Friday, May 20, 2011
Jacoby & Meyers has filed a lawsuit challenging restrictions on non-lawyer ownership and investment in law firms. A post on the Legal Ethics Forum links to various sources.
This is a very interesting development indeed - and would seem to me to benefit the corporate bar more than plaintiff-side personal injury firms like J&M, or at least as much. (Although looking at the J&M site I learned they are a "full service law firm").
The real action for mass torts is related, but not quite the same: the sale of claims or debt based on claims. See Tony Sebok, The Inauthentic Claim on SSRN. Another interesting article that takes a different approach to the question is Jonathan T. Molot, Litigation Finance: A Market Solution to a Procedural Problem, 99 Geo. L.J. 65-115 (2010). You can access it from his website here.