Bankr. M.D. Florida cuts bankruptcy fee award 83.5%, including for block billing

What happened

Lienhart Law Firm sought $294,383.39 in fees under a contract fee clause in the Seawalk Investments bankruptcy case. The court awarded $48,663, a reduction of $245,720.39 or 83.5%. The court found excessive hours, work on unrelated claims such as unnecessary discovery and trustee or examiner appointment, duplicative staffing at the confirmation trial, and block billing in which most time entries lumped multiple tasks with no specific time. The court also disallowed fees for Sky's plan and disclosure statement.

What the court said

Most of these time entries have multiple tasks lumped together with no associated specific time.

The court also reduced the award for: excessive hours, unrelated claims, duplicative staffing, excessive hours, excessive hours, excessive hours, excessive hours, duplicative staffing, unrelated claims.

Why it matters

The ruling shows that courts will reduce fee awards for time records that combine tasks without specific time, and will also cut hours found excessive or duplicative. It illustrates that a fee applicant must show each entry reflects necessary, non-overlapping work.

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.