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Results

  • Dismissal Obtained in New Jersey Realtor Liability Case

    We secured a dismissal of all claims against a seller’s realtor following a favorable no-cause arbitration award through the New Jersey Arbitration Program. This case alleged misrepresentation and violations of the Consumer Fraud Act based on information contained in the MLS listing for the property. The property never went to closing, and the plaintiffs bought another house for a lower purchase price. The arbitrator found that there was no breach of contract and no meeting of the minds to substantiate the claims, based on this deal never going to closing, and the property never being transferred to plaintiffs.

    Dismissal Obtained in New Jersey Realtor Liability Case
  • Summary Judgment Secured for Life Insurance Agent

    We obtained summary judgment on behalf of our client, a life insurance agent, who sold a disability policy to the plaintiff. The plaintiff claimed that the policy was misrepresented to him, and that he was led to believe that if he was ever disabled, he could collect full benefits on the sold policy, as well as another supplemental disability policy he owned through another insurance carrier. When the plaintiff became disabled (nearly two decades after purchasing the initial policy), he discovered that the policies would offset each other to avoid over-recovery. He then filed a lawsuit against the insurance agent, as well as the insurance company, and the referral insurance agent was joined as a third-party defendant in the case. The plaintiff’s demand was in excess of policy limits, and the defense successfully argued a lack of causation and damages to substantiate his claims that an offset would not apply in this case.

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  • Dismissal Affirmed Obtained in a Lawyers’ Professional Liability Case

    We secured an Appellate Division decision affirming the trial court’s order dismissing a fraud and fraudulent concealment case filed against various attorneys and broker dealers. In its decision, the Appellate Division agreed with the trial court’s orders and opinions dismissing the case based on entire controversy, collateral estoppel and litigation privilege grounds. In this comprehensive decision, the Appellate Division held that the plaintiff’s claims were mirrored claims that had been fully litigated in a prior proceeding, where our clients either represented the litigants in the first case or were directly involved in the first case as defendants.

  • Verdict Affirmed in Complex Legal Malpractice Case

    We won a decision from the Superior Court of New Jersey Appellate Division, which affirmed an order for summary judgment in a complex multi-party legal malpractice action. This case involved financial ventures that led to two legal malpractice actions. The dismissal was affirmed, with the Appellate Division agreeing with the trial judge that the plaintiff’s expert reports were net opinions and inadmissible.

  • Summary Judgment Obtained in a Federal Copyright Case

    We secured summary judgment in a four-year-old federal copyright matter filed against a national publication for elementary school principals. The plaintiff alleged that her work was improperly published because it was plagiarized. Through discovery, we were able to prove that this article was authored outside of the three-year statute of limitations.

  • Dismissal of Ethics Grievance Against Attorney

    We obtained a dismissal of an ethics grievance against a matrimonial attorney in northern New Jersey. The ethics grievance alleged that money in the grievant’s trust account was improperly handled since the ledger cards were completed incorrectly. Upon interviewing our client, the ethics investigator determined that no ethical violation was present since the money at issue was fully accounted for in the Trust account, despite the allegations by the grievant.

  • Defense Verdict for New York Law Firm in Legal Malpractice Jury Trial

    In this case the plaintiff, after receiving legal invoices from our client, filed a legal malpractice complaint alleging fraudulent billing. At trial, the legal malpractice claims against our client were dismissed, leaving the fee claim we asserted in the counterclaim to be decided by the jury. The jury rendered a verdict in our favor within 15 minutes for the full amount of the invoices owed to the firm, $244,759.59. This victory is significant since, pursuant to the contract the plaintiff entered into with our client, the judgment on the counterclaim will total approximately $500,000.00 in interest and attorneys’ fees.

  • Plaintiff Strikes Out When Marshall Dennehey Represents Baseball League

    We obtained summary judgment on behalf of our client, an amateur baseball league located in Monmouth County, New Jersey. In this matter, the plaintiff, an umpire assigner, filed a lawsuit alleging improper breach of contract, tortious interference and conspiracy to cut this assigner out of his company. The plaintiff also maintained a cause of action for emotional distress and punitive damages. On summary judgment, the defense argued that due to discovery deficiencies, as well inadequacies with the substantive claims alleged, the plaintiff could not state any material facts to surpass summary judgment. The court agreed, holding that the plaintiff failed to properly oppose the summary judgment motion and had not stated any facts in discovery that would support the claims of breach of contract or tortious interference, among others. The damages exposure of this case, prior to the dismissal, was approximately $10 million, especially considering the punitive damage potential in this matter.

