Bankruptcy lawyers for Northwest Airlines Corp. were denied $4.2 million in end-of-case bonuses Tuesday, with a judge saying their average rates of about $500 an hour had already provided adequate compensation.
U.S. Bankruptcy Judge Allan Gropper rejected a $3.5 million bonus for Northwest Airlines’ lead law firm, Cadwalader, Wickersham & Taft, which ushered the airline out of bankruptcy in May. A law firm representing creditors, Otterbourg, Steindler, Houston & Rosen, was denied a $700,000 bonus.
