United States v. Chen
Brief

CitationUnited States v. Chen, 99 F.3d 1495, 1996 U.S. App. LEXIS 28978, 96 Cal. Daily Op. Service 8147, 45 Fed. R. Evid. Serv. (Callaghan) 1146 (9th Cir. Cal. Nov. 4, 1996) Brief Fact Summary. Chen (Defendant), an importer of goods from Asia, was accused of tax fraud through his corporation Sunrider Corporation and TF Chen Products, Inc.  The Government (Plaintiff) sought to prosecute Defendant using information and affidavits provided by Defendant’s sister and former Sunrider comptroller.  The Plaintiff also sought the testimony of Defendant’s attorneys ...

Upjohn v. United States
Brief

CitationUpjohn Co. v. United States, 449 U.S. 383, 101 S. Ct. 677, 66 L. Ed. 2d 584, 1981 U.S. LEXIS 56, 49 U.S.L.W. 4093, 81-1 U.S. Tax Cas. (CCH) P9138, 1980-81 Trade Cas. (CCH) P63,797, Fed. Sec. L. Rep. (CCH) P97,817, 47 A.F.T.R.2d (RIA) 523, 30 Fed. R. Serv. 2d (Callaghan) 1101 (U.S. Jan. 13, 1981) Brief Fact Summary. The Internal Revenue Service (IRS) (Plaintiff) served summonses on Upjohn (Defendant) requiring production of questionnaires that had been completed by Defendant’s employees at the request of Defendant’s in-house counsel, and of Defendant’s counsel’ ...

In re Refco, Inc. Securities Litigation
Brief

CitationIn re Refco, Inc. Secs. Litig., 609 F. Supp. 2d 304, 2009 U.S. Dist. LEXIS 21505 (S.D.N.Y. Mar. 17, 2009) Brief Fact Summary. Law firm helped client commit securities fraud by helping to hide fraudulent transactions. Synopsis of Rule of Law. Under federal law, there is no private right of action for victims of securities fraud against those who participated in a fraud, whether to a limited or great extent, that is executed by others. ...

SEC v. National Student Marketing Corp.
Brief

CitationSEC v. National Student Marketing Corp., 457 F. Supp. 682, 1978 U.S. Dist. LEXIS 15755 (D.D.C. Aug. 31, 1978) Brief Fact Summary. When new information revealed that National Student Marketing Corporation’s (NSMC) (Defendant) financial statements, which showed a profit, were incorrect, NSMC (Defendant) and Interstate National Corporation (Defendant) were unable to resolicit shareholders for confirmation of a merger, and the SEC (Plaintiff) then brought suit for injunctive sanctions against the attorneys (Defendant) who participated in the merger. Synopsis of Rule of Law. The ...

Federal Deposit Insurance Corporation v. O’Melveny & Myers
Brief

CitationFDIC v. O’Melveny & Myers, 969 F.2d 744, 1992 U.S. App. LEXIS 14641, 92 Daily Journal DAR 9067 (9th Cir. Cal. June 29, 1992) Brief Fact Summary. When the law firm of O’Melveny & Myers (the Firm) (Defendant) was sued for professional negligence by the Federal Deposit Insurance Corporation (FDIC) (Plaintiff), as the receiver of a savings and loan association which failed because of the dishonesty of the association’s officers, the Firm (Defendant) argued that it had no duty to determine the honesty of its own client Synopsis of Rule of Law. An attorney must ...

In re American Continental Corp./Lincoln Savings and Loan Securities Litigation (Jones Day)
Brief

CitationIn re American Continental Corp./Lincoln Sav. & Loan Sec. Litig., 794 F. Supp. 1424, 1992 U.S. Dist. LEXIS 9354, Fed. Sec. L. Rep. (CCH) P97,005 (D. Ariz. June 15, 1992) Brief Fact Summary. Because of its activities on behalf of American Continental Corp. (ACC) (Defendant) and Lincoln (Defendant), the law firm of Jones Day (Defendant) was named as a defendant in four of the five separate actions that were filed following Lincoln Savings and Loan’s (Defendant) failure Synopsis of Rule of Law. Reckless conduct is the highly unreasonable omission involving an extreme depart ...

