News Roundup

Weekly Briefs: Wire-transfer fraudsters fool 3 law practices; Quinn Emanuel discloses cyberattack

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money vanishing into a computer

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Unwitting money transfers to fraudsters yield reprimands

Three North Carolina lawyers have been reprimanded for separate incidents in which they or their staff members mistakenly transferred real estate money or other entrusted funds to fraudsters. In all three cases, no one verified the authenticity of wiring instructions. In one case, a lawyer had to replenish more than $124,000, and in another, a lawyer had to replenish more than $573,000. The third lawyer was able to recover the money. (The North Carolina State Bar via the Legal Profession Blog)

Vendor cyberattack may have exposed client info, law firm says

A cyberattack on a vendor used for document management may have exposed some client information, Quinn Emanuel Urquhart & Sullivan told authorities in several states late last week. The firm said the attack, which jappened in May 2022, did not affect its network infrastructure. The attack was “limited to a small portion of our clients and matters,” Quinn Emanuel said. (Reuters,, Above the Law)

Giuliani concedes making false statements about election-worker plaintiffs

Lawyer Rudy Giuliani isn’t contesting allegations that he made false statements about two Georgia election workers who are suing him for defamation and infliction of emotional distress. The workers, Ruby Freeman and her daughter, Wandrea “Shaye” Moss, had sued over Giuliani’s accusations that a video showed them manipulating ballots to help now-President Joe Biden win the 2020 presidential election. In a July 25 court document, Giuliani’s lawyers say he still has legal defenses in the case, including that his statements were constitutionally protected. The New York Times reports that Giuliani’s concession “appeared to be part of an effort to move past the discovery phase, which had saddled Mr. Giuliani with crippling expenses.” Guiliani has already been sanctioned more than $89,000 for delaying discovery. (The New York Times, Law360, Politico, the July 25 court filing)

Navient settles with class action borrowers

Student loan borrowers who alleged that the Navient Corp. improperly continued to collect discharged debts have reached a settlement that includes about $182 million in debt relief and $16 million in cash compensation. About 4,600 borrowers whose loans exceeded college tuition costs will receive relief. Class attorney Adam Shaw of Boies Schiller Flexner said in a statement the agreement “establishes once and for all a legitimate bankruptcy pathway for private student borrowers in financial distress.” (Bloomberg Law)

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