Saturday, April 13, 2013

Virzi v. Grand Trunk Warehouse and Cold Storage Co. case brief

Virzi v. Grand Trunk Warehouse and Cold Storage Co. case brief summary
571 F. Supp. 507 (E.D. Mich. 1983)

SYNOPSIS:
In a personal injury action, defendants filed a motion to vacate a settlement order that confirmed a settlement between plaintiff and defendants.

OVERVIEW: Plaintiff was expected to be a good witness in his personal injury action. Plaintiff's attorney was unaware of his death at the time that a mediation panel recommended a settlement. Several days later plaintiff's attorney was informed of the death, and did not inform the court or opposing counsel. Later, the parties settled for the recommended amount, the court placed the settlement on the record, but plaintiff's counsel did not inform anyone of his client's death when the settlement was confirmed and made part of the record.

HOLDING:
The court ordered that the settlement be set aside, holding that plaintiff's attorney had an affirmative duty of candor and frankness to the court and to opposing counsel when such a major event as the death of plaintiff had taken place.

ANALYSIS:
Even though plaintiff's attorney was never asked whether his client was still living, he owed a duty of candor and frankness to the court which transcended his private employment.

OUTCOME: The court ordered that the settlement between plaintiff and defendants be set aside.

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