In an ordinary civil case, an order either disqualifying or refusing to disqualify a law firm is not appealable when entered, because it is not deemed “final” within the meaning of 28 U.S.C. § 1291, which governs the appeal of such cases. The party complaining about the order must wait until there is a final judgment.
Richardson-Merrell, Inc. v. Koller,
We have decided against appealability in the closely related setting of a motion to
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disqualify counsel under 11 U.S.C. § 327(a).
In re Firstmark Corp.,
This conclusion might be questioned on the following ground. In the ordinary civil case, a party is objecting to the retention
by his opponent
of a lawyer who may have worked for the objector previously or otherwise has (the objector argues) a conflict of interest. In this case, the creditor, as a claimant to the assets of the bankrupt estate that is being represented by the challenged law firm, objects to having those assets squandered (as the creditor sees it) on a law firm that will not do a decent job because it is not disinterested. The creditor points out that the law firm is a small firm — it has only five partners — which, should it eventually be found to have been hired improperly, might not be able to repay all the fees it had been paid, or even just the difference between those fees and the value of its work to the debtor’s estate. In so arguing the creditor appeals to the collateral order doctrine, and specifically to our case of
Palmer v. City of Chicago,
The creditor has failed to show that an immediate appeal is required to ward off irreparable harm, an essential element of the collateral order doctrine. The appeal is
Dismissed.
