Law firm can’t sue McCourt preemptively, judge rules

Bingham fears malpractice claims by Dodgers owner

August 19, 2011|By Taryn Luna, Globe Correspondent
  • Frank and Jamie McCourt in September 2008 after a Dodgers game in Los Angeles. They filed for divorce in 2009.
Frank and Jamie McCourt in September 2008 after a Dodgers game in Los Angeles.… (CARLOS DELGADO/ASSOCIATED…)

A Massachusetts judge today blocked a Boston law firm’s attempt to be cleared of any possible liability for mistakes in a postnuptial marriage agreement between Frank McCourt and his estranged wife Jamie over ownership of the Los Angeles Dodgers.

Superior Court Judge Janet Sanders dismissed law giant Bingham McCutchen’s request for the court to find that its attorney who wrote the McCourts’ marital agreement acted properly and the firm not face legal malpractice because of losses Frank McCourt suffered in his divorce proceedings.

“Our argument was that the wrongdoer cannot sue its victim,’’ said Thomas F. Reilly, the former Massachusetts attorney general who represented Frank McCourt in the case for the firm of Cooley Manion Jones. “I’ve never seen anything like it, and the courts have never seen anything like it, not just here in Massachusetts, but all over the country.’’

Bingham said in a statement that it was “disappointed’’ with the court ruling, which effectively means the firm “must await Mr. McCourt’s filing of a suit to have its day in court.’’ The firm added that it is studying the court’s ruling to determine its next step.

The baseball team, meanwhile, has sought bankruptcy protection after a messy dispute with Major League Baseball, in part over the McCourts’ allegedly personal use of team proceeds.

The dispute stems from the martial property agreement that Bingham lawyer Lawrence Silverstein drew up for the McCourts in the spring of 2004 as they prepared to move to California to become owners of the Dodgers. According to court records, the McCourts signed two sets of documents, which should have been identical in giving Frank McCourt sole ownership of the Dodgers. But one set of documents failed to identify Frank McCourt as the sole owner.

Silverstein, according to records, later caught the mistake and substituted what he believed were the correct documents - giving sole possession to Frank McCourt - without consulting either of the two. The error went unnoticed by the couple until Jamie McCourt filed for divorce in Los Angeles in 2009 and a bitter battle ensued.

In December, Silverstein testified to his mistake in a California Superior Court and the judge ruled that the documents were invalid because they didn’t provide evidence of an agreement on the ownership between the McCourts.

McCourt has threatened to sue Bingham for malpractice to recover losses associated with ceding half of the Dodgers, valued by some estimates to be worth more than $500 million, to Jamie McCourt. He is also refusing to pay legal bills owed to the firm.

Earlier this year, Bingham sued McCourt for a declaration that the services performed by the firm met the standard of care for a professional providing legal representation and that the firm’s actions “did not cause McCourt to suffer any loss with respect to his ownership of the Dodgers.’’

Superior Court Judge Janet Sanders threw the suit out, noting that “virtually every state’’ had refused to allow a legal party “to beat the alleged victim of the tort to the courthouse.’’

Reilly, Frank McCourt’s lawyer, said that although his client has threatened to sue Bingham, nothing is imminent.

McCourt’s divorce and legal disputes with Major League Baseball would need to conclude before he could assess the damages incurred from the flubbed agreement, Reilly said.

Taryn Luna can be reached at tluna@globe.com.

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