Law notes: Morris Nichols, Fox Rothschild, Young Conaway, Baird Mandalas, Grant & Eisenhofer

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Four attorneys join Morris Nichols

Morris, Nichols, Arsht & Tunnell LLP welcomed four new attorneys.  The additions include three recent judicial clerks and one experienced bankruptcy lawyer.

“We are delighted to have four accomplished young lawyers join Morris Nichols,” said hiring partner Eric S. Klinger-Wilensky.  “Their contributions will advance the firm’s strong reputation as a leader in Delaware law.” [Not a valid template]

Joseph C. Barsalona II joined  the Business Reorganization & Restructuring group.  He focuses on in-court and out-of-court restructurings, distressed asset sales, and bankruptcy litigation.  Prior to joining Morris Nichols, Joe was an associate in the bankruptcy and corporate restructuring department at another prominent Delaware law firm and he served as a judicial law clerk in two federal bankruptcy courts.

Barsalona earned his J.D. (2012) cum laude from the Ohio State University Michael E. Moritz College of Law.  He studied international politics and economics, and theater arts at Middlebury College, graduating cum laude (2007).

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Jeffrey J. Lyons joins the Intellectual Property Litigation group.  Prior to joining the firm, he served as a law clerk to   Christopher J. Burke, U.S. District Court for the District of Delaware. Lyons  earned his J.D. (2017) magna cum laude from Temple University James E. Beasley School of Law; and B.A. (2009) magna cum laude in mass communication from York College of Pennsylvania.

Eric Moats joins the Business Reorganization & Restructuring group.  Prior to joining Morris Nichols, he served as a judicial law clerk for  Kevin Gross of the U.S. Bankruptcy Court for the District of Delaware and a law clerk to   Christopher J. Garrenger of the Superior Court of New Jersey.

Eric earned his J.D. and certificate in business and corporate law (2016) from Rutgers School of Law; and B.S. (2012) in marketing and economics from Utah State University.

Corinne R. Moini joins the Corporate & Business Litigation group.  Prior to joining the firm, she was a judicial law clerk to   William C. Carpenter, Jr. of the Delaware Superior Court. Moini earned her J.D. (2017) cum laude from the University of Richmond School of Law; and B.S. (2014) cum laude in psychology and B.A. (2013) cum laude in economics from Virginia Polytechnic Institute and State University.

Morris Nichols, Wilmington, combines a broad national practice of corporate, intellectual property, business reorganization and restructuring, commercial law and litigation with a general business, tax, estate planning and real estate practice within the State of Delaware.  

Smith Moore to merge into Fox Rothschild

Fox Rothschild LLP, which has an office in Wilmington,  will merge with Smith Moore Leatherwood LLP, effective November 1.

This move, which adds 130 attorneys to the firm, signals Fox’s first foray into the Southeast. The addition of six offices in Georgia, North Carolina and South Carolina gives the firm  27 locations nationwide and boosts its overall headcount to more than 900 attorneys.

“Expanding our footprint in the Southeast through this merger is an important milestone for the firm,” said Mark L. Silow, chair of Fox Rothschild. “We have explored opportunities in this region for many years and are delighted to have found in Smith Moore Leatherwood a firm with a superb roster of talented attorneys who share our values, our approach to client service and our entrepreneurial focus.” Silow said that the six added office locations “provide a base in some of the most rapidly developing markets in the country.”

Through the merger, Fox gains offices in: Atlanta, Georgia; Charlotte, Greensboro, Raleigh and Wilmington, North Carolina; and Greenville, South Carolina.

Fox has grown its national presence  over the past several years, including the addition of offices in Chicago in 2015, Minneapolis in 2016 and Seattle in 2017. This year, 23 attorneys from Shaw Fishman Glantz & Towbin LLC joined the firm’s Chicago and Wilmington, DE  offices. Also,  Fox merged with the six-attorney, Denver-based firm of Rollin Braswell Fisher LLC.

Law firm congratulates partners on judicial confirmations

The law firm of Young Conaway, Stargatt and Taylor, Wilmington, congratulated their attorneys  Kathleen S. McCormick and Craig  Karsnitz on their judicial confirmations.  Karsnitz will serve as a Judge on the Superior Court for Sussex County.

McCormick will serve as Vice-Chancellor in the Court of Chancery.  McCormick served as partner in the firm’s Corporate Counseling and Litigation Practice.

Vice Chancellors of the Court of Chancery are appointed by the governor, and then confirmed by a majority of all the members elected to the Senate, for a term of 12 years. Karsnitz will serve as a Judge on the Superior Court for Sussex County for 12 years. 

