Attorney fees diminished under new precedent from IE musicians’ suit

A Redlands band’s suit against the music streaming site Napster triggered a June 7 appellate ruling that reduces attorney fees.

Fees must be set at the final payment in a class-action, not at the agreed-upon cap, the Court of Appeals for the Ninth Circuit ruled.

The class action case had resulted in Napster paying $52,000 to class members, and $1.7 million to the plaintiffs’ attorneys. Attorneys had continued settlement agreements long after it became clear that payout would be minimal, the Ninth Circuit said. 

“(The attorney fees) will be multiple times the settlement’s value. And that is a major red flag that signifies that

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Andrea Robertsappellate casesArtist Advisory Budgetattorney feesCalifornia Central District CourtCamper Van BeethovencasesCivil Casesclass actionCongresscopyrightCory StrubleCrackerDavid FaragherDavid LeeDavid LoweryentertainmentGreg LisherHanson Bridgett LLPintellectual propertyJennifer MauriJudge Daniel CollinsJudge Jeffrey WhiteJudge Kenneth LeeJudge Milan Smith Jr.Karin KramerMichelman & RobinsonMona HannaNapsterNational Music Publisher's AssociationNinth Circuit Court of AppealPaul ZimmermanRedlandsRhapsodySanford MichelmanSean PakSettlementstreaming servicesThomas RubinVictor Krummenacher