Biglaw

Soon-To-Be Former Biglaw Firm Sued For Breach Of Contract

Dissolving a law firm isn't the end of the legal woes.

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LeClairRyan may have announced they’re closing their doors come August 30th, but that won’t guarantee an end to their legal troubles, especially not when new lawsuits keep popping up. The latest legal trouble is a suit filed August 9th by Capital Credits Group, which operates as the Enterprise Zone Company, alleging the firm failed to pay $97,886 in fees.

LeClairRyan had allegedly entered into a consulting agreement with Enterprise Zone Company whereby they’d pay the tax consultants for additional tax credits identified, as reported by Big Law Business:

According to the complaint, LeClairRyan entered into a tax consulting agreement with The Enterprise Zone Company in 2013, authorizing the consultant to identify and obtain tax benefits not claimed with the IRS and the State of California Franchise Tax Board.

LeClairRyan would pay the company 20% of the total amount of tax credits identified and provide it with copies of their ‘Enterprise Zone Deduction and Credit Summary’ for all of the years when tax credits were finalized, the complaint said.

According to the complaint, $416,026 in tax credits were identified for the Los Angeles office and an additional $73,407 for the San Francisco office, for a total of $97,886 in fees. Plaintiff alleges only a small fraction of the total owed has been paid thus far.

The firm has not yet made a comment about the lawsuit.

headshotKathryn Rubino is a Senior Editor at Above the Law, and host of The Jabot podcast. AtL tipsters are the best, so please connect with her. Feel free to email her with any tips, questions, or comments and follow her on Twitter (@Kathryn1).

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