The Heller Ehrman estate is considering suing Covington & Burling and 14 partners who defected to the firm last September for breach of fiduciary duty, according to court filings and other sources. To many, the partners' defection was the straw that broke Heller's back. Many blamed the move for the collapse of merger talks with Mayer Brown. More to the point, the departures caused Heller to default on a bank covenant that restricted partner losses. The banks froze the firm's accounts, and the firm called it quits Sept. 26.
Heller May Sue Covington Over IP Group's Departure
July 7, 2009