Illinois Suit Against Morgan Lewis on Tax Fraud Scheme Too Late

A lawsuit alleging law firm Morgan Lewis helped with a tax fraud scheme was filed too late, an Illinois appeals court ruled Wednesday.

The lawsuit was filed in 2014 by several individuals who bought tax solutions from accounting firm BDO Seidman LLP in 1999 and suffered a variety of losses by relying on BDO’s illegal tax strategy. They argued that law firm Morgan Lewis & Bockius LLP assisted in BDO’s breach of a fiduciary duty and conspired with BDO to conceal fraud by BDO executives.

A six-year time limit to sue hadn’t started ticking until December of 2009 ...