?
 
Judge for yourself whether you should consult with us. Review these eight interesting cases (followed by notable appeals):
 

1. Guarantor escapes paying $8 million. Three months before the scheduled trial, a New York law firm asked my partner and me to represent a guarantor sued for $8 million arising out of the largest mixed-use real estate development project in the world: "the case was an unmitigated disaster and they needed us to mitigate it."

"[T]he case was an unmitigated disaster and they needed us to mitigate it."

The almost identical case had already been lost by another firm, but a procedural technicality permitted the second case to proceed as if the first one had never occurred. Because of the other firm's prior loss, we offered $3.5 million to settle. Our offer was refused.

We went to trial arguing that the bank was guilty of bad faith for refusing to approve leases and improperly declaring a default. The bank offered evidence of more than $1 million in attorney fees incurred. After my cross-examination, however, this evidence was stricken by the Judge. The jury then found that our client was not liable to pay anything. Compare Chemical Bank v. Paul, 244 Ill.App.3d 772, 614 N.E.2d 436 (1st Dist. 1993), with Chemical Bank v. American National Bank, 180 Ill.App. 3d 219, 535 N.E.2d 940, 944 (1st Dist. 1989).

 
1983-1984
Above: Exhibit 64 from the Chemical Bank case. We wanted to show that the unpaid interest was less when the bank declared a default (point C) than it was when the bank wrote a letter stating that the loan was in good standing (point A). Substantial interest arrearage also existed when it again agreed in writing that the loan was not in default (point B).
 
 

2. The magic of new technology. A small company can effectively litigate against a larger opponent–if it fights smart. Two years ago, a large insurance company–a subsidiary of one of the largest insurance conglomerates in the world–sued a brokerage company with 12 employees for $3.5 million. It claimed that our client, the brokerage company, had failed to enact rate increases for a force-placed insurance program for sub-prime automobile loans.

"A small company can effectively litigate against a larger opponent- if it fights smart."

We computerized the whole case. We reviewed and processed approximately 100 boxes of documents produced, marking almost 2,000 documents as exhibits. Several of the many depositions lasted three or four days. The entire case file–exhibits, document indices, and deposition transcripts--was on a laptop computer. We could work on the case at home, on the train, or while sitting in a doctor's office.

  The case was staffed with one lawyer (Mr. Patterson) and two paralegals. Five years ago, three lawyers plus the paralegals would have been required.

The case settled shortly after we filed a motion for summary judgment. The insurance company requested that the terms of the settlement be kept confidential.
 
  3. Corporate coup d'etat. When a President of a company walked into the office for the first time, worry was etched into his face. Locked out and voted out of his office, a hearing was scheduled in a few days on whether he had violated a court order to return company equipment and to keep out of its premises. A prior attorney lacked the experience to take his case–and he needed help fast. The State's Attorney anticipated pressing criminal charges (and attended the hearing).

In a series of contested hearings, we defeated the motion to find him in contempt of court and then won back his company. Since that time we have drafted and negotiated his many agreements. Among them: licensing, shareholder, employment, and consulting contracts. So we first solved his legal problem and then helped him reduce future risks–a classic case of our holistic approach to business legal services.
 
  4. When real estate partners collide.
"The Limited Partners sought a preliminary injunction to stop the sale of partnership condominiums..."
When a general partner in a real estate partnership sought our help, the limited partners had already obtained a restraining order against it–to temporarily stop it from selling partnership condominiums to raise the funds to pay $2.5 million in partnership debts, some of which were owed to the general partner. The limited partners then sought a preliminary injunction to prevent the sale of the condominiums, arguing that the agreement and the law forbade the sales and that the sales were irregular.
  After we prepared a thorough analysis of the partnership contract, the Illinois Partnership Act, and a full explanation of the transactions from the relevant witnesses during three days of trial, the Court refused to prohibit the sales.
 
  5. Confronting the government. At the height of the so-called banking crisis, the federal government accused several bank officials and directors of making improper loans and other misdeeds. My clients–in one case a bank president, in others ordinary citizen directors--had never faced the terrifying might of the federal government. In each case, we were able to fight the government to a standstill and settle for nominal amounts. Very satisfying.
 
  6. Litigating ourselves out of a job. For several years we helped represent the Accreditation Council for Graduate Medical Education (ACGME) in cases filed in a variety of courts across the country–successfully enough that no one sues them anymore.
 
"For several years we helped represent the...ACGME in cases filed across the country- successfully enough that no one sues them anymore."

