The Arizona Supreme Court on Friday will rule on whether a Connecticut law firm whose lawyers aren't admitted to practice law in Arizona can be sued in the state over work done for Arizona clients.
The Supreme Court is reviewing a Court of appeals ruling that revived a lawsuit against the firm by saying the firm can be sued in Arizona.
Pullmon & Comley for $50,000 provided Arizona investors with a letter saying federal tax law allowed a tax shelter.
However, the IRS disallowed losses claimed by the investors, resulting in a sizable tax bill for them.
The investors sued, but a trial judge ruled that Arizona courts didn't have jurisdiction.
The Court of Appeals ruling said taking on Arizona clients made the firm subject to suits in Arizona.
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