Fire storm victims, burned again!

[burned three x]

What is the name of your state? CA

We are So CA firestorm victims of the October 25, 2003 Old Waterman wildfires. We lost everything we owned and we were significantly underinsured by our carrier. After 8 months we were still unable to settle with the insurance.

We hired a prominent lawyer who reviewed our case and told us we had a very strong case. The insurance Co wanted to settle with us for x amount dollars. The lawyer said the amount offered was insufficient but if we hired his firm, there would be only a charge for anything above that figure. A retainer exempting fees from the newly reformed policy with new coverage limits was signed. Almost 5 months later, we received a letter from the law firm. The settlement was for less than what was previously offered by our insurance carrier. The letter continued to state they would be taking out the 40% fee plus any accrued charges on top. We were asked to sign a confidential settlement agreement and release of all claims letter.

We called the law office and told the lawyer about the letter we had stating any figure below x amount would be exempt from fees. This is where we are now having difficulties. After hearing about the letter, the lawyer said, we would not be charged the 40% but he will be sending us a bill for the charges accrued with our case. We hung up and 5 minutes later he called us back. He claimed he retrieved our file and we are wrong and we should pay the fees. We argued over the phone and then he finally conceded telling us to forget it, saying we would not be charged and “Just take it all!” Nothing else was added and we just hung up. We have not signed the paperwork and we are hesitant to do so as it states the checks issued by our carrier will be made out to the law firm and ourselves and can be spread amongst the available coverage’s at the discretion of the exchange and releases all liability from the insurance carrier including any class action suits. We have not heard anything from the lawyer since that phone conversation, which was 2 weeks ago.

Not only do we feel the insurance company is taking advantage of us, now we believe the lawyer is, as well. There was evidence in our conversation that the law firm and the insurance adjuster are “friends” or a “good buddy” as the lawyer told us himself. This seems to us to be a conflict of interest. The way the lawyer was talking down to us was not only patronizing, but also degrading. You’d think he was hired by the insurance co., certainly not by us.

What recourse do we have now, if any? Also, is the behavior of this lawyer ethical? We need help ASAP as this is occuring now.

If you feel the lawyer did unethical things, you should file a complaint with the state bar.

[burned three x]

CA
Thanks for the suggestion. I think we will be filing a complaint. However, what can we do about this situation as it is now? This lawyer has not sent us paperwork or contacted us since that phone conversation. Doesn't he have to do something with the check in his possession? Can he just hold on to it until we sign the papers releasing the insurance co? What happens if we don't sign?

[url]http://www.calbar.ca.gov/state/calbar/calbar_home.jsp[/url]

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