“We could not be prouder of Craig as he assumes this new role. He is extremely deserving and well qualified to serve in such a distinguished judicial position,” said James L. Patton, Jr., Chairman of the Firm. “His dedication to the legal profession and deep understanding of the law will serve our state judicial system well.”

Karsnitz, a partner in the firm’s Personal Injury Practice, has been a member of Young Conaway for 40 years, and has litigated in all of Delaware’s courts, principally in the Superior Court. He earned his J.D. from Villanova University School of Law and a B.A. from the University of Delaware.

In his appointment, Delaware Governor John Carney noted that Karsnitz and fellow state court judicial nominees were “distinguished members of the Delaware legal community, and have the knowledge, experience and judgment necessary to serve Delaware well as members of our world-class judiciary.”

Superior Court judges are appointed by the governor, and then confirmed by a majority of all the members elected to the Senate, for a term of 12 years.

Jury rules against overstock in gift card case

The Wilmington law firm of  Grant & Eisenhofer won a jury verdict on behalf of a whistleblower who exposed a scheme by Overstock.com  to avoid reporting and remitting to Delaware millions of dollars in dormant gift cards.

Stuart Grant, who recently retired as managing director of Grant & Eisenhofer, led the trial team, along with G&E director Mary S. Thomas and associates Laina M. Herbert.  

Following a five-day trial in Delaware Superior Court, a 12-person jury found that Overstock failed to report and remit unredeemed gift card balances that by law should have been reported to the State of Delaware as unclaimed property. As a result, Overstock was found to have violated Delaware’s False Claims and Reporting Act over a four-year period (2010-13). The unanimous verdict was handed down on September 20.

The aggregate amount of unreported gift card balances was just under $3 million – under terms of Delaware’s whistleblower statute, Overstock is liable for treble damages plus statutory fines and attorneys’ fees.  Total damages will be determined by presiding Superior Court Judge Paul R. Wallace. 

The jurors rejected Overstock’s claim that the unused gift card balances were transferred to CardFact and the company’s obligation had ended.  

“We are not surprised that the jurors had no trouble seeing through the scam that Overstock tried to pull,” Grant said. This case was simple and straight-forward. Overstock had a legal obligation to report and turn over almost $3 million dollars from unused gift cards to the State. The company knew the law and instead of following it, they intentionally tried to evade their obligation.  We are pleased that the jury saw through the CardFact scheme and held Overstock accountable.”  

Grant & Eisenhofer represented whistleblower William Sean French, a former employee of CardFact. Under Delaware’s False Claims Act, by reporting Overstock’s scheme to the State, Mr. French is entitled to receive a portion of the recovery. 

Bankruptcy judge application deadline nears

Chief Judge D. Brooks Smith of the United States Court of Appeals for the Third Circuit announced  the application process for two temporary  bankruptcy judgeships seated in Wilmington.

The applicant has to be the member in good standing of the bar in the highest court of at least one state, be of good character and have“outstanding legal ability and competence and demonstrate a good judicial temperament.

Other requirements include not be related by blood or marriage to a judge in the Third Circuit Court of Appeals. Salary is $191,360.

Applications must be submitted electronically by noon on October 5, 2018. To apply, go to www.ca3.uscourts.gov for more information or call the Circuit Executive’s Office at 215-597-0718.

Baird Mandalas Brockstedt has 11 attorneys on Delaware Today lawyer list

The law firm of Baird Mandalas Brockstedt, LLC (BMB)  announced that 11  of the firm’s lawyers have been chosen by their peers as “Top Lawyers 2018” by Delaware Today magazine. Delaware Today invited licensed attorneys from the 4,900-member Delaware Bar Association to vote for the top lawyers in each practice area. Top Lawyers 2018 will appear in the November edition of the magazine.

 The Baird Mandalas Brockstedt (BMB) attorneys and their practice areas are as follows: 

  • Kevin Baird – Trusts and Estates
  • Chase T. Brockstedt – Personal Injury, for Plaintiff
  • Thomas P. Carney – Land Use
  • Barbara S. Danberg – Trusts and Estates 
  • Kevin A. Guerke – Business-Commercial Law; Construction Law
  • Glenn C. Mandalas – Government Affairs; Land Use
  • Daniel F. McAllister –Employment-Labor Law (Employer and Employee)
  • John W. Paradee – Land Use
  • Stephen A. Spence – Appellate; Business-Commercial Law
  • Stephen W. Spence – Bank Law; Bankruptcy, Business
  • Edward A. Tarlov – Real Estate 

BMB has offices in Dover, Lewes, Georgetown and Wilmington.

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