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Chancery Examines Reasonableness of Fees Awarded

By Francis G. X. Pileggi, Esq.

In Lillis v. AT & T Corp., (Del. Ch., Feb. 25,  2009), the Chancery Court reviewed a dispute about the reasonableness of fees that were awarded in an advancement claim as well as related litigation. There have been several Delaware opinions involving these parties in this long running case, which have been highlighted here.

I have no interest in drawing attention to the messy business of the court's review of challenges to the specific charges for specific legal work in a case where the reasonableness of such charges is being decided. My only purpose in highlighting this opinion is to allow for  its easy reference (which is the prime goal of this blog), as a research tool for those who need to be aware of the latest Delaware pronouncements on such unpleasant and distasteful affairs.

This letter decision can be of practical value in those cases where the reasonableness of fees awarded in an advancement action is being contested, including claims for "fees on fees".

Full post as published by Delaware Corporate and Commercial Litigation Blog on February 26, 2009 (boomark / email).