All lawyers representing more than one client in a bankruptcy must file under this rule but many plaintiffs firms fiercely resist doing so. Bankruptcy judge Kathryn C. Ferguson demanded that Motley Rice fully comply with Rule 2019. Her order was upheld on appeal. Ahearn v. Fibreboard Fiberboard was an asbestos supplier near bankruptcy that attempted to negotiate a global settlement of the claims against it. The proposed settlement would have relied almost entirely on insurance claims. Before the settlement Fiberboard had unpaid debts of at least $1 billion and was facing about 50,000 asbestos injury suits. Fiberboard did not have enough cash ready to enter the Georgine settlement but decided to pursue the same type of arrangement on its own. Fiberboard first negotiated an inventory settlement with Ness Motley covering 20,000 asbestos claims. This arrangement was later extended to 45,000 claims. Shockingly, the terms of the settlement required Ness Motley to recommend the same terms to any future claimants it might represent. A judge then appointed Ness Motley to negotiate on behalf of future claimants. Fibreboard and Ness Motley soon announced that they had reached a settlement that would cover all future claims. The judge certified the class within a month of appointing Ness Motley. Ness Motley thus simultaneously represented present and future claimants, an obvious conflict of interest. The proposed settlement would have divided up $500 million among at least 50,000 claimants and earn the firm a $167 million fee. Fibreboard's two main insurers were to contribute about $1.5 billion to a bankruptcy trust fund for future claimants with a very small $10 million from the defendant itself. Under this arrangement Fibreboard would have retained $230 to $300 million in value as a going concern. Unlike most other asbestos settlements no effort was made to ascertain the number of future claimants and what their financial needs may be. This settlement was later overturned on appeal. Further reading Haddad, Charles. "Southern Discomfort." Business Week, Feb. 17, 2003. About the breakup of Ness, Motley, Loadholt, Richardson & Poole into smaller firms, including ultimately Motley Rice. References External links Companies based in South Carolina Charleston County, South Carolina Asbestos 2003 establishments in South Carolina Law firms based in South Carolina