Homeowners who claim their former attorneys might have misappropriated nearly one-fourth of a $100 million settlement over property damage caused by the 1994 Northridge earthquake can sue for fraud, a California appellate panel has ruled.
The 2-1 decision by the Second District Court of Appeal was the first application of California’s probate code to a case alleging that a law firm misappropriated funds in a client trust account.
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