Arthur Andersen LLP v. United States
Brief

CitationArthur Andersen LLP v. United States, 544 U.S. 696, 125 S. Ct. 2129, 161 L. Ed. 2d 1008, 2005 U.S. LEXIS 4348, 73 U.S.L.W. 4393, Fed. Sec. L. Rep. (CCH) P93,266, 18 Fla. L. Weekly Fed. S 324 (U.S. May 31, 2005) Brief Fact Summary. Arthur Andersen LLP (Defendant) was found guilty of persuading its employees to destroy documents related to an investigation of Enron Corporation, one of its clients. Synopsis of Rule of Law. A court must find consciousness of wrongdoing when convicting an individual under a statute that makes it a crime to “corruptly persuadeâ& ...

United States v. Gellene
Brief

CitationUnited States v. Gellene, 182 F.3d 578, 1999 U.S. App. LEXIS 16715, 52 Fed. R. Evid. Serv. (Callaghan) 741 (7th Cir. Wis. July 20, 1999) Brief Fact Summary. When John Gellene (Defendant) was convicted violating federal statute by fraudulently making a false material declaration in a bankruptcy, he argued that although the false statement was actually made, it was not fraudulent since it was not made with intent to defraud. Synopsis of Rule of Law. Under the federal Bankruptcy Statute, if a statement is made with intent to deceive it is fraudulent, even if not made with intent to d ...

Commonwealth v. Stenhach
Brief

CitationCommonwealth v. Stenhach, 356 Pa. Super. 5, 514 A.2d 114, 1986 Pa. Super. LEXIS 11717 (Pa. Super. Ct. July 31, 1986) Brief Fact Summary. The Stenhachs (Defendant) were charged with hindering prosecution and tampering evidence when they retained possession of a broken rifle stock from a rifle used by their client, who was being tried for murder, following the trial court’s insistence that they produce the rifle stock. Synopsis of Rule of Law. Attorney-client privilege does not apply when physical evidence of a crime is in the possession of a criminal defense attorney, as it m ...

Spaulding v. Zimmerman
Brief

CitationMinn. Sup. Ct., 263 Minn. 34, 116 N.W.2d 704 (1962) www.bloomberglaw.com Spaulding’s (Plaintiff) attorneys agreed to a settlement for injuries sustained in a car accident while not knowing that Spaulding had an aorta aneurysm possibly resulting from the accident; and the attorneys for Zimmerman (Defendant) did know, but did not disclose it to Plaintiff or to the court Synopsis of Rule of Law. When parties who are in an adversarial position reach an agreement to settle, though no rule or duty requires them to disclose adverse knowledge, if defendants fail to disclose, they run ...

Jones v. Barnes
Brief

CitationJones v. Barnes, 463 U.S. 745, 103 S. Ct. 3308, 77 L. Ed. 2d 987, 1983 U.S. LEXIS 105, 51 U.S.L.W. 5151 (U.S. July 5, 1983) Barnes (Defendant) argued that he had an absolute right to have his attorney to raise on appeal every non-frivolous issue he requested Synopsis of Rule of Law. A lawyer representing a defendant on appeal is not under a duty to raise every non-frivolous issue the defendant requests ...

In re Himmel
Brief

CitationIn re Himmel, 533 N.E.2d 790, 125 Ill. 2d 531, 1988 Ill. LEXIS 121, 127 Ill. Dec. 708 (Ill. Sept. 22, 1988) Brief Fact Summary. After Himmel (Defendant) represented Forsberg in her claim against her former attorney for conversion of her personal injury settlement check, the administrator of the state disciplinary commission (Plaintiff) filed a complaint against Defendant for her failure to report the former attorney’s misconduct. Synopsis of Rule of Law. An attorney with unprivileged knowledge of a violation of the canons of ethics shall report the knowledge to a tribunal or ...

