News Releases

State Bar of California charges lawyer who bilked clients of $400,000 in PG&E fire settlement money

The State Bar of California has filed discipline charges against a San Francisco Bay Area lawyer who bilked clients of $400,000 in damages from PG&E meant to pay for damages in a previous wildfire in Yolo County.

William J. Reed [Bar #49715], 74, of Danville, was charged with nine counts of misconduct Dec. 4 and must respond within 20 days. In the meantime, the State Bar of California has placed a consumer alert on Reed's attorney profile.

Reed held town hall meetings in Yolo County offering to represent people whose property was damaged in the Sept. 22, 2006 Zamora Fire.

Eventually Reed represented several ranching families, including John and Elisabeth Stone and Herb and Marlene Schuler along with Kristin Turner, whose property was damaged in the grassland fire, which was caused by downed power lines.

Reed won a $400,000 settlement from PG&E but never paid out his clients. Reed’s clients have still yet to be paid the money they are owed.

Reed was arraigned in April 2017 in his felony criminal case (01-181834-3) in Contra Costa County Superior Court.

Following recent fires in the North Bay and in light of the still burning fires in Southern California, the State Bar issued a fraud alert warning fire victims of unscrupulous lawyers and what to watch out for in such cases. Additionally, the State Bar posted a notice to attorneys about their ethical obligations following a disaster.

As a result of California’s ongoing fires, many people may wish to seek legal advice for various reasons, including insurance disputes, seeking Federal Emergency Management Agency (FEMA) assistance, employment issues, landlord tenant disputes, consumer fraud, and more.

Important things to know:

California law prohibits lawyers or others acting on behalf of a lawyer from:

• Soliciting clients at an accident scene, at a hospital, or on the way to a hospital
• Soliciting clients who, due to their physical, emotional or mental state, may not be able to have reasonable judgment about the hiring of an attorney  
• Seeking clients by mail unless the letter and envelope are clearly labeled as an advertisement
• Promising a particular outcome from the legal representation

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The State Bar of California’s mission is to protect the public and includes the primary functions of licensing, regulation and discipline of attorneys; the advancement of the ethical and competent practice of law; and support of efforts for greater access to, and inclusion in, the legal system.