UNITED STATES BANKRUPTCY COURT

FOR THE EASTERN DISTRICT OF VIRGINIA

Richmond Division

In re: LECLAIRRYAN PLLC, Case No. 19-34574-KRH

Chapter 7

Debtor.

ORDER

This matter comes before the United States Bankruptcy Court for the Eastern District of 

Virginia (this “Court”) upon the Motion and Memorandum of Law for Entry of an Order 

(I) Approving (A) Judicially Mediated Settlement and (B) Compensation to Counsel Including an 

Improvident Payment Under Section 328(a); and (II) Granting Related Relief [ECF No. 1328] (the 

“Motion”), filed by Lynn Tavenner, (the “Trustee”) in her capacity as Chapter 7 trustee for the 

bankruptcy estate of LeClairRyan PLLC (the “Debtor”), in the above-captioned bankruptcy case. 

The Motion seeks this Court’s approval of a judicially mediated global settlement (the “Settlement 

Agreement”) under Rule 9019 of the Federal Rules of Bankruptcy Procedure (the “Bankruptcy 

Rules”), a copy of which is attached to the Motion as Exhibit A [ECF No. 1396]. The Settlement 

Agreement includes, inter alia, an improvident payment of $3.15 million (the “Improvident 

Payment”) to the Trustee’s special litigation counsel, Quinn Emanuel Urquhart & Sullivan LLP

(“Quinn”).

John P. Fitzgerald, III, Acting United States Trustee for Region Four, (the “U.S. Trustee”) 

objected [ECF Nos. 1333, 1370] (collectively, the “U.S. Trustee’s Objection”) to the Motion.

Foley & Lardner LLP (“Foley”) filed a limited objection [ECF No. 1365] to the Motion. The 

Court conducted a hearing (the “Hearing”) on June 8, 2022. At the conclusion of the Hearing, the 

Court took the Motion under advisement.

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For the reasons stated in the Court’s Memorandum Opinion issued contemporaneously 

herewith, the Court having found that (A) the Court has jurisdiction over this matter pursuant to 

28 U.S.C. §§ 157 and 1334; (B) this is a core proceeding pursuant to 28 U.S.C. § 157(b), 

(C) notice of the Motion and hearing thereon was sufficient under the circumstances; and (D) the 

Court having determined that the legal and factual basis set forth in the Motion and at the Hearing 

establish that the Settlement Agreement is fair and equitable and in the best interest of the Debtor’s 

estate, its creditors, and all other parties in interest, and represents the sound business judgment of 

the Trustee, it is ORDERED, ADJUDGED, and DECREED that:

1. The U.S. Trustee’s Objection is OVERRULED.

2. The Motion is GRANTED as set forth herein.

3. The Improvident Payment is APPROVED.

4. The Settlement Agreement is APPROVED in its entirety and in accordance with 

Bankruptcy Rule 9019.

5. The Trustee is authorized to take all action necessary to consummate and 

implement the Settlement Agreement, including but not limited to the execution and delivery of 

the Settlement Agreement.

6. Notwithstanding the foregoing or anything to the contrary contained herein, Quinn 

shall not be entitled to a contingency fee on the Improvident Payment. Instead, subject to the 

reservation of rights contained in paragraph 7 of this Order, Quinn will be entitled to a contingency 

fee of 35 percent of the net amount of total settlement amount less (A) certain costs and expenses 

and (B) the Improvident Payment.

7. Nothing herein shall modify paragraph 8 of the Order Authorizing the Retention 

and Employment of Quinn Emanuel Urquhart & Sullivan LLP as Special Counsel [ECF No. 937 

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at 3-4]. All rights, claims, and defenses with the respect to the apportionment of fees as between 

Quinn and Foley are hereby preserved pending further order of the Court.

8. Pursuant to the Order to Seal Omnibus Settlement Agreement and Related 

Documents, Information, and Hearings [ECF No. 1382], the unredacted Memorandum Opinion 

shall be sealed pending further order of the Court.

9. The Court shall retain exclusive jurisdiction to interpret and enforce the terms of 

this Order.

Dated: June 28, 2022 /s/ Kevin R. Huennekens

UNITED STATES BANKRUPTCY JUDGE

Entered on Docket: June 28, 2022

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