Attorneys – Contract – Agency – Tort/Negligence – Legal Malpractice – Damages

Opsitnick v. Crumpler (Lawyers Weekly No. 14-02-0378, 6 pp.) (James Dever III, J.) 5:13-cv-00835; E.D.N.C.

Holding: Plaintiffs’ contract was with J. Allen Crumpler, III, Attorney at Law, PLLC, but plaintiffs have sued Crumpler only in his individual capacity. An authorized agent who enters into a contract on behalf of a disclosed principal generally is not personally liable to third parties for breach of contract since the contract is with the principal. Thus, the court grants Crumpler’s motion to dismiss plaintiffs’ breach of contract claim.

Defendant’s motion to dismiss is granted in part and denied in part.

Plaintiffs allege that Crumpler’s legal malpractice foreseeably caused them injury in the underlying case, including (at a minimum) causing them to incur additional litigation costs and to be disadvantaged in the litigation that took place after Crumpler withdrew. The court finds that plaintiffs plausibly allege that they incurred additional litigation costs to remedy the effects of Crumpler’s alleged malpractice. Accordingly, Crumpler’s motion to dismiss the legal malpractice claim is denied.

However, plaintiffs’ request for punitive damages does not plausibly allege that Crumpler is liable for punitive damages under N.C. law.