One program argued that if the court refused to continue its accreditation on an emergency basis, it would suffer irreparable harm because it would be unable to recruit qualified residents through the national Match program. From working all night on our research and briefs, we knew that the program had been in trouble before, but had recruited four doctors without the Match. After a long series of questions to "set the trap," we asked these questions:

 
Q: And it's your contention that irreparable harm would befall the program if you were not able to recruit persons with the aid of the Matching materials which only go for accredited residency programs, am I correct on that?
A: Yes, it is.

Q: But you're nevertheless extremely proud of Dr. M___, Dr. B__, Dr. N___, and Dr. B___, isn't that correct?
A: That's right.

Q: And you said they were all fine surgeons, right?
A: Yes, I did.

Q: And isn't it correct that none of them were obtained through the Match?
A: That was – that was during the period of time – that is correct –

Q: Thank you.
 
 
"Did the ego of the buyer or the buyer's lawyer get in the way?"

7. Amazing refusal to settle requires trial of foreclosure case. In 1997, we represented a real estate seller who had taken back a mortgage. The mortgage required monthly payments and a balloon payment of more than $300,000 in 2002. The buyer refused to pay certain sums due and owing on the mortgage, claiming that the seller owed him funds relating to the closing. Indeed, the seller did owe the buyer some money from the closing.

 
We held several meetings to try to negotiate a settlement. The judge tried to mediate a settlement. Did the ego of the buyer or the buyer's lawyer get in the way? It is impossible to say. The net amount the buyer owed us was less than $10,000 more than what we owed him at the critical time period. But we had to go to trial. We won. The amount due was therefore accelerated per the agreement, and the buyer was forced to make the $300,000 balloon payment to us within 90 days after the trial–and to pay our legal fees.
   
  8. The case that nobody wanted. Most frequently, we represent businesses, professionals, and entrepreneurs in business lawsuits, but a lawyer friend asked us to help a family whose law firm was dropping their wrongful death case. The family's existing law firm doubted that it could prove the case because of its peculiar facts and had decided to withdraw, leaving the family without a lawyer. We examined the file and disagreed with the prior lawyer. After two years of hard work in court, we obtained $1.5 million for the family in a settlement.
 
Notable Appeals  
  Moses' father-in-law first suggested a hierarchy of courts (See Exodus 18:13-26) and cases today are not always won or lost at the trial level. Out of more than 22 appeals that Mr. Patterson has handled, some in conjunction with other attorneys, here are some notable decisions:
 
  • In re: Marriage of Bennett, 131 Ill.App.3d 1050, 476 N.E.2d 1297 (2d Dist. 1985): modification of fee agreements to attorney's advantage is presumptively fraudulent. The case was featured in the Chicago Tribune's "On the Law" column on May 7, 1985.

  • Chemical Bank v. Paul, 244 Ill.App. 3d 772, 614 N.E. 2d 436 (1st Dist. 1993): one of the leading cases on the obligation of good faith in commercial dealings.

  • Franklin v. FMC Corp., 150 Ill.App.3d 343, 501 N.E.2d 887 (1st Dist. 1986): one of the leading cases on the intra state forum non conveniens doctrine (permits cases to be transferred between counties).

  • Heinrich v. Peabody, 117 Ill.2d 162, 510 NE 2d 889 (1987), which Mr. Patterson argued twice in the Illinois Supreme Court, is the definitive case on the pleading requirements for deciding who is responsible for the actions of an employee loaned by one company to another (loaned servant doctrine).

  • Interfaith Medical Center v.Sabiston, 527 N.Y.S. 2d 48, 136 A.D. 2d 238 (NY AD 1988): one of the leading cases in the nation on a private association's right to enforce its own rules.

  • McKenzie v. Romeiser, 205 Ill.App. 3d 830, 563 N.E.2d 837 (1990): in a case briefed and argued by Mr. Patterson, Justice Jiganti stated: "Both counsel on appeal were especially good lawyers."

  • Stofer v. First National Bank of Effingham, 212 Ill.App.3d 530, 571 N.E.2d 157 (5th Dist. 1991): doctrines of interference with contractual relations and duress.
 
  • "We represented God and won."
    Welsh v. Boy Scouts of America, 993 F.2d 126 (7th Cir. 1993): the boy scouts could exclude atheists. The Chicago Tribune (June 19, 1991), Wall Street Journal (March 16, 1992), and Chicago Sun-Times (March 14, 1992) all covered this case. I was quoted in my firm's newsletter: "We represented God and won."
Overture | Who We Are | What We Do | Our Work
Intelligence | Recruitment | For Lawyers Only | Contact Us
© 2001, Thomas E. Patterson