Jury Finds Plaintiffs' Attorneys Committed Fraud

NATCHEZ, Miss., March 12 /PRNewswire/ -- A federal jury in Natchez, Miss., has found that Mississippi plaintiffs' attorneys William Guy and Thomas Brock committed fraud and breached the duty of good faith and fair dealing in asbestos claims they filed against Illinois Central Railroad.

The March 8 ruling in the U.S. District Court for the Southern District of Mississippi found that the two attorneys had fraudulently filed lawsuits on behalf of two individuals who already had received compensation for asbestos-related injuries in a previous lawsuit.

The jury found that the firm of Guy & Brock of McComb, Miss., submitted fraudulent information to the railroad to conceal their clients' involvement in the earlier case, which would have barred their clients' more recent claims against Illinois Central. The jury awarded Illinois Central full repayment  of the $210,000 paid on those earlier claims plus an additional $210,000 in punitive damages.

"Illinois Central is pleased that a Mississippi federal jury held these plaintiffs' lawyers liable for fraud in asbestos claims against us," said Karen Phillips, Vice President of Public and Government Affairs for Illinois Central.  "Our company will continue to aggressively pursue all suspected fraud or litigation abuses."

The jury found that Mr. Guy and Mr. Brock made false statements to Illinois Central by failing to disclose the previous involvement of their clients, Willie Harried and Warren Turner, Jr., in a mass tort claim for asbestos-related injuries originally filed in 1995 in Jefferson County, Miss.  That case, Cosey v. E.D. Bullard Co., resulted in a massive plaintiff verdict and was widely considered a driving factor that led to tort reforms in Mississippi.

Illinois Central entered into a settlement agreement with the Guy & Brock firm in 2002, leading to Mr. Harried and Mr. Turner receiving $90,000 and $120,000, respectively.  In the recent trial, both Mr. Harried and Mr. Turner stated that the plaintiffs' attorneys were clearly aware of their earlier involvement and financial settlements in the Cosey case.

"Fraud and abuse remain a significant issue in asbestos and toxic tort litigation," says Danny Mulholland of Forman Perry Watkins Krutz & Tardy, attorney for Illinois Central. "Attempts to game the justice system are deplorable, and we will continue to vigorously represent our clients in their efforts to uncover fraud."

Illinois Central was represented by Mr. Mulholland  and Tanya Ellis in Forman Perry's Jackson, Miss., office.

Forman Perry Watkins Krutz & Tardy is a national trial firm focusing on civil trial law with an emphasis on tort, environmental and commercial litigation. The firm is home to more than 85 attorneys in Jackson, Miss., Dallas, Denver, Detroit, Houston and New Orleans who have represented clients in state and federal courts across the U.S. for more than 20 years.  More information is available at http://www.fpwkt.com.

SOURCE Forman Perry Watkins Krutz & Tardy