Monday, August 5, 2024

$892.50 Ruled a Reasonable Hourly Rate For an Attorney With More than 25 Years Experience



In the case of Donofrio v. IKEA, No. 2:19-CV-01286-AB (E.D. Pa. July 22, 2024 Brody, J.), the court ordered a Defendant to pay on a sanctions motion filed over allegations of spoliation of evidence due to the Defendant’s failure to implement litigation holds to preserve emails and other documentation pertinent to the case.

In this decision, the court awarded $566,296.89 in fees against IKEA for the alleged spoliation of evidence.

According to the Opinion, various Plaintiff’s attorneys representing parties in the case had requested sanctions at an hourly rate of $960.00 per hour for one (1) attorney, $900.00 per hour for another attorney, and $860.00 per hour for another attorney.

IKEA had requested the court to set the hourly rate at no more than $715.00 per hour for the Plaintiff’s attorneys.

For support of its attorney’s fee award, this court cited to the U.S. Court of Appeals for the Third Circuit’s Endorsement of the Fee Schedule promulgated by Community Legal Services of Philadelphia. According to a 2023 Fee Schedule under that promulgation, an hourly rate of $735-$850 was set for attorneys with more than 25 years of experience. For attorneys with experience between 21 and 25 years, the schedule listed a range of $630-$715 per hour. 

In its decision in this case, the court adjusted these numbers upwards by 5% to account for inflation which resulted in hour rates of $771.75 and $892.50 for attorneys with 25 years or more of experience, and $661.50-$750.75 for attorneys with 21-25 years of experience.

Anyone wishing to review a copy of this decision may click this LINK.  The Court's companion Order can be viewed HERE.


Source: Article – “Pa. Federal Judge Orders Ogletree Client IKEA To Pay Over $560K For Spoliation Of Evidence.” By Riley Brennan. Pennsylvania Law Weekly (July 24, 2024).

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