Sunday, July 11, 2010

Life's a bitch for Unkovich

Another lawyer has bitten the dust over Blue Chip investor advice.
Auckland lawyer Zel Unkovich has been ordered to pay two Blue Chip victims $160,000 in compensation for failing to advise them of the risks of the investment.
The scary thing from Granny's story is this:
Unkovich said...it was conjecture whether the Bilbes would have proceeded with the deal if his staff had pointed out problems.

"At that time it wouldn't have mattered what you told people, wild horses couldn't stop them getting into a lot of these Blue Chip deals."

Geez. That's failing in the bleedin' obvious, which is it's totally irrelevant whether they would have entered into the deals. The issue is whether advice on the structure was ever given. And it wasn't. If Unkovich gave it, and they still signed on the bottom line, then he'd have a point.

But he doesn't have a point and should just slink quietly into his corner and pay up - or at least his insurers should.

6 comments:

Adolf Fiinkensein said...

Yes, the very same thought crossed my mind when I read.

Your job was to give advice and you didn't.

gravedodger said...

When these incompetent thieving pricks and their principals walked away from their various Law Schools clutching their valuable pieces of parchment, what part of "fiduciary duty to their client" had they not grasped. I thought that tenet of the law was pretty central.
I got seriously fucked over by a senior partner in a so called leading law firm 45 years ago in a deal involving family money who in response to my valid inquiry at the final stages of negotiation "was this when I should seek independent advice" answered that he could act for all parties and save a lot of money. There was no malice or agenda among the family members just a total arrogance and incompetence from the said senior partner.
To add insult to injury the prick, following my fathers death and subsequent to our near total loss house fire tried to extort some 200k from me as an unpaid debt to my fathers estate. Among the pitiful remnants of our total possessions at the time of the fire was a letter from the bastard some 20 years earlier acknowledging repayment in full and on our quoting the ref no of the letter, received nothing more by way of acceptance or apology just a silence that has lasted 25 years so far.

alex Masterley said...

If Unlovich had given full advice on the perils of the blue chip model he would be OK.

But as he didn't, and neither did the other firms who did BC work he's and they are toast.

The only problem for claimants is that his insurers will run out of patience with him and then he will not be worth powder & shot.

I expect that they will pop in front of various standards committees.

Interestingly when i read the decision I noted that U did not give evidence. I'm not sure if that was counsels decision or U. anyway it didn't help.

Oh and GD 2 things;
the Lawyers & Conveyancers Act 2006 has changed the paternalstic approach of old.
and if it was 45 years ago, the guy sdead so the only way you will get an apology is using an ouja board.

gravedodger said...

Thanx alex but the bastard aint dead enough last I heard, he was still consuming valuable oxygen and I still have better things to do.

Anonymous said...

I can assure your readers that many lawyers advised clients NOT to proceed with anything to do with Bluechip. In some cases some people did so despite being warned off. I know of only one firm which acted for those who had been advised not to proceed by their usual solicitors.

I was asked by a couple to go through the Bluechip proposals with them. This I did and told them to stay away. In the process I used a 4 letter word in relation to Bluechip. The female of the client couple wrote to me subsequently complaining about my invective. A year later she wrote to me thanking me for my passionate distaste for Bluechip and for providing "vibrant advice." Life can be like that...makes it worth living.

Faversham.

richie said...

I meet Zel... many years ago when my father used to discuss legal issues as a top ranked policeman. I pretended not to be interested as I played with anything in the office that amused me. I was just a kid. I grew up in that circle.
You hear things, you see things, and as you read comments years on I sometimes wonder that I know too much and how it can have an influence on things???? Sometimes I wish I could just shout to the world what I know.