Federal judge to consider lawyers' new arguments in ethics-violations case

A federal judge in Fort Smith will rethink at least some of his findings concerning ethics violations against 16 lawyers in a class-action insurance case.

U.S. Chief District Judge P.K. Holmes III said Friday that he will “go back and read and digest” new arguments that deny the lawyers showed “bad faith” in moving Adams v. United Services Automobile Association class action from federal court to state court for settlement.

Holmes decided April 14 to sanction the attorneys, who include John Goodson of Texarkana, a University of Arkansas System trustee who is married to Arkansas Supreme Court Justice Courtney Goodson. Holmes said then that the plaintiffs and defense lawyers moved the case to state court to settle on terms that were more favorable to the attorneys and the insurance company, but not the policyholders who were actually harmed.

Holmes cited evidence then of “misleading conduct” that was “unequivocally improper” and, in some cases, exhibited “bad faith.”

Holmes said he expects to rule soon.

Read Saturday's Arkansas Democrat-Gazette for full details.

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