MabVax’s lawyers, Baker Botts, are not going to be able to collect attorney fees for the allegedly frivolous lawsuit Barry Honig’s deal attorney, Harvey Kesner, filed against the firm in purportedly retaliation for Baker Botts suing Kesner’s clients, like Honig, for their alleged role in manipulating the stock of Mabvax and destroying the company asset values.
Kesner was previously sanctioned by a New York judge in the case, for improper filing in his case in New York. The judge ended up transferring the lawsuit to California where MabVax is headquartered and where MabVax’s lead attorney, Jonathon Shapiro, at Baker Botts reside. Kesner dropped the suit once it got to California after originally claiming he had $35 million in damages. Kesner is represented by Virginia attorney Steven Biss who is also infamously suing almost any media outlet for defamation that reports on California republican congressman Devin Nunes, this includes trying to sue a parody twitter account called Devin Nunes Cow. Biss has warned by multiple federal judges that he risk sanctions for using the courts to fight personal mud slinging battles for his clients. Biss was previously put on a temporary suspension of his law license by the State of Virginia.
Kesner had accused Baker Botts of getting him fired from his firm as a named law partner after they showed the firm alleged evidence they gathered in their legal assistance of helping MabVax with the SEC investigation into a long running pump and dump scheme allegedly orchestrated by Kesner’s clients. Kesner’s clients have been banned from the penny stock market as a result of the SEC investigation and face millions in fines.
Baker Botts said in their motion to dismiss and motion to strike that Attorney Biss framed the lawsuit with defamatory statements centered on a theory that Baker Botts tried to bribe Kesner and his former law firm, Sichenzia Ross Ference LLP, to refund MabVax attorney fees or they would go to the SEC and DOJ with their findings about Kesner. A draft copy of the suit and findings said Baker Botts had found that allegedly Kesner has suggested MabVax mislead a regulator in 2016 when they came asking about stock trades and some of MabVax’s private investors disclosures. MabVax private investors included Barry Honig, Philip Frost, Hudson Bay, Michael Brauser, Robert and Andrew Haag and John Stetson.
Baker Botts had tried to use California anti-slaap laws to justify the attorney fees demand. But Kesner withdrew the lawsuit, without prejudice. The judge’s ruling appears to be based on procedural technicalities than the merits of what Baker Botts was accusing Kesner and his attorney Steven Biss of doing which is using a the lawsuit as harassment for an ongoing malpractice suit against Kesner by MabVax which he recently settled and the continued lawsuit in San Diego state court which has survived a motion to dismiss against Barry Hoing. The court found MabVax can sue Barry Honig and his associates which included stock promoter and investor relations firm IRTH and its co-founders Robert and Andrew Haag and start discovery.
There is also an ongoing criminal case that is parallel to the SEC case against Honig and his associates. I was first to report on the criminal case in late 2016. It’s unclear if the DOJ plans to add new names when and if they charge criminally but evidence from discovery in the SEC case shows Honig is likely cooperating with the Feds.
Southern California district court federal Judge Hayes said Baker Botts motion to strike was moot because the main lawsuit involving MabVax’s suit for malpractice against Kesner was settled last month. Court filings in the MabVax bankruptcy case say the settlement was favorable to MabVax. Kesner now practices law on his own and is still licensed to practice in New York.a
Kesner’s attorney Steven Biss has also filed a frivolous libel suit against this reporter and another reporter at Baron’s for reporting on attorney Harvey Kesner and his questionable role with clients. The case is awaiting a motion to dismiss decision from Judge Engelmayer.
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