Grutter v. Bollinger
Brief

CitationGrutter v. Bollinger, 539 U.S. 306, 123 S. Ct. 2325, 156 L. Ed. 2d 304, 2003 U.S. LEXIS 4800, 71 U.S.L.W. 4498, 91 Fair Empl. Prac. Cas. (BNA) 1761, 84 Empl. Prac. Dec. (CCH) P41,415, 2003 Cal. Daily Op. Service 5378, 16 Fla. L. Weekly Fed. S 367 (U.S. June 23, 2003) Brief Fact Summary. When Barbara Grutter (Plaintiff), a white Michigan resident with a 3.8 grade average and 161 LSAT score, was denied admission to the University of Michigan Law School (Defendant), she sued the latter in federal district court, alleging racial discrimination against her in violati ...

Gentile v. State Bar of Nevada
Brief

CitationGentile v. State Bar of Nev., 501 U.S. 1030, 111 S. Ct. 2720, 115 L. Ed. 2d 888, 1991 U.S. LEXIS 3820, 59 U.S.L.W. 4858, 91 Cal. Daily Op. Service 4986, 91 Daily Journal DAR 7639 (U.S. June 27, 1991) Brief Fact Summary. The State Bar of Nevada (Plaintiff) disciplined Gentile (Defendant) for comments he made to the press regarding a pending criminal case in which he represented the defendant Synopsis of Rule of Law. Although the speech attorneys involved in a criminal case may be more limited that that of the press at large, any such limitation must clearly give notice to the ones ...

Shapero v. Kentucky Bar Association
Brief

CitationShapero v. Kentucky Bar Ass’n, 486 U.S. 466, 108 S. Ct. 1916, 100 L. Ed. 2d 475, 1988 U.S. LEXIS 2585, 56 U.S.L.W. 4532, 1988-1 Trade Cas. (CCH) P68,063 (U.S. June 13, 1988) Brief Fact Summary. The Kentucky Bar Association (Defendant) promulgated a disciplinary rule prohibiting advertisement mailings for certain legal services. Synopsis of Rule of Law. A state may not prohibit the mailing of advertisements to a target audience believed to be in need of certain legal services ...

Strickland v. Washington
Brief

CitationStrickland v. Washington, 466 U.S. 668, 104 S. Ct. 2052, 80 L. Ed. 2d 674, 1984 U.S. LEXIS 79, 52 U.S.L.W. 4565 (U.S. May 14, 1984) Brief Fact Summary. Washington (Plaintiff) was sentenced to death for his involvement in three brutal stabbing murders, and then sought collateral relief, claiming ineffective assistance of counsel at his sentencing hearing Synopsis of Rule of Law. In order to reverse a conviction or death sentence because of ineffective assistance of counsel, a defendant has to demonstrate the deficiency of counsel’s performance and that the deficiency prejudic ...

Committee on Professional Ethics and Conduct of Iowa State Bar Assn. v. Mershon
Brief

CitationCommittee on Professional Ethics & Conduct of Iowa State Bar Asso. v. Mershon, 316 N.W.2d 895, 1982 Iowa Sup. LEXIS 1337 (Iowa Mar. 17, 1982) Brief Fact Summary. Mershon (Defendant), an attorney, formed a corporation with a farmer client and an engineer to development the client’s farmland as a residential township, but failed to advise his client of his adverse interests in the deal Synopsis of Rule of Law. Prior to entering into a business transaction with a client, an attorney must obtain the client’s informed consent through full disclosure ...

Messing, Rudavsky & Weliky, P.C. v. President and Fellows of Harvard College
Brief

CitationMessing, Rudavsky & Weliky, P.C. v. President & Fellows of Harvard College, 764 N.E.2d 825, 436 Mass. 347, 2002 Mass. LEXIS 189 (Mass. Mar. 19, 2002) Brief Fact Summary. The law firm of Messing, Rudavsky & Weliky (Plaintiff) communicated ex parte with employees of Harvard College (Defendant) after initiating a suit against the college, and the trial court then sanctioned Plaintiff for violating a Massachusetts rule that prohibits an attorney from speaking ex parte to employees of an organization when it is an adversary litigant Synopsis of Rule of Law. Only when employ ...

Togstad v. Vesely, Otto, Miller & Keefe
Brief

CitationTogstad v. Vesely, Otto, Miller & Keefe, 291 N.W.2d 686, 1980 Minn. LEXIS 1373 (Minn. 1980). Brief Fact Summary. Although Togstad (Plaintiff) had not formally retained Miller (Defendant), she successfully sued him for legal malpractice. Synopsis of Rule of Law. A retainer is not required for an attorney-client relationship to exist and that may give rise to a malpractice claim. ...

