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A Minnesota federal court has found Dorsey & Whitney liable for more than $877,000 for legal malpractice, breach of fiduciary duty and acting in bad faith for its role in a botched Indian casino deal. Affirming a U.S. Bankruptcy Court decision issued last year, U.S. District Judge Donovan W. Frank ordered Dorsey & Whitney to turn over $887,440 in legal fees it received from former clients it represented in orchestrating a finance deal gone awry for the Akwesasne Mohawk casino in upstate New York. In a 94-page decision, the judge determined that the 600-attorney firm breached its fiduciary duty of loyalty by representing two adverse clients at the same time and failed to inform its clients that it might have committed malpractice. [Read the U.S. District Court decision.] A spokesman for Dorsey & Whitney said the firm disagreed with Judge Frank’s decision, which it will appeal to the 8th Circuit Court of Appeals. Edward Gale, a partner with Leonard, O’Brien, Spencer, Gale & Sayre, in Minneapolis, represented the plaintiffs.

Related: Indian casino a bad bet for Dorsey & Whitney

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