Lawyers seek $245 million in U.S. IPO suit settlement (Reuters)

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Reuters - Lawyers in a $586 million settlement of IPO litigation stemming from the demise of the Internet stocks bubble want to be paid $245 million, nearly three times the average for such large settlements, according to court papers filed on Tuesday.

The case is In Re Initial Public Offering Securities Litigation 21-MC-92 in U.S. District Court for the Southern District of New York (Manhattan)

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The objection by investors in Manhattan federal court said the lawyers who won the settlement had asked the court for an award of $195 million in fees plus $50 million in expenses, or about 42 percent of the settlement.

"The attorneys' fees and expenses requested are excessive under any accepted formula and well above the average ranges," said the filing by lawyer Edward Siegel for seven objecting investors. "In fact, Class Counsel's request is almost three times as much as the average" of $100 million for such large settlements.

Stanley Bernstein, the lead attorney in the case, could not immediately be reached for comment.