Lico

BACKGROUND

In 2002, Attorneys assisted appellant and her former husband, Steven Lico, in the preparation of an estate plan. As part of the plan, the Lico Family Revocable Trust (“Trust”) was created. At the time, Mr. Lico held separate property interests in business entities. Appellant and Mr. Lico executed a Community Property Agreement (“Transmutation Agreement” or “Agreement”), prepared by Attorneys, under which Mr. Lico’s separate property interests in the business entities were transmuted into community property interests in the Trust. This resulted in appellant holding a community property interest in the business entities. Attorneys did not provide legal services to appellant after 2002.

1 In October 2006, appellant filed a Petition for Dissolution of Marriage in San Mateo County Superior Court. The Superior Court appointed Neville K. Spadafore as “Temporary Judge” to preside over the dissolution. During those proceedings, Mr. Lico challenged the Transmutation Agreement, claiming he had not understood the full legal consequences when he signed it. He argued the Agreement was unenforceable. The dissolution court bifurcated the issue for determination in advance of the…