LexisNexis® Legal Newsroom
attorney fees gold coins

Attorney Fees Money Bag and Gavel

Though Delaware Legislature Has Tabled Action, Upcoming Judicial Review of Fee-Shifting Bylaws Seems Likely

The Delaware Supreme Court stirred up quite a bit of controversy earlier this year in the ATP Tours, Inc. v. Deutscher Tennis Bund case when it upheld the facial validity of a fee-shirting by law [an enhanced version of this opinion is available to lexis.com subscribers] . The bylaw provided that an...

Delaware Court of Chancery Awards Fees Based on Corporate Benefit Doctrine

Sutherland v. Sutherland , C.A. No. 2399 -VCN (Del Ch. July 31, 2014). This Delaware Court of Chancery decision involving a long-running internecine legal battle among family members who own and manage related corporations, is noteworthy because it applies the corporate benefit doctrine to a series...

Delaware Court of Chancery Hears Fee-Shifting Bylaws Argument

After the Delaware Supreme Court decision in ATP Tour, Inc. v. Deutscher Tennis Bund , Del. Supr., No. 534, 2013 (May 8, 2014) [an enhanced version of this opinion is available to lexis.com subscribers] , highlighted on these pages, in which the court upheld fee-shifting bylaws, a number of companies...

Delaware Court of Chancery Addresses Advancement and Indemnification of Corporate Officer

In Pontone v. Milso Industries Corp . , C.A. No. 8842-VCP (Del. Ch. Aug. 22, 2014), the Delaware Court of Chancery addressed the rights to advancement and indemnification of attorneys’s fees for a corporate officer pursuant to both DGCL Section 145 and applicable agreements among the parties [an...

Court’s Solution To Determining the Hourly Rate For Independent Counsel: Put It In The Policy

It is an issue that has confronted us all and one with no easy answers. An insurer determines that, on account of a defense being provided under a reservation of rights, the insured is entitled to independent counsel, to be paid for by the insurer (or a court makes this decision for the insurer). Now...

Supreme Court To Decide If Bankruptcy Lawyers Can Get Fees For Pursuing Bonus Fees

WASHINGTON, D.C. — (Mealey’s) The U.S. Supreme Court on Oct. 2 agreed to decide whether the U.S. Bankruptcy Code gives bankruptcy courts discretion to award lawyers their fees for successfully defending applications for enhanced attorney fees ( Baker Botts, LLP, et al. v. ASARCO, LLC , No...

Supreme Court to Decide If Bankruptcy Lawyers Can Get Fees For Pursuing Bonus Fees

WASHINGTON, D.C. — (Mealey’s) The U.S. Supreme Court on Oct. 2 agreed to decide whether the U.S. Bankruptcy Code gives bankruptcy courts discretion to award lawyers their fees for successfully defending applications for enhanced attorney fees ( Baker Botts, LLP, et al. v. ASARCO, LLC , No...

One Superior Court Judge Overruling Another?

You are all familiar with the old adage that "one Superior Court Judge cannot overrule another Superior Court Judge." But apparently there is at least a little bend in that rule, as illustrated by Judge Bledsoe's opinion this past Thursday, in Taidoc Technology Corp. v. OK Biotech Co. ...

Contract-Based Award of Attorneys’ Fees

ReCor Medical, Inc. v. Warnking , C.A. No. 7387-VCN (Del. Ch. May 14, 2014) [ an enhanced version of this opinion is available to lexis.com subscribers ]. This letter opinion provides a helpful analysis of how the Court of Chancery awards attorneys’ fees based on a contract that provides for...

Supreme Court to Hear Dispute Over Fees for Defending Fee Application

The Supreme Court doesn't take many cases on bankruptcy issues. It has only ruled on attorney's fees in bankruptcy once since the Code was adopted and that ruling was on the narrow issue of whether a chapter 7 debtor's attorney could recover fees from the estate. As a result, it was big news...

Norton Rose Fulbright: No More Rubber Stamps: Courts Critical Of Class Action Settlements

By Lauren Shoor A number of recent cases show courts taking a more active role in approving class action settlements, more closely scrutinizing settlements meant to benefit class members. Just last month in Redman v. RadioShack Corporation [ enhanced opinion available to lexis.com subscribers ...

