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Grasso gets a break from the court
Legal Business | 2007/05/09 02:10
Richard Grasso, former chairman of the New York Stock Exchange, may get to keep his $190 million pay package after all, according to published reports.

In a 3-2 decision, the court yesterday dismissed four of the six charges brought by former New York Attorney General Eliot Spitzer.

Initially, Mr. Spitzer, now governor of New York, filed suit against Mr. Grasso in 2004, charging that the chairman’s $187.5 million pay package—which was accumulated between 1995 and 2003—violated state law.

Among the claims dismissed was the assertion that Mr. Grasso’s pay was not “commensurate with the services performed” and that it was “against public policy,” according to Bloomberg News.

As a result, lawyers representing the state will now have to prove that Mr. Grasso knew his pay was unreasonable.

Mr. Grasso has another case to contend with: Last year, a New York State Supreme Court ruling ordered him to return up to $100 million of his pay.

In that case, Mr. Spitzer argued that Mr. Grasso did not notify the NYSE’s board members of his rising pension benefits.

Mr. Grasso has already appealed that decision, saying that the board was aware of his pay, according to the New York Times.



Senate committee subpoenas Gonzales for Rove emails
Legal Business | 2007/05/03 07:14

The US Senate Judiciary Committee issued a subpoena to US Attorney General Alberto Gonzales Wednesday, demanding that he turn over any e-mails he received from White House political adviser Karl Rove relating to the US Attorney firing scandal. A White House spokesman accused the Committee of trying to create a media event and suggested that it should instead accept a White House offer to interview Rove in a private questioning session, not under oath. Gonzales has insisted that there was nothing improper about the US Attorney firings.

A series of emails released by the Department of Justice in March revealed that Rove originally suggested firing all 93 US Attorneys in January 2005, contradicting earlier assertions by the White House that the idea first came from former White House counsel Harriet Miers. The same month, the Senate Judiciary Committee panel subpoenaed Rove, Miers, and former DOJ Chief of Staff Kyle Sampson, rejecting Bush's interview offer. The House Judiciary Committee panel later subpoenaed Rove, Miers, and several aides to testify in a concurrent investigation.



Giuliani's Link to Texas Law Firm Could Cost Votes
Legal Business | 2007/05/02 09:32

Republican presidential candidate Rudolph Giuliani's links to a Texas law firm with connections to the oil industry could be risky, the New York Times reports. Giuliani joined the 400-lawyer firm, which added his name to become Bracewell & Giuliani in Houston two years ago. The report said affiliation likely accounts for the fact Giuliani's campaign has collected $2.2 million in Texas in the first quarter of 2007, more than any other candidate. His campaign raised twice as much in Texas as that of Sen. John McCain, R-Ariz., who had been expected to do well there.

Gene Karpinski, president of the League of Conservation Voters, told the Times Giuliani's association with the law firm could cost him votes.

From clean air to mercury pollution to global warming policies, Giuliani's firm has been perhaps the most anti-environment voice in Washington, representing some of the biggest corporate polluters, Karpinski said.

Publicly however, Giuliani has advocated increased use of nuclear power, natural gas, Alaskan oil drilling and ethanol to reduce U.S. reliance on foreign oil, the report said.



The Cochran Firm joins suit over tot's death
Legal Business | 2007/04/28 04:55

The law firm founded by the late Johnnie Cochran Jr. has joined the team representing a woman whose toddler was shot to death during in a gunbattle between the child's father and a police SWAT team, according to court papers.

Brian Dunn of The Cochran Firm filed papers this week, saying he has joined attorney Luis Carillo in representing Lorena Lopez.

Carillo filed a wrongful-death lawsuit on Lopez's behalf against the city of Los Angeles, Police Chief William Bratton and other police officers. The Cochran Firm has filed numerous lawsuits against law enforcement, including cases that involved officer shootings.

Nineteen-month-old Suzie Pena was killed by a police bullet as SWAT officers exchanged fire with her father, Jose Raul Pena, in 2005. Authorities said that Pena, who also was killed, used the child as a shield during the gunbattle.

In a court hearing Friday, Superior Court Judge Rolf M. Treu denied Carrillo's motion to review investigative reports and witness statements. Deputy City Attorney Christian Bojorquez had argued the documents were confidential.

The civilian Police Commission last year ruled that two officers who fired their weapons early in the standoff violated the department's use-of-force policy.

The district attorney's office declined to file charges against the officers involved in the standoff and shooting, saying they acted lawfully in defense of themselves and others.



Judge rules against police taping lawyer
Legal Business | 2007/04/28 01:49

A judge has ruled that there was not enough probable cause to allow recording of a conversation between an undercover police officer and a defense lawyer as part of an obstruction of justice investigation.

Some attorneys across the state were concerned about the case, worried it could impinge on their ability to effectively represent their clients.

The matter sprang from a domestic assault case involving defendant Terry Russ. After police had trouble locating witnesses in the case, including the victim, they initiated an obstruction of justice investigation. Russ eventually entered into a plea agreement.

