On Tuesday, May 14, 2024, the Supreme Court of Georgia issued its decision in the case of James W. Davis III, disbarring the attorney for professional misconduct involving dishonesty and fraud.

The case is entitled “In the Matter of James W. Davis, III,” with case no. S23Y0622.

According to the filing, the case stems from an incident in December 2018 where an insurance company called Coface North America Insurance was set to pay over $3 million to one of its policyholders. However, fraudulent wiring instructions were provided, which resulted in the funds being transferred to Davis’s attorney trust account instead. Davis initially claimed he was a victim in the scheme, but later admitted in federal litigation that he served as a “paymaster” and intentionally acquired the funds in this role as an attorney. He kept over $550,000 as a fee before returning the rest.

The State Bar of Georgia initiated a grievance against Davis based on the federal lawsuit filed by the insurance company against Davis and others. Davis was deemed to have defaulted in the disciplinary process by not responding to the bar’s notice of discipline. As a result, the underlying facts as alleged were deemed admitted. These included that Davis knowingly participated in intercepting and stealing the insurance funds, using his attorney trust account to do so.

Two state bar rules were found to be violated: Rule 1.15 regarding proper handling of client funds, and Rule 8.4 prohibiting dishonest or fraudulent conduct. The court noted disbarment is generally appropriate when a lawyer converts client property or engages in intentional dishonesty that reflects poorly on fitness to practice law. Davis’s substantial legal experience was cited as an aggravating factor, while no prior discipline was a mitigating element.

In its decision, the Georgia Supreme Court ordered Davis’s name be removed from the roll of attorneys authorized to practice law in the state. The court affirmed disbarment was consistent with precedents involving attorneys who misappropriate funds and default in disciplinary proceedings. Davis is now prohibited from practicing law in Georgia.

According to martindale.com, Mr. Davis, III attended Georgia State University, graduating in 1997. He acquired his law license in Georgia in the same year.

A copy of the original filing can be found here.