Judge’s $14K Sanction Against Lawyer Overturned

The Virginia Supreme Court has ruled that a Norfolk circuit judge abused his discretion when he fined a lawyer $14,000 when the lawyer's client filed for bankruptcy on the eve of trial.

Norfolk Circuit Judge Chuck Griffith ordered John J. McNally to pay the fine in 2006 and was one of several controversial moves that prompted the legislature not to reappoint him to a second term on the bench, the Virginian-Pilot reports.

At the time of the sanction, McNally represented a painting contractor as a defendant in a damages suit. McNally reportedly told opposing counsel of the bankruptcy within an hour of the filing.

When opposing counsel complained that McNally never intended to go to trial, Judge Griffith agreed and asked the plaintiffs to tally up their expenses. Griffith then levied the total as a fine against McNally.

But the supreme court ruled Friday that circuit judges don't have the authority to award fees and costs as a sanction.