N.I. attorney has been suspended

Published 12:20 am Thursday, January 31, 2019

A New Iberia attorney has been suspended from the practice of law for a year and a day for improperly handling the funds of a client in a personal injury case.

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All but six months of Alicia Johnson Butler punishment is deferred if she completes a two-year probation, according to the decision.

According to Louisiana Supreme Court records, in September 2015 Butler settled a lawsuit without her clients permission, forged the client’s name on the check and deposited it in her personal account. When the client refused the settlement, Butler tried to reimburse the settlement amount, but did not have enough money in her account at the time she presented the check to the insurance company which initially made the payment.

The client eventually initiated collection proceedings against Butler to recover her funds. Butler also did not pay monies owed to third-party medical providers out of the funds. 

Although the original complaint was received against Butler in October 2015, she did not face a hearing until May 2017. Butler eventually paid the funds to the client and the medical vendors in July 2017.

Notice of the disciplinary action against Butler was released Thursday.

Previously, in 2013, Butler had been disciplined for not notifying a client of a disbursement of funds in a lawsuit, not promptly sharing those funds and improperly intermixing them with her personal funds, then failing to notify a federal of the proper amount of the reimbursement. In that case, she was suspended for six months, with the entirety deferred while she completed one year probation.