A federal judge in Houston dismissed a lawsuit that alleged "unconscionable conduct," including overbilling and negligence, by Maryland-based Offit Kurman and a partner in Philadelphia.

On Tuesday, U.S. District Judge Sim Lake of the Southern District of Texas granted a defense motion asking to have the suit dismissed on forum non conveniens grounds. Judge Lake also denied the plaintiffs' motion to remand the suit back to Texas state court where it was originally filed.

Lake found in a memorandum opinion and order that a clause in the engagement letter that plaintiff Amir Mireskandari signed dictates that any disputes would be filed in state court in Delaware.

Houston lawyer Lance Kassab, who represents the plaintiffs—Houston online retailer LuxeYard and its owner Mireskandari—said he is discussing with his client whether to refile the suit.

Defense attorney Glenn LeMay, a partner in Gordon Rees Scully Mansukhani in Houston who represents Offit Kurman and partner Frank Noyes, did not immediately return a telephone message seeking comment. The firm did not respond to an email requesting comment.

LuxeYard and Mireskandari alleged in its complaint in federal court in May that Offit Kurman and Noyes overbilled them for work while defending them in underlying litigation and also mishandled it, which resulted in them having to pay $450,000 in settlements in other lawsuits.

They sought more than $1 million in damages.

The suit alleged overbilling, block billing and duplicative billing, as well as fee churning.

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