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Former Mayer Brown Partner Gets 7 Years for Refco Fraud

New York Law Journal

Former Mayer Brown partner Joseph P. Collins was sentenced Thursday to serve seven years in prison for helping Refco executives defraud investors of $2.4 million -- crimes a federal judge said were motivated by "excessive loyalty" to his client. Judge Robert P. Patterson agreed with the defense that Collins did not profit from the fraud even though prosecutors pointed toward the millions in legal fees accumulated by Mayer Brown from the Refco account.

Despite Down Economy, Law Firms Say They'll Raise Billing Rates

Fulton County Daily Report

About 90 percent of the law firms responding to a new Altman Weil survey say they plan to raise billing rates this year, by an average of 3.2 percent. However, whether or not the firms will actually be able to achieve the increases is up to the clients, said Ward Bower, a principal at Altman Weil. Said Bower, "It's a little like buying a souvenir in a Mexican marketplace or a souk in the Middle East. They're going to tell you a price, but they expect you to haggle."

U.S. Law Firm That Sued China Reports Cyberattack

The National Law Journal

A Los Angeles law firm that recently filed a $2.2 billion copyright infringement suit against the People's Republic of China said that it has become the target of cyberattacks originating in China. The e-mails sent to Gipson Hoffman & Pancione came the same week that Google declared that it would stop complying with Chinese censorship requirements for the Internet following reports that several of its computer systems had drawn cyberattacks believed to originate in China.

Case on Christian Law Student Group Gets Supreme Court Star Power

The National Law Journal

In the Supreme Court battle between the Christian Legal Society and the University of California Hastings College of Law -- a potentially major First Amendment challenge on this term's docket -- both sides have added star legal talent to handle the likely April arguments. The case asks whether a public university law school with a non-discrimination policy can refuse to fund a student group because the group requires its voting members to agree with its core religious beliefs, thereby excluding gay and lesbian students.

9th Circuit: Police Can Be Sued for Coercive Interrogation of Teenage Murder Suspect

The Recorder

A 9th Circuit panel on Thursday reinstated many of the legal claims of a California man, who, as a 14-year-old, falsely confessed to killing his younger sister after grueling and coercive police interviews. Writing for a unanimous panel, Judge Sidney Thomas said the marathon questioning of Michael Crowe and his accused accomplice "shocks the conscience." Describing the teenagers as being "cajoled, threatened, lied to, and relentlessly pressured," the judge wrote, "'Psychological torture' is not an inapt description."

Freshfields Human Rights Panel Takes Unexpected Turn

The American Lawyer

A recent panel discussion at Freshfields in London that dealt with human rights and the detention of terror suspects took an unexpected turn when a Cleary Gottlieb associate stood up and objected to some of the panelists' views. In particular, the associate (seen in a YouTube video) characterizes a key member of Cageprisoners, a group that raises awareness about detention issues and Guantanamo Bay, as someone interested in jihad and possibly tied to al-Qaida.

Apple's Top Corporate Lawyer Leaves

The Recorder

Apple's top corporate lawyer, Charles Charnas, has left the company. His exit follows the departure of top Apple lawyer Daniel Cooperman, who was replaced in September by top Intel lawyer D. Bruce Sewell. Charnas was Cooperman's first big-name hire. He was brought on from Hewlett-Packard in April 2008 to rebuild the corporate side of Apple's department, which had been rocked by the stock option backdating scandal, which led to SEC civil charges against former Apple GC Nancy Heinen.

Prosecutors, Dreier Trustees Reach Liquidation Settlement

New York Law Journal

After months of negotiations, prosecutors have hammered out an agreement with trustees liquidating the estates of disbarred attorney Marc Dreier and his defunct firm. However, some hedge funds -- including Fortress Investment Group, which lost $84 million -- argued that the government and trustees had failed to consult them and said the court should defer approval of the agreements until they could ascertain what was "in store" for them. New York federal Judge Jed Rakoff said he would issue his ruling by the end of the month.

Haiti Veteran, Former Akin Gump Associate Discusses What Lawyers Can Do to Help

Texas Lawyer

Prize-winning author Ben Fountain is a former associate with Akin Gump Strauss Hauer & Feld who has made numerous trips to Haiti. He first visited Haiti in 1991 and traveled there twice a year for many years, visiting friends and exploring remote parts of the country. Interviewed after this week's devastating earthquake, Fountain offered his thoughts on what lawyers can do to help the people of Haiti.

