A lawsuit against Scruggs Law Firm of Oxford has been dismissed, thanks to an apparent settlement today.
At issue was whether the firm, formerly led by now-imprisoned Richard “Dickie” Scruggs, would pay another firm, Zuckerman Spaeder LLP, for its representation of the Rigsby sisters, Cori and Kerri, in legal action between Scruggs and State Farm insurance.
The sisters supplied Scruggs with inside information, then went on Scruggs’ payroll.
Zuckerman came into the picture when Scruggs and four others were indicted in a judicial bribery case in 2007. Ultimately, Scruggs and two others pleaded guilty and are serving sentences in federal prisons.
At issue reportedly was more than $1.7 million dollars in legal fees, although Scruggs’ attorneys insisted a “substantial payment” had been made on the balance.
Scruggs first sued Zuckerman and asked U.S. District Court of Northern Mississippi for declaratory relief _ that Scruggs Law Firm had no more responsibility greater than any other member of the Scruggs Katrina Group for money owed Zuckerman, and that Zuckerman was not entitled to anything personally from Scruggs.
Zuckerman counterclaimed, saying Scruggs sued them in anticipation of a contract lawsuit by Zuckerman.
Ultimately, everybody decided to deal out of court.
Details weren’t available, other than the issues can’t come back up, and each party will pay its own fees and costs.
NE MS Daily Journal
8/20/8
Magnolia Tribune
