In a highly anticipated decision concerning attorney-client conflicts, the California Supreme Court on Thursday found that the burden is on law firms to identify and disclose ongoing conflicts to potential clients.

The underlying case, Sheppard, Mullin, Richter & Hampton v. J-M Manufacturing Company Inc.,  pits the parties—an Am Law 100 law firm and the world’s largest plastic pipe-maker—against each other in a fight over millions of dollars in legal fees. But beyond the dollars at stake, the case has become something of a proxy fight between corporate clients who demand firm loyalty and large law firms which look broadly to generate more business.