X

Capacitor Antitrust Cases Result in Massive $187 Million Payout for Plaintiffs’ Fees

Capacitor Antitrust Cases

A California federal judge awarded $66 million to plaintiffs’ lawyers on Monday in a long-running antitrust litigation case over a key technology component. This pushed the total lawyer compensation in the case to more than $187 million. The fee award from U.S. District Judge James Donato in San Francisco federal court was part of a $165 million settlement in the case against Nippon Chemi-Con Corp, United Chemi-Con Inc, and Matsuo Electric Co Ltd.

The case involved claims that the companies conspired to fix the prices of certain capacitors, which are used in televisions, office equipment, mobile phones, and other electronic devices. The final settlement fund topped out at $604.5 million.

Lead plaintiffs’ lawyer Joseph Saveri for the direct-purchaser class, electronic parts manufacturers that bought certain capacitors from companies in the alleged conspiracy, did not immediately respond to a message seeking comment on Tuesday. Lawyers for Nippon Chemi-Con and Matsuo Electric did not immediately respond to messages seeking comment. The companies have continued to deny the allegations.

Donato approved the class counsel requested fee in Monday’s order. The court said there were no objections to the proposed legal fee award. The settlement, Donato wrote, marked the end of class proceedings for members who did not opt out of prior deals.

Let BCG Attorney Search help you land your dream job in the legal field.

Donato has previously described the litigation as a “multi-year, international price-fixing cartel case against 22 sprawling defendant corporate families based almost entirely in Japan.”

The court appointed Saveri’s firm in 2014 as lead class counsel for direct purchasers. The court appointed Cotchett, Pitre & McCarthy as class counsel for other purchasers.

Donato’s order on Monday substantially reduced so-called service awards that plaintiffs’ lawyers seek for individuals and other class members who have contributed substantially to a case. The judge, calling the proposed awards “excessive” in the tech antitrust case, said he has “expressed substantial doubt about outsized awards to named plaintiffs.” His order on Monday, in one instance, reduced a proposed $100,000 payment to a plaintiff to $50,000.

The alleged conspiracy involved price-fixing among the companies. The plaintiffs’ lawyers argued that the defendants worked together to keep the prices of capacitors artificially high, leading to higher prices for consumers.

The settlement in this case is one of the largest in antitrust litigation history. The fee awarded to plaintiffs’ lawyers is also significant, with more than $187 million going to them. The case highlights the importance of antitrust laws and the need to hold companies accountable for illegal practices that harm consumers.

In conclusion, the $66 million fee awarded to plaintiffs’ lawyers by U.S. District Judge James Donato in the antitrust litigation case over a key technology component pushes the total lawyer compensation to more than $187 million. The case against Nippon Chemi-Con Corp, United Chemi-Con Inc, and Matsuo Electric Co Ltd involved claims that the companies conspired to fix the prices of certain capacitors, which are used in televisions, office equipment, mobile phones, and other electronic devices. The final settlement fund topped out at $604.5 million. The court appointed Saveri’s firm in 2014 as lead class counsel for direct purchasers and Cotchett, Pitre & McCarthy as class counsel for other purchasers. The case highlights the importance of antitrust laws and the need to hold companies accountable for illegal practices that harm consumers.

Rachel E: