The Bankruptcy Files: Big Filings Continue Decline, But Old Cases Still Paying Off
Big business bankruptcy filings may be down, but Am Law firm such as Andrews Kurth, K&L Gates, Weil, and Willkie Farr have landed roles on the latest batch of notable cases. In the meantime, Weil continues to profit from long-running, restructuring-related matters for the likes of Lehman Brothers and Washington Mutual.
Despite the decline, some firms continue to feast on long-running restructuring-related matters. Exhibit A:
Weil, Gotshal & Manges, which is still billing for its work on behalf of such big-ticket debtors as Lehman Brothers and Washington Mutual.
Bloomberg reported last week that Lehman, which emerged from bankruptcy earlier this year, paid its outside professional advisers $16.4 million in June. Weil reaped $6 million of that sum, bringing its total take so far for representing the fallen financial services giant to roughly $420 million. (
The Wall Street Journal reported last month that Weil’s tab could eventually reach the $430 million mark.)
Weil was also recently the beneficiary of a ruling by U.S. bankruptcy judge Mary Walrath in Delaware, who approved more than $80 million in legal fees and expenses for the firm in connection with WaMu’s Chapter 11 case,
according to a report last week by the WSJ.
Some WaMu shareholders
had objected to Weil’s fees on the grounds that some attorney’s from the firm were billing 24-hour days at inflated rates for extended periods of time. In approving Weil’s legal bills, however, Walrath noted her own time in private practice when she “did not take a day off for six months,” the
Pasternack Tilker Ziegler Walsh Stanton & Romano L.L.P.
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