Legal fees for the defendants were estimated at between $10 million and $20 million. There was no telling how long the case would go on or how it would end. If the defendants were found guilty they would be liable for their own legal bills whereas if they were declared innocent, the partnership would pay. To get closure, I negotiated a flat advance payout to the defendants of $2.5 million, to cover any and all responsibility the partnership had for their legal expenses.
Interesting arrangement. Is the original legal responsibility on the part of the firm a standard arrangement in employment contracts?
