In a recent decision, a Delaware bankruptcy judge denied Brown Rudnick LLP attorney Gerard T. Cicero’s request to increase his hourly fees by 50% for representing unsecured creditors of fire protection manufacturer Kidde-Fenwal Inc. The proposed fee hike from $1,000 to $1,500 per hour was deemed excessive by Judge Laurie Selber Silverstein during a hearing on Wednesday.
Judge Silverstein remarked that such an increase was not justifiable, stating, “I had no client who would’ve ever permitted me under any circumstance to have raised my hourly rate by 50%.” The judge cited her experience in private practice, where significant fee increases were typically met with resistance from clients.
Moving forward, Judge Silverstein indicated that the fee requests of all firms involved in the Kidde-Fenwal case would be subject to review. This scrutiny is part of a broader effort to ensure reasonable compensation for legal services within bankruptcy proceedings.
For more details on this development, you can read the full article on Bloomberg Law.