A 2nd Circuit panel has ruled that Blank Rome could not continue representing GSI Commerce Solutions in litigation against BabyCenter, a wholly owned subsidiary of Johnson & Johnson, which the firm represents on compliance and privacy matters. The ruling is the first time the 2nd Circuit addressed whether a law firm infringed on its duty of loyalty by taking on a representation adverse to a client's corporate affiliate. The litigation grew out of a contract in which GSI agreed to operate an online store for BabyCenter.
August 20, 2010 at 12:00 AM
1 minute read
The original version of this story was published on Law.Com
A federal appeals panel has affirmed a lower court’s ruling disqualifying Blank Rome from representing a company adverse to a subsidiary of Johnson & Johnson, which is a client of the firm.
The 2nd U.S. Circuit Court of Appeals ruled that Blank Rome could not continue representing GSI Commerce Solutions Inc. in litigation against BabyCenter LLC, a wholly owned subsidiary of Johnson & Johnson, which the firm represents on compliance and privacy matters.
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