Ex Parte Burr & Forman, LLP

5 So. 3d 557, 2008 Ala. LEXIS 195, 2008 WL 4182829
CourtSupreme Court of Alabama
DecidedSeptember 12, 2008
Docket1060801
StatusPublished
Cited by18 cases

This text of 5 So. 3d 557 (Ex Parte Burr & Forman, LLP) is published on Counsel Stack Legal Research, covering Supreme Court of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ex Parte Burr & Forman, LLP, 5 So. 3d 557, 2008 Ala. LEXIS 195, 2008 WL 4182829 (Ala. 2008).

Opinion

MURDOCK, Justice.

Burr & Forman, LLP, petitions this Court for a writ of mandamus ordering the St. Clair Circuit Court to dismiss the underlying action or, in the alternative, to transfer it to the Jefferson Circuit Court. For the reasons stated herein, we grant the petition.

I. Background

This mandamus petition arises from an action filed in the St. Clair Circuit Court by A. Dwight Blair, William Trussed, and their law firms, respectively, Blair and Parsons, P.C., and Trussell & Funderburg, P.C. (collectively referred to herein as “Blair and Trussed”), against the law firm of Burr & Forman, LLP. In their action, Blair and Trussed alleged that Burr & Forman violated an agreement into which the parties had entered in 1994 (“the 1994 agreement”) whereby they associated one another and agreed to share attorney fees in certain cases relating to the alleged release of contaminants into the environment by Monsanto Company (“Monsanto”).

At the time the parties entered into the 1994 agreement, which was memorialized in a letter from Blair to Frank Davis (a partner at Burr & Forman at the time), there were two pending lawsuits related to alleged discharges by Monsanto in which the parties were serving as counsel, Dyer v. Monsanto Corp. and Shelter Cove Management v. Monsanto Corp. Blair’s letter stated:

“The purpose of this letter is to confirm our agreement to associate each other in the [Dyer and Shelter Cove ] *559 actions and in all other claims which each firm may pursue or handle arising out of the actions of Monsanto and all other parties responsible for the placing of PCBs [polychlorinated biphenyls] and other contaminants in the waterways of Snow Creek, Choccolocco Creek and Lake Logan Martin.
“1. Fees and Expenses
“Any attorneys fees obtained in either of the above actions or in any other claims or lawsuits which may be pursued by either firm (including but not limited to claims for business loss and/or personal injury arising out of Monsanto’s or others’ conduct in placing PCBs and other contaminants in Snow Creek, Chocco-locco Creek and Lake Logan Martin, whether such claims are asserted in a class action or are asserted on an individual basis) will be divided as follows: 60% to Burr & Forman, 20% to my firm and 20% to Trussell & Funderburg. Expenses will be paid on a similar basis: Burr & Forman will pay 60% of expenses, my firm will pay 20% of expenses and Trussell & Funderburg will pay 20% of expenses; however, neither my firm nor Bill’s firm will be required to pay more than $20,000 (each) of the expenses. Frank will furnish Bill and me an itemized list of expenses before we are called upon to pay our share and any anticipated expense of more than $1,000.00 will be discussed by Frank and Bill and me and will be agreed to by Bill and me prior to the incurring of such expense (e.g., the hiring of experts).
“2. Procedural Matters
“Before the certification hearing, I will file a conditional motion to dismiss, without prejudice, all of the parties in the Shelter Cove action, except Harris, and will dismiss, without prejudice, all claims for business loss. This motion will be conditioned upon the Court’s certifying The Class of property owners whose property has been devalued and whose riparian rights have been adversely affected by the wrongful conduct of Monsanto, etc. You would then file an appearance for Harris.
“Before the certification hearing, Frank and Bill will file a conditional motion to dismiss, without prejudice, all of the parties in the Dyer action, except those three, four or five who you decide will remain as Class representatives, and except those parties presently named who have personal injury or loss of income claims. I will then file an appearance for those Class representatives, as well as the remaining parties who have personal injury or loss of income claims.
“The three of us will file a joint motion to consolidate the two cases for all purposes.
“If this does not represent your understanding of the agreement, please let me know immediately.”

The Dyer and Shelter Cove actions were settled in June 1999.

In May 2001, attorney Richard Roden and Burr & Forman, acting as cocounsel, sued Monsanto in the United States District Court for the Northern District of Alabama on behalf of 3,000 plaintiffs based on personal injuries and property damage allegedly caused by Monsanto’s release of contaminants into certain waterways (“the Tolbert litigation”). Blair and Trussell were not associated as counsel in that action. In January 2003, Davis and John Norris, another partner at Burr & For-man, left Burr & Forman and formed the law firm of Davis and Norris LLP (Davis, Norris, and their law firm are collectively referred to hereinafter as “Davis and Norris”). Davis and Norris were retained to represent the same clients in the Tolbert *560 litigation they had been representing while they were partners at Burr & Forman.

The Tolbert litigation ended in September 2008 with a settlement agreement between the parties that was incorporated into a final judgment by the federal district court. The settlement proceeds and attorney fees generated by the Tolbert litigation were placed in a settlement fund under the supervision of the federal district court.

On October 17, 2003, Davis and Norris filed a complaint in the Jefferson Circuit Court against Burr & Forman and Blair and Trussell (“the Jefferson County action”), seeking a judgment declaring the appropriate distribution of the attorney fees generated by the Tolbert litigation. Through their complaint, they sought “a declaration as to whether Blair, Trussell or their respective law firms have any right or entitlement to part of the fees paid for representation of the clients in Tolbert.” They also sought

“a declaration of the rights of Davis, Norris and their new law firm, known as Davis and Norris LLP, regarding representation of clients in contingent fee matters that began while they were partners at Burr [& Forman], but whom they continued to represent after their withdrawal from Burr [& Forman], including but not limited to, the work they performed in Tolbert.”

On October 30, 2003, Blair and Trussell filed a complaint against Burr & Forman in the St. Clair Circuit Court (“the St. Clair County action”). In count one of their complaint in the St. Clair County action, they sought “a declaratory judgment that they are entitled to a total of forty percent (40%) of any attorneys’ fee awarded to the defendant, based upon the 1994 Agreement,” an injunction giving effect to the requested declaration, and an injunction prohibiting Burr & Forman “from spending or disbursing any attorneys’ fees awarded in the

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Bluebook (online)
5 So. 3d 557, 2008 Ala. LEXIS 195, 2008 WL 4182829, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ex-parte-burr-forman-llp-ala-2008.