Golightly & Vannah, PLLC v. TJ Allen, LLCAnnotate this Case
G&V received settlement funds from a personal injury claim without first filing perfection notices. NRS 18.015(3) requires an attorney to perfect a lien by serving notice "upon the party against whom the client has a cause of action, claiming the lien and stating the amount of the lien." NRS 18.015(4) provides that the lien attaches to recovery "from the time of service of the notices required." The court held that in order to comply with both subsections of the statute, attorneys must, prior to recovery, perfect their liens by serving notice that states both the attorney's percentage of the recovery and that the lien will include court costs and out-of-pocket costs advanced by the attorney in an amount to be determined. In this case, the court affirmed the district court's decision to order a pro-rata distribution because G&V did not perfect its lien until well after it recovered funds in the personal injury settlement. The court affirmed the denial of costs. The court clarified that an attorney need not deposit funds with the court in an interpleader action so long as the attorney keeps the funds in his or her client trust account for the duration of the interpleader action.