In a recent judicial briefing, two lawyers from Duane Morris were alleged to have settled claims for a client without the client’s authorization. The indiscretion subsequently led to a lawsuit being filed against the client to enforce the disputed settlement. The lawyers implicated in the event, as outlined by U.S. District Judge Mark Kearney, are retired senior partner Steven Friedman and associate Kelly Bonner who, in 2020, confirmed a settlement agreement. This agreement required their client, the India-based affiliate of U.S. data entry servicer OKS Group, to drop three lawsuits against one of its purchasers, BSI Financial Services. The memorandum released revealed that Duane Morris’ lawyers had “jumped the gun.”
It is a critical aspect of legal ethics that lawyers must operate with the express authority of their clients when making any decisions that affect their clients’ rights, including settlement decisions. These allegations against Duane Morris pose serious ethical questions, which are expected to have significant ramifications within the firm and potentially the broader legal community
Complete details of this case are available in The Legal Intelligencer’s report.