Sep 20, 2006 Kent L. Richland
Attorney disqualification order reversed in first-impression case

Fremont Indemnity Co. v. Fremont General Corp. (2006) 143 Cal.App.4th 50 (California Court of Appeal, Second District, Division Three (Los Angeles)) [published]. Marc Poster and Kent Richland secured this victory.

The Court of Appeal held that the trial court had erred in disqualifying GMSR’s client law firm from representing Fremont General in an action brought by the Insurance Commissioner on behalf of Fremont General’s former subsidiary, Fremont Indemnity, now in liquidation. Deciding an issue of first impression, the Court concluded that the client law firm’s simultaneous representation of Fremont General and Fremont Indemnity in unrelated actions while those two entities were adverse in a third unrelated action did not constitute a conflict of interest requiring disqualification.