On April 17, 2026, Justice Boddie of the Kings County Commercial Division issued a decision in Reich v. Purslane, LLC, 2026 NY Slip Op. 31768(U), disqualifying a limited liability company’s prior counsel from representing one member in a suit against another member regarding the LLC’s management, explaining:
It has been held that, the disqualification of an attorney is a matter that rests within the sound discretion of the court. Although a party’s entitlement to counsel of its choice is a valued right, that right will not supersede a clear showing that disqualification is warranted. In these circumstances, the moving party must establish: 1) the existence of a prior attorney-client relationship between the moving party and opposing counsel; 2) that the matters involved are both substantially related~ and 3) that the interest of the present client and the former client are adverse.
Further, pursuant to rule 3.7 of the Rules of Professional Conduct, unless certain exceptions apply, a lawyer shall not act as an advocate before a tribunal in which the lawyer is likely to be a witness on a significant issue of fact.
Here, Defendants’ counsel acknowledges a prior attorney client relationship with Reich in drafting the Operating Agreement for Purslane, regardless of whether he completed it. He also represented Purslane, of which Reich was a managing member, for a significant period thereafter, regardless of whether O’Donoughue had personal contact with Reich. The matters involved here are substantially related to the Operating Agreement and the operations of Purslane, as well as the actions of the same business parties, whose interests are adverse. Additionally, there exists a likely possibility that counsel will be called as a witness, since he is intimately familiar with the parties and the related businesses.
Accordingly, the motion to disqualify Kevin O’Donoghue as counsel for Defendants is granted. This matter is stayed for forty-five days for Defendants to obtain substitute counsel.
(Internal quotations and citations omitted).