Quimbee logo
DMCA.com Protection Status

Zador Corp. v. Kwan

31 Cal. App. 4th 1285 (1995)

Case BriefRelatedOptions
From our private database of 30,900+ case briefs...

Zador Corp. v. Kwan

California Court of Appeal

31 Cal. App. 4th 1285 (1995)

Facts

The Young family owned Zador Corporation (plaintiff) and used C.K. Kwan (defendant) as its agent when buying property from a partnership for $4.1 million. When the sellers sued over transaction, Zador cross-claimed that the sellers sold the property at a grossly inflated price to defraud Zador. The law firm Heller, Ehrman, White & McAuliffe (Heller) had represented the Young family for years and defended Zador. When Kwan requested indemnity, Heller agreed to defend Kwan only if he signed a detailed waiver and consent form that explained the potential for conflicts. The form said the attorney-client privilege would not protect communications between Kwan and Heller attorneys from disclosure to other jointly represented parties and that a dispute would risk disqualifying Heller from representing Kwan and Zador simultaneously. The form specified that Kwan consented to Heller continuing to represent Zador and its affiliates and would not assert conflict or try to disqualify Heller “notwithstanding any adversity that may develop.” Kwan signed the form after studying it for 20 minutes. When Heller discovered the sellers had paid Kwan, Heller told Kwan that posed a conflict and that he needed separate counsel. Kwan agreed and reaffirmed his consent to Heller representing Zador. Heller sent a follow-up letter confirming those discussions, reiterating that Heller would continue representing Zador. Kwan retained another law firm, which warned it would move to disqualify Heller if Zador sued Kwan. When Heller added claims alleging Kwan overvalued the property, Kwan moved to disqualify Heller. By that time, Kwan had been separately represented for three years. The trial court found a substantial relationship between Heller’s prior representation of Kwan and the current lawsuit and disqualified Heller. Zador appealed.

Rule of Law

Issue

Holding and Reasoning (Elia, J.)

What to do next…

  1. Unlock this case brief with a free (no-commitment) trial membership of Quimbee.

    You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 552,000 law students since 2011. Some law schools—such as Yale, Berkeley, and Northwestern—even subscribe directly to Quimbee for all their law students.

    Unlock this case briefRead our student testimonials
  2. Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.

    Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students.

    Learn about our approachRead more about Quimbee

Here's why 552,000 law students have relied on our case briefs:

  • Written by law professors and practitioners, not other law students. 30,900 briefs, keyed to 984 casebooks. Top-notch customer support.
  • The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
  • Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
  • Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.

Access this case brief for FREE

With a 7-day free trial membership
Here's why 552,000 law students have relied on our case briefs:
  • Reliable - written by law professors and practitioners, not other law students
  • The right length and amount of information - includes the facts, issue, rule of law, holding and reasoning, and any concurrences and dissents
  • Access in your class - works on your mobile and tablet
  • 30,900 briefs - keyed to 984 casebooks
  • Uniform format for every case brief
  • Written in plain English - not in legalese and not just repeating the court's language
  • Massive library of related video lessons - and practice questions
  • Top-notch customer support

Access this case brief for FREE

With a 7-day free trial membership