G.R. No. L-19296. March 3, 1923.
In re: Suspension of Vicente Pelaez, Attorney.

FACTS

Attorney Vicente Pelaez, a member of the Philippine Bar, was appointed guardian of the minor Gracia Cabrera. As guardian, he possessed property belonging to the ward, including shares of stock. Pelaez borrowed money from a bank and, to guarantee his personal loan, pledged the ward’s shares of stock without the knowledge or consent of the Court of First Instance of Cebu. The trial judge suspended Pelaez from the practice of law for one year. The case was elevated to the Supreme Court for review.

ISSUE

1. Whether courts in the Philippines are authorized to suspend or disbar a lawyer for causes other than those enumerated in the statute.
2. Whether a lawyer may be suspended or disbarred for non-professional misconduct.

RULING

1. Yes. The statutory enumeration of grounds for disbarment in the Code of Civil Procedure is not a limitation on the court’s inherent power to discipline members of the bar. The court retains its inherent authority to remove or suspend attorneys for reasons beyond those specified by statute.
2. Yes. While generally a court will not discipline an attorney for misconduct in a private capacity, an exception exists where such misconduct is so gross as to show a want of professional honesty, rendering the attorney unworthy of public confidence and unfit to manage the legal business of others. The relation of guardian and ward demands utmost good faith. By pledging his ward’s property to secure his personal debt without court authority, Pelaez committed a breach of trust demonstrating unfitness to be an officer of the court. The suspension for one year is affirmed.