U.S. District Judge John Adams wrote in an order that he believes the attorneys tried to evade his oversight of the case and that they refused to “offer a legitimate rationale” for a settlement in a companion case filed in federal court in Columbus.
A federal judge ordered that attorneys for FirstEnergy be removed from representing the company's shareholders in a lawsuit related to the House Bill 6 bribery scandal.AKRON, Ohio — An Akron federal judge on Wednesday dismissed attorneys representing FirstEnergy Corp.’s shareholders in a lawsuit over the House Bill 6 bribery scandal.
The nature of the derivative lawsuit makes the case unique. In most civil cases, if the parties agree to settle, the cases often end there. But in derivative lawsuits, the judge must sign off on the settlement. The investors of the utility sued top officials and executives to make the company whole from the damage of the scandal.
But she said that’s rare, and rarer still when the clients are investors of a large corporation with in-house attorneys who understand the law more than a regular citizen.
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