During trial and following cross-examination of the plaintiff, A. Michael Furman and Andrew S. Kowlowitz secure a nuisance value settlement of a legal malpractice action on behalf of a NYC litigation law firm in a case that presented liquidated damages in excess of $4.5 million, but settled for less than $25,000.8/30/10

FKB's client, a litigation law firm based in Manhattan, was sued by a former client who alleged that the law firm failed to conduct appropriate motion practice and take necessary remedial steps to vacate a default judgment, which exceeded the sum of $4 million (inclusive of interest). By way of background, the Plaintiff was formerly a defendant in an underlying personal injury action in 1989. Following Plaintiff's non-appearance in the underlying action, in 1992, a default judgment was entered in the amount of $1.25 million. Subsequently, Plaintiff retained counsel to vacate the default. Following a Traverse Hearing before a Special Referee in 2002 to determine whether process was properly served, the underlying court issued a decision affirming the default judgment.

The defendant law firm was then retained to take an appeal and file motion practice to vacate the default judgment. The legal malpractice plaintiff alleged that the defendant law firm failed to file a "Motion to Renew" the Special Referee's findings as respects service of process, and include in the "Motion to Renew" various affidavits and documentation pursuant to CPLR §2221(e). The legal malpractice plaintiff alleged that "but for" the acts of the defendant law firm, the underlying Court would have vacated the $4.5 million default judgment.

In this legal malpractice action, the Plaintiff sought the full amount of the judgment, in excess of $4.5 million. The legal malpractice action proceeded to trial before Hon. Carol R. Edmead of the New York County Supreme Court. Following aggressive, thorough cross-examination of the plaintiff's witnesses, Plaintiff was thoroughly discredited and agreed to settle the legal malpractice action for less than $25,000- the amount of legal fees owed his attorney.

FKB's client was represented at trial by A. Michael Furman and Andrew S. Kowlowitz.

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