Legal professionals are scrutinizing the communications between Texas-based law firm Jackson Walker LLP and the crisis public relations firm Androvett Legal Media & Marketing following recent allegations involving the firm and a bankruptcy judge. According to an amended complaint, Jackson Walker resisted advice to publicly affirm its adherence to the “highest” ethical standards amidst accusations of a secret relationship between one of its lawyers, Elizabeth Freeman, and Judge David R. Jones, a bankruptcy judge who oversaw many of Jackson Walker’s cases.
The advice from Androvett suggested that Jackson Walker underscore its commitment to high ethical standards and conduct an internal review. However, the firm’s then-general counsel, Patrick Cowlishaw, advised against using phrases like “highest standards” and “internal investigation,” opting instead for language that would reflect the firm’s longstanding compliance with ethical requirements without elevating them to an uncommon standard.
Concerns about supporting Freeman, the lawyer involved in the relationship allegations, also emerged. Jackson Walker’s marketing director, Barbara Malin, highlighted the strategic risks of backing Freeman, fearing it might seem as though the firm was abandoning her while still cautioning against appearing negligent.
The revelation of the relationship in October 2023 has had significant repercussions, including the resignation of Judge Jones and subsequent litigation and investigation. The US Trustee is engaged in litigation with Jackson Walker over millions in fees concerning Jones-related cases, and the JCPenney’s plan administrator seeks to recover $2.6 million in fees paid to the firm in its role as counsel during JCPenney’s bankruptcy proceedings.
Internal Jackson Walker communications further reveal that several attorneys were aware of the relationship before official allegations arose in March 2021. These findings challenge the firm’s defense that it cannot be held accountable for nondisclosure by lower-level partners and associates.
Amidst this litigation, Jackson Walker has filed a motion to dismiss the suit, arguing that its actions did not impact the JCPenney estate and that the matters are concurrently being addressed by other authorities. While Jackson Walker has not immediately commented on the recent developments, it has previously denied any wrongdoing.
For further reading and detailed coverage, see the original report on Bloomberg Law.