Oregon Attorney Suspended for Obstructing Justice While Representing Real Estate Developer
The law license of Portland attorney Derek Ashton has been suspended for 60 days by a state bar disciplinary panel, citing obstruction of justice during his representation of real estate developer Terry Bean in a sex abuse case.
Ashton is considering an appeal against his suspension to the Oregon Supreme Court, according to his lawyer, Arden J. Olson.
Charged With Bribing an Alleged Sex Abuse Victim
Facing possible disbarment for an allegation that he bribed an alleged sex abuse victim to sidestep a subpoena to testify against his client, the panel found that the bar’s disciplinary counsel could not prove its case against Ashton, a practicing attorney for the last 36 years.
The panel also dismissed an allegation that Ashton had conspired with the lawyer of the alleged sex victim to hide the victim’s whereabouts to circumvent the subpoena.
However, the panel concluded that Ashton “knowingly disobeyed” a court order by preparing a proposed civil settlement in the case, despite a judge’s clear rejection of a civil compromise to dismiss the criminal charges.
Ashton Says Charges Were Outrageous and Absurd
In a statement after the ruling, Ashton said his actions were dictated by his ethical duties to his client. Ashton described the allegation that he had engaged in criminal behavior and should be disbarred as ‘outrageous’ and ‘absurd.’
His disciplinary hearing followed his representation of Terry Bean (76) in 2013, when the real estate developer and his former boyfriend, Kiah Loy Lawson (35), were charged with having sex with a minor in a hotel in Eugene. Lawson was later convicted, but the sentence was overturned because the jury could not reach a unanimous decision.
The case against Bean, a Democratic fundraiser and gay activist, found its way to the Lane County Circuit Court in 2015 where Judge M. Zennaché rejected a civil settlement. One day later, Ashton met with the 15-year-old boy’s civil attorney, Lori Deveney, to persuade her to delay a civil lawsuit until after Bean’s criminal trial.
Minor’s Attorney Demanded $200,000 to Avoid Lawsuit
Deveney told Ashton she wanted a $200,000 settlement from Bean to avoid her filing a lawsuit, according to a case summary by the bar’s panel.
After the meeting, Ashton devised a potential solution, telling Devey that Bean would be $20,000 to cover the boy’s estimated mental health counseling costs and economic damage claims, with the proviso that the 15-year-old agreed to postpone filing a lawsuit against Bean until after his criminal trial.
Ashton emailed the draft settlement to Deveny, adding that he had “funds in hand.”
Deveny agreed to the offer, advising her client to hide at a remote Oregon cabin to avoid the subpoena to testify in the criminal case.
When it became clear that the minor would not appear to testify at Bean’s September 2015 trial, a Lane County judge dismissed the charges against Bean ‘without prejudice,’ leaving the way open for charges to be refiled.
Ashton then offered Deveny $180,000 to settle her proposed civil lawsuit – the full amount demanded less the $20,000 already paid. However, she dismissed the offer, asking for a $200,000 settlement. Bean agreed, and the $200,000 was sent to Deveny on September 8, 2015.
Neither Ashton nor Deveny filed a court motion to approve the settlement.
Victim Says He Never Received Any Money
By July 2018, the alleged sex abuse victim reported that he had never received any money from Deveny.
He and his father reported the incident to Portland police. In 2022, the criminal case against Bean was dismissed after the minor indicated that he no longer wanted to proceed with the case.
Attorney Convicted of Stealing $4.6 Million from Clients
Deveny was sentenced to 14 years in state prison for stealing $4.6 million from more than 135 clients. She was also disbarred.
The three-member panel delivered its 42-page decision following three days of testimony in May at the bar’s Tigard office and a review of written closing arguments. The panel was chaired by Portland attorney Jon W. Monson, with attorney Frank Weiss and Jim Parker, a member of the public.