A Ninth Circuit panel has ordered a Seattle lawyer to cover his opponent's attorney fees after he was found to have fabricated a news article to support his client's position, while referring the case to the state bar for further discipline.
The case was remanded to the district court to set the amount of sanctions. Order here:
We referred this matter to Judge Tashima as a Special Master after appellants, represented by Edward Chung, submitted to the court an article purportedly from a newspaper called The Saudi Sun. (Dkt. No. 66). Finding the article to be suspicious and apparently “fabricated for purposes of this litigation,” we ordered Chung to show cause why sanctions should not be imposed. (Dkt. No. 74). After receiving Chung’s response (Dkt. No. 79), we referred the matter to the Special Master and authorized him “to conduct any proceedings he deems appropriate to determine the legitimacy of the article” and to “prepare a written report and recommendation to this panel regarding what, if any, sanctions should be imposed on Mr. Chung.” (Dkt. No. 80).
After holding a hearing at which Chung refused to appear, the Special Master found that the article “was fabricated by Chung and that he filed it with the intent to mislead the court,” and that in doing so he “perpetrated a fraud upon the court.” (Dkt. No. 124). The Special Master recommended that “Chung be sanctioned by being required to reimburse Appellees for the attorneys’ fees and costs (or such portion thereof as the panel deems just and proper) incurred by Appellees in addressing Chung’s filing of the Saudi Sun exhibit in Docket No. 66 and its aftermath,” and that “the panel refer this matter to the Washington State Bar for possible disciplinary proceedings.” (Dkt. No. 124).
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