David Dutchak v. Central States, Southeast and Southwest Areas Pension Fund, Cross-Appellee, Lawrence Walner & Associates, Ltd., Edmund W. Kitch, Cross-Appellants. Elizabeth M. Dole, Secretary of Labor v. Central States, Southeast and Southwest Areas Pension Fund, Chester J. Sullivan v. Central States, Southeast and Southwest Areas Pension Fund, Cross-Appellee, Lawrence Walner & Associates, Ltd., Edmund W. Kitch, Coin, Crowley & Nord, Cross-Appellants

932 F.2d 591
CourtCourt of Appeals for the Seventh Circuit
DecidedApril 24, 1991
Docket89-3644
StatusPublished
Cited by23 cases

This text of 932 F.2d 591 (David Dutchak v. Central States, Southeast and Southwest Areas Pension Fund, Cross-Appellee, Lawrence Walner & Associates, Ltd., Edmund W. Kitch, Cross-Appellants. Elizabeth M. Dole, Secretary of Labor v. Central States, Southeast and Southwest Areas Pension Fund, Chester J. Sullivan v. Central States, Southeast and Southwest Areas Pension Fund, Cross-Appellee, Lawrence Walner & Associates, Ltd., Edmund W. Kitch, Coin, Crowley & Nord, Cross-Appellants) is published on Counsel Stack Legal Research, covering Court of Appeals for the Seventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
David Dutchak v. Central States, Southeast and Southwest Areas Pension Fund, Cross-Appellee, Lawrence Walner & Associates, Ltd., Edmund W. Kitch, Cross-Appellants. Elizabeth M. Dole, Secretary of Labor v. Central States, Southeast and Southwest Areas Pension Fund, Chester J. Sullivan v. Central States, Southeast and Southwest Areas Pension Fund, Cross-Appellee, Lawrence Walner & Associates, Ltd., Edmund W. Kitch, Coin, Crowley & Nord, Cross-Appellants, 932 F.2d 591 (7th Cir. 1991).

Opinion

932 F.2d 591

13 Employee Benefits Ca 2221

David DUTCHAK, et al., Plaintiffs-Appellees,
v.
CENTRAL STATES, SOUTHEAST AND SOUTHWEST AREAS PENSION FUND,
Defendant-Appellant, Cross-Appellee,
Lawrence Walner & Associates, Ltd., et al., Edmund W. Kitch,
Cross-Appellants.
Elizabeth M. DOLE, Secretary of Labor, Plaintiff-Appellee,
v.
CENTRAL STATES, SOUTHEAST AND SOUTHWEST AREAS PENSION FUND,
Defendant-Appellant.
Chester J. SULLIVAN, et al., Plaintiffs-Appellees,
v.
CENTRAL STATES, SOUTHEAST AND SOUTHWEST AREAS PENSION FUND,
Defendant-Appellant, Cross-Appellee,
Lawrence Walner & Associates, Ltd., et al., Edmund W. Kitch,
Coin, Crowley & Nord, Cross-Appellants.

Nos. 89-3351, 89-3352, 89-3353, 89-3461, 89-3462, 89-3644,
89-3645, 89-3656, 89-3785 and 89-3786.

United States Court of Appeals,
Seventh Circuit.

Argued Oct. 29, 1990.
Decided April 19, 1991.
As Amended April 24, 1991.

Peter J. Barack, Barack, Ferrazzano, Kirschbaum & Perlman, Lawrence Walner, Walner & Associates, Chicago, Ill., George E. Faber, Faber & Buehler, West Dundee, Ill., Harry B. Bainbridge, Flossmoor, Ill., for plaintiffs-appellees in Nos. 89-3351, 89-3352, 89-3353, 89-3785 and 89-3786 and plaintiffs in Nos. 89-3461, 89-3644 and 89-3645.

Peter J. Barack, Barack, Ferrazzano, Kirschbaum & Perlman, Lawrence Walner, Walner & Associates, Chicago, Ill., Harry B. Bainbridge, Flossmoor, Ill., for plaintiffs in No. 89-3462.

Peter J. Barack, Barack, Ferrazzano, Kirschman & Perlman, Lawrence Walner, Walner & Associates, Anita M. D'Arcy, Julia A. Bruckner, Alice Carroll-Tracy, Coghlan, Joyce, Kukankos, Urbut & D'Arcy, Chicago, Ill., George E. Faber, Faber & Buehler, West Dundee, Ill., Harry B. Bainbridge, Flossmoor, Ill., for plaintiffs in No. 89-3656.

