Toussie v. Williams & Connolly, LLP

CourtDistrict Court, E.D. New York
DecidedSeptember 30, 2025
Docket1:20-cv-05921
StatusUnknown

This text of Toussie v. Williams & Connolly, LLP (Toussie v. Williams & Connolly, LLP) is published on Counsel Stack Legal Research, covering District Court, E.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Toussie v. Williams & Connolly, LLP, (E.D.N.Y. 2025).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK _____________________

No 20-CV-5921 (RER) (TAM) _____________________

ROBERT I. TOUSSIE

VERSUS

WILLIAMS & CONNOLLY, LLP, JOSEPH G. PETROSINELLI, DAVID A. FORKNER, JONATHAN E. PAHL, LUMPKIN & ASSOCIATES, PLLC, AND JONATHAN D. LUPKIN ___________________

MEMORANDUM & ORDER ___________________ RAMÓN E. REYES, JR., District Judge: This is a legal malpractice action. Defendants have moved to exclude plaintiff’s proffered legal ethics expert from testifying at trial. (See ECF Nos. 138 and 142). Defendants argue that plaintiff’s proffered expert is not qualified and that his opinions are unreliable or irrelevant. (ECF No. 139 (“W&C Mem.”) at 9-25). Plaintiff opposes the motions. (See ECF No. 140 (“Pl. Opp’n”)). After carefully reviewing the record, and for the reasons set forth herein, defendants’ motions are granted, and plaintiff’s proffered expert is excluded from testifying at trial. BACKGROUND I. Factual Background This action stems from a business arrangement gone sour, the roots of which reach back to 2000 when plaintiff Robert I. Toussie (“Plainitff”) and his brother Michael (collectively, “the Toussies”), invested $2.88 million in Coastal Development, LLC (“Coastal”), an entity run by Richard Fields (“Fields”). (Second Amended Complaint, ECF No. 47 (“SAC”) ¶¶ 14–15).1 That investment supported Coastal’s and Native American Development, LLC’s development of “two Hard Rock branded casino projects in Florida on land belonging to the Seminole Tribe of Florida.” (Id. ¶¶ 11–12). In return for their investment, the Toussies received an 11.7847% participation interest in the casinos. (Id. ¶¶ 14, 15–18). The casinos provided distributions of tens of millions of dollars to Fields

and Coastal, but they did not in turn pay the participation interest to the Toussies. (Id. ¶ 22; Memorandum of Law in Support, ECF No. 139 (“W&C Mem.”) at 4). In the early 2000s, the Toussies hired Williams & Connelly, LLP, Joseph G. Petrosinelli, David A. Forkner, Jonathan E. Pahl (“W&C Defendants”) to sue Coastal and Fields and recoup their participation interest. (SAC at ¶ 23; W&C Mem. at 4). That litigation resulted in a February 2006 settlement agreement “in which Coastal and Fields agreed to pay the Toussies more than $10.6 million constituting [participation] payments then due [].” (SAC at ¶ 24). The settlement agreement also contained a provision requiring all future disputes concerning the Toussies’ participation payments be resolved through

arbitration. (Id. at ¶ 23). Such an arbitration occurred in 2009 and resulted in an arbitral award of more than $27 million in the Toussie’s favor. (W&C Mem. at 4; ECF No. 139-12, ¶ 9). “In or about October 2015, Coastal and Fields stopped making [participation] payments to the Toussies.” (SAC at ¶ 48). Thus, in November 2015, the Toussies initiated the litigation that gave rise to their claims in this case (the “Coastal Litigation”) and thereafter hired the W&C Defendants and Lupkin & Associates, PLLC, Jonathan D.

