Sep 232011

The latest in newsworthy legal fees stories…

Brits Contemplating Legal Fees Reform (Insurance Journal) – A number of British insurers and retailers have thrown their support behind a bill to adopt reforms to various systems to reduce frivolous claims. The  “Legal Aid, Sentencing and Punishment of Offenders Bill” is currently in the House of Commons, where they hope to pass by October. Otto Thoreson, the Director General of the Association for British Insurers, noted “‘[Excessive fees] is not irreversible. Other countries have taken action and we must do the same. Excessive legal costs must be reduced. The Legal Aid, Sentencing and Punishment of Offenders Bill provides a much-needed opportunity to mend our broken compensation system to ensure a better deal for genuine claimants, taxpayers, local authorities, the NHS and businesses alike’”,  

Judge Orders Reduction of Fees (The Providence Journal) – A Town of Johnston judge concluded that bills submitted by the firm Brown Rudnick were excessive in the Caplease action, and ordered them reduced. Superior Court Justice Silverstein ordered the town to pay attorneys’ fees, but said the amounts submitted were not in-line with what he expected. He gave the attorneys two weeks to come up with a revised figure, than said the town will have time to review the bills and challenge any fees still under dispute.

Approximately Half of A&P’s Bankruptcy Attorneys’ Fees Reviewed Found Objectionable (Sterling Analytics) -Great Atlantic and Pacific Tea Company, Inc. is one of the nation’s first supermarket chains. On December 12, 2010, A&P filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court in the Southern District of New York. Sterling Analytics Group, a legal cost consulting firm, has reviewed some of the legal bills incurred as a result of A&P’s bankruptcy filing, totaling $863,572.36. From this audit, Sterling Analytics found $411,069.07, or 47.60% of the total billings, represented objectionable charges.

City Offers $105,000 to the Victorious Lawyers in $1 Case. (Seattle Times) –  After a civil rights victory to the tune of $1, attorneys representing the plaintiff sought over $400,000 in attorneys fees. Upon the judge reviewing the fee request, fees were cut to approximately $90,000. In order to get the verdict dismissed, Seattle officials offered $15,000 on top of the fee request to get the verdict thrown out. The Seattle City Attorney has charachterized the offer as “business, pure and simple”. The case has already cost the city more than $300,000 in its own attorneys’ fees.