Gary Jones retained the law firm of Irace and Lowry after be
Gary Jones retained the law firm of Irace and Lowry after being injured in a motorcycle accident. Later, Jones required surgery after dislocating his shoulder in an unrelated incident. Having no money to pay the surgeon, Jones signed a letter requesting that the money from the accident settlement be assigned to Dr. Herzog for treatment of a shoulder injury that occurred at a different time. The law firm was notified of the assignment. When the settlement was received by the law firm, Jones instructed the firm to pay the money to him rather than to the surgeon. It did, and the surgeon was never paid. Could Dr. Herzog recover the money owed him from the law firm? Why or why not? [See: Herzog v. Irace, 594 A.2d 1106 (ME).]
Solution
Dr. Herzog could not recover the money owed from the law firm because Irace and Lowry were under no ethical obligation or any sort of contractual obligation to honor their client’s instructions to disregard a valid assignment. He has to get his payment from Gary Jones itself.assignmenmt comes to place when contracting party expresses his intent to give up rights. The law firm becomes obligated to the assignee whether he accepts or not.
