Duane Morris Wins $1.6M Malpractice Suit
Duane Morris has won a $1.6 million malpractice suit that accused it of failing to provide security in a settlement agreement negotiated for a former client.
Philadelphia jurors ruled yesterday that the law firm did not breach any duty to ex-client Joseph Adlerstein, the Legal Intelligencer reports. Adlerstein collected only $200,000 of a $1.8 million settlement with his former company, which had ousted him and sold all of its stock to a new investor. The pact called for Adlerstein to be paid $200,000 every six months. Adlerstein used the $200,000 he collected to pay part of his legal bills.
Duane Morris had argued at trial that the law firm had asked for security, but it was declined—yet Adlerstein signed the agreement anyway. The firm said Adlerstein had rejected an earlier and less-risky agreement that would have given him a lump sum of $800,000 within five days.
Duane Morris general counsel Michael Silverman praised the verdict. “We are pleased that the jury found that Duane Morris fulfilled its duties to the firm’s former client and appreciated the jury’s diligence in evaluating the evidence,” he told the Intelligencer.
Adlerstein’s lawyer, Clifford Haines, told the legal publication that he and his client would discuss whether to appeal. Duane Morris has a pending suit against Adlerstein for unpaid fees in the prior representation, the story says.
