Justia Professional Malpractice & Ethics Opinion Summaries

Articles Posted in Bankruptcy
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Plaintiff, an attorney who handled Chapter 11 proceedings for a client, submitted a petition for fees after the case was converted to a Chapter 7 proceeding. The bankruptcy court denied the petition because of the attorney's failure to comply with disclosure rules, abusive conduct toward others involved in the case, excessive or incomplete billing, and disruptive behavior. The Sixth Circuit affirmed, noting the attorney's "flagrant" disregard of deadlines and the rules for appeal.

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K&L Gates LLP ("K&L Gates") filed a motion to lift two protective orders prohibiting disclosure of communications made during mediation. Savage & Associates, P.C. ("Savage") filed a cross-motion to enjoin K&L Gates from raising questions about the validity of certain provisions of a settlement agreement as a defense to malpractice in a related action. At issue was whether the district court properly denied both K&L Gates' motion and Savage's cross-motion. The court held that the district court did not err in the denial of K&L Gates' motion where K&L Gates failed to demonstrate a compelling need for the discovery, failed to show that the information was not otherwise available, and failed to establish that the need for the evidence was outweighed by the public interest in maintaining confidentiality. The court also held that the district court did not err in holding that K&L Gates was not barred from asserting a defense challenging the validity of any provision of the settlement agreement in connection with the related malpractice action currently pending against the law firm.