Texas couple sues Ice Miller for legal malpractice

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A Texas couple is suing one of the largest law firms in Indianapolis, accusing it of carelessness in representation that left them exposed to hundreds of thousands of dollars in losses. 

Amy and Scott Newcomer say Ice Miller rushed to settle a 2022 lawsuit filed against them and their business, All American Association of Home Inspectors Inc., and didn’t preserve federal jurisdiction after the case was settled, according to a Nov. 5 complaint filed in U.S. District Court for the Southern District of Indiana.

That left them forced to litigate a subsequent settlement dispute before a “hostile judge” in Hamilton County rather than in federal court where the case was litigated and settled, the complaint states.

A representative of Ice Miller said the firm will not comment on pending litigation.

Ice Miller is the fourth largest law firm in Indianapolis with 141 lawyers, according to 2026 IBJ research.

The settlement in question stemmed from a 2022 federal, breach-of-contract lawsuit Ultimo filed against the couple known as “Ultimo I.”

The Newcomers allege that an Ice Miller attorney signed a stipulation for dismissal with Ultimo Global Holdings LLC, that failed to preserve Southern District of Indiana jurisdiction over any future settlement disputes without informing them of the consequences, according to the lawsuit. The stipulation was signed without the Newcomers’ consent. 

On Oct. 31, 2023, the court acknowledged the joint stipulation for dismissal and closed the case.

Ultimo moved to enforce the settlement more than a month later, alleging the Newcomers failed to make timely pauyments.

On Dec. 20, 2023, Ice Miller moved to withdraw its appearanaces. The following day, its lead attorney predicted to the couple in an e-mail that Ultimo would likely sue them to collect on the settlement agreement, and the court no longer retained jurisdiction.

He also said the firm would no longer represent the couple.

The Newcomers said in their complaint that the firm didn’t tell them the federal court no longer had jurisdiction because the stipulation Ice Miller approved did not keep it, and that a retention provision had been available.

On July 2, 2024, Ultimo sued the Newcomers in Hamilton Superior Court for breach of settlement for non-payment. That case resulted in the Newcomers being ordered to pay a $729,014 partial judgment and sanctions of $2,000 per day, according to their lawsuit.

The Newcomers say they have twice attempted to remove the litigation, which is ongoing, to federal court but have been thwarted by the law firm’s failure to preserve federal jurisdiction, the complaint states. 

“The procedure to preserve federal jurisdiction after settlement is clear, but Ice
Miller inexplicably failed to follow it,” the lawsuit states.

The Newcomers are alleging legal malpractice and breach of fiduciary duty. They are requesting compensatory damages, disgorgement of attorneys’ fees paid to Ice Miller, plaintiffs’ attorneys fees and costs, prejudgment and post-judgment interest and all other relief the court deems proper.

The case is Amy Newcomer and Scott Newcomer v. Ice Miller LLP, 1:26-cv-2393.

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