Law Firms

Associate settles suit claiming unfair billable-hours calculation caused him to lose out on bonuses

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A Philadelphia-based law firm has settled a suit by an associate who claimed that he lost out on bonuses because of the way it credited billable hours.

A settlement order entered on Thursday indicated that Obermayer Rebmann Maxwell & Hippel reached a deal with the plaintiff, Ryan Leonard, the Legal Intelligencer (sub req.) reports.

Leonard had claimed that Obermayer Rebmann lowered internal credit for the hourly rate charged to clients for his work, causing him to lose out on bonuses tied to profitability.

The law firm had countered that its bonuses were discretionary, and Leonard can’t sue over an “internal and intangible accounting device” used to determine bonus amounts.

Surviving claims in the suit, filed in the Philadelphia County Court of Common Pleas, had alleged fraudulent conversion and misappropriation.

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