1 For a more thorough, albeit somewhat brief, recitation of the facts of the underlying business dispute, the Court refers the reader to Magistrate Judge Taryn A. Merkl’s report and recommendation dated July 26, 2023. (ECF No. 113 (“Report and Recommendation”)). Lupkin, and Rebecca C. Smithwick (“Lupkin Defendants”) to represent them. (SAC at ¶¶ 50-54). The 2015 Coastal Litigation led to arbitration and a roughly $7.5 million arbitral award in favor of the Toussies. (Id. at ¶¶ 55-104). Plaintiff alleges that before the $7.5 million arbitral award was converted to a judgment (W&C Mem. at 5), a significant secured creditor of Coastal and Field offered to settle the Coastal Litigation whereby the Toussies

would receive monthly payments “in an amount not to exceed $41,470.56 per month” until April 2029. (Id. at ¶ 96; see also id. at ¶ 63, 91, 115). So, at that point in the Coastal Litigation, the Toussies confronted a choice of either accepting the proposed settlement or converting the $7.5 million arbitral award to a judgment and pursuing its enforcement. (See ECF No. 139-4). Defendants advised the Toussies on how to proceed with this choice (Pl. Opp’n at 9–12), and the Toussies chose to pursue conversion and enforcement of the arbitral award rather than settle the Coastal Litigation (SAC at ¶¶ 112– 13; W&C Defendants’ Rule 56.1 Statement Response, ECF. No. 139-3 (“W&C 56.1 Resp.”) at ¶¶ 199–200). Defendants’ advice and counsel in that regard is of what Plaintiff

now complains as legal malpractice. II. Brief Procedural History Plaintiff commenced the underlying legal malpractice action in New York State Supreme Court, Kings County on July 16, 2020. (State Court Summons, ECF No. 1, Ex. A). W&C removed the action to this Court on December 5, 2020. (Notice of Removal, ECF No. 1). After protracted litigation (see Report & Recommendation at 5–7), the Lupkin Defendants filed a motion to dismiss (ECF No. 55), and W&C Defendants filed a motion for summary judgment (ECF No. 69). Upon the recommendation of Magistrate Judge Taryn A. Merkl, and without objection from any party, the Court granted Defendants motions in part and “(1) dismiss[ed] Plaintiff's legal malpractice claim insofar as it was styled as a failure to object to the arbitration award, as that claim has been abandoned; (2) dismiss[ed] Plaintiff's fiduciary duty claim as duplicative; and (3) den[ied] the motions as to Plaintiff's negligent advice claim. . ..” (ECF Court Order Adopting Report and Recommendation dated 08/11/2023).

Following the close of discovery (ECF No. 122), Defendants filed pre-motion conference letters for anticipated summary judgment motions as to Plaintiff’s remaining claims. (ECF No. 123, 127). In the interim, the case was reassigned to the undersigned. (See Order dated 12/20/23). After reviewing the papers, this Court determined that a pre- motion conference was unnecessary and directed Defendants to commence motion practice on the discrete issue of excluding Plaintiff’s proffered legal ethics expert. (ECF Order Dated 03/05/2024).2 Defendants’ motions to exclude were filled, fully briefed, on May 17, 2024. (ECF Nos. 138-144). III. Plaintiff’s Proffered Expert

To prove his malpractice claim, Plaintiff proffers Professor Ronald J. Colombo as an expert “in the field of legal ethics and the practice of law.” (W&C Defs.’ Mot., ECF. 139- 2, Ex. 1 (“Prof. Colombo Report”)). Prof. Colombo offers his opinion based on the expertise he developed through his legal education at New York University Law School, his practical experience as an associate at Sullivan & Cromwell and then as in-house counsel at Morgan Stanley & Co. Inc., and through his scholarly work as a law professor at the Maurice A. Deane School of Law at Hofstra University (“Hofstra Law”). (Prof. Colombo Report at 4–5; Pl. Opp’n at 12). Plaintiff and Prof. Colombo both emphasize

2 The Court held the proffered summary judgment motions in abeyance pending its decision on the motions to exclude. (ECF Order Dated 03/05/2024). Prof. Colombo’s prior three-year experience as a member of the Committee on Professional and Judicial Ethics of the Association of the Bar of the City of New York (“New York City Bar Ethics Committee”) some twenty years ago, and his most recent law review article, Duties Regarding Duties. (Prof. Colombo Report at 4–5; Pl. Opp. at 12– 13). Upon further inspection, the Court also notes that since 2006 Prof. Colombo has

taught several courses at Hofstra Law, served as a faculty advisor to student organizations and academic programs for students desiring to concentrate in business law, and published at least fifteen law review articles, two books, and contributed to at least two other books. (Prof. Colombo Report, App. C). The vast majority of Prof.

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