Add a U.S. bankruptcy trustee to the list of people who aren’t pleased with Dewey & LeBoeuf’s proposed post-bankruptcy plans.

Just days after a group of Dewey retirees voiced their objections to a settlement that would shield them from future lawsuits in exchange for cash, the firm’s bankruptcy trustee has rejected another of its proposals. In a court filing Wednesday, Tracy Hope Davis nixed a plan to dole out bonuses to Dewey’s remaining employees, saying that the firm had not provided enough information to show that the arrangement was economically feasible.

Fifty-two employees have remained at Dewey to bill clients and collect fees. Earlier this month, the firm proposed to reward them with up to $700,000 in bonuses: $450,000 in incentive and retention payments for nonmanagerial workers and up $250,000 in bonuses for higher-level employees, dependent on their ability to collect on outstanding bills.

Davis said the plan could not be justified, as Dewey is no longer operating as a normal business. The firm, which filed for Chapter 11 bankruptcy in May, owes more than $315 million to creditors.

Read more on the story at Reuters.

For more InsideCounsel coverage of Dewey & LeBoeuf, read:

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