Business Development

How should fees shared between lawyers at different firms be disbursed? ABA ethics opinion weighs in

In a recent opinion that addresses a common but potentially problematic issue for lawyers from different firms who work together on the same case, the ABA Standing Committee on Ethics and Professional Responsibility clarified the interplay between two of the association’s Model Rules of Professional Conduct that apply to the…

Mar 1, 2017 3:20 AM CST

Lawyers quickly spar over attorney fees in NFL concussion litigation

Two lead lawyers who helped obtain a $1 billion concussion settlement for pro football players are seeking access to $112.5 million in attorney fees, drawing objections from other lawyers in the litigation. The NFL has agreed to pay attorney fees of up to $112.5 million, and lawyers Christopher Seeger and…

Feb 24, 2017 2:32 PM CST

Judge wants review of legal bills after firms reveal 9,000 hours of ‘inadvertent’ double-billed time

A federal judge in Boston is proposing the appointment of a special master to review the accuracy of legal bills submitted by several prominent law firms—and is suggesting the firms pay the costs of the probe. U.S. District Judge Mark Wolf proposed in the Feb. 6 memorandum and order (PDF)…

Feb 8, 2017 7:00 AM CST

50 Cent files complaint against Reed Smith seeking $32M for alleged mishandling of sex tape case

The rapper 50 Cent has responded to Reed Smith’s bankruptcy claim for $609,000 in unpaid fees with an adversary complaint seeking $32 million from the law firm for allegedly mishandling pretrial preparations in a sex tape lawsuit. The rapper, whose actual name is Curtis James Jackson III, is seeking to…

Feb 1, 2017 3:11 PM CST

Billable hour pricing is effectively dead because of budget caps, report says

Most law firms say they use the billable hour model for pricing most of their work, but the reality is different, according to a new report. Largely because of budgets and caps imposed by clients, 80 to 90 percent of law firm work is done outside of the traditional billable…

Jan 12, 2017 10:53 AM CST

Federal judge chops $10M from fee request, criticizes billing rates for temporary associates

A federal judge in Manhattan has approved a $335 million settlement in an investor lawsuit against Bank of America, but he balked at one aspect of a request for $51.6 million in attorney fees. U.S. District Judge William Pauley questioned the billing rates for temporary associates hired by Barrack, Rodos…

Jan 5, 2017 7:00 AM CST

Ex-client blamed failure to pay $500K BigLaw legal bill on lightning strike, Abu Dhabi bank

A federal appeals court is giving a former Winston & Strawn client another chance to respond to the law firm’s motion for summary judgment in its suit seeking to collect nearly $500,000 in attorney fees. The U.S. Court of Appeals for the D.C. Circuit ruled last Friday that a federal…

Dec 14, 2016 7:00 AM CST

Sharing fees with lawyers at other firms? ABA ethics opinion offers guidance on safeguarding them

A lawyer who receives earned fees that must be shared with a lawyer from another law firm must take steps to appropriately safeguard the funds, according to an ABA ethics opinion released on Wednesday. The lawyer who receives the fees should hold the funds in an account separate from his…

Dec 7, 2016 11:52 AM CST

Top law firms increasingly go to court to collect fees; is it the new normal?

Large law firms in New York are increasingly seeking to collect unpaid fees from clients by filing suit or seeking arbitration, an analysis of court filings in New York suggests.

Dec 6, 2016 7:45 AM CST

Fee clawbacks in case of failed Heller firm to be considered by California Supreme Court

Lawyers for the dissolved law firm Heller Ehrman are urging the California Supreme Court to rule that the firm is entitled to claw back hourly fees from partners who jump to new law firms for matters that were pending at the time of the dissolution. Lawyers from Diamond McCarthy represent…

Dec 1, 2016 11:55 AM CST

Law firm is ordered to pay nearly $27K for suit over bad online reviews

A Texas judge has tossed a suit filed by a law firm over bad online reviews and ordered it to pay nearly $27,000 in attorney fees as a sanction for bringing the legal action. The firm’s former client, Lai Cai, won dismissal of the case last week, her lawyer, Michael…

Dec 1, 2016 7:00 AM CST

Judge who sanctioned Boies Schiller lawyer for long deposition changes his mind

A Florida judge has had a change of heart after declaring last month that a lawyer with Boies, Schiller & Flexner had given the entire profession a black eye for spending five hours deposing a physician. Brevard Circuit Judge Charles Roberts vacated a monetary sanction he imposed last month on…

Nov 17, 2016 9:32 AM CST

The art of getting clients to pay (podcast with transcript)

How can you get clients to pay what they owe? If someone doesn’t replenish a retainer after it runs out and you continue to represent him or her, thinking that the person will eventually pay, you’ll probably wind up doing the work pro bono even if you didn’t intend to,…

Oct 24, 2016 8:30 AM CDT

Two law firms earned more than $1B to help US pursue banks

The National Credit Union Administration paid two law firms more than $1 billion in fees and expenses to help recover more than $4 billion from banks in cases related to faulty subprime mortgages. The U.S. agency sued the banks to recover money for failed corporate credit unions that lost money…

Oct 21, 2016 9:27 AM CDT

Supreme Court accepts sanctions case involving two lawyers representing Goodyear

The U.S. Supreme Court on Thursday accepted combined cases challenging a $2.7 million sanction for discovery misconduct imposed against Goodyear Tire & Rubber and two lawyers representing the tire maker. The court agreed to decide the first issue in the cert petition (PDF): In cases where parties sanctioned under a…

Sep 29, 2016 12:05 PM CDT