Legal News

Dewey & LeBoeuf Wants $100,000 a Day — Judge Says “No”
Download PDF
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)
Loading...

Judge Denny ChinA federal judge, citing excessive hours and unreasonably high rates, ordered a 20% reduction in fees for a law firm helping to protect the assets of investment company WexTrust Capital.

Given a long-established principle that lawyers working in receivership situations should be awarded moderate fees, “the request for fees of $2,147,666 for 20 days of work is excessive,” said US District Judge Denny Chin in Manhattan.

Lawyers, paralegals and staff at New York’s Dewey & LeBoeuf logged over 5,500 hours on the WexTrust case, or more than 275 hours a day.

  
What
Where


Chin determined that the law firm should receive $1.7 million for the work performed between August 11th and 31st. Dewey & LeBoeuf may apply for the difference between what it sought and what he awarded when the final distribution of WexTrust assets is made.

The law firm’s request was part of a joint application for compensation by Timothy Coleman, the court-appointed receiver for WexTrust and a partner at Dewey & LeBoeuf.

Chin approved the full amount of Coleman’s request for $57,300 in receiver’s fees. Coleman’s hourly rate had been cut to $250 specifically for the WexTrust case, from his standard rate of $850 to $950. The judge also approved a request of $66,640 in fees for the accounting and advisory firm Deloitte Financial Advisory Services.

Get JD Journal in Your Mail

Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!




Chicago-based WexTrust and two of its owners, Joseph Shereshevsky and Steven Byers, were charged by the SEC with defrauding investors by diverting $100 million of funds to unauthorized uses. Afterward, the court froze the defendants’ assets and appointed Coleman as WexTrust’s receiver.

Via PilotOnline.





 

RELEVANT JOBS

Associate Attorney

USA-CA-Fresno

Coleman & Horowitt, LLP seeks lawyers with 3+ years for business and commercial litigation, includin...

Apply now

Business Law Paralegal

USA-CA-Murrieta

We are looking for an organized, professional, experienced Business Law Paralegal to join our team a...

Apply now

Office Services Clerk

USA-CA-Murrieta

We are currently seeking an experienced, competent Office Services Clerk for our Murrieta, CA office...

Apply now

Associate Attorney

USA-CA-Orinda

Finance and Corporate Attorney Needed Bay Area Law firm looking for Associate Attorney with prosp...

Apply now

BCG FEATURED JOB

Locations:

Keyword:



Search Now

Housing Finance Associate Attorney

USA-MN-Minneapolis

Minneapolis office of a BCG Attorney Search Top Ranked Law Firm seeks a housing finance associate at...

Apply Now

Senior Intellectual Property Litigation Associate Attorney

USA-PA-Philadelphia

Philadelphia office of a BCG Attorney Search Top Ranked Law Firm seeks a senior intellectual propert...

Apply Now

Senior Intellectual Property Litigation Associate Attorney

USA-GA-Atlanta

Atlanta office of a BCG Attorney Search Top Ranked Law Firm seeks a senior intellectual property lit...

Apply Now

Most Popular

SEARCH IN ARCHIVE

To Top