Real-Estate Investor drops lawsuit against Washington law firm

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A years-long legal dispute between real estate investor Robert Toussie and Washington, D.C.-based powerhouse Williams & Connolly LLP has come to an end. Court records filed Tuesday in the U.S. District Court for the Eastern District of New York confirm that Toussie has formally dismissed his malpractice lawsuit against the law firm and co-defendant Lupkin & Associates. The case was dismissed with prejudice, ensuring that it cannot be refiled.

This development marks the close of a contentious case that raised questions about the duties of law firms when advising clients on the risks of enforcing judgments, particularly in complex real estate and tribal development matters.

The Dispute and Its Origins

The lawsuit stemmed from Toussie’s involvement in a casino development project on tribal land in Florida, a venture that led to significant legal and financial fallout. In 2016, Toussie secured a $7.8 million judgment with the assistance of Williams & Connolly. However, his victory ultimately proved hollow when he was unable to collect on that judgment.

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Toussie later claimed that his legal team failed to properly advise him about the challenges and risks involved in enforcing that judgment. In his complaint, he accused Williams & Connolly of professional malpractice and alleged that the firm should have counseled him to seek a settlement instead of continuing enforcement efforts that were likely to fail.

According to Toussie’s filings, he argued that if he had been better informed about the potential obstacles in recovering the awarded funds, he would have pursued different strategies to mitigate his losses. “Had I known that I was in danger of losing all opportunity to obtain compensation for my losses, I would have undertaken other means or methods,” Toussie stated in an affidavit.

Law Firms Deny Wrongdoing

Both Williams & Connolly and Lupkin & Associates firmly denied any wrongdoing. The firms contended that they had repeatedly warned Toussie about the uncertainties of recovering the judgment and made it clear that enforcement efforts could yield little or no financial recovery.

Williams & Connolly, widely regarded as one of the country’s leading litigation firms, maintained that their advice throughout the case was sound, and consistent with the professional standards expected of attorneys in complex commercial disputes.

The firm also filed a counterclaim against Toussie, seeking approximately $300,000 in unpaid legal fees related to their representation. That counterclaim has now also been dropped as part of the final dismissal.

Notably, the dismissal documents did not reference any financial settlement between the parties. This indicates that the case likely ended through a mutual agreement to withdraw all claims, rather than through a negotiated payment or compromise.

Case Dismissed With Prejudice

The dismissal with prejudice is a significant outcome in this type of litigation. Such dismissals permanently close the door on re-filing the same claims in the future. While no formal explanation was provided for Toussie’s decision, dismissals with prejudice often occur when both sides agree that further litigation is not in their best interests—either due to high costs, the strength of defenses, or other strategic considerations.

For law firms, a dismissal with prejudice in a malpractice case is typically seen as a favorable resolution. It brings an end to the dispute without any admission of liability or financial settlement, while also eliminating ongoing reputational risk.

Broader Implications for Law Firms and Clients

The Toussie case illustrates the complex nature of client-lawyer relationships, particularly when dealing with post-judgment recovery in high-stakes real estate ventures. Winning a case in court is only half the battle; successfully collecting on a judgment—especially one involving cross-border or tribal entities—can be fraught with procedural and jurisdictional hurdles.

For clients, the case underscores the importance of clear communication and expectation management. Even the most skilled legal representation cannot guarantee a successful enforcement outcome, especially when assets are difficult to reach or shielded by legal protections.

For attorneys, the lawsuit serves as a reminder of the inherent risks in malpractice exposure. Even when a firm provides accurate and thorough counsel, a dissatisfied client may still pursue legal action if outcomes fall short of expectations. It highlights the need for meticulous documentation of all client communications and legal advice, particularly when assessing the feasibility of collection or settlement options.

About Williams & Connolly

Founded in 1967, Williams & Connolly is a premier Washington, D.C. litigation boutique known for representing high-profile clients in complex civil, criminal, and regulatory matters. The firm has earned a reputation for its elite trial lawyers and deep bench of experienced litigators who frequently appear in courts nationwide. Its clients have included Fortune 500 companies, major political figures, and influential individuals across multiple industries.

The firm’s defense in the Toussie case reinforces its longstanding stance on professionalism and ethical representation, key hallmarks of its practice over decades.

Final Takeaway

The conclusion of the Toussie case brings closure to a dispute that blended elements of real estate, tribal law, and legal ethics. While Toussie’s claims have now been permanently dismissed, the case serves as an instructive example for both law firms and clients navigating the uncertain terrain of post-judgment litigation.

As law firms continue to take on complex financial and commercial disputes, maintaining transparency about risk and enforcement prospects remains essential. For clients, it’s a cautionary tale: winning in court does not always translate to financial recovery—and even trusted counsel cannot change the practical realities of collection.

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