.
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Whether the fees charged by the lawyer for his legal services constitute an exorbitant fee.
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Whether the attorney is liable for accepting payment for his legal services beyond his actual fees.
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Whether the attorney's acts in Guam are valid grounds for his suspension from the practice of law in the Philippines.
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Whether the attorney's non-payment of his IBP membership dues warrants his suspension from the practice of law.
RULING:
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Yes, the acts of acquiring, exercising, and selling the client's right of redemption constitute a violation of Philippine law and the standards of ethical behavior for lawyers. The lawyer violated Article 1491, paragraph 5 of the Civil Code of the Philippines, which prohibits the acquisition by assignment of the client's property that is subject to the litigation handled by the lawyer. The prohibition is founded on public policy to prevent lawyers from taking advantage of the credulity and ignorance of their clients and unduly enriching themselves at the expense of their clients.
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Yes, the fees charged by the lawyer for his legal services constitute an exorbitant fee. The Superior Court of Guam found that the lawyer charged his client an exorbitant fee for his legal services. Since the assignment of the right of redemption to the lawyer was in payment for his legal services, charging an exorbitant fee for services rendered violates the standards of ethical behavior for lawyers.
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Yes, the attorney is liable for accepting payment for his legal services beyond his actual fees.
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Yes, the attorney's acts in Guam are valid grounds for his suspension from the practice of law in the Philippines.
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Yes, the attorney's non-payment of his IBP membership dues warrants his suspension from the practice of law.
PRINCIPLES:
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Article 1491, paragraph 5 of the Civil Code of the Philippines prohibits lawyers from acquiring by assignment their client's property subject to litigation handled by them.
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The prohibition in Article 1491 and Article 1492 is based on public policy to prevent lawyers from taking advantage of their clients and unduly enriching themselves.
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Lawyers should not charge exorbitant fees for their legal services, as it violates the standards of ethical behavior for lawyers.
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Attorneys have a duty to act with fidelity towards their clients and should be mindful of the trust and confidence reposed in them.
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Attorneys are prohibited from engaging in unlawful, dishonest, immoral, or deceitful conduct.
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Good moral character is not only a condition precedent to admission to the Philippine Bar but is also a continuing requirement to maintain one's good standing in the legal profession.
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Due process requires that an attorney be given the opportunity to defend himself and to present testimonial and documentary evidence in an investigation before disciplinary action can be imposed.
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Non-payment of membership dues for the Integrated Bar of the Philippines (IBP) can warrant suspension or removal from the Roll of Attorneys.