Table of ContentsToggle
Register now for Totally free unlimited accessibility to Reuters.com
- Legislation companies
- Connected documents
- The lawsuit seeks more than $50 million in damages over the alleged misuse of settlement cash awarded to Tom Girardi’s purchasers
- Legal professional Jay Edelson explained he is “assured in our skill to show to a jury that the Girardi Keese organization was performing as a felony company.”
(Reuters) – Plaintiffs’ legislation business Edelson has sued lawyer Tom Girardi’s estranged wife and previous associates of Girardi’s law agency, trying to get damages following Edelson coated settlement payments owed to Girardi’s former consumers in litigation over the 2018 Lion Air crash.
The lawsuit was submitted late Wednesday in San Francisco federal courtroom soon after a decide in Illinois in April authorized a prepare for Edelson to pay five family members in the Lion Air situation at the very least $2 million.
The new lawsuit versus actuality Television set star Erika Jayne Girardi, her corporation EJ International and previous Girardi Keese attorneys David Lira and Keith Griffin suggests the Girardis took settlement money intended for consumers and used them to bankroll their lavish way of living. It phone calls Erika Girardi the “frontwoman” of the scheme, “marketing to the globe (together with unsuspecting consumers) that Girardi Keese was thriving.”
Sign-up now for Free endless accessibility to Reuters.com
A law firm for Girardi named the lawsuit “an additional misguided endeavor to blame Erika for actions of Tom Girardi and other individuals of which she experienced no expertise and in which she had no involvement.”
The lawsuit also names as defendants legal guide George Hatcher, previous Girardi Keese chief economic officer Chris Kamon and the litigation funder California Lawyer Lending II. Kamon could not be reached, and several other defendants or their lawyers did not immediately answer to requests for comment.
William F. Savino, a law firm for California Lawyer Lending II, mentioned his customer “vigorously” denies Edelson’s claims, including that its founder ensured the company bought a “initially slice” of settlement resources in the Lion Air situation.
Edelson founder Jay Edelson said in an e-mail that the legislation company feels “confident in our ability to establish to a jury that the Girardi Keese organization was acting as a prison business.”
“We hope this scenario will help respond to some greater concerns: How did the organization get absent with it for so quite a few many years? Why has the California bar been absent? And how numerous other people today were being associated?” he said.
The complaint seeks $55 million in punitive or exemplary damages, as well as additional revenue damages that are redacted from the courtroom filing.
Under the deal authorised in Illinois federal court, the Lion Air crash victims’ people beforehand represented by Tom Girardi reassigned their statements to the Edelson firm. Any damages recovered by way of the new lawsuit will 1st deal with lawyer service fees for Wisner Law Agency, a Chicago company that is now symbolizing the five family members and recoup the expenses for Edelson and its insurance company. Any remaining money will be divided involving Edelson and the people.
Tom Girardi and Girardi Keese are not named in the grievance, and the two are in bankruptcy proceedings. Tom Girardi has not responded to allegations about the misuse of the Lion Air settlement cash but his attorneys have acknowledged the money was not distributed. Tom Girardi could not quickly be attained for remark.
The California Supreme Court final month disbarred Girardi and ordered him to pay about $2 million in restitution, such as to the young children of 4 of the Lion Air plaintiffs.
The scenario is Edelson Pc vs. Lira, et al in the Northern District of California, No. 22-cv-3977.
(This story has been up to date with feedback from legal professionals symbolizing defendants in the lawsuit.)
Read a lot more:
Girardi law company unethically recruited shoppers in Lion Air crash scheme, lawsuit alleges
Court backs law firm’s offer with Girardi plaintiffs, paving way for lawsuit
Regulation company asks decide to permit $50 mln lawsuit from Erika Girardi, other individuals
Sign-up now for Free of charge limitless accessibility to Reuters.com
Our Requirements: The Thomson Reuters Have faith in Rules.