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People v. Devon Michael Barclay
Devon Barclay filed a Chapter 7 bankruptcy petition for a couple without meeting them to verify their details. The bankruptcy court granted the couple’s application to pay the bankruptcy filing fee in installments but cautioned that failing to make the payments would lead to the case’s dismissal and a 180-day bar on filing another petition.
Soon after, Barclay informed the couple they had been assigned “the worst trustee.” He advised them to try to get their petition dismissed so they could refile it and get a different trustee. To do so, he advised them to not attend the required meeting of creditors, not pay further filing fees and not submit other required bankruptcy paperwork.
He didn’t tell them his advice was contrary to bankruptcy court orders or rules. Barclay’s clients didn’t attend the creditors’ meeting and during it, Barclay said he didn’t know why his clients didn’t appear. The meeting was rescheduled. Barclay again advised his clients not to appear at the meeting, and he likewise failed to attend it. He also didn’t respond to a document request made by the trustee’s counsel.
The bankruptcy court ordered Barclay’s clients to pay the filing fee installments; Barclay didn’t advise them of that order. Instead, he moved to dismiss the bankruptcy case, pointing to his clients’ nonpayment. Meanwhile, the court granted a motion for turnover of the estate property, but Barclay didn’t inform his clients about the order, and his clients in turn didn’t comply with it.
Around that time, Barclay emailed one of the listed creditors in the couple’s bankruptcy matter, attempting to enlist the creditor in a scheme to have his clients’ petition dismissed. The creditor later forwarded Barclay’s email to the trustee. Barclay’s clients were held in contempt of court for failing to comply with the turnover order and were ordered to pay the trustee’s associated fees and costs. Barclay accepted responsibility for the events and paid the fees from the contempt action. On Jan. 10, Barclay and his law firm were suspended from the practice of law before the U.S. Bankruptcy Court for three years.
The Presiding Disciplinary Judge approved Barclay’s amended stipulation to discipline and suspended him for three years. The suspension, which takes into account several mitigating factors, is effective Feb. 22.
To be reinstated to the practice of law after his suspension, Barclay must prove by clear and convincing evidence he has been rehabilitated, has complied with all disciplinary orders and rules, and is fit to practice law.