Bankr. E.D. Kentucky cuts bankruptcy fee award 17.4%, including for block billing

What happened

Wyatt, Tarrant & Combs, LLP sought $254,089.95 in fees and costs from Bond Street Fund 20, LLC under a contract fee clause. The court awarded $210,000, a reduction of $44,089.95 or 17.4%, with figures including costs. It cut the amount sought for Mr. Abrams' fees and costs, reduced the demand against the debtor by $25,000, and applied a 10% cut for unrelated claims. It also applied 10% cuts for block billing and vague entries that made it hard to tell whether time related to the litigation.

What the court said

some involve block billing where a portion of the attorney time spent appears unrelated to the instant litigation

some are vague, making it difficult to determine whether they relate to the instant litigation

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

Why it matters

The ruling shows that a fee applicant's time records are read closely even when a contract fee clause supplies the basis for the award. Entries that combine tasks or lack detail can draw a percentage cut, and time that appears tied to other matters may be trimmed, so the court can reduce the total without auditing every entry.

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.