But because of telephone conversations between Russ and his mother, Brattleboro police apparently suspected that his lawyer, Eileen Hongisto, may have been involved in the matter as well. Police obtained a warrant allowing an undercover detective to call Hongisto and, taping the conversation, pose as a witness asking if he should testify.

No charges were ever filed against Hongisto over the case.

This week Judge Karen Carroll of Windham District Court ruled that warrant should never have been issued and ordered that the tapes of the conversation be returned to Hongisto.

"A review of the affidavit in support of the search warrant in this matter reveals that it lacked the necessary probable cause to support the belief that Ms. Hongisto was involved in criminal activity or that evidence of a crime would be obtained through a phone call to her by an undercover police officer," according to the ruling.

The judge who issued the warrant, Katherine Hayes, recused herself from ruling on Hongisto's motion that sought the tapes of the conversation.

"I feel totally vindicated," Hongisto said Friday. "I hope by going as far as we did go with this that we protected defense attorneys."

"I knew I hadn't said anything wrong or done anything wrong, but I needed to have the public know that as well," she said.

Hongisto said she is not sure if she will file a civil lawsuit in the matter.

"I haven't thought that far ahead at all," said Hongisto.

Windham County State's Attorney Dan Davis said he did not see the warrant request before it was presented to the judge originally and his office will not appeal the decision reached by Judge Carroll on Tuesday.

"We have followed the judge's direction and returned the audio tapes to attorney Hongisto," he said.

Allegations of a crime must be investigated whether the accused is a lawyer or not, Davis said.

"If, in fact, there is an allegation that someone may be involved in violating the law, that matter ought to be looked into," he said.

But the investigation and tape recording of a conversation with a defense lawyer is unusual, he added.

"This is a very rare event," he said. "This is the only time I am aware of in my 32 years in law enforcement in the state … that this has happened."

Defender General Matthew Valerio said the judge's decision this week was the correct one.

"It vindicates Eileen Hongisto and it frankly supports my opinion and the opinion of many defense counsel that there wasn't probable cause to support the warrant," Valerio said.

"I never got the sense that people were going to practice law defensively" because of the case, he said. "It's not a dimmer switch. You either do it or you don't do it."

As for Hongisto, she said she will continue on in her general law practice.

The danger in the case for the practice of defense lawyers was that they would be blocked from advising their clients about the status of their cases, said Hongisto, who graduated from Vermont Law School and worked as a public defender before going into private practice.

"You wouldn't be able to give accurate and sound legal advice to your client," she said. "If you are not allowed to discuss those options with your client, how can they make an informed and voluntary decision."



Law firm sued over forgery by attorney
Legal Business | 2007/04/27 03:50

A prominent Denver law firm is being sued after one of its attorneys forged a federal judge's signature on a legal document.
The forgery allowed one of Faegre & Benson's clients to obtain a loan and pay the firm for work, according to the lawsuit filed Tuesday in U.S District Court in Colorado.

The attorney, Mark W. Fischer, admitted in a two-page letter that on April 25, 2005, that he "fabricated a false document which purported to be an order" signed by Judge Philip -Figa to release a lien against his client's property.

The lien had been entered against Judy Heumann after Infant Swimming Research won a breach-of-contract lawsuit against her.

"I accept full and sole responsibility for any and all improper conduct associated with this matter," Fischer wrote in the letter to federal magistrate Michael E. Hegarty.

Fischer said he asked Heumann to give $90,000 to his firm to deposit in court as bond for the release of the lien. Fischer said the money was never deposited.

After the lien on her property was released, Heumann obtained a loan from Countrywide Home Loans.

The state Supreme Court suspended Fischer on April 11 and he faces a disciplinary hearing.

Faegre & Benson partner Dave Stark said the firm learned of Fischer's conduct hours before he sent the letter April 9. Fischer resigned the same day.

"What Mr. Fischer described in his letter is inconsistent with the way Faegre & Benson has practiced law for over 100 years," Stark said.

Fischer declined to comment.

The company that sued Heumann is now suing Fischer and Faegre & Benson, saying they "failed to properly supervise Fischer." The suit also names Heumann.

"We believe that she had involvement and had notice of the fabrication of the (order) prior to March 28, 2007, when he found out about the fabricated order," said Douglas Jaffe, an attorney for Infant Swimming Research Inc.

Fischer, in his letter to the court, said Heumann was unaware the signature was forged.



McCullough quits County Council race, leaves law firm
Legal Business | 2007/04/25 00:17

Upper St. Clair attorney Charles McCullough, under scrutiny for his management of a widow’s trust fund, has dropped out of the race for an at-large Republican seat on Allegheny County Council, his former campaign coordinator said today.

McCullough also no longer works for Downtown law firm Eckert, the firm’s CEO, Tim Ryan, confirmed this afternoon.

"He is not employed by, nor associated with, Eckert Seamans," said Ryan, who declined further comment.

Ryan said the firm is still examining how McCullough helped manage a fund for Shirley H. Jordan, 90, of Upper St. Clair, that donated $10,000 each to a judicial candidate, three council members and a Catholic charity headed by McCullough's wife. The money was returned after the recipients learned that Jordan suffers from dementia.

McCullough was running against Republican Kevin Acklin for the council seat.



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