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Acceptance of Settlement Offer Not Communicated to Opposing Party or Insurer—No Settlement—Attorney Lost Contingency Fee Based on Settlement Amount.

The fact that the plaintiff signed a general release and hold-harmless agreement was not enough to settle the case.  There was no proof the plaintiff’s attorney communicated plaintiff’s acceptance of the settlement offer to the defendant or defendant’s insurance carrier.  Therefore, plaintiff, with a new attorney, was allowed to go forward with the lawsuit and plaintiff’s original attorney could not collect his contingency fee, which was based on the settlement-amount. Gyabaah v Rivlab Transportation Corp., et al, 7654, Index 309081/10 First Dept. 1-10-13

 

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