Jesse by Reinecke v. Danforth
Wisconsin Supreme Court
485 N.W.2d 63 (1992)
Drs. Danforth and Ullrich (defendants) hired attorney Douglas Flygt of the DeWitt firm to help them form a corporation, MRIGM, in which they became shareholders. Jean Jesse (plaintiff) separately sued the doctors for medical malpractice arising from conduct entirely unrelated to MRIGM and predating its formation, and retained a different DeWitt attorney, Eric Farnsworth, for that suit. The doctors moved to disqualify the entire DeWitt firm from representing Jesse, arguing a conflict of interest from Flygt's earlier work forming MRIGM for them.
Whether, when a lawyer assists individuals in forming a corporation, the entity rule of representation applies retroactively so that the lawyer's pre-incorporation representation relates only to the corporation, not to the individuals who formed it.