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Before Stewart & Irwin closed, lawyers talked about mergers

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A nine-decade-old Indianapolis law firm’s abrupt closure remains unexplained as Stewart & Irwin P.C.’s leadership declined to discuss what led to the decision.

“It’s not important to go into,” said former Stewart & Irwin President Mary Schmid, now general counsel for Kleenco Maintenance/Construction Inc. in Alexandria.

Stewart & Irwin ceased practice without a public statement or acknowledgement. In early June, its top-floor offices at 251 E. Ohio St. in Indianapolis were locked after a private gathering a few days prior for people who had worked there.

Representatives of some clients listed on the firm’s website who spoke to IL on condition of anonymity said they received notice letters from the firm just a few days before its closing at the end of May. Those clients said they continue to have relationships with former Stewart & Irwin lawyers who moved on to different firms.

While Schmid and others in the firm’s leadership said nothing about the firm’s closing before and after it happened, rumors had swirled for weeks. Many attorneys, including equity shareholders, had been seeking an exit for months.

“This is something that came about somewhat gradually,”

said Donn Wray, a former Stewart & Irwin equity shareholder and one of six attorneys who migrated to Katz & Korin P.C. He called Stewart & Irwin’s decision to close “a natural consolidation of the legal marketplace.” Before the firm closed, Stewart & Irwin’s website listed 24 lawyers, including 13 shareholders and equity shareholders, about one-third fewer than five years earlier.

Multiple sources said that Stewart & Irwin and other firms had engaged in merger discussions dating back a year or more, but none worked out.

Several lawyers landed with Bose McKinney & Evans LLP. “We actually had begun discussions with various Stewart & Irwin attorneys over a year ago, and we were exploring different options,” Bose managing partner Jeff Gaither said.

“My sense is that Stewart & Irwin spoke to a number of different firms, including Bose, about potential mergers or about acquiring larger groups of attorneys, and that led to where we are,” he said.

Meanwhile, a former Stewart & Irwin of counsel attorney has sued the firm and former equity shareholders, claiming hundreds of thousands of dollars in fees owed to him were wrongly withheld. Former firm partners said the complaint was baseless and unrelated to the closing.

Scott Treadway, now in private practice in Carmel, filed the pro se complaint alleging breach of contract and unjust enrichment in Marion Superior Court in May, noting in the complaint Stewart & Irwin’s rumored closing.

Treadway claims in the suit that he maintained his legal practice separate from Stewart & Irwin and rarely performed legal services for the firm. But he maintained an office there, utilizing the firm’s attorneys on an as-needed basis on cases he says he brought to the firm.

He claims he and the firm had an agreement in which Stewart & Irwin would collect his receivable fees, retain a portion to cover the firm’s administrative costs, then cut him a check for the remainder each month. “I think they found my relationship with them financially beneficial,” he said.

Treadway claims, among other things, that the checks stopped coming after he moved out of the firm’s offices in September 2010. He said he filed the complaint as a last resort when it appeared the firm might be closing. “I had hoped to get this resolved amicably, and it seemed relatively straightforward,” he said.

Schmid said the suit had nothing to do with the decision to close and was “wholly without merit.” Former partners named in the suit said it would be vigorously defended.

Former Stewart & Irwin partner Edward Bielski, who left the firm more than a year ago but is named in Treadway’s complaint, said he wished Treadway well but laughed off the litigation. “All you need is a pen to file a lawsuit in Indiana,” Bielski said. “I haven’t given it an iota of though except a chuckle.”•

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  1. Yes diversity is so very important. With justice Rucker off ... the court is too white. Still too male. No Hispanic justice. No LGBT justice. And there are other checkboxes missing as well. This will not do. I say hold the seat until a physically handicapped Black Lesbian of Hispanic heritage and eastern religious creed with bipolar issues can be located. Perhaps an international search, with a preference for third world candidates, is indicated. A non English speaker would surely increase our diversity quotient!!!