  • Dismissal of Multiparty Action Against Church Involving Pastor's Child Abuse

    The lawsuit involved claims of child abuse committed by a pastor that occurred during church-based camp activities. We obtained a dismissal of all counts for abuse filed by all plaintiffs against our client, one of the church defendants. Our client did not employ the pastor when the abuse occurred and had no knowledge of the claims asserted.

  • Summary Judgment for Attorney Defendants in Legal Malpractice Matter Involving Contentious Divorce

    We obtained summary judgment in a legal malpractice matter where the underlying case concerned a matrimonial representation in a highly contested divorce. In the underlying matter, our clients represented the wife in a contentious divorce from her attorney husband.  At all times, our clients advised the wife regarding litigation strategy and the disputes concerning discovery and failure to provide documents, which delayed the matrimonial case even further. At all times, our clients aggressively represented the wife and retained competent experts to evaluate the husband’s law practice for purposes of equitable distribution. When the wife terminated the representation by our clients, they advised the wife of the risks of settling the case with her husband (an attorney) without counsel present (the advice was not heeded by the wife in the settlement of the claims). We were successful in arguing that our  clients did not deviate from the standard of care and represented the wife adequately up until the point of termination of the representation. This was potentially a multi-million-dollar case based on the size of the marital estate, and the judge granted summary judgment on behalf of the attorney defendants.

  • Dismissal of Ethics Grievance Filed Against Education Law Attorney

    We obtained a dismissal of an ethics grievance filed against our client, a school law attorney who represented a school board and a school district. The grievance included allegations of ex parte communications with the administrative law judge, undue influence over the court, and conflict of interest based on a mediator’s spouse being retained by this attorney’s firm. We successfully argued to the disciplinary investigator that the conversations this attorney had with the administrative law judge’s staff were rudimentary scheduling and routinely conducted in cases across New Jersey. In terms of the conflict of interest alleged, we also argued that this attorney was an associate with the firm and had no interactions or decision-making authority regarding hiring of attorneys in the firm. The disciplinary ethics investigator found by clear and convincing evidence that the testimony of the school law attorney was credible, and that there was no ethical misconduct by our client. 

  • Plaintiff’s Petition Defeated in High Stakes Legal Malpractice Case

    We defeated a plaintiff’s petition for certification to the New Jersey Supreme Court in a tortious interference and defamation action against an attorney for a lender bank. The New Jersey Appellate Division had affirmed a trial court decision granting summary judgment in a $10 million tortious interference and defamation case filed by borrowers against the attorneys for a lender bank. This case arose out of an underlying deficiency and foreclosure action filed by a bank due to the plaintiff’s failure to repay a multi-million dollar loan used to finance the purchase of real estate. During the course of negotiations to resolve the debt, the bank’s counsel had discussions with the plaintiff’s new lender. The plaintiffs alleged that during these discussions, the defendant attorney called the plaintiff a “wannabe gangster.” On appeal, Jack and Jeremy successfully argued that the trial court was correct in dismissing this case on summary judgment. The Appellate Division held that the trial judge correctly concluded that a statement made by the bank’s attorney to a potential new lender calling the plaintiff a “wannabe gangster” was mere name calling, not actionable defamation. The claims for tortious interference were based upon the lost opportunity, since the new lender rescinded its conditional commitment after the alleged statement was made. The Appellate Division held that the trial court was correct in holding that the statements were protected under the litigation privilege, that the litigation privilege is not confined to the courtroom, but extends to all statements or communications in connection with judicial proceedings. Subsequently, the plaintiff filed a petition for certification before the New Jersey Supreme Court, which we successfully opposed. The Supreme Court, in its decision, denied the plaintiff’s petition, with costs in favor of our client. 

