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Toussie v. Allstate Ins. Co.

Flood Case Stayed to Resolve Retaining Lien; Insurer May Inspect Boxes at Christie's

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ORDER

*1  Plaintiffs Robert Toussie and Laura Toussie recently retained new counsel after the Court allowed their prior attorneys to withdraw. (See 1/9/2018 Order, ECF No. 144; 1/25/2018 Notices of Appearance, ECF Nos. 149, 2150). On February 15, 2018, the parties filed a joint status report in which they raise several issues for the Court’s consideration. (See generally Status Report, Feb. 15, 2018, ECF No. 153). The Court addresses each issue in turn. A. Former Counsel’s Retaining LienThe Toussies’ former attorneys from the firm Abrams, Fensterman, Fensterman, Eisman, Formato, Ferrara, Wolf & Carone, LLP (“Abrams Fensterman”) have asserted a retaining lien over the files and papers related to this action. (See Status Report at 1-2). On February 2, 2018, the Court entered a stay in the flood case to allow Mr. Toussie to attempt to resolve his former attorney’s retaining lien. See Toussie v. Allstate Ins. Co., No. 14 CV 2705, Slip. Op. at 2 (E.D.N.Y. Feb. 2, 2018), ECF No. 202.As the Court explained in its Order granting a stay in the flood case, in addition to the statutory charging lien and quantum meruit recovery, New York law allows an attorney who withdraws for “good cause” to assert a retaining lien until the client’s account is paid in full.

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