Four years after the fall of Howrey LLP, another batch of the law firm’s former partners have agreed to settle with its bankruptcy estate, The Wall Street Journal reported on Friday. Forty-seven ex-partners are chipping in $75,000 but are also agreeing to drop $6.1 million in claims that they were pursuing in the case. Removing those claims means that more money will be available for other creditors. The settlement frees the ex-partners from future Howrey-related liability. Howrey trustee Allan B. Diamond said that the settlement “eliminates contentious claims that would otherwise develop into costly and time-consuming litigation.” He claimed the ex-partners owed the estate money they earned when Howrey was allegedly insolvent, as well as money paid on employment contracts that he alleges were violated. Some of the settling parties had also been pursued for so-called unfinished business claims.