  • Dismissal of Ethics Grievance Against Condominium Association Attorney

    Our attorneys obtained dismissal of an ethics grievance filed against their client, the litigation counsel for a condominium association. In this case, the attorney was able to obtain a multi-million dollar settlement on behalf of the condominium association resulting from various construction defects caused by the developer, among others. After the settlement was reached, the developer’s vice president was able to assume control of the condominium association’s board and brought ethics charges against the attorney, alleging collusion with the board president and a property manager, who acted in concert to abscond with the settlement proceeds. The ethics grievance alleged the attorney should have notified the association board of the conspiracy and should have warned the association of the theft taking place. Upon responding to the ethics grievance filed against the attorney, the defense argued that the attorney had no involvement with the president of the association or the project manager and did not have any knowledge of the conspiracy. The attorney focused on the litigation and did not involve himself in anything related to the association’s business, other than the litigation, and focused on obtaining the best settlement possible for the association against the developer. After investigating this matter, reviewing the attorney’s response, as well as interviewing the attorney, the Office of Attorney Ethics dismissed all allegations against the attorney, finding that the allegations could not be proven by clear and convincing evidence. 

  • Successful Defense of Special Education Law Attorney

    We obtained the dismissal of an ethics grievance on behalf of a local special education law attorney. The grievant filed her ethics grievance based upon allegations of fraudulent and unethical practices, accusing the attorney of taking legal fees from a settlement, and alleging that the attorney was prohibited from doing so based on the terms of the settlement agreement. Specifically, the grievant alleged that the attorney failed to safeguard funds from an irrevocable trust for a special needs child, her son. In fully investigating this grievance, the District Ethics Investigator concluded that based on the evidence received, the interviews conducted and the submissions prepared on behalf of the attorney, the investigation did not reveal clear and convincing evidence that the attorney engaged in unethical conduct.

  • Complex legal malpractice action dismissed.

    We obtained an order of dismissal through pretrial motions in a complex legal malpractice action heard before the United States District Court. It arose out of an underlying first-party coverage action that involved hundreds of thousands of dollars in connection with building damage caused by Hurricane Sandy. The plaintiffs filed a complaint against our clients, certain individuals and a law firm, alleging claims for legal malpractice.  Our motion for summary judgment filed on behalf of the defendants asserted that an order for dismissal should be entered because: (1) the plaintiffs’ expert failed to offer an opinion on causation and damages; (2) the individual claims of the plaintiffs should be dismissed since the plaintiffs did not establish an individual claim; and (3) the plaintiffs failed to come forward with proofs to satisfy the punitive damages standard in New Jersey. The court granted our motion for summary judgment.   

  • Dismissal of $10 Million Tortious Interference and Defamation Case Against Attorney

    Marshall Dennehey successfully argued pre-trial motions to dismiss in the Superior Court of New Jersey, Camden County in a matter involving a $10 million tortious interference and defamation case filed on behalf of investors against an attorney and bank counsel arising out of a multi-million dollar loan for a commercial land transaction. The allegations against the attorney included slander and a claim for tortious interference, with prospective economic advantage for a contract that the plaintiff entered into with the investor. With regard to slander, we argued that the established case law in New Jersey holds that the subject pejorative was simply name calling and did not rise to the level of actionable defamation or slander in New Jersey. The court agreed and dismissed the defamation claims. Additionally, the court dismissed the plaintiff’s tortious interference claim, rejected the plaintiff’s claims of willful misconduct of the bank’s attorney and found that the plaintiff’s damages claims, although supported by expert reports, were speculative. The court agreed with the defense argument that the plaintiff’s claims for lost profits were barred by New Jersey’s New Business Rule. Under the New Business Rule, prospective profits of a new business are considered too remote and speculative to meet the legal standard to recover damages. As a result, the court entered a dismissal of the entire case.

  • Dismissal of Complex Legal Malpractice Action

    We obtained a dismissal of a legal malpractice action arising from a Law Against Discrimination and Conscientious Employment Practices Act action against a municipality and its School Board. In this complex multi-party action, our client, an expert in school law, was retained by the school district to handle a hearing against the plaintiff, a teacher and coach. The plaintiffs alleged a conspiracy among the lawyers and the school board to oust the plaintiff. There were also allegations of malicious prosecution and malicious abuse of process against the town and its attorneys. The court granted our motion and dismissed based on the litigation privilege.

