As all attorneys have learned, the first step in analyzing a malpractice case is determining a duty of care to the injured. A DC court is hearing an appeal by Boston-Maine Airways arguing that Sheppard, Mullin, Richter & Hampton should not have taken actions that harmed them because they represented another company with common ownership.

Sheppard represented  Pan American Airways and Pan American Railways, who shared ownership and a general counsel with Boston-Maine. That general counsel had approached Sheppard for advice after forged the signature on a surety bond for Boston-Maine. After the Transportation Department revoked the license of Boston Maine the company sued Sheppard for not disclosing this discovery. Sheppard had won a summary judgement in their favor based on the fact that no attorney-client relationship existed with the company.

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