THE parties in the lawsuit filed by Junior Larry Hillbroom against his former attorneys, which has been pending in the federal court since 2010, have agreed to a settlement.

“Plaintiff and defendants are finalizing settlement discussions and are expected to submit a stipulated motion for dismissal on or before December 2,” said Magistrate Judge Heather Kennedy of the District Court for the NMI who presided over a settlement conference on Tuesday.

Judge Kennedy vacated all pending dates and deadlines and scheduled a status conference for Dec. 2 at 4 p.m.

Chief Judge Ramona V. Manglona previously scheduled the jury trial for Dec. 7.

In 2010, Hillbroom sued his former attorneys David J. Lujan and Barry Israel for legal malpractice, negligence, breach of fiduciary duty, fraud, and violations of Racketeer Influenced and Corrupt Organizations Act.

Israel and Lujan represented Hillbroom when he was a minor in securing $90 million from the Larry Lee Hillblom estate. When Hillbroom became an adult, he sued his former lawyers for malpractice as well as his former trustee, Keith Waibel, for conspiracy.

In July 2020, Hillbroom agreed to dismiss Israel from the lawsuit after a settlement agreement was reached.

Hillbroom is one of the four DNA-proven heirs of DHL Corp. founder Larry Lee Hillblom who died in a plane crash in 1995 near Saipan leaving behind him an estate estimated at about $600 million.

Hillbroom has alleged that the defendants committed extrinsic fraud on the Guam guardianship court by denying him a fair opportunity to challenge their 56% retainer.

He is represented by attorneys Rachel Dimitruk and Mark Hanson.

Waibel, who represents himself in the lawsuit, has pending cross claims against Lujan for indemnification.

Judge Manglona earlier denied Lujan’s request to dismiss Waibel's cross claims against him.

The judge also denied Lujan’s previous request to dismiss with prejudice his former client’s complaint following Hillbroom’s criminal arrest.

In September, Hillbroom pled guilty to conspiracy to distribute methamphetamine in Hope, Idaho.

Reporter

Bryan Manabat studied criminal justice at Northern Marianas College. He covers the community, tourism, business, police and court beats.

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