  • Complex Legal Malpractice Case Dismissed

    On the eve of trial, we obtained summary judgment for our attorney-client, dismissing a complex legal malpractice case in which damages were sought in connection with the underlying land transaction. ​This case included allegations that our client had multiple conflicts. The plaintiffs’ claim for damages included an allegation of $8 million in lost profits due to our client advising the plaintiffs to sell out of this business deal early, while another client of the attorney made $40 million in this deal! We were successful in obtaining dismissal by demonstrating that the plaintiffs’ experts could not prove their lost profit claim due to New Jersey’s New Business Rule and due to the fact that they could not prove any out-of-pocket damages in this case.

Firm Highlights

Thought Leadership

The Tolling Trap: Filing Alone Will Not Toll the Statute Without Good-Faith Service

The Eastern District of Pennsylvania recently reinforced a critical limitation on bad faith claims, holding that a timely filing alone will not preserve a cause of action absent a good-faith effort to serve the original process. The plaintiff had presented a claim for underinsured motorist benefits to his auto insurer. The insurer evaluated the claim and determined that the plaintiff’s accident-related damages did not exceed the bodily injury liability insurance limits of the at-fault driver and denied his claim. Among other claims, the plaintiff sought to present a claim for insurance bad faith under 42 Pa. C.S.A. § 8371, to which a two year statute of limitation applies. He first filed a praecipe for writ of summons before the expiration of the statute of limitation. However, the plaintiff did not attempt to serve the praecipe or writ until after the statute of limitations had expired. Additionally, the service failed as the plaintiff had mailed the original process to an incorrect address. Despite receipt of the Postal Service’s failure to deliver the original process, the plaintiff did not attempt to re-serve the writ. Two months later, the plaintiff filed a complaint and then successfully served that complaint. The insurer sought to dismiss the plaintiff’s bad faith claim as time-barred by the statute of limitations. The district court agreed. Though the plaintiff had filed a praecipe for a writ of summons prior to the expiration of the statute of limitations, the statute is only tolled if there is a good faith effort to serve that original process. In this case, the court determined that the plaintiff had failed to perform a “good faith effort to serve the original process”. Additionally, though the filing and service of a complaint can serve as alternative original process when the lawsuit is commenced by the filing of a praecipe for a writ of summons, the plaintiff filed his complaint after the statute of limitations had expired. The plaintiff’s bad faith claim was therefore determined to be barred by the statute of limitations and dismissed by the court, with prejudice. A key takeaway for the defense is not to assume that the statute of limitations has been successfully tolled by a plaintiff merely because a praecipe for a writ of summons or complaint has been filed prior to the expiration of the statute. A filed complaint or writ is only part of the equation. The defense should carefully review the docket and filings to confirm that the plaintiff also performed the requisite good faith effort to serve that original process. A thorough review of the docket may reveal that the plaintiff failed to make the good-faith service efforts necessary to toll the statute of limitations.

Thought Leadership

Commonwealth Court Reaffirms the Constitutionality of Act 111's IRE Provisions

In this case, the claimant sustained a work injury of January 6, 1994, which was acknowledged by Notice of Compensation Payable (NCP). After the claimant’s receipt of 104 weeks of temporary total disability benefits, the employer filed a Request for an Impairment Rating Examination (IRE). The IRE was performed in May 2023 and the IRE physician found that the claimant had a 5% whole person impairment, under the AMA Guides. The employer filed a Petition based on the IRE results, and the Petition was granted by the WCJ. During litigation, the claimant argued that the IRE provisions of Act 111 (Section 306(a.3) of the Act) were not applicable to her injury, since it predated June 24, 1996, the date Act 57 went into effect, and that the IRE provisions were unconstitutional. The Workers’ Compensation Judge (WCJ)) granted the Petition and the Board affirmed. On appeal to the Commonwealth Court, the claimant argued that Act 111 violated the nondelegation doctrine and that its retroactive application to the claimant’s injury was unconstitutional. The court rejected the arguments on the basis that they had already found the same arguments without merit in multiple, prior cases. The court also addressed an argument made by the claimant that Act 111 was procedurally defective under the Pennsylvania Constitution because it was only considered on two days in each House after having undergone amendments and reassignments. The court noted that the Pennsylvania Constitution requires every bill to be considered on three different days in each House. The claimant maintained that, according to the legislative history, the bill did not receive three separate days of consideration from each House when it was assigned a new bill number. The court pointed out, however, that the bill number, H.B. 1840 remained constant and was considered on three occasions by the House. Further, the court concluded that minor amendments to the bill were germane to its original subject, which was to modify the Act’s IRE process, in accordance with Protz II.

