DC lawyer Lowell defeats IRS agents’ defamation lawsuit

By Mike Scarcella

Oct 16 (Reuters) - A federal judge on Thursday dismissed a defamation lawsuit brought by two IRS agents against prominent lawyer Abbe Lowell, ruling that statements he made while representing former President Joe Biden’s son Hunter were protected legal opinions.

U.S. District Judge Richard Leon granted Lowell’s request to dismiss the case, which was filed last year by IRS agents Gary Shapley and Joseph Ziegler.

The lawsuit accused Lowell of defaming them in letters to Congress and the media about disclosures they said they made as whistleblowers to U.S. congressional committees concerning Hunter Biden.

Shapley and Ziegler as IRS agents were involved in an investigation of Hunter Biden's tax compliance. They have denied any wrongdoing.

Leon said Shapley and Ziegler had not plausibly shown that Lowell acted with “actual malice,” a key part of proving a defamation claim. Lowell’s statements, the judge said, are “positions that Biden’s attorneys took in the course of representing and advocating for their client.”

Shapley and Ziegler in a statement said they disagreed with the court's ruling and will consider whether to appeal.

“We have been in the public eye because we did our duties as loyal public servants," they said. "We legally blew the whistle when Hunter Biden almost escaped prosecution for his crimes because he was the President’s son."

Attorneys for Lowell in a statement welcomed the judge's order.

"It was completely appropriate for Abbe Lowell, as Hunter Biden’s lawyer, to call out lawbreaking that was harmful to his client," Lowell's attorneys said.

Lowell, a longtime Washington lawyer, has become a central figure in lawsuits challenging the administration’s attacks on public servants. A former litigator at large U.S. law firms, Lowell launched a new law office this year to represent officials targeted by President Donald Trump.

Lowell’s clients include New York Attorney General Letitia James, Federal Reserve Governor Lisa Cook and U.S. Centers for Disease Control and Prevention Director Susan Monarez.

Biden, represented by Lowell, pleaded guilty in September 2024 to federal tax charges in federal court in Los Angeles. Prosecutors accused him of failing to pay $14 million in taxes.

In January, Joe Biden pardoned Hunter in a move that drew criticism from Republicans and some Democrats.

Lowell's prior law firm Winston & Strawn in June sued Hunter Biden in District of Columbia Superior Court, claiming he owes more than $50,000 in unpaid fees for past legal work.

Biden has admitted that some fees are owed but is disputing the amount, a court filing showed last month.

The case is Gary Shapley and Joseph Ziegler v. Abbe Lowell, U.S. District Court for the District of Columbia, No. 1:24-cv-02646-RJL.

For plaintiffs: Mitchell Langberg of Brownstein Hyatt Farber Schreck; and Michael Zummer of Empower Oversight Whistleblowers & Research

For defendant: Michael Stoll, Jason Weinstein and Charles Michael of Steptoe

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