Bankr. S.D. Texas cuts bankruptcy fee award, including for block billing

What happened

Apache sought sanctions fees and costs billed by Susman Godfrey and other firms. The court denied $58,287.50 in fees for work before the Sureties' state court petition as unrelated. It reduced block-billed entries by Susman Godfrey, Hunton Andrews Kurth, and Bracewell by 15%, disallowing $169,779.68. It allowed travel at 50% of each attorney's rate, disallowing $17,930.00 in fees from the travel billed by Susman Godfrey. It also denied $218,739.06 for Apache's personnel.

What the court said

Susman Godfrey's, Hunton Andrews Kurth's, and Bracewell's block-billed entries are each reduced by 15% due to the extensive nature of the block billing. ... A total $169,779.68 is disallowed due to block billing

The court also reduced the award for: unrelated claims, travel time, other.

Why it matters

The ruling shows that block billing can draw a percentage cut even when the court does not parse individual entries, and that courts separate recordkeeping problems from other grounds for reduction. It also shows that travel time and internal personnel costs may be compensated at reduced rates or not at all.

How to keep this out of your fee petition

• Record one task per entry, each with its own time.
• Write the entry when the work happens, not at the end of the week.
• If a task really is one unit of work, say what it was and what it produced.

Cite this ruling

Figures and quotes are taken from the opinion and checked against its text. Spot an error? Email team@legaltime.ai with the case name and we will correct it. Summaries of public court opinions. Not legal advice.