Green-Eyeshades Not Needed- Contractor Awarded Partial Fees in Partial Victory
AECOM was awarded $5.2 million in attorney's fees, a portion of the $12 million requested, following a partial victory against Exxon.Summary
A Montana court awarded AECOM $5.2 million in attorney's fees after the contractor partially prevailed in a dispute with Exxon over work performed at a refinery in 2019. AECOM initially claimed $100 million for extra work, while Exxon counterclaimed for nearly $100 million. The jury awarded AECOM $64 million but also $20 million to Exxon, resulting in a net judgment of $44 million for AECOM.
The court applied the 'lodestar method' to determine reasonable attorney's fees, acknowledging the complexity of the case and the lack of local counsel with comparable experience. However, the award was reduced to 43% of the requested amount—reflecting AECOM’s partial success, as its recovery was 43% of the amount sought. The court specifically stated it would not act as “green-eyeshade accountants” in scrutinizing the fees.
AECOM’s requests for expert fees and e-discovery costs were denied, as the Montana lien statute only allows for the recovery of attorney’s fees, and AECOM did not prevail on its claim under the Montana Prompt Payment Act. The court ultimately adhered to the American Rule, preventing the shifting of these additional costs to Exxon.
(Source：National Law Review)