Supreme Court of Colorado

Mercantile Adjustment Bureau, L.L.C., Petitioner/cross-Respondent v. Elizabeth Flood, Respondent/cross-Petitioner

May 29, 20122012 Colo. LEXIS 389

Summary

The court held that trial counsel's payment of appellate counsel's fees was permissible financial assistance under the litigation-expense exception to Rule 1.8(e), so the related fee award was valid. It also held that the Colorado Appellate Rules do not govern appeals from county court to district court unless the governing rules expressly say so, and therefore Flood's separate motion for fees in that appeal was not untimely. The court affirmed the ruling concerning Rule 1.8(e), reversed the denial of fees incurred in the third appeal, and remanded for determination of Flood's entitlement to and amount of those fees. Justice Coats, joined by Justice Eid, dissented, arguing that the appellate attorneys' fees were not shown to be Flood's reasonable attorney fees and that the payment arrangement violated the ethical limits on financial assistance.