Ellis v. Arrowood Indemnity Co.

ORDER

AMUL R. THAPAR, District Judge.

This case is a court’s version of Inception: suits within suits within suits. In 1998, plaintiffs James Ellis and his architecture firm (“Ellis Parties”) sued two former law firms, now joined by their insurer, defendant Arrowood Indemnity Company (collectively, “Arrowood”), for legal malpractice (“Case 2”). The Ellis- Parties, alleged that their lawyers, Arrowood’s in-.-sureds, were professionally. negligent in failing to file and prosecute claims -against Sam Martin, Jr., and the IRS (“Case 1”).. The parties finally settled in 2005 after several…