In the matter of Fordham
Brief

CitationIn re Fordham, 668 N.E.2d 816, 423 Mass. 481, 1996 Mass. LEXIS 203 (Mass. Aug. 9, 1996) Brief Fact Summary. Fordham (Defendant) allegedly charged an excessively high fee when representing a client charged with driving under the influence of alcohol. Synopsis of Rule of Law. A court may examine the difficulty of the issues presented in determining whether fees are clearly excessive, as well as the time and skill needed to perform the legal service properly, and the fee normally charged in the area for comparable services. ...

Virginia Bankshares, Inc. v. Sandberg
Brief

CitationVa. Bankshares v. Sandberg, 501 U.S. 1083, 111 S. Ct. 2749, 115 L. Ed. 2d 929, 1991 U.S. LEXIS 3819, 59 U.S.L.W. 4887, Fed. Sec. L. Rep. (CCH) P96,036, 91 Cal. Daily Op. Service 5072, 91 Daily Journal DAR 7687 (U.S. June 27, 1991) Brief Fact Summary. Following a freeze-out merger, where minority shareholders of First American Bank of Virginia (Bank) lost their interest, Sandberg (Plaintiff) and other minority shareholders sued for damages, claiming violation of § 14(a) and Rule 14a-9 and a breach of the fiduciary duties. Synopsis of Rule of Law. (1) A person is allowed ...

Pepsi-Cola Bottling Co. v. Handy
Brief

CitationPepsi-Cola Bottling Co. v. Handy, 2000 Del. Ch. LEXIS 52, 2000 WL 364199 (Del. Ch. Mar. 15, 2000) Brief Fact Summary. The Pepsi-Cola Bottling Company of Salisbury, Maryland (Plaintiff) had purchased land from Willow Creek Estates, LLC (Defendant) and claimed that Defendant did not shield its members from liability for fraud committed before the LLC was formed. Synopsis of Rule of Law. If a person makes material misrepresentations to persuade a buyer to purchase a parcel of land at a price that greatly exceeds fair market value, and then forms an LLC to purchase and hold th ...

VGS, Inc. v. Castiel
Brief

CitationVGS, Inc. v. Castiel, 2001 Del. LEXIS 230, 781 A.2d 696 (Del. May 23, 2001) Brief Fact Summary. David Castiel (Plaintiff) formed VGS, Inc. (Defendant) as a one-member limited liability company (LLC).  The one member was Virtual Geosatellite holdings.  Two other entities, Sahagen Satellite and Ellipso, Inc., later became member/shareholders of the LLC.  Castiel named himself and Tom Quinn to the board of managers, and Sahagen named himself as the third member.  Sahagen and Quinn then decided to restructure VGS (Defendant) in such a man ...

Anderson v. Wilder
Brief

CitationAnderson v. Wilder, 2003 Tenn. App. LEXIS 819, 2003 WL 22768666 (Tenn. Ct. App. Nov. 21, 2003) Brief Fact Summary. Minority members of FuturePoint Administrative Services, LLC, a closely held, member-managed LLC, alleged that the majority members of the LLC (Defendant) breached their fiduciary duties to the minority members (Plaintiff) when they expelled the minority members (Plaintiff) and, not long after that, sold the former minority members’ (Plaintiff) units for a price way above the buyout price. Synopsis of Rule of Law. The majority members of a member-managed, closel ...

Fisk Ventures, LLC v. Segal
Brief

CitationFisk Ventures, LLC v. Segal, 2008 Del. Ch. LEXIS 158, 2008 WL 1961156 (Del. Ch. May 7, 2008) Brief Fact Summary. Fisk Ventures, LLC (Plaintiff), a member of Genitrix, LLC (Genitrix), brought suit to dissolve Genitrix.  Segal (Defendant), the founder, president and sole officer of Genitrix, answered the petition and filed counterclaims and third-party claims, arguing various claims for breach of contract and fiduciary duties.  The counterclaim and third-party defendants moved to dismiss these claims, stating that, if at all, their actions represented the exercise of their contractual ...