Nixon Peabody sues law firm for allegedly luring away its clients without cut of contingency fee
Nixon Peabody has filed a lawsuit alleging that its clients were improperly lured away by personal injury law firm Shaheen & Gordon through use of “scare tactics” and false promises. (Image from Shutterstock)
Updated: Nixon Peabody has filed a lawsuit alleging that its clients were improperly lured away by personal injury law firm Shaheen & Gordon through use of “scare tactics” and false promises.
Nixon Peabody filed the suit with its co-counsel Rilee & Associates, Law.com reports.
The two firms allege that Shaheen & Gordon “improperly enticed” their clients to switch firms before submitting their claims to a settlement fund, according to Law.com. The clients were survivors of abuse at the Sununu Youth Services Center.
Thirty-five clients jumped to Shaheen & Gordon between February 2023 and June, the suit says.
Nixon Peabody and Rilee & Associates say they spent thousands of hours representing victims and setting up a settlement fund with state legislators. Their original fee agreement called for attorney fees amounting to 40% of gross recoveries along with costs. The two firms say they have been cut out of Shaheen & Gordon’s client recoveries.
Shaheen & Gordon allegedly told survivors that the firm could obtain the highest damages award to which they are entitled by submitting their claims to the settlement fund, according to Law.com’s description of the suit allegations. That is not necessarily the case, the suit says.
Shaheen & Gordon gave this statement to the ABA Journal: “Shaheen & Gordon has reviewed the complaint and denies the allegations. Clients are not the property of their lawyers, and they are free to hire counsel of their own choosing. Shaheen & Gordon has attempted to cooperate with Nixon Peabody but has not received any specific demands or proposals. We are truly surprised by this lawsuit and do not intend to litigate it in the press.”
Updated Oct. 10 at 4:02 p.m. to add the statement by Shaheen & Gordon.
