Mediation and the Professional Liability Dispute

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Involved in a legal malpractice or professional liability dispute? As you are likely aware, it is common for a legal malpractice claim to be countered by a fee claim by the lawyer defendant arising out of the former representation of the plaintiff client. The pendency of the fee claim raises some difficult issues with respect to consent and policy limits demands. Plaintiff usually couples the settlement demand with a condition that the counterclaim for fees be dismissed. If the lawyer defendant and counterclaimant refuses, then the insurer is not in a position to settle the malpractice claim because it does not have the consent of its insured. On the other hand, the insured lawyer and the plaintiff client may run the risk that the insurer may be insulated from liability for an excess of limits judgment as the insurer cannot settle without consent.

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Published In: Alternative Dispute Resolution (ADR) Updates, Professional Malpractice Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Bruce Friedman, Friedman Mediation | Attorney Advertising

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Bruce Friedman
Friedman Mediation

Bruce A. Friedman handles a variety of commercial disputes ranging from insurance disputes to class... View Profile »


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