Thomson Reuters News & Insight
Featured Content from WESTLAW

Legal

  •  
  •  

Gavel 001 No Credit stockexpert image

Lowenstein partner suspended in NY fee dispute with former firm

11/27/2012 COMMENTS (0)

By Joseph Ax

NEW YORK, Nov 27 (Reuters) - A New York court Tuesday gave a Lowenstein Sandler partner a three-month suspension for refusing to immediately hand over a legal fee owed to his former firm.

Citing an earlier suspension by the New Jersey Supreme Court for the same conduct, the Appellate Division, First Department, made Michael Etkin's suspension retroactive to Jan. 4, 2012.

According to the ruling, Etkin, who is based in New Jersey, had worked on a securities litigation case for his former firm -- Ravin, Sarasohn, Cook, Baumgarten, Fisch & Rose -- and continued to work on the case after joining Lowenstein in 2000.

In 2003, Etkin received $218,000 in legal fees related to the case, of which $149,000 belonged to Ravin and the remainder to Lowenstein, the ruling said.

Etkin, who was embroiled in litigation with Ravin over salary he believed had been unpaid, did not send the fee to the firm, according to the ruling.

He eventually sent Ravin $112,000, which represented the fee minus the money he claimed he was owed, nearly a year and a half after he received it. The disputed salary was placed in escrow during arbitration of his claim, which was later resolved.

In December 2011, the New Jersey Supreme Court ordered Etkin suspended for three months.

Etkin urged the First Department to impose the less-severe sanction of public censure. He argued that he had an otherwise unblemished record and the conduct in question occurred during a rancorous fight with Ravin.

The First Department, however, imposed a reciprocal three-month suspension. In doing so, it noted that "great weight should be accorded to the sanction administered by the state where the charges were originally brought."

Justices Angela Mazzarelli, David Friedman, Leland DeGrasse, Helen Freedman and Sheila Abdus-Salaam made up the First Department panel.

Three federal courts in New York have imposed similar three-month reciprocal suspensions retroactive to Jan. 4.

Etkin's attorney, Hal Lieberman, declined to comment. Lowenstein did not immediately return a request for comment.

The case is Matter of Etkin, Appellate Division, First Department, No. 668.

For Etkin: Hal Lieberman of Hinshaw & Culbertson.

For the departmental disciplinary committee: Raymond Vallejo.

Follow us on Twitter @ReutersLegal | Like us on Facebook  


Register or log in to comment.

© 2013 Thomson Reuters