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Legal News: BigLaw + Big Billables = Overbilling Lawsuit

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A lawsuit over overbilling practices was filed against a notable BigLaw firm alleging the firm used multiple techniques to increase its fees fraudulently while representing plaintiff company in a suit over a failed lease agreement.

The lawsuit, filed in the District of Utah’s Central Division, says the defendant billed $1.6 million in legal fees between May 2016 and October 2016, even though it was not hired to be the primary law firm in the representation.

A lawyer within the firm reported to plaintiff that the law firm hosts an annual seminar in Phoenix for lawyers to learn various ways to increase their billing. The suit claims that defendant used these techniques to increase billing:

  1. Block Billing, where lawyers aggregate multiple smaller tasks into a single block entry.
  2. Hoarding, where an overqualified professional with a high billing rate retains work that could be passed on to lower-paid professionals.
  3. Multibilling, wehere multiple attorneys perform the same task or attend the same event when one lawyer could handle the task.

The suit alleges breach of contract, breach of fiduciary duty, fraudulent billing, and aiding and abetting a breach of fiduciary duties.

For any questions or assistance, please contact the Civil Trial Attorneys at Fazzio Lawwe are in your corner!

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