Fed’l Judge Nixes $200K in Recommended Sanctions for 2 Lawyers & Firm

A federal judge in Nevada has nixed the $200,000 or so in sanctions that a magistrate judge had sought to impose on a California law firm and two of its ex-attorneys.

Affirming the objections of Liner Grode Stein Yankelevitz Sunshine Regenstreif & Taylor and Los Angeles lawyers Deborah Klar and Teri Pham, U.S. District Judge Philip Pro held that the firm couldn't be sanctioned under 28 U.S.C. § 1927 because the statute applies only to attorneys or persons, reports the Metropolitan News-Enterprise.

As to the two attorneys, he found that their due-process rights had been violated because the notice they received of an earlier sanctions hearing didn't make clear that they faced potential personal liability.

Earlier coverage:

ABAJournal.com: "Attorney With LA Firm Fined $102K—Plus 200 Pro Bono Hours"