Securities & Exchange Commission v. Sunwest Management, Inc.

MEMORANDUM

Cohen, Milstein, Sellers & Toll, PLLC, Kit A. Pierson, Herbert E. Adelman, and Justine Fischer (collectively “counsel” or “movants-appellants”) appeal their award of attorney’s fees in a class action settlement of a securities fraud case against the law firm of Davis Wright Tremaine LLP (“DWT”). Counsel were one set of lawyers among many representing investors before the district court. This appeal was unopposed until April 24, 2013, when the Receiver moved for a continuance and to file an answering brief. Because we remand to the district court to reconsider the award, we deny the Receiver’s tardy request. Our decision shall not, however, preclude the district judge from determining the extent to which the Receiver may participate in the remand proceedings.

We would normally review a district court’s award of attorney’s fees and expenses for abuse of discretion. Lobatz v. U.S. W. Cellular of Cal., Inc., 222 F.3d 1142 , 1148-49 (9th Cir.2000). We cannot do so here, however, because the district court did not provide sufficient analysis or calculations supporting its decision to award attorney’s fees in the amount of $231,000 out of a claimed lodestar of $1,009,22.50.…