Eagan Avenatti, LLP and Osborn Machler File Fraud and Legal Malpractice Claims Against Keller Rohrback, LLP on Behalf of Group of Individuals

Complaint Alleges Forgery, Fraud and Breaches of Duty

Dec 18, 2015, 14:50 ET from Eagan Avenatti, LLP from ,Osborn Machler

SEATTLE, Dec. 18, 2015 /PRNewswire/ -- Eagan Avenatti, LLP and Osborn Machler yesterday filed a lawsuit against Seattle law firm Keller Rohrback, LLP and two of its partners Robert S. Over and Glen P. Garrison claiming they forged an escrow agreement in connection with the 2012 purchase of HomeTown National Bank and made subsequent efforts to cover up its misconduct and mislead federal authorities.

One of the oldest and largest law firms in the region, Keller Rohrback is known for pursing high-profile cases such as the Volkswagen emissions scandal.

The lawsuit, filed by Newport Beach, California attorneys Scott H. Sims and Andrew D. Stolper along with Seattle-based attorney Simeon J. Osborn, alleges that Keller Rohrback lied to the 11 investors involved in the bank purchase, and intentionally deceived them by altering an escrow agreement they had signed.

The firm, according to the suit, then attempted to have the plaintiffs mislead authorities when federal regulators began to uncover the firm's misdeeds.

"The list of misconduct, misbehaviors, falsities and negligence alleged against Keller Rorhback is long and we want to ensure they are held accountable," said Sims.

According to the complaint, Keller Rohrback drafted an escrow agreement providing the plaintiffs were purchasing the bank along with Fairplay, Financial Inc., but after plaintiffs signed the escrow agreement, Keller Rohrback secretly altered the agreement to delete Fairplay as a purchaser of the bank.

The complaint further alleges this change was directly contrary to plaintiffs' understanding that Fairplay was a purchaser alongside them and could purchase the bank in its entirety in a short time span. The firm then proceeded to ensure the transaction closed under the forged escrow agreement, claim the attorneys.

"The evidence will show that Keller Rohrback not only forged the escrow agreement, but the firm continued to deceive the plaintiffs repeatedly," said Sims. "The plaintiffs justifiably relied on the lawyers and they took advantage of them."

Keller Rohorback then, as the suit states, attempted to cover up its fraud by suggesting the plaintiffs obstruct justice in connection with responding to subpoenas from the Office of the Comptroller of Currency (OCC). Plaintiffs allege Keller Rohrback did so by providing scripted false advice on how to respond to the OCC, which included attaching for production to the OCC the forged escrow agreement, which Plaintiffs had never seen, and telling them the firm assumed it was the only escrow agreement – a statement the firm knew to be false. 

Additionally, the firm failed to obtain a conflict waiver related to its partner Robert Over holding a $100,000 interest in Fairplay at the time of the Bank transaction, the complaint states. 

"For a firm that claims to honor the fundamentals of hard work, honesty and zealous advocacy, they certainly did not honor these attributes where it involves the plaintiffs and we are filing this claim to bring their forgery and misconduct to light and assure the plaintiffs are paid the appropriate damages as a result," said Osborn.

The 11 plaintiffs involved in the lawsuit include, Washington State residents Alan Chaffee, Jeanne DeMund, Yuping Chen, Matthew Wahlman, Ash Hanlon, Mike Scheffler, Michail Wilson, Nathaniel Heathcote, Peter Heathcote, Todd Hanger and Illinois State resident Laird Devick. According to the complaint, as a direct result of Keller Rohrback's misrepresentations, plaintiffs have suffered actual damages in an amount in excess of $3.73 million, the exact amount to be proven at trial.

About Eagan Avenatti, LLP
Eagan Avenatti specializes in litigating a variety of complex civil litigation in courts throughout the United States. With offices in Los Angeles, Orange County and San Francisco, Eagan Avenatti, LLP and its attorneys have obtained hundreds of millions of dollars in settlements and verdicts for plaintiffs nationwide.

About Osborn Machler
The attorneys at Osborn Machler represent plaintiffs in personal injury, products liability, and professional malpractice cases. Osborn Machler is noted for taking difficult cases and successfully taking them to settlement or trial. The firm has extensive experience representing injured persons against federal, state, and local governments. You can learn more about the firm, its cases and expertise at www.osbornmachler.com.


Mark Firmani (206) 443-9357
Firmani + Associates Inc.


SOURCE Eagan Avenatti, LLP; Osborn Machler