The opinion of the court was delivered by: Kram, District Judge.
MEMORANDUM OPINION AND ORDER
Epstein Becker represents plaintiff Stratagem Development
Corporation in the instant action, involving an alleged breach
of a joint venture agreement to develop certain properties.
The real estate in question comprises buildings in midtown
Manhattan known as "Heron Tower I" and "Heron Tower II,"*fn2
and the present dispute involves Heron Tower II. Plaintiff
Stratagem's role in the venture was to acquire parcels of land
for real estate development. The role of the defendants, Heron
International N.V. and Heron Properties, Inc. (hereinafter
"Heron entities") was to develop the sites for the joint
benefits of the participants in the venture. Complaint ¶¶
During the same time period, plaintiff's counsel, Epstein
Becker, also represented a wholly-owned subsidiary of
defendant Heron Properties.*fn3 That representation is in the
context of a labor lawsuit and a related labor arbitration
involving the security guards at Heron Tower I, and is
essentially unrelated to this action. The subsidiary is known
as Fidelity Services Corporation ("FSC"),*fn4 and the labor
matters are referred to by the parties as the "Bevona
matters."*fn5 Affidavit of Peter K. Kompaniez, dated October
16, 1990 (hereinafter "Kompaniez Moving Aff."), at ¶ 3;
Affidavit of Jerrold F. Goldberg, dated October 24, 1990, ¶¶ 8,
10. The Bevona lawsuit is currently on the suspense docket of
the United States Court of Appeals for the Second Circuit
pending settlement discussions; the related labor arbitration
is in the discovery phase, with Epstein Becker, until recently,
assisting in the union's audit of FSC's books and with document
production. Kompaniez Moving Aff. at ¶ 8.
On November 10, 1989, Jerrold F. Goldberg, a member of
Epstein Becker, wrote to Kathleen Panciera, an officer of
Heron, to review the status of the Bevona matters.
Goldberg-Panciera letter of 11/10/89, attached as Exhibit A to
Kompaniez Moving Aff.
On June 27, 1990, Heron terminated the agreement between it
and Stratagem relating to Heron Tower II. Letter from Gerald
Ronson to Simon Shane, dated June 27, 1990, annexed as Exhibit
B to Kompaniez Moving Aff.
Just over two weeks later, Goldberg again wrote to Panciera.
After listing the active matters in which his firm represents
FSC "and other Heron Entities," he stated:
Goldberg-Panciera Letter of 7/13/90, attached as Exhibit C to
Kompaniez Moving Aff., at 1-2.
Kenneth J. Kelly, Esq., of Epstein Becker, followed up with
a letter, dated August 3, 1990, to Ms. Panciera. ...