Retainer Agreements: If Your Retainer Provides For A Deed Of Trust, Make Sure It Is B&P Section 6148 Compliant

Contractual Breach/Quantum Meruit Claims Did Not Succeed On Behalf Of Noncompliant Attorney Seeking Deed Of Trust Recovery.

            In Bishop v. Middleton, Case No. B299145 (2d Dist., Div. 5 Apr. 20, 2021) (unpublished), attorney sought to recover attorney’s fees under breach of contract and quantum meruit theories against a client on the theory that a deed of trust was granted against client’s property for payment of fees under an alleged retainer agreement.  Attorney was requesting $240,000 in fees.  Attorney could not produce a signed retainer agreement, leading the lower court to conclude that the agreement was voidable under Business and Professions Code section 6148 (requiring a written agreement) such that no fees were recoverable under Attorney’s pled theories.  The 2/5 DCA agreed with the result:  because the retainer agreement was voidable, the deed of trust was similarly extinguished and any quantum meruit could not be secured given the extinguishment of the deed of trust.  

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