Hub law firm's bid to collect $1.25B in tobacco fees raises ire

Boston Herald ^ | 11/3/03 | David Weber

[Tumbleweed_Connection]

A Boston law firm is being tarred as a greedy embarrassment to the legal profession and a threat to Massachusetts' fiscal health as it prepares to go to trial today in its lawsuit against the state for $1.25 billion in legal fees on top of $775 million it already stands to collect.

The firm of Brown Rudnick Berlack Israels says it simply is asking the state to honor the terms offered to the firm to assist in a landmark lawsuit against the tobacco industry. The state counters that the 1998 settlement was so large that the 25 percent contingency is no longer reasonable.

``This lawsuit is about greed. Nothing else. Pure and simple,'' said former Maine Attorney General James E. Tierney, one of the states' principal negotiators of the tobacco settlement. ``For (Brown Rudnick) to claim a percentage of that money - not just past, but future - shocks the conscience.''

Brown Rudnick, which handles legal issues for the Herald, was hired by the state in 1995 to assist in the suit charging the tobacco industry with generally poisoning people's health and causing huge medical expenses. The suit ended in 1998 with a mammoth $246 billion settlement to be divided among all 50 states over 25 years, with additional money each year after that.

Massachusetts's share of the initial settlement is roughly $8.3 billion, and Brown Rudnick's contract stipulated that the firm receive 25 percent of any money recovered.

Legislative leaders said a Brown Rudnick court win could have a severe impact on state-funded medical services that have come to be paid for by the approximately $285 million annual payment.

Brown Rudnick spokeswoman Karen Schwartzman said, ``This trial will determine whether the commonwealth, after entering into two written contingent fee agreements, can now avoid its obligation to pay the 25 percent fee by claiming it is unreasonable.''

[Living Free in NH]

contract stipulated that the firm receive 25 percent of any money recovered.

Maybe Massachusetts should determine what the firm deserves for their work and then only accept 3X that amount from the tobacco companies.

[petitfour]

Sounds reasonable.

[longtermmemmory]

a deal is a deal. Unless you are a democrat and it involved money from said democrats power.

[Gabz]

``This lawsuit is about greed. Nothing else. Pure and simple,'' said former Maine Attorney General James E. Tierney, one of the states' principal negotiators of the tobacco settlement. ``For (Brown Rudnick) to claim a percentage of that money - not just past, but future - shocks the conscience.''

Yo Tierney, what do you think your lawsuit against smokers was about???????

I did not mistype here - the tobacco settlement was against only the smokers the lying theiving tobacco companies and AG's agreed that all the costs can and would be passed directly onto the consumers of the products.

If you must purchase cigarettes purchase them from one of the smaller companies that did not sign on to the extortion or roll your own.

[Conspiracy Guy]

Drivel comes to mind. If they were promised 25% then 25% it is. 25% of $1.00 or 25% of $1,000,000,000,000,000.00 is still 25%.

[SheLion]

I need to run errands. I will catch up on this one when I get back!!

[Just another Joe]

``This lawsuit is about greed. Nothing else. Pure and simple,'' said former Maine Attorney General James E. Tierney, one of the states' principal negotiators of the tobacco settlement. ``For (Brown Rudnick) to claim a percentage of that money - not just past, but future - shocks the conscience.''

Yes it is, by both the law firms AND the states.

[Gabz]

I agree.

Those attorney fees were part and parcel of the MSA - they don't want to pay them - then they shouldn't be collecting the money they agreed to pay.

The average person, due to the laziness of the lamestream press does not know that the tobacco companies are not paying one single penny of that money. Every single cent of it comes from the pockets of smokers.

It's part of why the states are screaming about internet sales of cigarettes - the amount of MSA money each state receives is based upon the sales of cigarettes IN the state.

If the idiots in the legislatures had not decided to balance their budgets on the backs of smokers by increasing the cigarette tax their share of the MSA money wouldn't be decreasing and they wouldn't be whining about upholding their end of the deals they cut with the shysters.

[Conspiracy Guy]

It's good to see a snake eat a snake.

[Judith Anne]

I think this is hilarious. Didn't they say this was for the children? Scumbags! Jerks! Lying sacks! Bleeping so and sos! I hope they get stiffed. Smokers are expected to pay for everything--to save the children from smoking, to keep the tobacco firms in business in spite of the fact that they caved, to support feel-good socialist programs that have nothing to do with smoking, to prop up the states' local revenues so they can raise the salaries of liberal judges and legislatures who consistently add regulation after regulation on the backs of those who are already groaning under the tons of paperwork and regulations...

Well, run-on sentence or not, you get my drift.

Bleep them all, I say. Just bleep the whole frikken lot of them.

[Conspiracy Guy]

"Bleep em all", says it all. I may use that as a future tag line.

[Gabz]

Couldn't happen to a better snake!!!!

[Judith Anne]

Hey, Fluury, feel free. ;-D

Gabz, great comments!

[Judith Anne]

Oops! Sorry, I spelled your name wrong in my reply, Flurry. Please accept my apology.

[Libertina]

I am getting to loathe lawyers and the greedy pols & judges who go along with this raping of the American people.

[Conspiracy Guy]

No problem. I keep the chips off of my shoulders.

[Conspiracy Guy]

It's time for the revolution to begin.

[Gabz]

Your comment (run-on sentence or not) says it all.

Bleep em all is dead on!!!!

[metesky]

I got a call last week from Phillip Morriss doing an online poll and had the extreme pleasure of personally telling one of their representatives pretty much what you just said, only without the online restraint.

Made me feel very good.