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O’Melveny Restructuring Lawyers Author Daily Journal Article on Jewel DoctrineAugust 10, 2016
O'Melveny partners Suzzanne Uhland and Jennifer Taylor and associate Christopher Martin co-authored the August 10, 2016, Daily Journal article “Run the Jewel to the High Court.” The article discussed the ongoing debate over whether the estate of a bankrupt California law firm has the right to demand profits that its former partners generate from hourly fee matters at their new firms.
“Under the so-called 'unfinished business' rule, client cases and the future profits from such cases are the property of the original firm that represents the client. This standard, known as the 'Jewel doctrine,' stems from Jewel v. Boxer, 156 Cal. App. 3d 171 (1984), and seems to apply regardless of whether matter is taken on an hourly or contingency fee basis,” the authors write in the article.
The Ninth Circuit appeared poised to decide this issue, but instead kicked the case to the California Supreme Court.
Uhland is a partner in O’Melveny’s New York and San Francisco offices and Chair of the US Restructuring Practice, Taylor is a partner in the Restructuring Practice resident in the San Francisco office, and Martin is an associate in O’Melveny’s San Francisco office and a member of the Transactions Department.