In This Issue:

• Mergers, Acquisitions, and Lateral Recruiting – Anti-Competitive Clause Found to be Unlawful Restriction on the Right to Practice – Solicitation of Non-Equity Partners Permissible
• Conflicts of Interest – Advance Waivers – Sufficiency of Disclosure – Who is a “Sophisticated Client”
• UPL – Fee Sharing – Texas Attorney’s Participation in NYSE Arbitration Not Unauthorized Practice of Law
• Conflicts of Interest – Adverse Representation – Representing a Client’s Competitor
  

Mergers, Acquisitions, and Lateral Recruiting – Anti-Competitive Clause Found to be Unlawful Restriction on the Right to Practice – Solicitation of Non-Equity Partners Permissible

Nixon Peabody LLP v. de Senilhes, Valsamdidis, Amsallem, Jonath, Flaicher Associes d/b/a Taylor Wessing France, 2008 WL 4256476 (N.Y. Sup.), September 16, 2008

Risk Management Issue: When two law firms engage in merger negotiations, what, if anything, can they do to prevent the other law firm from poaching their partners and associates if the merger falls apart?

Conflicts of Interest – Advance Waivers – Sufficiency of Disclosure – Who is a “Sophisticated Client”

Celgene Corp. v. KV Pharmaceutical Co., 2008 WL 2937415 (D.N.J.), July 29, 2008

Risk Management Issue: When – if ever – are advance waivers of conflicts of interest valid and binding on clients, and what are the requirements that lawyers must meet in order for them to be enforceable?

UPL – Fee Sharing – Texas Attorney’s Participation in NYSE Arbitration Not Unauthorized Practice of Law 

Prudential Equity Group, LLC, v. Thomas R. Ajamie, 538 F.Supp.2d, 605 (S.D.N.Y. 2008)

Risk Management Issue: What should law firms do to avoid or minimize the effectiveness of challenges to their fee-sharing agreements with lawyers from other states?

Conflicts of Interest – Adverse Representation – Representing a Client’s Competitor

UPDATE: Ulico Cas. Co. v. Wilson, Elser, Moskowitz, Edelman & Dicker, 2008 WL 4206216 (N.Y.A.D. 1 Dept. 2008)

Risk Management Issue: What steps should law firms consider in order to differentiate between business conflicts which may arise when representing clients with competing interests, and ethical conflicts of interest involving the direct adverse representation of current clients?

This newsletter has been prepared by Hinshaw & Culbertson LLP to provide information on recent legal developments of interest to our readers. It is not intended to provide legal advice for a specific situation or to create an attorney-client relationship.