Class Action Counsel Conflicts

The ABA Journal has a report on a Seventh Circuit decision authored by Judge Posner that provides a poweful demonstration of the ethical challenges in class action representation. The case presents about as aggravated an instance of class counsel conflicts that one is likely to encounter.

The court overturned a settlement negotiated a class counsel who was facing significant financial and ethical problems. The class representative was his father-in-law.

We had previously reported on the Illinois bar proceedings against the lead attorney, which involved multiple instances of sexual harassment of employees and others.

The hearing board concluded

We recommend that Respondent be suspended for thirty months. His misconduct was offensive and pervasive (affecting his office staff, his neighbor and a citizen on a public street) and we found that it reflects adversely on his fitness as a lawyer. A suspension of this length is necessary, therefore, to maintain the integrity of the profession, to deter others from similar acts, and to protect those who would come into contact with him in a law office setting.

The case isa useful teaching example of the conflicts of interest that face class action counsel. (Mike Frisch)