In Re Zyprexa Products Liability Litigation
This order by Senior District Judge Weinstein addresses legal fee allocation in a coordinated multi-district litigation against Eli Lilly & Company concerning the prescription drug Zyprexa. Following a partial settlement covering approximately 8,000 individual plaintiffs, the court adopted a proposal from special settlement masters regarding fee caps. The court modified the proposed cap, reducing it from 37.5% to 35% for most recoveries, while maintaining a 20% cap for "Track A" settlements. The special masters are granted discretionary authority to adjust fees within a range of 30% to 37.5% based on individual case circumstances, with appeal rights to the court. The decision emphasizes the court's inherent authority to supervise attorney fees, particularly in quasi-class actions and mass litigations, to ensure fairness and prevent excessive charges to clients, drawing parallels to class action rules and state laws limiting contingent fees.