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Estate of renowned Aurora attorney gets another try for disputed settlement

The estate of a renowned Aurora attorney has another chance to recoup one third of a case that was settled by his former law firm after his death, now that an appellate court panel has reversed a Kane County judge's decision to dismiss the litigation.

The estate of William C. Murphy sued the Aurora firm of Kinnally Flaherty Krens Loren Hodge & Masur in 2017, arguing that under a long-standing referral agreement, the estate was owed 33.3 percent of a confidential settlement reached in a personal injury case.

Murphy, who died in November 2016 at the age of 96, had an agreement since 2004 with the firm that he receive one-third of any settlements on cases he referred to the Kinnally Flaherty firm.

In February 2016, Murphy wrote a letter to his son stating he still had an interest in two cases he had referred to the firm, including the personal injury case, which eventually was settled in June 2017.

Under the 2004 agreement, the firm's obligation to pay his estate would expire two months after his death; the firm later offered Murphy's estate $150,000 out of "respect and admiration" for Murphy's work, but his heirs rejected that offer and sued.

In 2018, a Kane County judge sided with the Kinnally Flaherty firm, stating the agreement was "not ambiguous," and dismissed the lawsuit.

In a ruling last month, the appellate panel reversed the dismissal and sent the matter back to the 16th Judicial Circuit.

"We find the agreement is ambiguous," read part of the ruling.

Thomas Demetrio, an attorney for the estate, said he was pleased the lawsuit was reinstated.

"Bill Murphy was an extraordinary lawyer and it's been an honor representing his good name, memory and estate," Demetrio said this week.

No new court date has been set for the lawsuit; the firm asked the appellate court panel in late July to reconsider its decision, which was denied. The firm has until late August to ask the state's supreme court to take up the case.

Messages left for Patrick Kinnally and Patrick Flaherty this week were not returned.

At the June appellate hearing, Flaherty reiterated the firm's position that its obligation to Murphy's heirs expired two months after his death.

"Unhappiness with the conclusion is not a cause of action," Flaherty said at the time.

Judge: Aurora attorney's estate not entitled to one-third of settlement

Estate of renowned Aurora attorney continues fight for cut of confidential settlement

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