Law firm, diocese settle lawyer malpractice case SPOKANE, Wash. — The Catholic Diocese of Spokane has settled a malpractice case it filed against the law firm that handled its bankruptcy over priest sex abuse claims. The church and Paine, Hamblen LLP settled Friday, but the terms of the settlement were not disclosed, The Spokesman-Review reported. “The settlement does not constitute an admission of wrongdoing by either side,” both sides said in a joint statement. 11th Circuit ruling may change …