W.D. Mo. on H-1B Benching, Illegal Fee Shifting: Greater Mo. Medical Pro-Care Providers, Inc. v. Perez

"This case originated on or about June 23, 2006 when Alena Gay Arat, a therapist from the Philippines, submitted an H-1B complaint against Greater Missouri. Arat made several allegations, including: Greater Missouri failed to pay her and other H-1B therapists the wages required under its LCA while...

The NC Business Court Rules on Recovering Attorneys' Fees in a Derivative Action Against an LLC

In this week's opinion in Ekren v. K&E Real Estate Investments , 2014 NCBC 56 , Judge Bledsoe outlined how a derivative action plaintiff can recover attorneys' fees [ an enhanced version of this opinion is available to lexis.com subscribers ]. What Constitutes A 'Substantial Benefit"...

Judge Denies Charging Lien on Ponzi Victim Distributions

A federal judge has issued an order denying an attempt by lawyers for certain victims of the $600 million ZeekRewards Ponzi scheme to place a "charging lien" against hundreds of thousands of dollars in interim distributions due to those victims. U.S. District Judge Graham C. Mullen issued the...

Attorney's Fees Awarded; Bad Faith Conduct by DOS, USCIS: Guerra v. USA

"After careful review of the record during the course of these proceedings, as well as consideration of the conduct underlying the litigation, the Court finds that this is the exceptionable case where an award of bad faith fees is necessary to compensate Plaintiffs for needless and improper delay...

Delaware Court of Chancery Addresses Attorney’s Charging Lien

Zutrau v. Jansing and ICE Systems, Inc ., C.A. No. 7457-VCP (Dec. 8, 2014) [ an enhanced version of this opinion is available to lexis.com subscribers ]. This blog post should be of interest to lawyers who want to be paid for their services. Even if the court harshly rejects a good faith argument...

One Plaintiff, Dozens of Merger Objection Lawsuits, Millions in Attorneys’ Fees, Zero for Shareholders

It is now well-established that pretty much every M&A deal attracts at least one lawsuit from a shareholder objecting to the transaction. According to research by Notre Dame business professor Matthew Cain and Ohio State law professor Steven Davidoff, 97.3% of all takeovers in 2013 with a value of...

Recovering Attorneys' Fees in Dischargeability Litigation

A new opinion from Judge Tony Davis answers some interesting questions about recovery of attorneys' fees in dischargeability litigation. Schwertner Backhoe Services, Inc. v. Kirk (In re Kirk) , Adv. No. 11-1239 (Bankr. W.D. Tex. 1/28/15), which can be found here [ an enhanced version of this opinion...

Payment Of Attorneys For Defending Fee Requests Debated In Supreme Court

WASHINGTON, D.C. — (Mealey’s) There is no basis in the law for categorically denying payment to lawyers for successfully defending their fee applications in bankruptcy cases, attorney Aaron M. Streett of Texas law firm Baker Botts LLP told the U.S. Supreme Court Feb. 25 in a case in which...

Vermont Workers’ Compensation Update: January to March 2015

This list of recent noteworthy cases was compiled by Keith J. Kasper of McCormick, Fitzpatrick, Kasper & Buchard, PC. Julie Mercier of Williamstown, VT, has joined the staff at the Department as a Workers’ Compensation Specialist II. Ms. Mercier has an Associates of Science as a...

Fifth Circuit Reverses Pro-Snax

In a unanimous decision, the en banc Fifth Circuit Court of Appeals walked back a prior precedent which mandated an identifiable, tangible and material benefit before professionals employed in bankruptcy cases could be compensated. No. 13-50075, Barron & Newburger, P.C. v. Texas Skyline, et al (5th...

Professor Margit Livingston on Attorneys' Fees as Collateral under U.C.C. Article 9

Article 9 of the Uniform Commercial Code permits many different types of property to serve as collateral—both tangible and intangible. Sometimes law firms find themselves in need of funds to support their efforts on behalf of clients and may seek an operating loan secured by prospective fees. This...

Third Circuit on Attorney's Fees Under ERISA

I took last week off from blogging to wrap up my first year of teaching employment law at Penn State. Now I'm back with an exciting new development from the Third Circuit . . . a precedential decision on the standard for awarding attorney's fees under ERISA! Okay, "exciting" might not...