Russell Shapiro and Mitchell Bryan, partners in the firm's Corporate & Securities Group, and Litigation Group respectively, recently published their article, "Managing Professional Liability Litigation Against Accounting Firms (Part 3)," the final installment in a three-part series discussing the basic components of a professional liability lawsuit brought against an accounting firm and its partners, and the factors a firm’s managing partner should consider before and during this type of litigation for utilizing applicable insurance coverage, maximizing effectiveness of defense and, where possible, bringing the controversy to conclusion by settlement. Part 3 was published in the November 2013 edition of CPA Practice Management Forum and discusses the latter stages of litigation from summary judgment proceedings through trial and will conclude with the mechanics of and strategies for settlement negotiation..
From the article:
Having completed most or all of pretrial discovery, with input from the accounting firm’s managing partner and the professional liability insurer’s claim attorney, the lead defense attorney must make a critical strategic decision toward bringing the litigation to conclusion. At this point in the case, based on the strength of evidence, fact and expert witness testimony, and law supporting the accounting firm’s defense, a determination must be made by defense counsel, the firm, and its insurer whether to seek full or partial summary judgment and/or pursue settlement efforts in earnest toward avoiding the risk of or positioning for resolution through a bench or jury trial.
This article is reprinted with the publisher’s permission from CPA PRACTICE MANAGEMENT FORUM.