Mass:Taxachusetts Robs Lawyers Who Helped It Rob the Tobacco Industry

NewsMax.com ^ | 11-04-03

[SheLion]

BOSTON – A lawyer for the two law firms that helped Massachusetts win $8.3 billion as part of the 1998 tobacco settlement accused the state Tuesday of breaking promises and penalizing the firms for being too successful.

"Is a deal a deal? Is a promise a promise? Is a contract a contract?" Robert Popeo said in opening statements for a lawsuit over how much the firms should receive for their work.

The state responded by arguing that the $2 billion total the firms are seeking violates the rule of reasonableness that governs attorneys' fees.

"Every 90 days for the next 20 years, they will receive over $8 million. The Commonwealth feels this is a substantial and reasonable fee," said assistant Attorney General Dean Richlin. "They say $775 million is not enough. The commonwealth says enough is enough."

The lawyers, awarded $775 million by an arbitration panel, have sued Massachusetts to recover an additional $1.25 billion over the next 25 years they say they're owed for negotiating a landmark settlement with tobacco companies. Richlin says this amount is equivalent to $17,000 for each hour they worked on the case.

The firms are the only ones nationwide to challenge how much they were paid for negotiating the massive $246 billion multistate lawsuit settlement. In other states, lawyers have agreed to receive less than what they were contractually owed.

Two law firms - Brown Rudnick Berlack & Israels and Lieff, Cabraser, Heimann & Bernstein - say they signed a 25 percent contingency fee agreement with Massachusetts in 1995 and in doing so took on all the financial risks to sue an industry that had never paid to settle any public health claims.

"There wasn't anything in there that said 'if we don't like the amount, we're not going to pay you,'" Popeo said.

As one of its key witnesses against the law firms, the state will present a former partner at Brown Rudnick who did the most work on the case.

Richlin said the state will also present three former presidents of Massachusetts Bar Association, who say $775 million constitutes a reasonable fee.

The three other firms that worked for Massachusetts have not joined the suit, but could stand to benefit if the court rules in the law firms' favor.

"Ultimately this case is going to determine whether the state is bound by the same laws as you and me," Popeo said.

[SheLion]

Do NOT forget!  It's the SMOKERS WHO PAY TAXES ON CIGARETTES that are paying for the Tobacco Settlement!  NOT the Government, and NOT Big Tobacco.  THE SMOKERS!

So.......are they going to raise taxes on cigarettes in Mass AGAIN??????

[SheLion]

The poor smokers in Mass...........sorry guys.

[2banana]

Some one should tell these lawyers that a government big enough to give you everything you want is also big enough to take away everything you have (with due respects to Tommy Jefferson)

[longtermmemmory]

I think this is hysterical. Taxachusetts made a deal and now they want to kill the goose that laid the golden eggs in order to get more eggs out.

If the attorneys prevail, they will be entitled to MORE fees because they had to sue to collect the fees.

ha ha ...... ha

[Mears]

The smart smokers in Mass don't buy their cigs in Mass.

They will keep adding taxes until there is a black market such as the one seen on the streets of New York City.

Psssst!!!!You want to buy a pack of cigs,bub?

[F.J. Mitchell]

Massachussetts really has these lawyers smoking. Hee,hee,hee, sue the lawyers for polluting the air. Poetic justice....injustice....whatever, is the sweetest kind.

[Sunshine Sister]

You can bet it won't be just smokers in NJ. They will pay no matter where they are from!

[#3Fan]

Mass:Taxachusetts Robs Lawyers Who Helped It Rob the Tobacco Industry

There's no honor among thieves.

[GeronL]

There they go again in Mass-a-taxes!!!

[blastdad51]

Watching sharks in a feeding frenzy can be breathtaking....or greedy lawyers fighting greedy politicians. Then again how do you tell the difference?!

[longtermmemmory]

Nope its a tiger by the tail. The politicians thought they were being "cute" buy trying to place a dollar cap. They were fools, it is like playing with black magic. The courts do not look at the amount of the fee as to whether the parties had a knowing agreement. The politicians have to basically testify that they were ignorant as to what they were signing.

They SHOULD have made a sliding scale in which the percentages go down as the dollar amounts go up at each incrimnet. Perhasp 25% of the first 50 million and then 20% of the next fifty and so on. reaching a maximum minimum of 5% per 50 million. But hey, these politicians are soooooo smart.

[Gabz]

Big BUMP for the morning!!!!

[Bonaparte]

"Is a deal a deal? Is a promise a promise? Is a contract a contract?"

Funny to hear a lawyer ask this. He, of all people, should know the answer:

Only If You Can Enforce It.

[metesky]

It is kind of gratifying, watching the hyenas sqabble over the bones.

[Leisler]

Democrats and their lawyers....

They'll get together again. Why, I wouldn'
t doubt that the lawyers are having trouble parking the money, and that later they will get more in intrest and penalties from Democrat judges.. Twisted, corrupt, dark but this is Massachusetts.

[Conspiracy Guy]

If I was from Mass LandoKennedy I'd only pay 1/4 of my state income tax. I'd attach a note saying, "I feel 1/4 is fair. After all enough is enough."

[SheLion]

I think this is hysterical. Taxachusetts made a deal and now they want to kill the goose that laid the golden eggs in order to get more eggs out.

It's like THIS longtermmemmory:

[SheLion]

You can bet it won't be just smokers in NJ. They will pay no matter where they are from!

Why do you think they want their paws in the Internet so bad????

[kittymyrib]

In Texas, the lawyers got 2.5 BILLION for doing practically nothing since the water on the tobacco suit was carried by other states and Texas was late to the trough. But one good result was that our dem Attorney General at the time, Dan Morales, got even more greedy, made up some false expense accounts for his trial lawyer buddies, and is now sitting in jail.

[Publius6961]

Do NOT forget! It's the SMOKERS WHO PAY TAXES ON CIGARETTES that are paying for the Tobacco Settlement! NOT the Government, and NOT Big Tobacco. THE SMOKERS!

I've known that all along.

And to the smoker, what difference does it make whether the state keeps more, or the law firms get more?
This does not affect the total amount, just how the legal thugs and the thugs with the guns divvy it up.