TBA Law Blog

Posted by: Suzanne Craig Robertson on May 4, 2012

The U.S. Court of Appeals for the Sixth Circuit has affirmed the convictions of two disbarred Kentucky lawyers for a scheme to bilk clients of settlement money in the "fen-phen" diet drug litigation. The case, which alleged that the drug caused heart valve problems, settled for about $200 million, plus an extra $450,000 to settle new claims. The  lawyers' retainer agreements with their individual clients called for each client's lawyer to collect about one-third of what the client recovered. According to the Sixth Circuit ruling, the clients ultimately received a total of about $73.5 million — less than 37 percent of the total settlement. Meanwhile, these lawyers and several others got $106.5 million. The National Law Journal has the story