Lawsuit: Scranton attorney lied to clients, forged judge's signatures, documents to cover up mishandling of civil case

Mar. 22—An attorney with a prominent Scranton law firm forged signatures of a Lackawanna County judge and others in an elaborate, five-year scheme to cover up the dismissal of a medical malpractice case, a Gouldsboro couple alleges in a lawsuit.

Attorney James J. Conaboy repeatedly lied to his clients, Teresa and John Matheson, and engaged in numerous "egregious acts of dishonesty" while leading them to falsely believe a lawsuit he filed in 2017 had settled for $700,000, according to the suit.

In reality, a Lackawanna County judge dismissed the case in 2020, after Conaboy failed to take required actions, including serving the defendants with the lawsuit.

The explosive allegations are contained in the 42-page lawsuit filed in Monroe County Court that details the exhaustive efforts the couple allege Conaboy, while an attorney with the Scranton law firm Abrahamsen, Conaboy & Abrahamsen, took to deceive them into believing he was aggressively pursuing their claim.

The suit, filed by Philadelphia attorney Jack Meyerson, also names the firms partners, Edwin A. Abrahamsen, Edwin A. Abrahamsen Jr. and Kevin M. Conaboy, alleging they were negligent for allowing James Conaboy to continue practicing despite knowing he previously engaged in "outrageous acts of dishonesty and misconduct" with other clients.

The lawsuit isn't the only legal trouble James Conaboy, 51, of Clarks Green, faces.

Lackawanna County District Attorney Mark Powell said he referred a criminal investigation into the matter to the state Office of Attorney General in September. Attempts to reach the office were unsuccessful.

Conaboy's conduct in the Matheson case also led to an investigation by the Disciplinary Board of the State Supreme Court, the suit says. Information on the status of that probe could not be obtained. As of Wednesday, no disciplinary action had been taken against Conaboy, who has practiced law since 1996.

Attempts to reach Conaboy and the other defendants were unsuccessful. Conaboy's status with the firm also could not be determined. The firm's website no longer lists him as working there.

The Matheson lawsuit stems from Conaboy's handling of a lawsuit he initiated on behalf of Teresa Matheson against Dr. Gregory Thomas and Geisinger Community Medical Center for treatment of a fractured hip she suffered in 2015.

Conaboy filed a writ of summons, which puts a defendant on notice they are being sued, on May 2, 2017. Judge Terrence Nealon dismissed the case on July 6, 2020, after Conaboy failed to file any further documents.

The suit alleges Conaboy knew early on that Matheson did not have a viable claim because an expert he purportedly hired said Thomas had not breached any medical standards in the care he provided.

Rather than tell her that, Conaboy embarked on an "outrageous five-year campaign to cover up the dismissal of the case by lying to his clients, forging court orders and signatures, pretending to have settled the case and engaging in numerous other egregious acts of dishonesty," the suit says.

According to the suit, the lies began Dec. 1, 2017, when Conaboy told Teresa Matheson he requested documents from the defendants. That was a "complete fabrication," the suit says, because Conaboy never served them with the suit.

Over the next five years, the couple repeatedly contacted him for updates, only to be fed another web of lies attributing delays to several issues, including difficulties in scheduling depositions and in obtaining documents, the suit says.

The couple continued to demand answers, which led Conaboy to create phony court documents, including a fabricated motion to compel production of documents, according to the suit.

In August 2019, Conaboy told the couple he had good news: Geisinger and Thomas agreed to settle the case. That too was a lie, which then led Conaboy to concoct elaborate stories to explain the delay in resolving the nonexistent settlement, the suit says.

On Oct. 27, 2021 — more than a year after the case was dismissed — Conaboy sent the couple a letter bearing the forged signature of Deputy Court Administrator Stacey Harris, which said Nealon had scheduled a hearing on a motion to enforce the settlement.

After another series of delays, Conaboy emailed the couple on March 8, 2022 to falsely advise them a settlement check was sent to Nealon's office, but there was a problem because the check had been made out to them and Nealon, the suit says.

According to the suit, Conaboy falsely told the couple Nealon shredded the check out of concern it would create income tax issues or a "scandal if the newspaper ever picked up on the fact the judge got a check in a case he is presiding over." He continued to lie and said Nealon ordered the check be reissued.

To cover up that lie, Conaboy forged Nealon's signature to a fake court order dated March 25, 2022, that purported to hold an official with an insurance carrier in contempt of court for failing to deliver the reissued check, the suit says. He also falsely told them Nealon ordered the official jailed, but the person avoided arrest by hiding from sheriff's deputies, the suit says.

Three days later, Conaboy forged Nealon's signature on another phony court order that purportedly entered judgment in the couple's favor for $700,000, the suit says.

Finally, on April 29, 2022, Conaboy, unable to maintain the deception, confessed to them there was no settlement and that he had not done any work on the case in five years, the suit says.

The suit also seeks to hold the law firm and the individual partners accountable, alleging they knew or should have known of his conduct, especially since he engaged in similar conduct with other clients.

In addition to the Mathesons, Meyerson represents seven other clients who initiated lawsuits in Monroe County Court against Conaboy and his law firm. He also represented a client who sued Conaboy in Lackawanna County Court in 2020.

The complaints detailing allegations in the Monroe County lawsuits have not yet been filed. Meyerson said he could not comment on the Monroe County Court cases or the Lackawanna County Court case, which was discontinued on Feb. 27, without a complaint being filed.

The Matheson lawsuit seeks damages on seven counts, including intentional infliction of emotional distress, negligent hiring, retention and supervision, breach of contract and punitive damages.

Paul Troy, a Blue Bell attorney representing Conaboy and other defendants, recently filed court papers seeking dismissal of the lawsuit based on various legal arguments.

Troy argues the claim for emotional distress cannot stand because such claims are reserved for "only the most clearly desperate and ultra extreme conduct." Punitive damages are allowed only for "outrageous" conduct committed with "evil motive" and "reckless indifference." The allegations against Conaboy do not rise to that level, he said.

"Plaintiffs admit that the underlying medical malpractice claim was not viable, therefore (their) alleged harm is their suffering as a result of believing they had a viable case which settled, when in reality, that was not true," Troy said.

In a reply to the filing, Meyerson said the Mathesons harm goes beyond simply being disappointed over not getting a settlement.

"The experience of being lied to for many years by a trusted advisor is another significant source of damages," Meyerson said.

Contact the writer: tbesecker@timesshamrock.com; 570-348-9137; @tmbeseckerTT on Twitter.