DLA Piper 'churn' email surfaces in overbilling case

A former client of Anglo-US law firm DLA Piper has filed in court what he claims are internal emails from lawyers at the firm discussing deliberate overbilling and a 'churn that bill' approach.

Churn: DLA Piper cause a stir

Energy executive Adam Victor, who is challenging the firm over fees, said in papers filed in a Manhattan court that the emails ‘shock the conscience’.

Overdue bills

The claims surfaced following a lawsuit brought against Mr Victor in February 2012 for $678,763 for  overdue legal bills, reports the Connecticut Law Tribune.
DLA was hired in April 2010 by Project Orange Associates - owned by Mr Victor - to handle its bankruptcy. But a bankruptcy judge found that DLA's representation of General Electric created a conflict of interest and rejected the application to represent Project Orange.
Mr Victor contends that the firm continued to work ‘behind the scenes’ for the company, but DLA claims that Mr Victor asked to be represented ‘in his individual capacity’.

'Damning conduct'

Davidoff Hutcher & Citron co-managing partner Larry Hutcher and business litigator Josh Krakowsky wrote in the court paper that until now there has probably not been a written admission acknowledging engagement in ‘such reprehensible and damning conduct’.
They added that the ‘churning’ admission provides ‘a window into a culture of avarice and ruthlessness that casts a pall not only on DLA Piper, but on the entire legal profession.’
DLA Piper spokesman Josh Epstein said the firm does not  comment on pending litigation.

Email your news and story ideas to: [email protected]

Top