William J. Nellis, Central States, Southeast and Southwest Areas Pension Fund, Rosemont, Ill., James L. Coghlan, Anita M. D'Arcy, Julia A. Bruckner, Coghlan, Joyce, Kukankos, Urbut & D'Arcy, Chicago, Ill., for defendant-appellant in Nos. 89-3351, 89-3352, 89-3353, and defendant-appellee in Nos. 89-3461, 89-3462, 89-3644, 89-3656.

Lionel G. Gross, Jeffrey P. DeJong, Brian C. Witter, Altheimer & Gray, Ellis Sostrin, Chicago, Ill., for appellants in Nos. 89-3461, 89-3462.

Lionel G. Gross, Jeffrey P. DeJong, Brian C. Witter, Altheimer & Gray, Ellis Sostrin, Lawrence Walner, Walner & Associates, Chicago, Ill., for appellant Lawrence Walner & Associates in No. 89-3462.

Phil C. Neal, Neal, Gerber & Eisenberg, Chicago, Ill., for appellant Edmund W. Kitch in Nos. 89-3644, 89-3645.

Wilbert F. Crowley, Jr., Cowen, Crowley & Nord, Chicago, Ill., for appellant Coin, Crowley & Nord in No. 89-3656.

William J. Nellis, Central States, Southeast and Southwest Areas Pension Fund, Rosemont, Ill., James L. Coghlan, Julia A. Bruckner, Coghlan, Joyce, Kukankos, Urbut & D'Arcy, Chicago, Ill., for defendant-appellee in No. 89-3645.

William J. Nellis, Central States, Southeast and Southwest Areas Pension Fund, Rosemont, Ill., James L. Coghlan, Anita M. D'Arcy, Julia A. Bruckner, Alice Carroll-Tracy, Coghlan, Joyce, Kukankos, Urbut & D'Arcy, Chicago, Ill., for defendant-appellant in Nos. 89-3785, 89-3786.

Before CUDAHY, RIPPLE and MANION, Circuit Judges.

CUDAHY, Circuit Judge.

The Central States, Southeast and Southwest Areas Pension Fund (Fund) has been involved in a nearly eighteen-year battle over its benefits policies and management. In what may be the final leg of this litigation, the Fund now appeals the district court's award of just over five million dollars in attorney's fees and expenses under the terms of a settlement approved by the district court on November 10, 1987. The settlement outlines the factors that the judge is to use in determining the fee amount. The only issues the Fund raises are whether the district court erred in approving a fee multiplier of two for a substantial portion of the fee award (for a total enhancement of $2,962,830.95) and whether the district court's calculation of the lodestar figure was based on erroneous findings of allowable hours. The plaintiffs cross-appeal on the same issues, arguing that the multiplier should have been even greater and that the judge improperly reduced the lodestar figure for imprecise billing practices.

I.

The history of these consolidated cases is long and complex, and we recite only those facts relevant for this appeal; an earlier opinion recounts most of the case's history. Secretary of Labor v. Fitzsimmons, 805 F.2d 682 (7th Cir.1986) (reversing initial settlement agreement). Attorneys Walner and Sidlinger represented a class of pension contributors challenging administration of the Fund. The class alleged unfair eligibility, break-in-service and vesting rules; unreasonable burdens of proof; and noncompliance by trustees with established rules. Eventually, the Secretary of Labor entered the suit, concerned about mismanagement of the Fund's assets.

On November 10, 1987, the district court approved a second settlement agreement which reformed certain pension administration practices and which governs the award of attorney's fees. In an unusual provision that operates like the "choice of law" provision in many contracts, the settlement authorizes the judge to determine the fee award in accordance with the "factors" identified and discussed in certain federal court cases. In the settlement's terms, the award of fees

shall be made and shall be determined in accordance with the factors delineated in the cases of Lindy Bros. Builders, Inc. v. American Radiator & Standard Sanitary Corp., 487 F.2d 161 (3rd Cir.1973); City of Detroit v. Grinnell Corp., 495 F.2d 448 (2d Cir.1974); In re Folding Carton Antitrust Litigation, 84 F.R.D. 245 (N.D.Ill.1979); and/or Cenco Securities Litigation, 519 F.Supp. 322 (N.D.Ill.1981), and other relevant federal court decisions based thereon.1

(We refer to this set of cases collectively as the "controlling cases.") The district court received fee applications and allocated awards in the following amounts:

Attorney                  Lodestar      Multiplier        Total
Lawrence Walner and Associates, Ltd.
Lawrence Walner         $1,681,662.50  $1,681,662.50  $3,363,325.00
Lawrence Walner
 (Daniel2

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932 F.2d 591, Counsel Stack Legal Research, https://law.counselstack.com/opinion/david-dutchak-v-central-states-southeast-and-southwest-areas-pension-ca7-1991.