Automatic Suspension and Deemed Surrender: Enforcement of Annual Attorney-License Fees under Rule VII(C)

Automatic Suspension and Deemed Surrender: Enforcement of Annual Attorney-License Fees under Rule VII(C)

Introduction

The Supreme Court of Arkansas issued a per curiam order on May 1, 2025, in In Re Suspension of Attorneys Who Failed to Pay 2025 Annual Attorney-License Fee (2025 Ark. 59). This administrative proceeding implements Rule VII of the Rules Governing Admission to the Bar, requiring all Arkansas-licensed attorneys to pay an annual license fee. The issue before the Court was purely ministerial: enforcing the deadline (April 15, 2025) and applying automatic suspension provisions to non-paying attorneys. The Court’s order categorizes affected attorneys into three groups—those currently suspended, those reinstated after becoming current, and those deemed to have surrendered their license after three years of non-payment—and prescribes the conditions for reinstatement or exemption.

Summary of the Judgment

By operation of Rule VII(C)(1) and (8), attorneys who failed to pay their annual license fee by the April 15 deadline were automatically suspended on April 16. The clerk filed a list under Rule VII(C)(9), broken into three categories:

  1. Category 1: Attorneys still suspended as of May 1, 2025.
  2. Category 2: Attorneys suspended on April 16 but since reinstated by catching up on fees and penalties.
  3. Category 3: Attorneys continuously suspended for more than three years and deemed to have surrendered their license as of April 16, 2025, under Rule VII(C)(17).

The Court reminded that those in Categories 1 and 3 may not practice law unless formally reinstated under Rule VII(C)(16)–(17) and (D), or exempted during a stay under Rule VII(C)(15).

Analysis

Precedents Cited

Although this per curiam order did not cite adjudicated opinions on disputed facts, it follows a line of Arkansas cases enforcing Rule VII. Notable prior applications include:

  • In Re Suspension of Attorneys Who Failed to Pay 2024 Annual Attorney-License Fee (2024 Ark. 45) – applied the same automatic suspension scheme for the previous licensing year.
  • In Re Lankford (2015 Ark. 23) – upheld due-process mailing requirements and notice provisions for license-fee suspensions.
  • Mullane v. Central Hanover Bank & Trust Co., 339 U.S. 306 (1950) – established that notice by publication or mail satisfies constitutional due process in administrative forfeitures and suspensions.

These authorities confirm that automatic, ministerial suspensions for non-payment are proper when timely notice is given, and that a license may be deemed surrendered after prolonged non-compliance.

Legal Reasoning

The Court’s reasoning is grounded in the unambiguous text of Rule VII(C). Key provisions:

  • Rule VII(C)(1)&(8): “Failure to pay the annual fee by April 15 results in automatic suspension on April 16 by operation of the rule.”
  • Rule VII(C)(9): The clerk must compile and file a list of suspended attorneys.
  • Rule VII(C)(15): Allows a stay of suspension under extraordinary hardship or public-interest grounds.
  • Rule VII(C)(16)–(17) & (D): Detail reinstatement procedures, including payment of back fees, penalties, and compliance with continuing legal education requirements, and deeming licenses surrendered after three consecutive years of suspension.

The Court’s per curiam order applies these provisions mechanically. It does not exercise discretion on individual merits but confirms that the clerk’s list accurately reflects the operation of Rule VII.

Impact

This ruling reinforces strict compliance with licensing requirements and underscores the Court’s commitment to maintaining an up-to-date roll of active attorneys. Potential impacts include:

  • Deterrence: Attorneys are reminded that non-payment carries immediate and cumulative consequences, including ultimate license surrender.
  • Uniform Enforcement: Future courts will follow this example to apply Rule VII without variation, promoting predictability.
  • Professional Responsibility: The order may encourage increased CLE and fee-management vigilance by practitioners and bar associations.
  • Administrative Efficiency: Use of a per curiam clerical list avoids burdensome individual hearings, freeing judicial resources for contested cases.

Complex Concepts Simplified

Per curiam
A decision issued collectively by the Court without attribution to a specific justice.
Automatic Suspension
A non-discretionary suspension triggered immediately upon non-payment, requiring no separate hearing or order.
Deemed Surrender
An administrative forfeiture of a law license after three consecutive years of suspension for unpaid fees.
Stay of Suspension
A temporary pause in enforcement, granted under Rule VII(C)(15) for individuals facing undue hardship or important public-interest considerations.

Conclusion

The Supreme Court of Arkansas’s order in In Re Suspension of Attorneys Who Failed to Pay 2025 Annual Attorney-License Fee cements the automatic enforcement mechanism for attorney-license fee compliance under Rule VII(C). By categorizing attorneys into active suspensions, reinstatements, and deemed surrenders, the Court ensures clarity, uniformity, and procedural regularity. The decision highlights the profession’s obligation to meet administrative requirements and signals to practitioners the imperative of timely fee payment. Going forward, Rule VII’s automatic suspension and surrender provisions will continue to serve as a cornerstone of the Arkansas attorney-licensing regime.

Case Details

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