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attorneys’ fees

Settlement consumed in fees

by Walter Olson on January 11, 2011

A man says that he secured a $900,000 settlement from the Roman Catholic church over his abuse by a priest, but “alleges that attorneys who represented him in the case managed to claim $877,000 of the settlement, leaving him with no more than $23,000.” The man switched attorneys 2 1/2 years into the case and subsequently lost a case filed by the first attorney saying he had been deprived of his rightful fee. His new suit contends that he was wrongly advised to fight the first lawyer’s suit every step of the way. [Oregonian]

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November 26 roundup

by Walter Olson on November 26, 2010

  • Reason TV interviews Richard Epstein;
  • On the SEC’s big new “insider trading” sweep [Ribstein, Bainbridge, Lambert, Salmon, more Ribstein]
  • Losing = winning? Ambitious claim for fees in environmental case [California Civil Justice, scroll]
  • “Unintended consequences department: canceled flights” [Ted at PoL] And check out Ted’s new TSA Abuse Blog, on one of the hottest issues of the moment. More on that from Popehat and Simple Justice;
  • H.R. 1408, the Inclusive Home Design Act, would compel handicap accessibility in private home design, yet another dreadful idea from Rep. Jan Schakowsky of CPSIA fame [AmendTheCPSIA]
  • “This place would be a shoplifter’s paradise (and a liability insurance abuser’s motherlode) in the United States, but we were in Japan, where they don’t seem to worry as much about that kind of thing.” [Mark Frauenfelder, BoingBoing, on the Showa Kan museum of everyday midcentury life in Takayama]
  • UK: “I moved out for decorators and squatters took over my house” [Evening Standard]
  • From the ruins of Pompeii, a reflection on government and disaster relief [Dum Spiro Spero]

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A disciplinary committee said it lacked probable cause to charge a court-appointed criminal defense lawyer from Jacksonville, though it described his billing standards as “not consistent with the high standards of our profession.” [ABA Journal, Florida Times-Union]

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That’s the way to help ‘em out!

While such an approach is sometimes used in commercial litigation, this is a first for consumer cases, said Lester Brickman, a professor at Cardozo Law School in New York.

“For a lawyer to supplement or replace the banks as a long-term mortgage creditor of homeowners leaves me a little queasy,” said Mr. Brickman, an expert on contingency fees. “It’s an invitation for the public to say, ‘There go the lawyers again.’ ”

OK, we’ll say it: There go the lawyers again. [New York Times via Ribstein/TotM and Knake/LEF]

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Pennsylvania: “The Lower Merion School District will pay $610,000 to settle lawsuits over its tracking of student laptop computers, ending an eight-month saga that thrust the elite district into a global spotlight and stirred questions about technology and privacy in schools.” Specifically, $175,000 will go to two students who sued, and $425,000 to their lawyer, while lawyers and computer specialists hired by the school in its defense have billed more than $1 million. “And the attorney for at least one other student has notified the district that he was contemplating a lawsuit.” [Philadelphia Inquirer, Balko, Kennerly]

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Glenn C. Lewis, a divorce lawyer who “boasts that he is the most expensive lawyer in the [Washington, D.C.] region,” sued a former client “for an additional $500,000 in fees and interest, although he’d already been paid $378,000.” Lewis says the case was a demanding one and that he earned the money fair and square, but things did not go particularly well for his cause before judges in suburban Fairfax County. [Washington Post via Above the Law]

Sorrows of a Texas fen-phen lawyer now accused (in a civil lawsuit) of getting creative with his clients’ expense allocations. [Houston Chronicle via Ted at PoL]

October 4 roundup

by Walter Olson on October 4, 2010

  • O.J. Simpson trial 15 years after [Tim Lynch, Cato at Liberty; a couple of my reactions back then]
  • Hackers expose internal documents of British copyright-mill law firm [Steele, LEF] Insult to injury: now that target law firm may be fined for privacy breach [same]
  • BAR/BRI antitrust case: “Judge Cites ‘Egregious Breach’ of Ethics, Slashes Law Firm Fee from $12M to $500K” [ABA Journal]
  • “Confessions of former debt collectors” [CNN Money via CL&P]
  • Big investigative series on prosecutorial misconduct [USA Today]
  • “Even with malpractice insurance, doctors opt for expensive, defensive medicine” [Jain/WaPo] “Medical malpractice suits drop but take a toll” [Pittsburgh Post-Gazette; Paul Carpenter, of the Allentown Morning Call, on problem and possible solutions] A contrary view: Ron Miller.
  • “Card check is dead … long live card check” [Hyman]
  • “Canada: Deported Russian spy sues for readmittance” [four years ago on Overlawyered] A role model for some in the spy ring recently deported from the U.S.?

