Lerach Fees Become an Issue in UnitedHealth Case
UnitedHealth Group lawyers wants to know if a lawsuit against the company could result in legal fees for William Lerach, the securities class action lawyer who has pleaded guilty to paying kickbacks to lead plaintiffs.
Lerach has withdrawn from work on the lawsuit over UnitedHealth’s backdated stock options. His former firm, Coughlin Stoia Geller Rudman & Robbins, still represents a union and pension fund in the case. But UnitedHealth lawyers noted that Lerach reportedly stands to benefit to the tune of some $50 million in Enron litigation, and asked a federal magistrate to order disclosure of payout arrangements in their case, the Associated Press reports.
Coughlin Stoia spokesman Dan Newman wouldn’t tell AP whether Lerach will be getting any fees from resolution of the Enron or UnitedHealth cases. He did say attorney fees are awarded to the firm, which would be “respecting privacy regarding separation arrangements and equity.”
