Congratulations to Partner Douglas M. Alba in convincing the Appellate Division to reverse the trial court’s dismissal of Kennedy Vuernick, LLC’s client’s Burlington County Fraud Complaint against an attorney and a law firm.
The Burlington County Complaint arose from a Gloucester County trial judge’s denial of Kennedy Vuernick, LLC’s client’s motion to amend its Complaint to include a law firm and an attorney as Defendants. As a result of that decision, Kennedy Vuernick, LLC’s client filed a separate suit against the law firm and the attorney for conspiring to violate the New Jersey Insurance Fraud Prevention Act by setting up an unlawful practice structure whereby a chiropractor controlled the medical entity, to the detriment of the plenary licensed physician. The Appellate Division agreed with Douglas’ arguments that the trial court in Burlington County erred by dismissing the claims against the law firm and attorney because they were never a part of the Gloucester County case and were thus subject to a different entire controversy doctrine rule, R.4:5-1(b)(2). The Appellate Division remanded the case back to the trial court to make factual findings because it failed to address the elements of that rule, whether a lesser remedy other than dismissal would be appropriate even if all elements were met and failed to discuss the statute of limitations or disgorgement.
https://www.njcourts.gov/system/files/court-opinions/2023/a0621-20a3211-21
