In re American Continental Corp./Lincoln Savings and Loan Securities Litigation (Jones Day)

Jones Day partner William Schilling (defendant), who previously identified serious regulatory violations at Lincoln Savings and Loan (defendant) while working for a federal banking regulator, later joined Jones Day (defendant) and, upon auditing Lincoln's operations for its parent company American Continental Corporation (ACC) (defendant), found similar violations but instead of insisting on correction, helped instruct Lincoln on how to hide the problems from regulators; the firm also knew of Lincoln's fraudulent activity, consented to document destruction, and knew required corrections were never made. Jones Day moved for summary judgment in consolidated securities fraud litigation, arguing it could not be held liable simply for counseling its client.