  2. First, I want to thank Justice Rucker for his many years of public service, not just at the appellate court level for over 25 years, but also when he served the people of Lake County as a Deputy Prosecutor, City Attorney for Gary, IN, and in private practice in a smaller, highly diverse community with a history of serious economic challenges, ethnic tensions, and recently publicized but apparently long-standing environmental health risks to some of its poorest residents. Congratulations for having the dedication & courage to practice law in areas many in our state might have considered too dangerous or too poor at different points in time. It was also courageous to step into a prominent and highly visible position of public service & respect in the early 1990's, remaining in a position that left you open to state-wide public scrutiny (without any glitches) for over 25 years. Yes, Hoosiers of all backgrounds can take pride in your many years of public service. But people of color who watched your ascent to the highest levels of state government no doubt felt even more as you transcended some real & perhaps some perceived social, economic, academic and professional barriers. You were living proof that, with hard work, dedication & a spirit of public service, a person who shared their same skin tone or came from the same county they grew up in could achieve great success. At the same time, perhaps unknowingly, you helped fellow members of the judiciary, court staff, litigants and the public better understand that differences that are only skin-deep neither define nor limit a person's character, abilities or prospects in life. You also helped others appreciate that people of different races & backgrounds can live and work together peacefully & productively for the greater good of all. Those are truths that didn't have to be written down in court opinions. Anyone paying attention could see that truth lived out every day you devoted to public service. I believe you have been a "trailblazer" in Indiana's legal community and its judiciary. I also embrace your belief that society's needs can be better served when people in positions of governmental power reflect the many complexions of the population that they serve. Whether through greater understanding across the existing racial spectrum or through the removal of some real and some perceived color-based, hope-crushing barriers to life opportunities & success, movement toward a more reflective representation of the population being governed will lead to greater and uninterrupted respect for laws designed to protect all peoples' rights to life, liberty & the pursuit of happiness. Thanks again for a job well-done & for the inevitable positive impact your service has had - and will continue to have - on countless Hoosiers of all backgrounds & colors.

  3. Diversity is important, but with some limitations. For instance, diversity of experience is a great thing that can be very helpful in certain jobs or roles. Diversity of skin color is never important, ever, under any circumstance. To think that skin color changes one single thing about a person is patently racist and offensive. Likewise, diversity of values is useless. Some values are better than others. In the case of a supreme court justice, I actually think diversity is unimportant. The justices are not to impose their own beliefs on rulings, but need to apply the law to the facts in an objective manner.

  4. Have been seeing this wonderful physician for a few years and was one of his patients who told him about what we were being told at CVS. Multiple ones. This was a witch hunt and they shold be ashamed of how patients were treated. Most of all, CVS should be ashamed for what they put this physician through. So thankful he fought back. His office is no "pill mill'. He does drug testing multiple times a year and sees patients a minimum of four times a year.

  5. Brian W, I fear I have not been sufficiently entertaining to bring you back. Here is a real laugh track that just might do it. When one is grabbed by the scruff of his worldview and made to choose between his Confession and his profession ... it is a not a hard choice, given the Confession affects eternity. But then comes the hardship in this world. Imagine how often I hear taunts like yours ... "what, you could not even pass character and fitness after they let you sit and pass their bar exam ... dude, there must really be something wrong with you!" Even one of the Bishop's foremost courtiers said that, when explaining why the RCC refused to stand with me. You want entertaining? How about watching your personal economy crash while you have a wife and five kids to clothe and feed. And you can't because you cannot work, because those demanding you cast off your Confession to be allowed into "their" profession have all the control. And you know that they are wrong, dead wrong, and that even the professional code itself allows your Faithful stand, to wit: "A lawyer may refuse to comply with an obligation imposed by law upon a good faith belief that no valid obligation exists. The provisions of Rule 1.2(d) concerning a good faith challenge to the validity, scope, meaning or application of the law apply to challenges of legal regulation of the practice of law." YET YOU ARE A NONPERSON before the BLE, and will not be heard on your rights or their duties to the law -- you are under tyranny, not law. And so they win in this world, you lose, and you lose even your belief in the rule of law, and demoralization joins poverty, and very troubling thoughts impeaching self worth rush in to fill the void where your career once lived. Thoughts you did not think possible. You find yourself a failure ... in your profession, in your support of your family, in the mirror. And there is little to keep hope alive, because tyranny rules so firmly and none, not the church, not the NGO's, none truly give a damn. Not even a new court, who pay such lip service to justice and ancient role models. You want entertainment? Well if you are on the side of the courtiers running the system that has crushed me, as I suspect you are, then Orwell must be a real riot: "There will be no curiosity, no enjoyment of the process of life. All competing pleasures will be destroyed. But always — do not forget this, Winston — always there will be the intoxication of power, constantly increasing and constantly growing subtler. Always, at every moment, there will be the thrill of victory, the sensation of trampling on an enemy who is helpless. If you want a picture of the future, imagine a boot stamping on a human face — forever." I never thought they would win, I always thought that at the end of the day the rule of law would prevail. Yes, the rule of man's law. Instead power prevailed, so many rules broken by the system to break me. It took years, but, finally, the end that Dr Bowman predicted is upon me, the end that she advised the BLE to take to break me. Ironically, that is the one thing in her far left of center report that the BLE (after stamping, in red ink, on Jan 22) is uninterested in, as that the BLE and ADA office that used the federal statute as a sword now refuses to even dialogue on her dire prediction as to my fate. "C'est la vie" Entertaining enough for you, status quo defender?

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