Cellino Withheld Nearly $1M From Attorney to Spite Her Boyfriend Barnes, Suit Claims
In another setback for the Cellino & Barnes dissolution, attorney Ellen Sturm claims Ross Cellino has refused to approve a nearly $1 million payment to her.
February 26, 2020 at 06:21 PM
4 minute read
In another complication in the bitter breakup of Cellino & Barnes, an attorney at the firm who is dating partner Stephen Barnes sued his longtime partner Ross Cellino on Tuesday for allegedly failing to pay her $936,000 she was owed for her work on a major case.
Ellen Sturm, a former Skadden, Arps, Slate, Meagher & Flom lawyer who moved to Cellino & Barnes in 2009, said in her complaint that she worked for years on a major case involving a 14-year-old boy who was badly injured by an exploding product. She said it was settled in 2018 on confidential terms that amount to "one of the largest personal injury settlements in U.S. history" and she was owed 8% of the firm's fee under a deal reached back in 2012.
After the case was settled, however, Cellino took the position Sturm had merely "handled the motions and appeals" that was a normal part of her salaried work, the suit claims. She said Cellino's protest was unprecedented and clearly driven by his animus for Barnes and said the firm's records would make clear that she "was involved in every facet of the case, including strategy, research and writing, document review, client contact, retention of experts" and more.
Cellino's actions "can only be an act of petty and vindictive retaliation," claims Sturm's suit, filed in Manhattan Supreme Court.
According to the suit, Sturm and two other Cellino & Barnes lawyers who worked on the case normally get 10% of the fee for matters they win or settle. Sturm said that Barnes, as president of the firm, negotiated with Sturm and the other two lawyers on the case, Dylan Brennan and Richard Barnes, who is Stephen Barnes' brother, to split 20% of the fee among them at the end of the case. The agreement was oral, she said.
Sturm's complaint said her relationship with Barnes has long been known and accepted by Cellino. But she said Cellino referred to her dismissively as "your girlfriend" in his combative emails with Barnes over the fee split.
In a statement, Cellino's lawyer, Terry Connors, who runs his own firm, suggested his client was simply taking a stand against nepotism.
"This lawsuit highlights why Ross dissolved Cellino & Barnes," Connors wrote. "He simply does not agree with preferential treatment for any lawyer in the firm and that will be one of the cornerstones of Cellino Law," Connors added, referring to his client's future law firm.
The case Sturm referred to wasn't explicitly identified, but based on details in her complaint and other accounts, it appears to be M.H. v. Bed Bath & Beyond, a case brought against several defendants over injuries sustained by the plaintiff when he was trying to light a gel candle.
Cellino & Barnes' fee from the M.H. case may have been $11.7 million, based on Sturm's claim to an 8% share worth $936,000. A footnote in Sturm's suit said: "The wages Sturm is owed are based on the attorneys' fee received by C&B minus expenses and disbursements, including a significant referral fee to another attorney, not the full confidential settlement amount."
Now Sturm is seeking more than $3.7 million, arguing Cellino & Barnes is liable for liquidated damages equal to triple her actual damages under state labor law.
Cellino said in an affidavit in early January that he and Barnes were on the cusp of finalizing their split, estimating it could be wrapped up in 30 days. A stipulated order of dissolution set court appearances for late January and Feb. 25 to hash out remaining issues, but Christopher Berloth of Duke Holzman Photiadis & Gresens, who represents Barnes, said Wednesday that negotiations were still underway and he couldn't give an estimate for when they conclude.
Cliff Robert of Robert & Robert, who represents Sturm, said in an emailed statement that his client is "a highly accomplished lawyer who will no longer tolerate being disrespected by Ross Cellino, Jr. She looks forward to holding him accountable in court."
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllPatent Trolls Come Under Increasing Fire in Federal Courts
Trump's SEC Overhaul: What It Means for Big Law Capital Markets, Crypto Work
Law Firms Mentioned
Trending Stories
- 1Judge Denies Sean Combs Third Bail Bid, Citing Community Safety
- 2Republican FTC Commissioner: 'The Time for Rulemaking by the Biden-Harris FTC Is Over'
- 3NY Appellate Panel Cites Student's Disciplinary History While Sending Negligence Claim Against School District to Trial
- 4A Meta DIG and Its Nvidia Implications
- 5Deception or Coercion? California Supreme Court Grants Review in Jailhouse Confession Case
Who Got The Work
Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
Who Got The Work
Edmund Polubinski and Marie Killmond of Davis Polk & Wardwell have entered appearances for data platform software development company MongoDB and other defendants in a pending shareholder derivative lawsuit. The action, filed Oct. 7 in New York Southern District Court by the Brown Law Firm, accuses the company's directors and/or officers of falsely expressing confidence in the company’s restructuring of its sales incentive plan and downplaying the severity of decreases in its upfront commitments. The case is 1:24-cv-07594, Roy v. Ittycheria et al.
Who Got The Work
Amy O. Bruchs and Kurt F. Ellison of Michael Best & Friedrich have entered appearances for Epic Systems Corp. in a pending employment discrimination lawsuit. The suit was filed Sept. 7 in Wisconsin Western District Court by Levine Eisberner LLC and Siri & Glimstad on behalf of a project manager who claims that he was wrongfully terminated after applying for a religious exemption to the defendant's COVID-19 vaccine mandate. The case, assigned to U.S. Magistrate Judge Anita Marie Boor, is 3:24-cv-00630, Secker, Nathan v. Epic Systems Corporation.
Who Got The Work
David X. Sullivan, Thomas J. Finn and Gregory A. Hall from McCarter & English have entered appearances for Sunrun Installation Services in a pending civil rights lawsuit. The complaint was filed Sept. 4 in Connecticut District Court by attorney Robert M. Berke on behalf of former employee George Edward Steins, who was arrested and charged with employing an unregistered home improvement salesperson. The complaint alleges that had Sunrun informed the Connecticut Department of Consumer Protection that the plaintiff's employment had ended in 2017 and that he no longer held Sunrun's home improvement contractor license, he would not have been hit with charges, which were dismissed in May 2024. The case, assigned to U.S. District Judge Jeffrey A. Meyer, is 3:24-cv-01423, Steins v. Sunrun, Inc. et al.
Who Got The Work
Greenberg Traurig shareholder Joshua L. Raskin has entered an appearance for boohoo.com UK Ltd. in a pending patent infringement lawsuit. The suit, filed Sept. 3 in Texas Eastern District Court by Rozier Hardt McDonough on behalf of Alto Dynamics, asserts five patents related to an online shopping platform. The case, assigned to U.S. District Judge Rodney Gilstrap, is 2:24-cv-00719, Alto Dynamics, LLC v. boohoo.com UK Limited.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250