Knisley

Noel Gage appeals from an order awarding attorney’s fees to Lieff, Cabraser, Heimann & Bernstein, LLP, which represented shareholders in a class action against Network Associates, Inc. Gage argues that the award is excessive in light of what he perceives to be the measly sum shareholders received in the settlement the firm negotiated. We consider whether Gage has standing to appeal the award.

1.- The underlying securities litigation arose after Network Associates restated its accounts in April 1999. It announced that it had allocated too much of its acquisition costs to in-process research and development (IPR & D). As a result of this *1125 slip of the pen, the company’s reported financial results were too rosy by about $230 million. When the problem came to light, its stock price — which had already declined precipitously over the preceding months — tanked.

Several shareholders filed class actions against Network Associates and its executives, alleging that defendants had concealed the company’s true state of affairs while selling their own shares at inflated prices. The district judge appointed Robert A. Yatuone as lead plaintiff, who selected Lieff, Cabraser, Heimann &…