7 former workers say IPI’s 4th change of counsel in a year is bad-faith tactic

The seven former workers who are suing Imperial Pacific International (CNMI) LLC are opposing IPI’s decision to terminate their two lawyers and substitute Michael W. Dotts as its fourth lead counsel, describing it as a “bad-faith tactic.”

The former workers, through counsel Aaron Halegua and Bruce Berline, said this tactic designed to further delay the collection and production of discovery at a time when IPI is shedding personnel, moving offices, and shutting down operations.

Halegua and Berline said they can perceive of no other logical reason for IPI to fire its former lawyers, Sean E. Frink and Catherine J. Cachero, roughly one year into this case. They said IPI offers no legitimate explanation for its decision—or any explanation at all.

A day after the federal court found IPI in civil contempt for violating the court’s two orders regarding discovery in connection with a lawsuit against IPI and two others by seven former workers, IPI terminated the services of Frink and Cachero, and their Marianas Legal Strategy Group LLC law firm.

On the same day of the termination on April 17, IPI sought to substitute Dotts as its new counsel in this case.

In their opposition, Halegua and Berline asked the court to require IPI to provide an explanation for its termination of Frink, Cachero and MLSG law firm and deny the withdrawal motion, at least until IPI complies with the court’s April 16, 2020, discovery order.

Regardless of how the motion is decided, the court should issue a clear warning that this proposed change of counsel will not justify any delay, Halegua and Berline said, and that IPI must comply with each and every aspect of the court’s orders or it will be sanctioned.

The lawyers said all evidence suggests that the withdrawal of Frink, Cachero, and MLSG will necessarily cause delay. Halegua and Berline said the court should deny IPI’s motion to substitute attorneys until it provides a compelling reason for changing counsel at this time and a plausible plan for meeting the court’s deadlines.

After the complaint was filed in March 2019, IPI was first represented by Phillip Tydingco, followed by Kelley Butcher, who took over last December. Last March 3, Frink and Cachero of MLSG took over as lead counsel.

Last April 16, Manglona granted the former workers’ motion to sanction IPI, saying that, if IPI fails to comply with the deadlines ordered that day, April 16, a monetary sanction of $2,000 a day will be imposed until IPI complies.

The plaintiffs, who are now based in China, are suing IPI and its contractor MCC International Saipan Ltd. Co. and subcontractor Gold Mantis Construction (CNMI) LLC over the alleged injuries they suffered during accidents at the worksite of IPI’s casino/resort project in Garapan.

The plaintiffs alleged, among other things, that they were forced to work long hours for below minimum wage under extremely dangerous conditions at the casino-resort worksite.

In its response to the lawsuit, IPI said any wage claims by the plaintiffs are barred because they voluntarily illegally entered the CNMI to work.