FKB’s Rachel Aghassi and Emma Schwab obtained a favorable decision in the U.S. Court of Appeals for the Second Circuit upholding dismissal of a lawsuit with underlying claims of fraud and constitutional violations. The Plaintiff alleged that FKB’s client – an attorney who had assisted a mortgage lender in the sale of Plaintiff’s former marital home – unlawfully sold the property and fraudulently filed a Form 1099 with the IRS.

In obtaining an affirmance of the district court dismissal with prejudice, FKB successfully argued that Plaintiff failed to demonstrate how the submission of the Form 1099 amounted to a willful filing of a fraudulent return. The Court (Judges Cabranes, Lynch, and Lohier, Jr.) also agreed that Plaintiff’s claims lacked subject matter jurisdiction based on an absence of complete diversity amongst the parties.

If you have any questions about this decision, or the defense attorneys in general, please contact Rachel Aghassi and Emma Schwab.