Lawyer Blog

A federal appeals court has breathed new life into negligence claims against three banks that allegedly allowed a lawyer to steal $82 million by abusing what he claimed were escrow accounts. The 2nd Circuit reversed a lower court that had dismissed claims in connection with the activities of David Schick, who ultimately pleaded guilty to criminal charges and was disbarred. Investors charged that the banks abetted the fraud partly by not reporting overdrafts on attorney fiduciary accounts to the State Bar.

Popularity: 4% [?]

A federal appeals court has breathed new life into negligence claims against three banks that allegedly allowed a lawyer to steal $82 million by abusing what he claimed were escrow accounts. The 2nd Circuit reversed a lower court that had dismissed claims in connection with the activities of David Schick, who ultimately pleaded guilty to criminal charges and was disbarred. Investors charged that the banks abetted the fraud partly by not reporting overdrafts on attorney fiduciary accounts to the State Bar.

Popularity: 1% [?]