After suing a client for $1.2 million in unpaid legal fees, Squire Sanders & Dempsey has been slapped with a legal malpractice lawsuit and is running up its own bills by hiring an outside law firm to defend itself.

The case exemplifies why some law firms refuse to file lawsuits against clients for nonpayment of fees, an escalating trend in this economy. Some law firm leaders say the dispute also points out why firms must keep a close eye on outstanding invoices and raises questions about just how Squire Sanders allowed a client to run up a seven-figure bill.

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