Clean-up efforts are underway at Dewey & LeBoeuf — and we’re not talking about the work of the janitors (at least not the ones who were allegedly stiffed on $300,000). Rather, we’re talking about the work being done by Dewey as debtor, aided by its high-priced advisory team, to put its affairs in order and to maximize the recovery for its creditors.
One of the biggest messes: how to deal with the firm’s hundreds of former partners. Dewey’s lead lawyer, Albert Togut of Togut Segal & Segal, has already made clear his plans to seek some funds from them.
In a conference call yesterday afternoon, Dewey’s bankruptcy advisers informed ex-partners about the contours of a possible global settlement….
* It’s not just media groups that are urging the Supreme Court to allow live coverage of the announcement of the ACA decision. Senators Patrick Leahy and Chuck Grassley of the Senate Judiciary Committee have joined the club. [Blog of Legal Times]
* Dewey know whether this failed firm’s former partners will be settling their claims any time soon? Team Togut hopes to reach a deal in the next six weeks, and claims that cooperation will absolve D&L’s deserters of all future liability. [Am Law Daily (sub. req.)]
* From Biglaw to the big house: former Sullivan & Cromwell partner John O’Brien, who is serving time for tax evasion charges, has been suspended from practicing law in New York. [Thomson Reuters News & Insight]
* A Stradling Yocca partner and his wife, a Boalt Hall graduate, stand accused of planting drugs on a school volunteer who supervised their son. Looks like the only thing they’re straddling now is jail time. [OC Register]
* Dharun Ravi was released early from jail yesterday after completing a little more than half of his 30-day sentence. Funny how bad behavior got him into the slammer, but good behavior got him out of it. [CNN]
* “Why would somebody so smart do something so stupid?” Kenneth Kratz, the sexting DA from Wisconsin, claims that the answer to that question is an addiction to sex and prescription drugs. [Herald Times Reporter]
* Jay-Z’s got 99 problems and this bitch is one. He’s been accused by Patrick White of plagiarizing parts of his own best-selling memoir, “Decoded,” and slapped with a copyright infringement suit. [New York Daily News]
It has been a few days since our last detailed story about the largest law firm bankruptcy in history. So let’s check in on the Chapter 11 proceedings of Dewey & LeBoeuf, currently pending in bankruptcy court for the Southern District of New York.
There have been a few recent developments. For example, as we mentioned in Morning Docket, Dewey is being counseled in bankruptcy by some pretty pricey advisers.
* Dewey know how many professional services firms it takes to wind down a Biglaw firm? According to new D&L bankruptcy filings, there are at least eight of them — including Togut Segal & Segal, a leading law firm that reportedly charges $935 an hour. [WSJ Law Blog]
* Despite Barack Obama’s pledge of support, Brett McGurk has withdrawn his name from the White House pool of ambassadorial candidates amid much salacious controversy. Apparently this man knows a lost cause when he sees one. [Washington Post]
* So many DOMA lawsuits, so little time: what’s happening in the six major cases on this statute? The majority are in various stages of appeal, and the world at large is currently awaiting a cert filing to get a final take from the Supreme Court. [Poliglot / Metro Weekly]
* LSAC will now vet incoming law students’ GPAs and LSAT scores. The ABA won’t do it because they need the insurance policy of someone else to blame in case something happens to go wrong. [National Law Journal]
* Stephen McDaniel’s lawyers are expected to ask a judge to reconsider his $850K bond today. If he’s released, it seems like there’s a high probability that he’ll become an ATL commenter. [Macon Telegraph]
* Remember the legal fight over the Tyrannosaurus bataar? Well, now Preet Bharara, the U.S. Attorney for the S.D.N.Y., is on the case, and he wants it to be seized for return to Jurassic Park Mongolia. [New York Observer]
* Dewey know how insolvency laws work in Dubai? The failed firm’s partners in the United Arab Emirates have filed for creditor protection in the hopes of receiving end-of-service payments. [The National]
* “This is your fault.” “Uh, no, this is all your fault.” “I’m going to sue you.” “Not if I sue you first.” Florida and the DOJ got into a good old fashioned slap fight yesterday over the purging of the state’s voter rolls. [Reuters]
* And now for your morning dose of nasty ass sexual abuse allegations. The testimony in the Jerry Sandusky case will continue today, with more lurid accounts from the former football coach’s accusers. [Bloomberg]
* Is this what it’s come to in the legal profession? Are people really so desperate for work that they’re willing to apply in droves for a job that pays less than minimum wage? By all accounts, it sure looks like it. [ABA Journal]
* Tips for parents of law school applicants? Screw that, ours are better: 1) tell your kid to read ATL; 2) smack your kid in the face if he still wants to apply; 3) repeat if necessary. [Law Admissions Lowdown / U.S. News]
* A female security official for the NBA who happens to be a law school graduate is suing for employment discrimination. And no one cares about women’s basketball any more than they did before. [New York Times]
If asked to name people who might be worried about owing money to the Dewey estate, some observers might cite “the Steves”: former chairman Steven H. Davis, and former executive director Stephen DiCarmine. Some have accused the Steves of mismanaging D&L’s affairs (or worse), contributing to the collapse of a firm that was once in the top 30 U.S. law firms by total revenue.
