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California Courts of Appeal

Feb. 13, 2014

Homeowners win right to sue Engstrom firm over allegedly withheld funds

Homeowners who claim their former lawyers at Engstrom, Lipscomb & Lack withheld almost half the funds from a $100 million Northridge earthquake settlement 16 years ago can sue despite the statute of limitations.


By John Roemer and Omar Shamout


Daily Journal Staff Writers


Two homeowners who charge that their former lawyers at Engstrom, Lipscomb & Lack withheld millions from a $100 million Northridge earthquake settlement 16 years ago can proceed with their suit because the statute of limitations doesn't bar late-discovered fraud claims, a state appellate panel held Tuesday.


The decision is likely to send shockwaves through plaintiffs' firm...

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