Many people probably remember last year's high profile case when Ernst & Young settled a suit with Merry-Go-Round retail giant for $185 million. Merry-Go-Round alleged that EY caused problems with a turnaround attempt based on improper accounting procedures.
Now, EY is having its day in court. The firm has taken the D.C. law firm of Swidler Berlin Shereff Friedman to court, alleging that the law firm failed to disclose a relationship between itself and EY when it recommended EY help Merry-Go-Round.
Even though EY settled the suit with Merry-Go-Round last April, the Big 5 firm feels that it is justified in filing the suit because of wrongdoing and such a huge settlement.