Judge Marvin Isgur recused himself from a fee dispute involving Jackson Walker LLP following his referral of the Texas law firm for disciplinary action. This referral stemmed from the firm’s failure to disclose a romantic relationship between attorney Elizabeth Freeman, then a partner at Jackson Walker, and former bankruptcy judge David R. Jones, who was known to be a close friend of Isgur.
Isgur’s decision to recuse himself was linked to an ongoing dispute involving Jackson Walker and the US Trustee, who is seeking to reclaim millions in fees earned by the firm in cases presided over by Jones. The relationship between Jones and Freeman was not disclosed, leading to significant ethical concerns.
The recusal introduces an unexpected turn in the already complex litigation involving Jackson Walker. Jones resigned last year after admitting to the non-disclosure, and Isgur had previously described Jones as his “adopted son,” raising questions about his impartiality in these matters.
Isgur’s recusal came shortly after he scheduled a December trial for one of the cases. The Jackson Walker disciplinary action has now been referred to Chief Judge Randy Crane of the US District Court for the Southern District of Texas.
The case in question is Altera Infrastructure Project Services LLC, Bankr. S.D. Tex., No. 22-90129, recusal 9/20/24.