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Legal Updates for Lawyers' Professional Liability

Legal Updates for Lawyers’ Professional Liability - CASE LAW UPDATE

Legal Updates for Lawyers’ Professional Liability – September 2025

September 1, 2025

by Scott R. Eberle

Pennsylvania Superior Court Finds Pre-Judgment Interest Is Not Available in a Legal Malpractice Case
Premier Capital, LLC v. DeCecco, No. 843 MDA 2024, 2025 WL 2418395 (Pa. Super. Ct. August 21, 2025) (non-precedential) 

The Pennsylvania Superior affirmed the trial court’s denial of a plaintiff’s motion for pre-judgment interest following a jury verdict in a legal malpractice case. In October 2015, the plaintiff filed a legal malpractice action against its attorneys, asserting the attorneys failed to insure and timely transfer title to a valuable piece of property to the plaintiff and that the property was subsequently damaged by a fire. 

After a three-day trial, on May 4, 2023, the jury returned a verdict in favor of the plaintiff and against the attorneys, finding the attorneys were negligent and that the negligence caused harm to the plaintiff, and awarded $750,000 in damages. After the verdict, the plaintiff filed a post-trial motion for pre-judgment interest, which the trial court denied.

On appeal, the Superior Court agreed with the trial court that neither 42 Pa. C.S. § 8101 nor Pa. R.C.P. 238 provides a basis for awarding pre-judgment interest in a legal malpractice action. The court reasoned that 42 Pa. C.S. § 8101 only provides for post-judgment interest, not pre-judgment interest on awards. Moreover, citing Rizzo v. Haines, 515 A.2d 321 (Pa. Super. 1986), the court found Rule 238 inapplicable in a legal malpractice action since it is not an action “for bodily injury, death or property damage” even if the underlying claim was for the type of injury enumerated in Rule 238. The court recognized that pre-judgment interest could potentially be awarded on equitable grounds if the attorneys were found to have wrongfully held money or property belonging to the plaintiff, but found no such basis in this case. 


 

Legal Updates for Lawyers’ Professional Liability – September 2025 is prepared by Marshall Dennehey to provide information on recent legal developments of interest to our readers. This publication is not intended to provide legal advice for a specific situation or to create an attorney-client relationship. We would be pleased to provide such legal assistance as you require on these and other subjects when called upon. ATTORNEY ADVERTISING pursuant to New York RPC 7.1 Copyright © 2025 Marshall Dennehey, all rights reserved. No part of this publication may be reprinted without the express written permission of our firm. For reprints or inquiries, or if you wish to be removed from this mailing list, contact tamontemuro@mdwcg.com.

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Appellate Division Affirms Dismissal of Legal Malpractice Counterclaim Against Martin Law Firm

In Martin v. Loury, 2026 N.J. Super. Unpub. LEXIS 1617 (App. Div. July 15, 2026), Martin Law Firm represented Kirk Loury in an employment matter Mr. Loury filed against his former employer, Concord Equity Group Advisors LLC (“Concord”). The allegations included, among other things, that Loury was not fairly compensated for his employment with Concord. After a bench trial finding in Loury’s favor, the Appellate Division remanded this matter in February 2016 for a second trial. During the second trial, Concord CEO, Lee Argush, testified to lower compensation estimate than first trial. On remand, the second trial judge awarded Mr. Loury the same damages as the first judge, finding Mr. Argush not credible. After the findings during the second trial, Martin Law Firm filed an action against Mr. Loury to recover legal fees and costs of representing Mr. Loury in a second bench trial and Mr. Loury filed a counterclaim against Martin Law Firm for legal malpractice, alleging he should have received an even higher award in the second bench trial. In this allegation, Mr. Loury, through his expert, claimed that Martin Law Firm should have recalled Mr. Loury to the stand to rebut Mr. Argush’s testimony to allege an alternative theory of damages. Mr. Loury’s expert admitted that the second judge already rejected Mr. Argush's theory and accepted Loury's damages theory. The trial court barred Mr. Loury’s expert and dismissed Loury's counterclaim with prejudice before convening the collection trial, and the jury ruled in Martin Law Firm’s favor. Mr. Loury appealed the trial court's pretrial rulings barring his liability expert from testifying in support of his legal malpractice counterclaim, denying his motion for summary judgment on that counterclaim, and denying his motion to amend his counterclaim by adding attorney Joseph A. Martin as a codefendant. In affirming the trial court’s decision, the Appellate Division held that the trial court properly excluded Loury’s expert testimony in the counterclaim against Martin Law Firm because the expert could not explain how calling Loury as a rebuttal witness would have increased damages when the second judge already rejected Mr. Argush's testimony and accepted Loury's damages theory, making the expert’s causation opinion speculative. The Appellate Division also held that the trial court properly denied Mr. Loury's summary judgment motion on his malpractice counterclaim because reasonable minds could differ on whether Mr. Martin's alleged failures would have changed the second judge's damages award, given the judge already found Mr. Argush not credible, creating genuine factual disputes precluding summary judgment. Also, the Appellate Division held that the trial court properly denied Loury's May 2023 motion to add Joseph Martin individually because the statute of limitations expired in February 2022, six years after the 2016 appellate remand when Mr. Loury incurred new legal costs, and relation back did not apply because Mr. Loury knew Mr. Martin's identity throughout and strategically chose to sue only Martin Law Firm in his 2019 counterclaim.