ELSE EXCEPT A JUDGMENT AFTER A TRIAL HAS BEEN CONDUCTED, AND YOU LOSE.
NOW, IT IS UNDISPUTED THAT THIS INSURANCE COMPANY, ACTING THROUGH ITS REPRESENTATIVES, CONTACTED MR. SLENKER, ONE OF THE DEFENDANTS, AND ASKED HIM TO DEFEND DR. DAVOUDLARIAN ON THIS LAWSUIT.
ACTUALLY, I THINK THEY TALKED TO HIM ABOUT IT BEFORE IT WAS ACTUALLY A LAWSUIT, BUT THE DUTY TO DEFEND ARISES WHEN THE LAWSUIT IS FILED. BECAUSE IF YOU DON'T HAVE A LAWSUIT, YOU DON'T HAVE A DUTY TO DEFEND. THAT ISN'T HARD TO UNDERSTAND.
THERE HAS BEEN A LOT OF TALK HERE ABOUT LAWYERS' OBLIGATIONS. AND THERE IS NO QUESTION BUT THAT MR. SLENKER HAD AN ABSOLUTE, PERFECTLY CLEAR, NON-DELEGATABLE DUTY TO DR. DAVOUDLARIAN TO DEFEND HIM IN COURT, WITH ALL OF HIS SKILL, RESOURCES, AND ABILITY, AND COMPLETE DEVOTION TO DR. DAVOUDLARIAN INSOFAR AS THE DEFENSE OF THIS LAWSUIT IS CONCERNED.
THE INSURANCE COMPANY IS NOT REQUIRED TO, AND DOES NOT HIRE MR. SLENKER TO ACT AS DR. DAVOUDLARIAN'S GENERAL LAWYER ON ALL MATTERS. MR. SLENKER IS DR. DAVOUDLARIAN'S LAWYER FOR A LIMITED PURPOSE. THAT PURPOSE IS TO DEFEND THE LAWSUIT, AND MR. SLENKER APPARENTLY DID IT VERY WELL.
THE FIRST TIME THEY WENT TO TRIAL, HE LOST ON THE LIABILITY BUSINESS, BUT HE KEPT THE DAMAGES DOWN TO ONLY $10,000, WHICH THE LAWYER FOR THE PLAINTIFF - AND
I CAN'T REMEMBER HIS NAME RIGHT NOW - HE GOT THE COURT DOWN THERE TO SET THAT VERDICT ASIDE AND HAVE ANOTHER TRIAL JUST ON THE QUESTION OF HOW MUCH MONEY IS THIS PLAINTIFF, *763 THIS LADY, ENTITLED TO COLLECT.
AND I AGREE WITH MR. SLENKER; THAT PUT THE DEFENDANT DOCTOR IN A TERRIBLE POSITION. BECAUSE HE WAS NOT ALLOWED, AT THAT TIME, TO TRY TO ARGUE THAT THERE ISN'T ANY LIABILITY AT ALL. I DON'T OWE THIS LADY ANYTHING; IT'S JUST A QUESTION OF HOW MUCH SHE'S GOING TO TAKE HOME. AND, AS YOU KNOW, IT CAME OUT TO BE A MILLION DOLLARS.
AND HIS COVERAGE, AS YOU KNOW, WAS ONLY $500,000, BUT THE COMPANY SAID, WE THINK THIS WAS SUCH A MISCARRIAGE OF JUSTICE THAT WE WANT TO APPEAL THIS DECISION, AND WE ARE GOING TO INCREASE DR. DAVOUDLARIAN'S COVERAGE FROM $500,000 TO A MILLION SO THAT HE WON'T HAVE ANY PERSONAL EXPOSURE ON THIS APPEAL.
SO, THEY PUT UP $1 MILLION IN CASH AND ASKED MR. SLENKER TO DELIVER IT TO THE CLERK OF COURT. AND TO PERFECT THE BOND, YOU'VE GOT TO SIGN SOME PAPERS AND STUFF TO ENTER THE APPEAL AND GET THE MONEY EARMARKED TO BE THIS PARTICULAR CASE AND FOR THIS PARTICULAR APPEAL.
AND THE PURPOSE OF THAT BOND WAS THE SAME AS THE $20 WE WERE TALKING ABOUT. THAT WAS IN CASE MR. SLENKER LOST THE APPEAL AND THE HIGH COURT SAID JUDGMENT AFFIRMED, THE $1 MILLION WOULD BE THERE TO PAY THE JUDGMENT. AND IT'S THERE FOR NO OTHER PURPOSE THAN TO PAY A JUDGMENT.
BUT, LO AND BEHOLD, THE HIGHER COURT SAID, NOPE, THE LOWER COURT WAS WRONG ON ALL COUNTS.