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LITTLE v. KPMG LLP

Nos. 08-50100, 08-50104.

575 F.3d 533 (2009)

Douglas Alan LITTLE, On Behalf of Themselves and All Others Similarly Situated; Little, Roberts & Company, PC, On Behalf of Themselves and All Others Similarly Situated, Plaintiffs-Appellants-Cross-Appellees, v. KPMG LLP; Franklin W. Maresh; David J. Kirkpatrick; Robert W. Lambert; Jerry Wayne Claiborne; James Terry Strange, Jr.; Jack Turner Taylor, Jr.; Richard E. Sexton; Sara Lou Brown; Larry Evans, Defendants-Appellees-Cross-Appellants. Desert Eagle Distributing of El Paso, Inc., Plaintiff-Appellant-Cross-Appellee, NC Ventures, Inc.; St. James Capital Partners LP, Intervenor Plaintiffs-Appellants-Cross-Appellees, v. KPMG LLP; Franklin W. Maresh; David J. Kirkpatrick; Robert W. Lambert; Jerry Wayne Claiborne; James Terry Strange, Jr.; Jack Turner Taylor, Jr.; Richard E. Sexton; Sara Lou Brown; Larry Evans, Defendants-Appellees-Cross-Appellants.

United States Court of Appeals, Fifth Circuit.

July 10, 2009.

Attorney(s) appearing for the Case

KiwiAlejandro Danao Camara (argued), Amir H. Alavi, Demetrios Anaipakos, Ahmad, Zavitsanos & Anaipakos, Houston, TX, Gregory Scott Coleman, Yetter, Warden & Coleman, LLP, Austin, TX, Finis E. Cowan, David Edward Warden, Yetter, Warden & Coleman, L.L.P., Houston, TX, for Plaintiffs-Appellants Cross-Appellees.

John K. Villa (argued), Robert A. Van Kirk, Williams & Connolly, L.L.P., Washington, DC, Michael Vance Powell, Locke, Lord, Bissell & Liddell, LLP, Dallas, TX, for Defendants-Appellees Cross-Appellants.

George H. Spencer, Jr., Kathryn A. Stephens, Clemens & Spencer, San Antonio, TX, for Maresh.

Before JOLLY, DeMOSS and PRADO, Circuit Judges.

E. GRADY JOLLY, Circuit Judge:

John Hudson ("Hudson") was a partner at KPMG LLP from 1984 until 1999, practicing public accountancy in Texas. He did not, however, have the required Texas license to practice. It is alleged that KPMG LLP's Texas license and registration were therefore improper; its participation in Texas's public-accountancy market, unlawful. It is further alleged that KPMG LLP managed to maintain its Texas...

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