While it’s notoriously difficult to get the other side to pay for your attorney fees in an ERISA lawsuit, that doesn’t mean it’s impossible. Some judges are more willing to engage in this practice, and a few even follow the rule present in other types of cases but missing in ERISA that the winning party deserves to have the losing side pay. Because of this, it seemed useful to talk about how the actual amount of your monetary award is calculated.
The Lodestar Method and How It Works
To get the lodestar figure, the district court has to look at 12 lodestar factors.
- How much time and labor was involved.
- How unique and/or difficult the questions raised in the case were.
- How skilled the attorneys needed to be to handle the case.
- How much work the attorneys gave up by taking this case.
- The amount of the attorneys’ typical fee.
- Whether the fee is contingent or fixed.
- Time limitations present – imposed either by circumstances or the client.
- The overall amount involved and what was obtained.
- The attorneys’ ability, reputation, and experience.
- The case’s “undesirability.”
- How long the attorneys have been working with the client.
- How much was awarded in similar cases.
For a free legal consultation, call 800-562-9830
By making determinations about all of those factors as required by the ERISA statute, the judge should be able to come up with an appropriate award amount. Of course, that doesn’t mean everyone involved will agree with it, but it is the way long term disability cases work, and hopefully knowing all of the 12 factors involved will give you a better idea of what may happen in your case.
Check out our free e-book for more details about ERISA disability and be sure to stay up to date on new long term disability information through our weekly blogs!
Call or text 800-562-9830 or complete a Free Case Evaluation form
