Partners
Ruling Puts Heller Partners at Risk; Brobeck Laterals Already Sued
Posted Mar 13, 2009, 07:10 am CST
By Debra Cassens Weiss
A California appeals court ruling on the responsibilities of departing partners is causing headaches for partners at the dissolved law firm Heller Ehrman.
The 1984 ruling, Jewel v. Boxer, holds that a law firm can recover profits from open cases lost when a partner leaves, the Recorder reports. Heller’s creditors committee cited the Jewel theory in a motion filed last week seeking authority to proceed against the firm’s partners.
Six partners who had jumped to Heller from another dissolved law firm, Brobeck, Phleger & Harrison, are already facing a lawsuit filed by the Brobeck estate, the story says. The complaint filed this week seeks profits from unfinished Brobeck business.
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