“Lerach Costs Former Firm $45 Million in Fees”

by Walter Olson on August 14, 2009

Class action impresario Bill Lerach’s old Lerach Coughlin firm, now renamed Coughlin Stoia, continues to prosper mightily despite the imprisonment of its former principal, but federal judge James Rosenbaum in Minnesota has now knocked $45 million off a $110 million fee request in a settlement of a class action against UnitedHealth, saying the firm would probably not have been selected as lead counsel had Lerach “timely and fully” disclosed to the court his status as a target of federal investigation. The lead plaintiff in the case was CALPERS, the California public employee pension fund that has long enjoyed cozy relations with politicians, unions and prominent class-actioneers. [Dan Levine, The Recorder/Law.com]