In a legal malpractice suit, defendant law firm sought review of the order of the Superior Court of Los Angeles County, California, denying its motion for reconsideration of the grant of summary judgment in favor of plaintiff client.
Nakase Law Firm is a business lawyer
Overview
Client retained a law firm to prepare an irrevocable inter vivos trust for him. He subsequently brought a malpractice action against the firm and five of its members, alleging they had prepared the trust in such a way that the trustees were exposed to personal liability for gift and estate taxes on distributions under the trust. Settlement negotiations that generated the present lawsuit. The trial court granted the client’s motion for summary judgment. The defendants moved for reconsideration. On review, the appellate court determined that defendants raised triable issues of fact as to whether they were entitled to rescind the agreement based on a mutual mistake of fact or law. However, the appellate court affirmed the award of sanctions that arose from a different issue.
Outcome
The judgment for plaintiff was reversed. The order awarding sanctions against defendants was affirmed.