A California appeals court ruling from 1984 that a firm can sue a departing partner for profits lost from open cases.
Six partners who moved to Heller Ehrman from another dissolved firm, Brobeck, Phleger & Harrison, are facing a lawsuit from the Brobeck estate. The complaint filed this week seeks profits from unfinished Brobeck business.
The ruling, Jewel v. Boxer, holds that a law firm can recover profits from open cases lost when a partner leaves. Heller’s creditors committee cited Jewel in a motion seeking permission to proceed against the firm’s ex-partners.
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