Bloomberg Law
Feb. 6, 2018, 9:20 PM UTC

Legal Malpractice Suit Exposes ‘Judgment Calls’ in Fraud Practices

Eric Topor
Eric Topor
Reporter

Malpractice lawsuits against health-care fraud and compliance attorneys are exceedingly rare, but a recent $603 million malpractice lawsuit filed against law firm LeClairRyan shows how high the stakes are for attorneys and clients in this legal discipline.

The malpractice lawsuit, filed late last year by LaTonya Mallory, alleges LeClairRyan gave her “incorrect legal advice” concerning processing and handling payments to physicians who sent testing samples to the now-bankrupt clinical testing provider, Health Diagnostic Laboratory Inc. (HDL), she founded. A jury Jan. 31 found Mallory, two other individuals, and a related company liable for submitting $17 million in false claims ...

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