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Chapel Hill attorney suspended

Attorney: Kevin M. Kennedy

Location: Chapel Hill

Bar membership: Member since 2002

Disciplinary action: Suspended for two years on Feb 23. The suspension is stayed for three years so long as Kennedy complies with certain conditions.

Background: A random audit of Kennedy’s trust account revealed deficiencies, including that Kennedy was not conducting quarterly reconciliations and credit card processing fees were paid from the trust account. A reconciliation provided by Kennedy revealed negative balances in the trust account for clients of his law practice. Kennedy acknowledged that these negative balances resulted from overpayments to his law office, over-reimbursements to clients, and overpayments of client expenses. Kennedy also failed to maintain accurate client ledgers and improperly maintained a $1,500 surplus or cushion of his own funds in the trust account to cover errors and bank service charges.

Previous discipline: Kennedy was previously admonished for entering a plea in a traffic case without authorization, failing to communicate with a client and failing to timely respond to a letter of notice in a grievance proceeding.

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