On Friday, September 20, 2024, United States Bankruptcy Judge Marvin Isgur of the Southern District of Texas referred the law firm Jackson Walker LLP to Chief District Judge Randy Crane for potential disciplinary action.
In a five-page letter, Judge Isgur outlined a series of apparent ethical breaches committed by Jackson Walker involving a former partner, Elizabeth Freeman, and her undisclosed romantic relationship with former Bankruptcy Judge David Jones. While Judge Isgur did not fault the firm for Freeman’s personal conduct, he alleged Jackson Walker violated its duties to clients, the court, and opposing parties when it failed to appropriately disclose facts about the relationship after learning more details.
The letter states that in March 2021, Jackson Walker was first informed of allegations about Freeman’s past intimate involvement with Judge Jones, which she acknowledged the next day was true. In the following months, Judge Isgur wrote that a Jackson Walker partner confirmed the relationship was ongoing in February 2022 but the firm still did not disclose this to clients on whose cases Judge Jones was involved, the court, or opposing counsel.
Judge Isgur took issue with Jackson Walker continuing to represent clients and file documents without disclosure, including confirmation of bankruptcy plans that included releases and exemptions for the firm. In one example, the letter outlines Freeman serving as a trustee on a case where Judge Jones was the mediator, appointed after her departure from Jackson Walker. Clients were also made to affirm the completeness of disclosure statements and pay legal fees, argued Judge Isgur, without being informed of the relationship.
The referral criticized Jackson Walker for prioritizing its own interests over its professional responsibilities to fully inform clients, opposing parties, and the court. Judge Isgur highlighted that the firm appeared to breach Texas ethics rules by potentially aiding Judge Jones in violating his own judicial conduct standards.
While recognizing some affected clients have since said Jackson Walker performed competently, Judge Isgur believed an inquiry was still needed into appropriate remedies due to the nature of the alleged disclosure violations. The letter referred the matter to Chief Judge Crane to commence proceedings under District Court Disciplinary Rule 6 regarding individual attorneys.
A copy of the original filing can be found here.