In a recent ruling, the US Court of Appeals for the Fifth Circuit denounced two Texas trial lawyers over “a barrage of personal attacks” against the opposing counsel in an ongoing fraud case. The case, dating back nearly a quarter-century, involves defendant counsels Stephen Khoury and C. Gregory Shamoun, whose behavior the three-judge panel labeled as “highly improper” for severely impairing the fairness of the trial.
The panel observed that the series of attacks by Khoury and Shamoun included personal allegations against the opposing counsel, mentions of plaintiff David Clapper’s wealth, and implications of his lower moral standards as being a Michigan resident. The judges additionally berated Shamoun for throwing a tissue box at Andrew Mychalowych, Clapper’s legal representative from SMV Law Offices in Troy, Michigan.
The long-standing legal dispute started back in 1999 when the defendants, American Realty Investors, Inc., sued Clapper for breaching an agreement related to the acquisition and management of several apartment complexes. After Clapper had an appeal win in 2004, a final judgment in his favor was passed down in 2016 amounting to over $50 million. However, following another favorable judgement for American Realty in related litigation, Clapper has again appealed for a new trial due to “prejudicial remarks” made by the defendant’s attorneys during closing argument.
In their agreement, the appellate judges stated that frequent inappropriate comments, including attacks against opposing counsel, references to Clapper’s wealth, mentioning matters not present in the record, appeals to local bias, and suggestions of Clapper’s ill motives were indefensible and have essentially deserted all “dignity, order, and decorum”. In conclusion, the Fifth Circuit issued a call for a new trial.
To get a detailed insight into the case and the ruling, refer here.