A Pennsylvania state court judge disqualified Drinker Biddle & Reath LLP earlier this month from appearing for either defendant in a shareholder dispute involving a Philadelphia LLC that provides services to pharmaceutical companies. The opinion spotlights the conflict issues that can come up when representing an entity and its controlling member against a claimed minority
Identifying client is key in representing closely-held entities
When you represent a business entity, do you also necessarily represent the shareholders? How about the owners? What if there are just two of them? Representing closely held entities can raise thorny ethics issues for business lawyers. Model Rule 1.13(a) says that when you represent an organization, your client is the entity. And when you