"A federal appellate court panel awarded a legal victory to Dorsey & Whitney in a complicated and long-running conflict-of-interest case brought by a bankruptcy court trustee and 30 banks concerning a collapsed gambling-casino deal.
A split decision by a three-judge panel of the U.S. Circuit Court of Appeals this month overturned decisions by federal bankruptcy and district court judges who found that Dorsey lawyers were guilty of legal malfeasance. The appellate decision dovetails with a Minnesota Supreme Court decision in the same case that found in Dorsey's favor.
"We're very pleased with these results," said Tom Tinkham, a senior partner at Dorsey. "This is a vindication of the position we had all along: Dorsey had no conflict of interest and we're delighted the matter is concluded."
Bremer Bank, the biggest of the plaintiff banks that bought about $12 million in casino bonds, expressed disappointment with the decision. A lawyer for the trustee overseeing the bankruptcy of Dorsey's former client, investment bank Miller & Schroeder, said that he may ask for a review by the full Eighth U.S. Circuit Court of Appeals."
Get the Story:Neal St. Anthony: Appeals court deals Dorsey a victory in casino lawsuit (The Minneapolis Star Tribune 1/23)
