Sunday, April 14, 2013

Smith v. Haynsworth, Marion, McKay & Geurard case brief

Smith v. Haynsworth, Marion, McKay & Geurard case brief summary
322 S.C. 433, 472 S.E.2d 612 (1996)

CASE SYNOPSIS:
A trial court for Charleston County (South Carolina) entered judgment based upon a jury verdict for respondent law firm in a legal malpractice action brought by appellant clients when a real estate development scheme fell through. The clients appealed the judgment.

OVERVIEW: A legal malpractice action arose out of respondent law firm's representation of appellant clients in a real estate development scheme that resulted in the foreclosure of the lots involved. The trial court excluded the client's expert's testimony based on the law firm's contention that his testimony concerning the S.C. Rules of Prof'l Conduct R. 407 was inadmissible, and that the expert was not qualified to give an expert opinion as he was neither a real estate lawyer nor licensed to practice law in South Carolina.

HOLDING:
The court reversed the judgment and remanded the case for a new trial. A plaintiff in a legal malpractice action generally had to establish the standard of care by expert testimony.

ANALYSIS:
Where a bar rule was intended to protect a person in the clients' position or addressed the particular harm, such rules were relevant and admissible in assessing the legal duty of the attorney. Further, that the expert was not licensed to practice law in the state or that he was not a real estate lawyer did not prohibit his testimony concerning the ethical obligations relevant to the case.

OUTCOME: The judgment below was reversed and remanded for a new trial.

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