Former Dewey & LeBoeuf chairman Steven Davis has agreed to pay the bankrupt firm’s estate more than $500,000 as part of a broader settlement that is expected to insulate him from most future claims related to his alleged mismanagement of Dewey.
As part of the settlement, which was filed with the Southern District Bankruptcy Court on April 22, Dewey insurer XL Specialty Insurance Company has agreed to contribute $19 million to the estate to help pay off the firm’s creditors. XL’s $25 million policy has been depleted in recent months by mounting legal bills it must pay related to litigation initiated against former Dewey managers.
