Ethics

Raicevic v. Lopez, an unpublished opinion from the California Court of Appeal, deals with the familiar fact pattern where a transactional lawyer for one party is sued by the other party.  The lawyer had drafted a defective pledge agreement running from his client to the other side of the transaction.  The appellate court affirmed dismissal of the professional negligence claim, but held that plaintiff survived summary judgment on the negligent misrepresentation claim.  At least one of the theories was that the defective pledge agreement was, in effect, a representation that it was an effective agreement.  The opinion is long and carefully written, almost as if it had meant to be published.  The court also reinstated plaintiff's claim for fraud.