We think that plaintiffs should have been on notice when they were asked to do business with Bill Kidd, but even his name was not a tip-off.  Here’s what happened.  Kidd invested $5 million to start a low-cost durable medical equipment business that was dependent on getting cheep materials from China.  He hired Troutman and Mandell to represent him.  His company Access drafted a Private Placement Memorandum and got an initial investment of $ 15 million.  Then a year later it got a second investment of $ 30 million.  All’s good?  Not really.  The basic underlying necessity never existed, and cheep materials from China were not so cheep.  It all fell apart.  The problem was that the law firm represented Kidd to the detriment of his company Access.

Now, Kidd and his company Access were on two sides of the aisle, and Access sued the attorneys?  Result?  They waited 3 days too long, and the statute of limitations ran.  In Access Point Med., LLC v Mandell ; 2011 NY Slip Op 30866(U); April 8, 2011; Supreme Court, New York County; Docket Number: 102082/2010;  Judith J. Gische defines the statute of limitations for breach of fiduciary duty as 3 years when the basic relief sought is economic and 6 years when the basic relief sought is equitable. Time begins to run when the breach occurred,  Disgorgement of fees is generally incidental to economic relief.