But if you’re thinking that Steve DiCarmine wants to pay the Dewey estate some money and get on with his tanning life, think again. As it turns out, Steve DiCarmine is claiming that Dewey owes him money….
* Dewey know the firms that have been tapped to represent the groups that this failed firm owes money to? Yes, we do! Brown Rudnick for the unsecured creditors’ committee, and Kasowitz Benson for the former D&L partners. [Am Law Daily (sub. req.)]
* The Ninth Circuit is supposed to be issuing an order today regarding an en banc reconsideration request on the Prop 8 case. They really ought to slap a big fat denial on that motherf’er and call it a day so we get some SCOTUS action. [Poliglot / Metro Weekly]
* Matthew Kluger, most recently of Wilson Sonsini, has been sentenced to 12 years in prison, which is the longest sentence that anyone’s ever received in an insider trading case. Uh yeah, he’ll be appealing. [Wall Street Journal (sub. req.)]
* Hughes Hubbard & Reed has billed more than $17M in the first four months of its work on MF Global’s unwinding. Will the firm will be handing out spring“special” bonuses like they did last year? [Reuters]
* Mattel is appealing MGA’s $310M copyright award, claiming that the judgment was based on “erroneous billing invoices.” Don’t you call my billable hours into question, Kathleen Sullivan. [National Law Journal]
* Jerry Sandusky’s accusers will be named in court thanks to this judge’s ruling. But don’t worry — there’s no tweeting, texting, or emailing allowed in his courtroom. Like that’ll make a difference. [Legal Intelligencer]
* Trust me, I’m a lawyer: a now-disbarred Colorado attorney managed to scam a convicted con artist out of more than $1 million. Now that’s some pretty sweet karmic intervention for you. [Missouri Lawyers Media]
* A bus driver is suing a hospital because he claims that instead of treating his painful erection, the staff watched a baseball game on TV. Whatever, that was a really great Yankees game. [Associated Press]
Why did Dewey agree to pay an associate from the class of 2006 more than $400K in severance? According to the Times, Saffitz received this severance agreement after she “complained over how she was treated by a former Dewey partner and told the firm’s management.” According to the Journal, she filed “a complaint regarding sexual discrimination by a Dewey partner who is no longer with the firm.”
Inquiring minds want to know: Who was the partner in question? And what did he allegedly say or do to Emily Saffitz?
Finding out such details is difficult. Settlements in cases of alleged sex discrimination or sexual harassment often contain non-disclosure or non-disparagement provisions that prevent the parties from speaking about what took place.
So we didn’t expect we would ever find out which former Dewey partner triggered complaints from Emily Saffitz. Until, well, he emailed us….
Jiminy jillickers! ATL editors are going all over the place over the next month or so. Or at least all over the Eastern Seaboard. If we aren’t heading to your neck of the woods on these trips, never fear, we may hit you up on the next time around. We’ve already hit up Houston, Chicago, Seattle, San Francisco, and Los Angeles in the past year.
Kinney Recruiting’sEvan Jowers is currently in Hong Kong for client meetings and still has a few slots available through October 22. Evan will also be in Hong Kong November 14 to December 15. Further, Robert Kinney has been in Frankfurt and Munich this week and is available for meetings with our Germany based readers.
One of our key law firm clients has referred us to one of their important clients in the US, Europe and China – a leading global technology supplier for the auto industry – in order to handle their search for a new Asia General Counsel and Asia Chief Compliance Officer.
Kinney is exclusively handling this in-house search.
This position will have a lot of responsibility and include supervision of eight attorneys underneath them in the Asia in-house team. The new hire will report directly to the global general counsel and global chief compliance officer, who is based in the US. The new hire’s ability to make judgement calls is going to be as important as their technical skill set background.
The position is based in Shanghai and will deal with the company’s operations all over Asia and also in India, including frequent acquisitions in the region.
It is expected that the new hire will come from a top US firm’s Shanghai, Beijing or Hong Kong offices, currently in a top flight corporate practice at the senior associate, counsel or partner level. Of course, the candidate can be currently in a relevant in-house role.
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