Facebook Sues Lawyers for Allegedly Contributing to Fraud

http://socialnetworkingnews.org/facebook-sues-lawyers-for-allegedly-contributing-to-fraud/

Facebook Inc. and Chief Executive Mark Zuckerberg filed suit against several attorneys Monday, claiming they helped perpetuate a fraud against the social network and its founder.

Facebook says lawyers at the law firms helped give credibility to a 2010 lawsuit brought by Paul Ceglia, who said he had been given an 84% ownership stake in Facebook by Mr. Zuckerberg. Mr. Ceglia’s lawyers eventually stopped representing him because they no longer believed him, and a grand jury indicted Mr. Ceglia on federal fraud charges.

But lawyers for Facebook say Mr. Ceglia’s one-time lawyers, including several from the law firms DLA Piper LLP and Milberg LLP, knew or should have known that Mr. Ceglia’s claim was based on forged documents. Mr. Ceglia is also named as a defendant, as is Paul Argentieri, another lawyer who once represented Mr. Ceglia, whom Facebook claims helped concoct the fraud

Source: blogs.wsj.com

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