Legal Question in Legal Malpractice in California
There are 8 people in an investment only 2 wanted to file a law suit against the Receiver who failed in his duties to take over the corporate accounts as ordered by the courts ( the head of the corporation withdrew over $ 2 million while it was under Receivership ) . The 2 of us have spent a great deal of time and money getting to the point that we now have a solid case against this person . We hired an attorney that is based in both California and Nevada . The individual resides in nevada . Now the other 6 want in and so we introduced them to the attorney as it appeared we would have a stronger case as a group . However we have asked the new group to reimburse us for monies and time we have put out over the last 2 years getting it to this point . We have given our attorney copious notes , bank statements , a great deal of evidence for our case . The new group is not willing to entertain our proposal so we told the attorney to forget the others . She now informs us that she wants to take them on as clients too and while she says it would be better if we came together , she will also act as their attorney . I have asked if it is legal for her to share all our proprietary information we have given her over the last 3 or 4 months with them if we don't want her to . She has not answered the question . Is it legal for our attorney to use all our information to represent a new client without our permission ???????????
2 Answers from Attorneys
No, because of the potential conflict of interest you are asserting may exist among the members. But, it would be better to have all members participating with one attorney, as long as they aren't in danger of suing each other. You should work out an agreement to do so. Your request for immediate reimbursement was premature at best. If you win the case, you'll get your fees and costs awarded, as will all the others. At that point they can be properly apportioned among you all, with credit for any payments you made. IF you no longer have confidence in the attorney, get a new one. The old attorney will not be able to represent the others over your objection.
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