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Newell v. Hudson

3/16/2005

anged, assume a contrary position, especially if it be to the prejudice to the party who has acquiesced in the position formerly taken by him.


[Davis v. Wakelee, 156 U.S. 680, 689, 15 S.Ct. 555, 558, 39 L.Ed. 578 (1895).]


This doctrine is intended to protect the integrity of the judicial system and is designed to prevent litigants from"playing fast and loose with the courts." See Tamburelli, supra, 308 N.J. Super. at 335 (citing Scarano v. Central Railroad Co., 203 F.2d at 513).


Several courts throughout our country have granted summary judgment motions in legal malpractice actions based on the doctrine of judicial estoppel where a litigant repudiates a prior, sworn inconsistent statement made in order to secure an advantage in or judicial approval of the underlying settlement."The rationale underlying the theory of judicial estoppel is the preservation of the sanctity of the oath and elimination of prejudice in the administration of justice. One may not assert a particular position in order to serve one purpose, then assert a wholly contrary position to serve another." Owen v. Knop, 853 S.W. 2d 638, 643 (Texas App. l993) (holding a client was judicially estopped from asserting attorney's failure to timely file suit as the basis for her legal malpractice claim in view of her earlier sworn statement that the discovery rule applied to save her cause of action for medical malpractice).


In McKay v. Owens, 937 P. 2d 1222 (Idaho l997), the Idaho Supreme Court applied the doctrine of equitable estoppel to dismiss the plaintiff's legal malpractice claim stemming from an underlying medical malpractice action. The prior action had settled and been approved by the court, following the plaintiff's testimony that she understood and approved the terms. In the subsequent legal malpractice action, she claimed she was not truly satisfied with the settlement and her attorney had settled it without her consent, despite her testimony on the record. The plaintiff alleged she was"forced" to lie to the court about her acceptance of the settlement due to her attorney's alleged malpractice. In dismissing the malpractice action on the basis of judicial estoppel, the Court stated:


[The plaintiff] asserts that she never really meant to approve the settlement, and that she always intended to file this legal malpractice action. Judicial estoppel, with its attendant policies, is tailor-made to prevent just such a tactic, and to block the"secret or subjective intent" of the litigant. The sanctity of court proceedings is something that cannot be trifled with, nor will we permit a party to play fast and loose with the courts. To allow [plaintiff's] argument that [her attorney's] alleged malpractice"forced" her to lie in court, desecrates the sanctity of court proceedings, and impedes the administration of justice.


[Id. at 1228].


Similarly, in Broad v. Conway, 675 F. Supp. 768 (N.D.N.Y. l987), aff'd, 849 F.2d 1467 (2d Cir. l988), cert. denied, 488 U.S. 927, 109 S.Ct. 313, 102 L.Ed. 2d 331 (1989), the federal District Court applied the doctrine of estoppel to dismiss the plaintiffs' legal malpractice claim where they voluntarily and unconditionally settled their underlying defamation action on the record and later alleged they were forced into accepting it. The court emphasized the policy basis behind this equitable doctrine:


ecause the plaintiffs expressly stated on the record, in open court, that they were not coerced or influenced to settle, plaintiffs are precluded here from claiming that there is an issue of fact as to whether they voluntarily settled the underlying action.....


Under these circumstances, plaintiffs cannot now d

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