Thought Leadership

Florida Supreme Court Rules Florida Statute §627.70152 Does not Apply Retroactively

In a decision that resolves years of appellate uncertainty and confirms that insurers and insureds alike can rely on the legal framework in place when a policy is issued, the Supreme Court of Florida last week found that Florida Statute §627.70152, which involves an insured’s requirement to provide an insurer with pre-suit notice before filing a suit, cannot be applied retroactively. In Universal Property & Casualty Insurance Company v. Hughes, the Court was presented with the issue of whether the statutory pre-suit notice requirement applied retroactively and whether it would apply to a breach of contract of an insurance policy that was issued before the statute went into effect. Before the Court was an appeal from a homeowner, Ms. Hughes, who sued her insurance carrier, Universal Property & Casualty Insurance Company (Universal) for breach of contract under an insurance policy that was in effect from April 24, 2019 through April 24, 2020. During the policy period, Ms. Hughes suffered a loss and, on May 29, 2019, made a claim for water damage. The carrier investigated the loss and issued payment; Ms. Hughes disputed the payment, finding the amount insufficient for repairs. On July 1, 2021, Florida Statute §627.70152 went into effect, which required insureds to provide notice of intent to initiate litigation against the carrier prior to filing a lawsuit; if an insured filed the lawsuit without complying with §627.70152, a court must dismiss the case without prejudice. On August 4, 2021, Ms. Hughes filed her lawsuit against Universal for breach of contract. Universal moved to dismiss based on her failure to comply with §627.70152. Ms. Hughes contended the notice requirement could not be applied retroactively. The trial court disagreed and dismissed the lawsuit without prejudice, and Ms. Hughes appealed. During the appeal, the Fourth District Court of Appeal, in Cole v. Universal Property & Casualty, 363 So. 3d 1089 (Fla. 4th DCA 2023), ruled that Florida Statute §627.70152 did apply retroactively to policies issued before the effective date of §627.70152. However, the Sixth District Court agreed with Ms. Hughes and overturned the trial court’s ruling, finding the statute could not retroactively apply to policies issued prior to the statute effective date. Thereafter, the other district courts weighed in, with the Third District Court agreeing with the Fourth District Court, and the First, Second and Fifth District Courts agreeing with the Sixth District Court. In resolving the conflict amongst the district courts, the Supreme Court advised “as a general rule, ‘the statute in effect at the time an insurance contract is executed governs substantive issues arising in connection with that contract.’ Hassen v. State Farm Mut. Auto. Ins. Co., 674 So. 2d 106, 108 (Fla. 1996). The Court applied the two-step test when deciding whether a statute has retroactive application: “First, the Court must ascertain whether the Legislature intended for the statute to apply retroactively. Second, if such an intent is clearly expressed, the Court must determine whether retroactive application would violate any constitutional principles.” Menendez v. Progressive Exp. Ins. Co., 35 So. 3d 873, 877 (Fla. 2010). In analyzing the Legislature’s intent, the Court must determine whether the Legislature has manifested a clear command for retroactivity in the statutory text.  In review of the statutory text, the Court found nothing in the language of the statute to indicate that the phrase “all suits” was serving another purpose of expanding its reach to suits based on policies that both predate and postdate the enactment of the statute. Buis v. Universal Prop. & Cas. Ins. Co., 394 So. 3d 738, 741 (Fla. 2d DCA 2024). Further, the Court noted the statute has an effective date, which has long been considered to be evidence against retroactive application of a statute. The Court concluded that, on its face, no provision of §627.70152 speaks to application of the statute to insurance policies issued before the statute’s effective date and therefore, the Legislature did not clearly command retroactivity of the statute to include insurance policies issued prior to the enactment of the statute. The Court briefly reviewed Universal’s argument that the presuit notice requirement was procedural, not substantive, and therefore should be applied retroactively; however, the Court agreed with the Sixth District Court’s finding that, in its entirety, §627.70152 transformed an insured’s ability to sue an insurance company under a property insurance policy and an insurer’s obligations to respond to and pay insurance claims, thus making the requirement a substantive change. The Court thereby upheld the decision of the Sixth District and disapproved the decision of the Fourth District in Cole.