O'Connor Will Keynote Forum on Supreme Court Election Cases

The National Law Journal

In her continuing campaign to spotlight the way in which state judges are selected, retired Supreme Court Justice Sandra Day O'Connor will speak at a Georgetown University Law Center forum on two Supreme Court decisions affecting the debate, one of which -- Citizens United v. Federal Election Commission -- has still not been announced. Citizens United involved the 2008 presidential campaign, and has been framed mainly in terms of federal campaign laws, so how does it affect state judicial elections?

9th Circuit Sympathetic to Privacy Act Suit Over Release of Pilot's HIV Status

The Recorder

Stanmore Cooper admits he shouldn't have concealed his HIV status when filling out a medical form for pilots, but he was horrified when that information was freely shared among several federal agencies. A sympathetic-sounding 9th Circuit seemed ready this week to let Cooper proceed with a case against the agencies under the Privacy Act. The key issue is whether the "actual damages" allowed for willful and intentional violations of the act include non-pecuniary damages, such as those for emotional and mental distress.

Trial Opens in Katrina Hospital Death Case

The Associated Press

Althea LaCoste, a frail woman who needed a ventilator to help her breathe, died hours after Hurricane Katrina knocked out the emergency power at Pendleton Methodist Hospital in New Orleans. More than four years later, her family is asking a jury to hold the hospital liable for the death of the 73-year-old, one of more than 100 people who died at hospitals or nursing homes in Katrina's aftermath. The trial is believed to be the first for a lawsuit over a hospital patient's death after the August 2005 hurricane.

Geithner Agrees to Testify About AIG E-Mail Exchange

Corporate Counsel

Treasury Secretary Timothy Geithner on Thursday agreed to testify at a congressional hearing about the federal bailout of American International Group. The hearing, now scheduled for Jan. 27, will look at how and why AIG paid 100 cents on the dollar to certain banks in credit default swaps. Geithner is the former president of the Federal Reserve Bank of New York, which worked with AIG on its bailout.

IPotential Founders Fight for Control of Patent Brokerage

The Recorder

The founders of patent brokerage IPotential have split up in an acrimonious business breakup. Joe Chernesky, president of IPotential, claims that CEO Ron Epstein tried to buy him out of the lucrative business, and when that didn't work, pushed him out. The fight between the two former friends culminated when Epstein allegedly disconnected Chernesky's computer access and demanded his keys to the office. The lawsuit reveals new details about the company and the long-simmering dispute.

Justice Scalia's Musical Interlude

The National Law Journal

The once-media shy Justice Antonin Scalia has opened up on the interview circuit in recent years, and recently gave perhaps his zaniest interview to date on WQXR, the New York City classical music station. The station's "Mad About Music" program invites celebrities to discuss and play their favorite music on the air. For Scalia, it was almost certainly the only time he has been asked a question containing the words "lap dance." He also revealed a favorite pop song from his college days.

U.K. Litigation Review Proposes Overhaul of Contingency Fees

Legal Week

The use of contingency fees in U.K. litigation has emerged as one of the key areas for reform in a new review of civil litigation costs, published Thursday. Lord Justice Jackson has proposed that U.K. lawyers will be allowed, for the first time, to take a slice of their client's damages, acknowledging that the "arguments in favour of contingency fees ... outweigh the arguments against." However, he says safeguards should be introduced to protect clients from any negative impact of contingency fees.

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5 Steps to Manage Social Media Risks

Corporate Counsel

Social media are becoming increasingly central to corporate communications, but with them come new risks as conversations get too casual and typing too loose. Reed Smith partner Douglas J. Wood suggests five steps corporate counsel can take to deal with social media and their risks.

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Lateral Market Heating Up, but Will It Last?

The Legal Intelligencer

In 2010, lateral hires and group acquisitions seem to be a trend for Pennsylvania law firms. Blank Rome, Marshall Dennehey and Morgan Lewis & Bockius are some of the firms that have added laterals to their rosters in the past two weeks. But not all consultants agree the trend will last. Jerome Kowalski warns firms to be cautious, saying, "My expectation is that after this initial spurt of lateral activity, these law firms are all going to be terribly disappointed because the business flow just isn't there."

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KamberEdelson Breaks Up After 2 Years

The National Law Journal

KamberEdelson, a New York-Chicago firm that sues technology companies in class actions and defends former Illinois Gov. Rod Blagojevich in civil suits, is splitting up after two years. With their friendship still intact they say, Jay Edelson will form Edelson McGuire with 17 lawyers and Scott Kamber will create KamberLaw with eight lawyers. Edelson said he is styling his firm after the technology companies he has sued, putting a ping pong table in the firm's Chicago office and only taking "fun" lawsuits.

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