Federal Savings and Loan Insurance Corporation v. Kimberleigh Ferm, Kurahara & Morrissey, Real Party in Interest &

The law firm of Kurahara & Morrissey and its client Kimberleigh Ferm appeal the district court’s issuance of an accounting order which required the law firm to submit invoices for legal services performed for Ferm so that the district court could determine if the fees charged were reasonable. We affirm.

Kurahara & Morrissey represent Ferm in an action by the Federal Savings and Loan Insurance Corporation (FSLIC) against her for conspiracy to conceal and fraudulently transfer funds allegedly illegally obtained from a bankrupt savings and loan association. On October 28, 1987 the district court issued a preliminary injunction freezing Ferm’s assets during the pendency of FSLIC’s action against her. That order is not at issue here. Two weeks later the district court modified the injunction, permitting Ferm to withdraw funds to pay for reasonable attorney’s fees. That modification is also not at issue here.

On November 4, 1988 FSLIC filed a motion for an accounting order against Kura-hara & Morrissey, alleging that the firm was charging unreasonable fees and expenses. The district court granted FSLIC’s motion and further modified the injunction ■ to require Kurahara & Morrissey to…