New York Court of Appeals

Kathleen Campagnola v. Mulholland, Minion & Roe, (And a Third-Party Action.)

May 8, 199076 N.Y.2d 38

Summary

The New York Court of Appeals affirmed the Appellate Division, holding that a negligent attorney’s contingent fee cannot be offset against the plaintiff’s legal‑malpractice damages; the plaintiff is entitled to the full value of the lost insurance claim. The Court based its decision on public‑policy considerations of the attorney‑client relationship. A dissent argued that recovery should be limited to the amount remaining after the fee, and a concurrence agreed with the majority’s reasoning.