FACTUAL AND PROCEDURAL BACKGROUND
William Saunders, Sr., an attorney residing in Hawaii, died on November 2, 2003. His wife, Gertrude Saunders, died slightly more than one year later, on November 27, 2004.
I. The Stonehill Claim
Prior to his death, William Saunders represented Harry S. Stonehill. On September 24, 2004—after the deaths of both Stonehill and William Saunders—Stonehill’s estate filed suit in Hawaii state court against the estate of William Saunders. Stonehill’s estate asserted that William Saunders committed legal malpractice, breach of confidence, breach of the duty of loyalty, and fraudulent concealment in connection with his representation of Stonehill. Specifically, Stonehill’s estate alleged that William Saunders provided damaging information about Stonehill to the Internal Revenue Service, thereby breaching the fiduciary duty he owed to Stonehill, and allegedly exposing Stonehill to considerable tax liability. Stonehill’s estate sought to recover damages of at least $90 million.
Judge(s): Milan D. Smith, Jr.
Jurisdiction: U.S. Court of Appeals, Ninth Circuit
Related Categories: Taxation
|Circuit Court Judge(s)|
|Milan Smith, Jr.|
|Petitioner Lawyer(s)||Petitioner Law Firm(s)|
|Thomas Daniel||Gelber Gelber & Ingersoll|
|Respondent Lawyer(s)||Respondent Law Firm(s)|
|Jonathan Cohen||U.S. Department of Justice|
|Kathryn Keneally||U.S. Department of Justice|
|Jennifer Rubin||U.S. Department of Justice|