A federal magistrate judge in Philadelphia who brokered a global settlement in the wake of the ugly breakup of class action powerhouse Cohen Milstein Hausfeld & Toll in Washington, D.C., has now declared that lawyers on both sides acted in “bad faith” and violated the terms of the settlement.

The dispute stemmed from the ouster of attorney Michael D. Hausfeld — who was voted out of the Cohen Milstein firm in November 2008 and later formed his own firm with 20 CMHT lawyers who followed.

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