Firm obtains important victory in Massachusetts Business Litigation Session

BOSTON (February 3, 2010) – Partner Tamara Smith Holtslag and Associate Scarlett Rajbanshi recently obtained an order in the Business Litigation Session of the Massachusetts Superior Court dismissing a woman’s claims alleging negligent and intentional infliction of emotional distress against their personal financial management company clients.

The Business Litigation Session judge ruled that the financial advisors did not owe a legal duty to the woman as a matter of law because they had no direct client relationship with her.

The personal financial management advisors were instead hired by the woman’s ex-father-in-law to oversee his financial matters, including an obligation to provide child support and alimony to the ex-wife on behalf of his son. Extending a legal duty to the ex-wife would potentially create a conflict between the financial advisors and their contractual relationship with the father-in-law, the judge said.

The judge also dismissed the woman’s claim of intentional infliction of emotional distress, which was based solely on a letter sent to her by the personal financial management advisor at the request of its client. The judge found that the letter was not “extreme and outrageous” conduct required under law to support the woman’s claim.

“We are most pleased with the court’s ruling in favor of our clients, dismissing all claims” Smith said. “The law is clear that professional advisors such as ours have no legal relationship with third parties. Of course, the only legal duty they owe is toward their clients.”

About Taylor Duane

Taylor Duane is one of New England’s leading civil litigation law firms with offices in Boston and Providence. Its experienced trial attorneys appear regularly in the federal and state courts of Massachusetts, Rhode Island and Connecticut. The Providence Business News has named the firm in 2008 and 2009 as one of Rhode Island’s Best Places to Work.