Legal bills stemming from a class action lawsuit have been cut nearly in half by a federal appeals court in Chicago in a move that will save Whirlpool Corporation and Sears $2-million dollars.
Reuters reported late Monday that the 7th U.S. Circuit Court of Appeals in Chicago had reduced the legal fees from the originally ordered $4.7-million, down to $2.7-million in the wake of defective washing machines that caused mold in front loading washing machines discovered several years ago.
The court on Monday lowered the legal fees facing not only Benton Harbor-based Whirlpool, but also Sears Holding Corporation.
Reuters cited disagreement over a lower court contention of the “presence of novel and complex legal issues,” when plaintiffs in the case were granted a multiplier on the base legal fees of 1.75 times those fees, arriving at a $4.7-million judgment. The resulting action by the 7th U.S. Circuit Court of Appeals drops $2-million from those legal fees saying, ultimately, “the case was not that complicated.”
Whirlpool and Sears still face legal fees of $2.7-million related to the defective control units and mold in the popular new machines.
Reuters says the settlement had followed nine years of litigation. Whirlpool and Sears issued a joint statement saying that the court correctly reduced the “excessive and unreasonable” award.
