A judge in the United States has narrowed down the scope of an award related to a legal fee. This award in question is for two law firms that are representing whistleblowers in a healthcare fraud matter.
Judge Richard Stearns, who is a District Judge in Boston, delivered this narrowed award on Wednesday. He said that Cohen Milstein Sellers & Toll and Arrowood LLP are only to get 12.5% of the requested fee. This leads to a sum of about $150,000. The firm had a fee request of more than $1.2 million.
Cohen Milstein and Arrowood are one of the two law firms in question. They had represented three individuals who raised their voices against the Steward Health Care System in Dallas. They were accusing the Dallas-based organization of being in clear violation of the federal False Claims Act.
These two law firms in question are of the opinion that the work they had to put into the claims of the whistleblowers was “inextricably interwoven.” This is why they feel the huge fee is justified.
The law firms also claim that the settlement agreement with the clients did “not carve out fees only for intervened claims.”
Attorneys of the Steward Healthcare System LLC have argued that fees should be based on the work put into each of the single settlement claims.
According to Reuters Reports, the case in question is the United States et al. v. Steward Healthcare System LLC, U.S. District Court, District of Massachusetts, No. 1:18-cv-12125-RGS”.