It looks like there just may
be life after the collapse of law firm Dreier LLP. As the
firm continues to crumble in Chapter 11 under the weight of fraud
charges lodged against its founder and managing partner, some
associated with the firm are now seizing the opportunity to break out
from the firm's mired shadow.
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The receiver appointed to oversee Dreier put it into Chapter 11 on Dec.
16 shortly after its founder and managing partner, Marc S. Dreier, was
arrested for his attempts to sell phony promissory notes to various
hedge funds.
But now a group of 14 lawyers from the firm are breaking out on their own through the creation of a new firm, called Pastore Osterberg LLP.
The Stamford, Conn.-based firm was founded just before the holidays by
former Dreier partners Joseph Pastore and Eric Osterberg, who began
their preparations just a day before Dreier LLP filed for bankruptcy.
Both Pastore and Osterberg, however, are reportedly still in talks with
several other law firms about a possible merger.
Meanwhile, attorneys from Dreier LLP's West Coast operation, called Dreier Stein Kahan Browne Woods George LLP, are also now scrambling to sever their own ties with the defunct law firm.
The Los Angeles-based branch, which has represented such high-profile
clients as production studio Lionsgate Entertainment, actress Jennifer
Love Hewitt and actor David Duchovny, were also reportedly engaged in
talks with several firms over the holidays to discuss a possible merger.
It's hard to blame the Dreier alums for rolling the dice on their own
independence. Hopefully, though, they've learned from their old boss'
travails not to gamble their newfound economic freedom on betraying
their clients. - Carolyn Okomo
