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Corporate Conflict Requires Disqualification

By Michael Frisch

The New York Appellate Division for the First Judicial Department reversed an order denying disqualification of counsel

Disqualification of David Wander as defendants’ counsel is warranted based on a conflict of interest. It is undisputed that Wander previously served as counsel for the corporate defendants and now purports to represent those defendants as well as their majority shareholder in an action brought against them by their minority shareholder and derivatively on their own behalf (see Deerin v Ocean Rich Foods, LLC, 158 AD3d 603, 608 [2d Dept 2018]).

(Mike Frisch)