California court orders law firm to pay lawyer’s fees to its former partner

A California state judge has ordered US law firm Gibson, Dunn & Crutcher to pay Mark Perry, one of its former top partners, more than US$140,000 in attorney fees.

The decision comes after a protracted legal battle between the firm and Perry, a former leader of Gibson Dunn’s appellate and constitutional law practice, Reuters reported.

Los Angeles Superior Court Judge Kevin Brazile issued the US$140,678.18 fee order, following Gibson Dunn’s agreement not to contest the amount Perry sought. The two sides jointly stated that they did not want to "spend time, money, and judicial resources litigating the amount of Perry's fees."

This latest development follows Judge Brazile’s confirmation earlier this year of an arbitration award requiring Gibson Dunn to make retirement payments to Perry and hand over $557,000. Perry, who earned an estimated $60 million during his 28-year tenure at Gibson Dunn, was awarded these payments after the arbitrator ruled that he was classified as a retired partner, not a resigned one. The distinction means that Perry remains eligible for retirement payments once he ceases competing with the firm.

Perry, who left Gibson Dunn in May 2022 to join rival law firm Weil, Gotshal & Manges, had argued that he is entitled to retirement benefits from his former firm. Gibson Dunn’s defence challenged this assertion, but the arbitration ruling sided with Perry.

However, the US$140,000 fee award could be subject to change. Gibson Dunn has appealed Judge Brazile’s earlier ruling regarding Perry’s retirement payments, and the case is now pending before California's Second District Court of Appeal. If the appeal is successful, it could nullify the fee order.

For now, the award marks an outcome in the ongoing dispute between the prominent law firm and its former partner. As the appeal progresses, both parties await the next stage of the legal proceedings, which could alter the financial stakes.