Lawyers’ Fund for Client Protection Reimburses Nearly $50,000 in 13 Claims
Quarterly awards assist clients victimized by attorney misconduct; major restitution ordered in multiple cases.
In its fourth-quarter report for 2024, the New Jersey Lawyers’ Fund for Client Protection (“the Fund”) announced that it has awarded a total of $49,527.50 to reimburse clients whose trust money was misappropriated by eight New Jersey attorneys. The awards arose from 13 claims filed between October and December 2024. This quarter’s report also highlighted the sentencing of a former attorney who stole over $1.5 million from 74 clients.
Most Common Misconduct: Unearned Retainers
A substantial portion of the fourth-quarter claims involved the dishonest retention of unearned retainers. In such cases, attorneys accepted fees in advance for legal work but then failed to perform the agreed-upon services or return the funds. Because the misappropriation was clear, the Fund issued reimbursements to the clients involved, with the attorneys themselves remaining liable for repaying these amounts to the Fund.
High-Profile Theft and Sentencing
Former New Jersey attorney Steven Salami was sentenced to 10 years in prison for stealing over $1.5 million from 74 clients. He must fully repay the Fund, which had reimbursed his victims on his behalf. This large-scale fraud case underscores how the Fund collaborates with law enforcement to recoup losses from disbarred or suspended attorneys.
New Claims Against Suspended Attorney
Trustees approved four unearned retainer claims totaling $6,425 against Santo V. Artusa Jr., who was suspended by the Supreme Court on August 21, 2023. Artusa’s Jersey City office is closed; however, clients continue to file allegations that he solicited new retainer payments online while lacking authorization to practice law. The trustees have asked law enforcement to investigate and have urged the public to verify any attorney’s status with the Fund before hiring them or sending money.
Largest Fourth-Quarter Award
$23,000 was reimbursed to a client harmed by Martin S. Fishman, who was disbarred by consent on October 7, 2024. Fishman stole funds intended as a down payment for a real estate transaction. Having admitted that these funds were “no longer available,” Fishman remains responsible for complete restitution.
Overall Purpose and History of the Fund
The Lawyers' Fund for Client Protection, created by the New Jersey State Bar Association in 1961 and expanded by the Supreme Court in 1969, reimburses clients victimized by New Jersey attorneys who misuse or steal client funds. The Fund is financed by annual contributions from attorneys licensed in the state.
- Claim Payouts: In its 56-year history, the Fund has paid 4,935 claims against 905 attorneys, totaling $99,538,751.
- Recoveries: To date, the Fund has recovered $27,244,111.81 from responsible attorneys and other parties.
- Incidence Rate: Only one-half of one percent of New Jersey attorneys become the subjects of approved claims.
Eligibility for Compensation
The Fund’s jurisdiction is defined by Court Rule 1:28:
- A single approved claim can be up to $400,000, and aggregate claims against one lawyer can reach $1.5 million (subject to Supreme Court discretion to exceed the cap).
- For a claim to be valid, the attorney typically must be disbarred, suspended, or convicted of embezzlement or misappropriation of property, unless the attorney is deceased.
- Legal malpractice, negligence, or fee disputes do not qualify for reimbursement by the Fund.
Filing a Claim
No fee is required to file a claim, and practicing attorneys who assist claimants in preparing and filing documentation do so free of charge.
- Claim forms are available online at: njcourts.gov/public/get-help/lfcp
- Interested parties may also write to:
New Jersey Lawyers’ Fund for Client Protection
Richard J. Hughes Justice Complex
P.O. Box 961, Trenton, NJ 08625 - Call 855-533-FUND (3863) for assistance or inquiries about an attorney’s status.
Fourth-Quarter 2024 Awards
Below is a summary of the attorneys named in this quarter’s reimbursements, along with the amount paid on behalf of each and a brief note regarding their Supreme Court disciplinary status:
- John Charles Allen (New Brunswick): $2,800.00 reimbursed (2 claims). Suspended since 2/23/2023 for dishonestly retaining unearned retainers in multiple matters.
- Esther Maria Alvarez (Union): $1,050.00 reimbursed (1 claim). Disbarred on 5/10/2023 for improperly keeping unearned retainers.
- Santo V. Artusa Jr. (Jersey City): $6,425.00 reimbursed (4 claims). Suspended 8/21/2023 for dishonestly retaining unearned retainers. Further claims continue to emerge.
- Robert E. Barth, Jr. (Audubon), Deceased: $1,225.00 reimbursed (1 claim). Passed away on 2/25/2023, leaving unearned retainers unreturned.
- Martin S. Fishman (Franklin Lakes): $23,000.00 reimbursed (1 claim). Disbarred by Consent on 10/7/2024 for misappropriating escrow money in real estate transactions.
- Susan A. Lowden (Haddonfield): $2,525.00 reimbursed (1 claim). Disbarred 10/14/2021 for dishonest retention of unearned retainers across multiple cases.
- Brittany L. Parisi (Matawan): $2,552.50 reimbursed (1 claim). Suspended 9/12/2024 for misappropriation connected to unearned retainer funds.
- Thomas J. Wall (Toms River), Deceased: $9,950.00 reimbursed (2 claims). Passed away on 4/5/2024, leaving outstanding unearned retainers.
Total Payout: $49,527.50
These reimbursements emphasize the Fund’s mission to safeguard the public and uphold confidence in the legal profession. By swiftly compensating clients and pursuing restitution from culpable attorneys, the Fund helps ensure that ethical standards are maintained throughout New Jersey’s legal community.