Law Firms

Suit claims client fired law firm because of bias against Arab American partner

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A suit filed by a Detroit law firm claims it was fired and inadequately paid by a corporate client because of national-origin discrimination by a corporate executive.

The suit filed by Corbet, Shaw, Essad, Tucciarone & Bonasso alleges that an employee of Vanguard Health Systems, which owned the Detroit Medical Center, discriminated because of his bias against an Arab American law firm partner, the Detroit Free Press reports. The suit (PDF) was filed last year in Detroit federal court but has not been in the news until now.

Corbet Shaw claims it is owed $230,000 in unpaid legal bills because of the executive’s discrimination against Kenneth Essad, who is a Catholic of Lebanese descent. The law firm had represented the Detroit Medical Center in malpractice and other tort cases until the executive terminated the relationship. Vanguard Health Systems is now owned by Tenet Healthcare.

Among the allegations are violation of federal civil rights law, breach of contract, and tortious interference with contract and a business relationship.

The executive said he did not like Essad because he was too close to a Detroit Medical Center claims manager, but the suit suggests bias was the real reason. The suit cites the executive’s alleged conversation with a risk manager before the executive had ever worked with Essad. The executive allegedly referenced Essad’s ancestry and said he would be better representing “party store owners,” the suit says. The executive also is accused of making fun of the pronunciation of Essad’s name.

The executive allegedly told the law firm it would not get any more business as long as Essad remained there. Though the firm suggested it would take Essad off of the medical center’s cases, the executive was not satisfied with that resolution, the suit says.

Tenet Healthcare has denied the allegations of discrimination. “This is a legacy Vanguard litigation matter that is completely unfounded, and we are not going to comment further about it,” Tenet spokesman Donn Walker told the Detroit Free Press.

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