FACTS:

This administrative complaint for disbarment originated from an Affidavit Complaint filed by Daria O. Daging (complainant) against Atty. Riz Tingalon L. Davis (respondent). Complainant, the owner and operator of Nashville Country Music Lounge, leased a building space in Baguio City where she operated the bar. Respondent and his partner, Atty. Amos Saganib Sabling, sent a Retainer Proposal to the complainant, resulting in the signing of a Retainer Agreement. Due to complainant's delinquency in paying monthly rentals, the lease was terminated, and Balageo took over the operation of the bar. Complainant claimed that respondent acted as a business partner of Balageo and they renamed the bar Amarillo Music Bar. Complainant also alleged that she filed an ejectment case against Pinlac and Balageo, and although respondent was still her counsel, he appeared as counsel for Balageo and filed an Answer in the case. Respondent denied being a business partner of Balageo and asserted that it was actually Atty. Sabling who initiated the proposal and convinced complainant to accept their law office as her retainer. Respondent admitted representing Balageo in the ejectment case but denied taking advantage of the Retainer Agreement. The Investigating Commissioner recommended suspending respondent for one year, while the IBP Board of Governors reduced the penalty to six months suspension.

ISSUES:

1. Whether or not respondent is guilty of betrayal of client's trust and misuse of information obtained from his client.

2. Whether or not the penalty of suspension for six months is sufficient.

RULING:

1. Yes, the respondent is guilty of betrayal of client's trust and misuse of information obtained from his client. The respondent acted as counsel for the complainant while taking advantage of the retainer agreement between the complainant and his law office. He participated in the takeover and operation of complainant's business under a different name, without informing or obtaining consent from the complainant. Additionally, the respondent represented the opposing party in the ejectment case without disclosing his conflict of interest. This constitutes a breach of the lawyer's duty of loyalty and confidentiality towards the client.

2. The penalty of suspension for six months is sufficient. The IBP Board of Governors reduced the penalty from one year to six months, considering that there was no proof that the respondent actually handled any previous legal matters involving the complainant. The penalty imposed is commensurate with the violation committed.

PRINCIPLES:

• Lawyers have a duty of loyalty and confidentiality towards their clients. They should not take advantage of the trust and information obtained from clients to the disadvantage of the latter and to the advantage of another person.

• Lawyers must disclose conflicts of interest and should not act as counsel for opposing parties in the same case.