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HEADNOTE Phyllis J. Outlaw & Associates v. Graham, No. 2535, September Term, 2005

Interlocutory Appeals Statute - Provision for an appeal from an order "granting or denying a motion to quash a writ of

attachment" explained.

REPORTED IN THE COURT OF SPECIAL APPEALS OF MARYLAND No. 2535 September Term, 2005

PHYLLIS J. OUTLAW AND ASSOCIATES v. JOYCE GRAHAM et al.

Murphy, C.J. Woodward Rodowsky, Lawrence F. (retired, specially assigned), JJ. Opinion by Rodowsky, J. Filed: December 6, 2006

REPORTED IN THE COURT OF SPECIAL APPEALS OF MARYLAND No. 2535 September Term, 2005

PHYLLIS J. OUTLAW AND ASSOCIATES v. JOYCE GRAHAM et al.

Murphy, C.J. Woodward Rodowsky, Lawrence F. (retired, specially assigned), JJ. Opinion by Rodowsky, J. Filed:

The appellant, Phyllis J. Outlaw & Associates (Outlaw), is a law firm. By this action, Outlaw seeks to recover compensation for professional services in litigation, filed in the Circuit Court for Prince George's County, involving personal injuries to appellee, Kahlita Graham (Kahlita), daughter of appellee, Joyce Graham

(Joyce), collectively, "the Grahams."

The Grahams terminated

Outlaw's representation and engaged as counsel two other appellees, Walter E. Laake, Jr., Esquire (Laake) and Joseph, Greenwald & Laake, P.A. (the Firm). When the Firm effected a settlement with

the remaining appellee, Government Employees Insurance Company (GEICO), Outlaw unsuccessfully sought to freeze or seize the settlement funds to the extent of Outlaw's claim for services. The instant interlocutory appeal was noted by Outlaw from an order which (1) denied a preliminary injunction, (2) denied a garnishment on original process, and (3) "authorized" the "Defendants" to distribute the settlement proceeds. For the reasons set forth

below, we shall affirm in part and dismiss the appeal in part. On October 2, 2001, Kahlita, then age nineteen, suffered personal injuries in an automobile accident. She was a passenger The Boone

in a car owned by Kim Boone and driven by Bryan Boone.

car was struck by an automobile, driven by Beth Anderson Smith and owned by Charles T. Smith, which failed to stop at a stop sign. a result of the collision, head Kahlita injury, suffered, resulting inter in alia, As a

concussion impairment.

and

closed

cognitive

Joyce engaged Outlaw to represent the Grahams.

On October 9,

2001, Joyce, "on behalf of Kahlita," signed a retainer agreement with Outlaw. It provided for a contingent fee of thirty-three and

one-third percent if recovery were by settlement and forty percent if an action were filed in court. If Outlaw's services were

terminated prior to completion of the case, the agreement provided for an hourly rate of $255. There was a flat fee of $695 for

processing Personal Injury Protection (PIP) or medical payment claims. The retainer agreement further contained the following

provisions: "Should Client terminate the services of Attorney prior to settlement and employ other counsel in this matter, then said termination shall be in writing, signed by Client. Client hereby authorizes said other counsel to pay directly to Attorney such sums as may be due and owing Attorney for professional services rendered and for costs accumulated and paid by Attorney, through the effective date of termination, and to withhold such sums from any settlement, judgment, or verdict as may be necessary to adequately protect and fully compensate Attorney. Client further gives a lien on Client's lawsuit arising from the incident which forms the basis of this retainer to Attorney against any and all proceeds of any settlement, judgment, or verdict which may be paid to other counsel or Client in connection with that lawsuit." The Smiths' (i.e., the adverse) vehicle in the October 2, 2001 accident was insured against liability for $50,000 per person. The Grahams' suit against the Smiths settled for policy limits, and, on October 15, 2004, Outlaw disbursed that settlement, retaining a $16,500 fee.

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More than two years after the accident, Outlaw also filed suit for Kahlita against the City of Laurel and Prince George's County, alleging that the stop sign which the adverse driver failed to obey was obscured by had vegetation failed to which clear. the The defendants, court allegedly J.)

negligently,

(Shepherd,

dismissed that action on August 2, 2004, because notice of the claim was untimely. On behalf of Kahlita, Outlaw, on September 30, 2004, filed suit against the Boones (i.e., the host driver and owner) and against GEICO, their underinsured motorist insurance carrier. The Grahams terminated their representation by Outlaw on April 4, 2005, and engaged the Firm. After an exchange of correspondence between Outlaw on the one hand and the Grahams and the Firm on the other, Outlaw transferred the client's file and escrowed funds later that month or in early May. By certified mail dated July 1, 2005, to the Grahams, the Firm, and GEICO, Outlaw served notice "of a statutory attorney's lien for legal fees due on proceeds to be awarded to Kahlita[.]" The notice expressly included "proceeds of any settlement," and was obviously intended to comply with Maryland Rule 2-652, as amended effective January 1, 2003, which, as so amended, implements

Maryland Code (2000, 2004 Repl. Vol.),

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