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Settlement discussions between Hillbroom and Lujan ongoing

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THE settlement discussions between Junior Larry Hillbroom and David Lujan will continue, according to the disclosure of the parties at a status conference hearing in federal court.

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

On Thursday, Lujan and Hillbroom’s counsel, attorney Rachel Dimitruk, updated Chief Judge Ramona V. Manglona of the District Court for the NMI as to the status of the settlement discussions. They informed the court that they had not heard back from the mediator.

Lujan told the court that he will reach out to the mediator.

In July 2020, Hillbroom agreed to dismiss Israel from the lawsuit after the two agreed to settle. A stipulation of dismissal was then filed by the parties in court.

Another co-defendant is Keith Waibel, the former trustee of Hillbroom’s trust who was sued by Hillbroom for conspiracy.

At the hearing, Waibel, who represented himself, requested the court for a copy of the settlement agreement between Hillbroom and Israel.

But attorney Theodore Frank, who represents Israel, and Dimitruk told the court that “they are not allowed to disclose the settlement agreement.”

Israel recently filed a motion for summary judgment for his cross-claims against Waibel for defamation.

Israel asked the court to enter a judgment against Waibel and issue an award of $1,442,877.67 and punitive damages in the amount of $400,000.

Judge Manglona will hear Israel’s motion for summary judgment on Oct. 1 at 8:30 am.

The judge also vacated the jury trial scheduled for Oct. 27 and reset the trial for Dec. 1 at 10 a.m.

Israel and Lujan secured $90 million for Hillbroom from the Larry Lee Hillblom estate.

When he became an adult, however, Hillbroom sued his former lawyers and Waibel.

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

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