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September 13 roundup

by Walter Olson on September 13, 2010

  • “Court Vacates $99,000 Fee to Counsel for Plaintiff Who Won $650″ [NJLJ]
  • Libel-suit target: “Author Simon Singh Puts Up a Fight in the War on Science” [Wired]
  • No, they weren’t “worst”: RIP injury lawyer who hyped “10 Worst Toys” list each Christmas [WSJ Law Blog]
  • New credit card regulations squeeze small business [John Berlau letter in Washington Post]
  • District attorney’s case intake desk should screen out many unjust prosecutions, but often doesn’t [Greenfield]
  • AGs’ campaign to drive sex pros off Craigslist has failure built in [William Saletan, Slate; LNL; Declan McCullagh]
  • “Nursing Home Company Settles $677 Million Lawsuit for $50 Million” [AP]
  • “Judge accused of sexual harassment once helped women sue” [Orlando Sentinel]

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It’s a story we’ve encountered before; in this case the taxpayers of Lucas County (Ohio) got to pick up the lawyer’s bill for representing poor clients. She’ll be suspended for a year. [Legal Profession Blog via ABA Journal] Carolyn Elefant at MyShingle isn’t buying one suggestion that the episode should be blamed on inadequate training in law practice management.

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July 8 roundup

by Walter Olson on July 8, 2010

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The New York Times tells of a Beverly Hills, Calif. student who

videotaped friends at a cafe, egging them on as they laughed and made mean-spirited, sexual comments about another eighth-grade girl, C. C., calling her “ugly,” “spoiled,” a “brat” and a “slut.” J. C. posted the video on YouTube. The next day, the school suspended her for two days.

Now, before clicking the link, guess who collected the resulting $107,150.80. Right. Ken at Popehat thinks the judge decided the case in favor of the right party, more or less, which doesn’t keep the right party from also being a deplorably wrong party (strong language, invective, etc.)

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Lawyers in a class action seek a high appeal bond to insulate their fee award. [CCAF]

A small businesswoman in New York asks for a bit of legal help in dealing with a sublease, and sets herself up for an unpleasant surprise: “How Do Lawyers Get Away With This Stuff?” [Jennifer Walzer, NY Times "You're the Boss" via Balasubramani]

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Says U.K. Justice Secretary Jack Straw [Times Online] The context is a dust-up over high fees paid to appointed defense counsel: “Ten QCs were paid more than £500,000, with the highest on £928,000.”

Judge Posner caustically dispatches a fee request following the failure of a putative class action over alleged defects in Sears’ Kenmore clothes dryers [AmLaw]

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Overlawyered readers are well aware of the sorry history of the fen-phen litigation; those that aren’t are advised to check out Professor Lester Brickman’s summary.

In April 2008, the Diet Drugs MDL district court awarded $567 million the class counsel in that case, basing the award in part on representations by class counsel about future class recovery. A year later, a plaintiff’s attorney requested the court reopen the question of the fee award because the class counsel had exaggerated those estimates. The district court refused, holding that the one-year delay in bringing the Rule 60(b) motion was not a “reasonable time.” There has been an appeal to the Third Circuit, and, today, the Center for Class Action Fairness filed an amicus brief in support of the appeal that itself provides a short overview of the history of the fen-phen MDL. Many thanks to Chris Arfaa for his generous help in filing the brief.

A North Carolina Business Court judge has cut a proposed fee award in an investor class action arising from the Wells Fargo/Wachovia merger “because he thought lawyers had charged too much per hour and spent too much time working on the case.” [Triangle Business Journal]

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