A conflict-of-interest suit against K&L Gates is likely headed back to a Texas trial court after the state Supreme Court on Friday declined to take an interlocutory appeal.

Quantum Materials Corp. of San Marcus sued K&L Gates in 2018 in Hays County district court, alleging the firm engaged in a conflict of interest by representing the business and its lenders in a dispute over a loan. That dispute led to Quantum Materials being sued in three states.

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