David Bautista, Ex-Stockwell Defense Firm Lien Specialist, Stipulates In Court. He Will Not Act Adverse In The 64 Cases That Were In His Former Case Load Now That He Has Switched Sides.
By Lonce LaMon - July 28, 2011
David Bautista worked for Stockwell, Harris, Woolverton & Muehl, a defense law firm, for about 14 years as a hearing representative defending liens filed by providers on workers’ compensation claims. He was titled as a Lien Specialist and a Supervisor of the Lien Unit at Stockwell’s office out of 3580 Wilshire Boulevard, 19th floor, Los Angeles, 90010.
Last February 2011, David resigned from Stockwell and started his own business representing provider lien claimants. After just shy of 14 years he switched sides. Now the Stockwell office has filed a Petition representing five organizations—Zurich North American, the California Insurance Guarantee Association (CIGA), Sedgwick CMS, Employers’ Compensation, and one more entity unknown to this writer—in order to ban David Bautista from representing any lien matters adverse to any one of these companies.
The argument in the Petition filed by the Petitioner and signed by Steve Harris, Attorney At Law, states that David Bautista obtained confidential information from all five of these Stockwell clients as he developed and created their defense strategies. Now that David has not recused himself from cases where he is now acting adverse to these clients who are the Petitioner, and for whom he recently and substantially developed defense strategies and was privy to materially confidential information for more than a decade, he is essentially in a conflict-of-interest. Petitioner claims the WCAB is statutorily authorized and morally compelled to remove David Bautista’s privilege to represent lien claimants adverse to Petitioner.
Steve Harris
“Failure to do so will nullify Petitioner’s fundamental right to confide and confer to counsel, cause irreparable harm to its ongoing defense of claims, and vitiate the WCAB’s ability to provide a forum where parties can negotiate within the sanctionable limits of advocacy” the Petition reads.
On Friday, July 22nd, at 9 AM, a hearing took place in the court room of Judge Mark Kahn at the Van Nuys Appeals Board. Representing David Bautista is Steve Appell of Appell & Associates.
Steve Appell spoke to this writer about what happened at and was agreed upon at the hearing.
Steve Appell: We agreed to consolidate the issue. And we also agreed that David Bautista would not appear on the 64 files that were in his inventory at the time of his departure (from Stockwell’s firm).
The case has been continued to August 12th, at 9 AM in the same court room of Judge Mark Kahn in Van Nuys to formalize the stipulations and then discuss time frames for points and authorities on the consolidation.
Steve Appell: It’s in everybody’s best interest to consolidate so we only have to argue the issue once.
Consolidation requires that all the cases considered have common issues in fact and law. This arguably could involve thousands of files. Tens of thousands of files. It could involve any injury that hasn’t even happened yet.
Steve Appell: It arguably could involve an injury that happens five years from now. It involves all of their files: past, present and future.
Appell expressed that they (he and David Bautista) are not aware of David obtaining any materially confidential secrets that would prohibit him from appearing on those files.
Steve Appell: They are arguing that he obtained secrets. They (the five companies standing together as the Petitioner) don’t want David opposing them whether they are represented by Stockwell or any other defense law firm.
Next, a matter will be to agree on time lines for points and authorities (case law and statute law that supports one’s argument) on the consolidation. They will decide how long the parties have to file points and authorities. (Generally parties get 30 to 60 days to file points and authorities).
Steve Appell believes the outcome of this Petition is fundamentally important, for if it falls heavily in favor of the Petitioner, it can have consequences for any defense hearing representative who decides to switch sides.
Steve Appell: “For any claims adjuster, or any defense hearing representative who decides to switch sides, this case can affect their ability to earn a living as well.”
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