Opinion

Milberg, Weiss, Bershad, Hynes, & Lerach, LLP v. State

  • 342 Ark. 303
  • 28 S.W.3d 842
  • 2000 Ark. LEXIS 472
Court
Supreme Court of Arkansas
Filed
Oct 12, 2000
Status
Published
Author
Imber
On the bench
Donald L. Corbin
Cited by
22 cases

holding that the trial court properly denied a motion to intervene when the motion would have caused the other members of the class to be prejudiced by the postponement of a settlement

How later courts described this case

  • holding that the trial court properly denied a motion to intervene when the motion would have caused the other members of the class to be prejudiced by the postponement of a settlement
  • refusing to address the argument raised by appellants on | n appeal that the chancellor erred in failing to join them as necessary parties under Rule 19, this court stated that it was “clear from the record that [it] was raised at the last minute and was never ruled on by the chancellor. It is well settled that the failure to obtain a ruling from the trial court is a procedural bar to our consideration of the issue on appeal.”
  • explaining that the Arkansas Constitution preserves sovereign immunity absent waiver
  • if “[a] party seeking intervention will be left with the right to pursue an independent remedy against the parties in the primary proceeding, regardless of the outcome of the pending case, then the party has no interest that needs protecting by intervention of right”

Written by the judges who cited it.

The opinion

Annabelle Clinton Imber, Justice, concurring. I fully agree with the opinion of the majority in this matter. I write separately only to emphasize one issue not fully addressed by the majority opinion.

Appellants premised their motion to intervene in the settlement agreement between the State and the tobacco companies upon what they alleged to be a contractual right to seek fees directly from the tobacco companies. This contractual right, they argue, stems from paragraph 3.D. of the contingency fee contract negotiated between Appellants and the State, which provides:

In order to reduce the amount of attorneys’ fees due Milberg Weiss, Milberg, Weiss will seek to recover the State’s attorneys’ fees and costs to [sic] the defendants pursuant to any applicable fee shifting statutes or legal doctrines in the event the State prevails in litigation. If the State successfully receives such an award of fees and costs from the defendants, any amount awarded shall be deducted from any fees and costs otherwise due Milberg, Weiss pursuant to the contingent fee provisions of this Contract.

Appellants’ reliance upon this provision is misplaced. Assuming for our purposes that the contract is valid, it does not bestow a right upon the Appellants. Rather, it creates an obligation. Appellants have a duty, not a right, under the contract to seek fees from the tobacco companies. The State, to whom the benefit of this obligation would flow, appears to have waived this obligation and relieved Appellants of their duty to seek fees directly from the tobacco companies by choosing not to designate Appellants as outside counsel on Exhibit S to the Master Settlement Agreement. Appellants may disagree with the State’s decision regarding this matter, but no right exists that is subject to impairment by the denial of intervention.

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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