Lawyers who won a $1.1 billion settlement regarding the collapse of a 12-story condo in Surfside, Florida in 2021, were awarded more than $70 million in fees.
Seventeen law firms were involved in the lawsuit and they had requested $100 million in fees.
Ninety-eight people were killed in the June 24, 2021 collapse of the Champlain Towers South building.
Miami-Dade Circuit Judge Michael Hanzman said family members and residents who lost their apartment units in the collapse got more compensation than is usually received in these types of lawsuits. The judge essentially said that the lawsuit was a risk for the lawyers, who could have walked away with nothing, and that $70 million should be sufficient. He pointed out that the settlement came quickly – a year is “quickly” in these types of cases – and therefore the hours worked were less than they could have been.
“That is a remarkable result. It is unprecedented,” Hanzman said at a hearing. “They are not getting a meager recovery here. They are in essence being made whole, which never happens in these cases.” Hanzman also said that the lawsuit “could have been an absolute disaster.”
The money to pay the fees and settlement will come from multiple sources, including insurance, engineering companies and a luxury condo next to the Champlain Towers South (because it is suspected of causing structural damage to the collapsed condo).
A developer from Dubai purchased the property where the condo fell. He paid $120 million. Some of the settlement will be paid out from that money.
Wrongful-death claims are also being heard before the court. Settlements will be decided and distributed to families of victims within the next couple of weeks. Residents who lost their apartments will be compensated the assessed amount of their residences.
The Champlain Towers South condominium collapse is still being investigated and a final outcome to the investigation is not expected until years to come. Under investigation are the building’s history of maintenance issues, and the quality of the constructions and who was responsible. Investigators are also looking at the inspections that occurred in the 1980s. Another issue that is being studied is the sea level rise caused by climate change, which might have caused damage to the building’s foundation.