Derrick J. Darby

Findings — machine-extracted (anthropic-batch:claude-opus-4-8); verify against the decision

The Disciplinary Committee of the General Legal Council found attorney Derrick Darby guilty of professional misconduct under Canons I(b) and VIII(d). Acting for the vendor, Darby received a purchaser's deposit of $746,129.24, used it (with consent) to clear a mortgage in expectation of completion, then continued acting for the vendor in a second sale of the same property at a higher price without refunding the deposit or ensuring his client repaid it. The Committee, applying the criminal standard of proof, was NOT satisfied that a professional undertaking had been given, nor that there was a failure to account, but held that continuing to act while facilitating an unlawful breach of contract was dishonourable conduct diminishing public confidence in the profession. It made no express finding of dishonesty. Darby was ordered to pay restitution of $746,129.24 plus 12% interest and costs of $75,000 to the complainant.

Duties found breached:

• Uphold public trust in the profession

Aggravating factors:

• Attorney continued to act for the vendor in a second, higher-priced sale of the same property without refunding the deposit
• Facilitated lifting of the caveat protecting the purchaser's interest and failed to ensure the client repaid the deposit
• Long delay - matter outstanding since 1992/1997 with repeated unanswered requests for payment

Mitigating factors:

• Attorney admitted the money was owed and expressed willingness to pay
• No professional undertaking was found to have been given and no failure to account established
• No complaint from the attorney's own client regarding the funds