New decision in California Court of Appeal Re: Derivative Lawsuits:
An attorney may represent the insiders in a derivative lawsuit by the company, despite the attorney's previous representation of the company regarding issues raised in the suit, if the insiders already knew or had access to the confidential information possessed by the attorney.
Beachcomber Management Crystal Cove v. Superior Court - filed June 28, 2017, publication ordered July 28, 2017, Fourth District, Div. Three Cite as 2017 S.O.S. 3833. Full text click here