Preston Gates Exonerated in Malpractice Case
A former client sued Preston Gates for $1.7 million related to the "nightmare" associated with the client's retirement home in Kitsap County. The client alleged the problems which lead him to sell the home -- primarily cost overruns & insufficient insurance recovery available to the builder which was doing business as an LLC -- were due to the law firm's failure to warn about the danger's associated with a "cost plus" contract with no guaranteed maximum, among other things.
The Court of Appeals upheld summary judgment in favor of the law firm on the ground the client did not prove a "but for" causal connection between the alleged malpractice and his losses. The case is a must read for anyone who is contemplating building a large custom home or who is asked to represent that person in drafting the contract.