Wednesday, April 15, 2009

Lawyers Set to Profit on Lehman to the Amount of $200 Million Plus

The Wall Street Journal reports that "Lehman Brothers Holdings Inc., which set a record as the largest company to file for bankruptcy protection, is on course to yield one of the biggest bonanzas for lawyers.

New York-based Weil, Gotshal & Manges earlier this week asked a federal bankruptcy judge in New York to sign off on a $55.1 million payment for its work representing Lehman.

That marks the biggest quarterly fee request made by lawyers representing a bankrupt company, according to Lynn LoPucki, a law professor at the University of California, Los Angeles, who runs a bankruptcy-fee database. Mr. LoPucki estimates that Weil stands to bring in more than $200 million in fees by the end of the case. That would exceed the next-highest debtor counsel fee, the $159 million that Weil, Gotshal & Manges earned during the Enron bankruptcy."

Something just does not same right. This group of attorneys will end up billing close to $500,000,000 if you include the Enron bankruptcy. Wow! And they say that crime doesn't pay!

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