Adler, Barish, Daniels, Levin And Creskoff v. Epstein

Facts

From the formation of Adler (P) in February 1976, through March of the next year, Epstein (D) were salaried associates. In establishing P, its partners brought with them approximately 1300 cases from their old law firm, Freedman, Borowsky, and Lorry, in which they shared approximately half the profits, losses, and assets. D were salaried employees of the Freedman firm at the time P was formed. D left Freedman and went to work for P. While still working for P, D decided to form their own law firm and took several steps toward achieving their goal. They retained counsel to advise them concerning their business venture, sought and found office space, and early in March 1977, signed a lease. Before leaving, they procured a line of $150,000 from First Pennsylvania Bank. D furnished bank officials with a list of eighty-eight cases and their anticipated legal fees, several of which were higher than $25,000, and together exceeded $500,000. Each case was a P case on which D were working. D's employment relationship terminated on March 10, 1977. D continued to use offices of P until March 19. During this time, and through April 4, when P filed its complaint, D was engaged in an active campaign to procure business for his new law firm. D contacted clients by phone and in person. D advised the P clients that he was leaving the firm and that they could choose to be represented by him, P, or any other firm or attorney. D mailed to the clients form letters which could be used to discharge P as counsel. and naming D as counsel. D even provided self-addressed stamped envelopes. P sued D for a tortuous interference with business relations and was granted preliminary relief and entered a final decree enjoining D from his conduct up to a certain date and limiting correspondence to announcing his new firm. The superior court reversed, and the Supreme Court allowed an appeal.

Issues

Rule of Law

Holding and Decision

Legal Analysis

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