Los Angeles, CA – September 2024
Case Number | Court | Judicial Office |
SBC-23-O-30514 | Los Angeles | Roland, Yvette D |
File Date | Case Type | Case Status |
04/12/2023 | Original Discipline | Supreme Court – Closed |
Attorney Robert Ervin Riemer, a California-licensed lawyer since 1980, is facing disciplinary charges that could lead to his disbarment, following allegations of mismanagement, breach of fiduciary duties, and failure to cooperate with a State Bar investigation. According to a Notice of Disciplinary Charges filed by the State Bar of California on April 12, 2023, Riemer is accused of failing to uphold his legal and ethical obligations as part of a joint venture agreement.
Mismanagement and Breach of Fiduciary Duty
The disciplinary charges stem from Riemer’s involvement in a joint venture with business partners Juan Martinez Peña and Danny Rojas. The trio formed Construction Inc. in 2013 and engaged in a joint venture with Rosa Vigil-Gallenberg and Raymond Gallenberg for the rehabilitation and resale of a property at 3435 Adina Drive, Los Angeles, CA. The Gallenbergs provided a down payment of $114,500 and expected Construction Inc. to cover construction and financing costs as part of the agreement.
However, Riemer and his partners allegedly failed to meet their obligations. Peña and Rojas misappropriated $23,529.98 from the joint venture, which was intended for project expenses but was instead used for personal costs. Furthermore, Riemer and his partners submitted false invoices for work that was never completed, and they failed to contribute to the mortgage payments, resulting in financial losses for the Gallenbergs.
Abandoning the Project
Riemer is also accused of directing his partners to abandon the project, which they did in April 2015, taking with them important project documents, including construction plans and permits. Despite repeated attempts by the Gallenbergs to mitigate damages and sell the property, Riemer and his partners delayed the sale, resulting in the Gallenbergs losing all their investments in the project.
Legal Action and Judgment
The Gallenbergs sued Riemer and his partners in 2015, filing a civil lawsuit that ultimately resulted in a judgment against Riemer. In January 2019, Judge Susan Bryant-Deason found Riemer liable for breach of fiduciary duties, aiding and abetting breach of fiduciary duties, and conversion. The court ordered Riemer and his partners to pay $542,141.27 in damages, costs, and interest. To date, Riemer has not satisfied the judgment.
Failure to Cooperate with State Bar Investigation
In addition to the fiduciary breaches, Riemer is facing disciplinary action for his failure to cooperate with the State Bar’s investigation into the matter. Despite multiple requests for information and documents related to the case, Riemer refused to respond and even stated that he wished to “resign with charges pending,” expressing his desire to distance himself from the legal profession.
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