Home Savings of America SSB v. Malart, Inc.

The opinion of the court was delivered by

PETRELLA, P.J.A.D.

The issue is whether a law firm can apply an attorney’s common law retaining lien against monies it received in trust for a special purpose, where effectuation of that purpose is subsequently frustrated or, as now appears,1 resolved permanently or temporarily in some other fashion. The law firm of Lowenstein, Sandler, Kohl, Fisher & Boylan (Lowenstein firm) appeals from a March 10,1993 Law Division order that directed the firm to disburse $132,180.80, plus any interest thereon, to plaintiff Home Savings Bank of America, SSB (Home…