Labor & Employment

Law Firm Loses Unemployment Appeal Claiming Attorney Was a Partner

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A New York law firm has lost an appeal seeking to avoid paying unemployment benefits to a former attorney there.

Although Bolan Jahnsen Salter & Sachs contended that Paul Friman was a partner, he was in fact an employee, held a three-judge panel of the Appellate Division of New York Supreme Court in an opinion yesterday. Leagle provides a copy of the ruling.

While the Unemployment Appeal Board could have reached “another result,” the court held, the board’s determination that Friman was not a partner of the firm was supported by substantial evidence.

Friman testified that he started work at the newly formed firm as an associate and rejected an offer to become a partner, recounts the opinion. And he “joined the firm with the expectation of receiving a fixed salary, was reimbursed for his health insurance expenses, and was provided with office space and supplies by the firm,” it states.

The opinion also notes that the firm’s partners determined the billable rate at which clients were charged for Friman’s services, assigned cases to him and “to some degree” directed his work, exercising sufficient direction and control of his work to render him an employee.

Friman was represented by Warrensburg practitioner James Cooper and Dawn Foshee of the state attorney general’s office. The firm apparently represented itself, with attorney Gary Sachs on the appeal.

Calls by the ABA Journal to Bolan Jahnsen and what appears to be Friman’s current office seeking comment were not immediately returned.

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