A recent Law 360 story by Matt Bernardini, “Auto Dealer Attys Seek $33M From Latest MDL Settlements,” reports that attorneys for a group of car dealers have asked a Michigan federal court for $33 million in fees for their work in the third round of class action settlements in multidistrict litigation for bid-rigging and price-fixing of car parts by 23 different auto parts makers.  Counsel with the firms Mantese Honigman PC, Cuneo Gilbert & Laduca LLP, Barrett Law Group PA and Larson King LLP moved for 30 percent of the third round of settlements worth $115 million in the auto parts price-fixing MDL.  The auto dealers' latest batch of settlements includes deals involving 25 different car parts with auto parts makers including Bridgestone, Yamashita Rubber Co. Ltd. and Mitsuba, among others, according to the motion.

The money requested would cover the time and money already spent on the case and the attorneys said they would also set aside 3 percent of the funds for anticipated future litigation expenses.  "Counsel for the auto dealers litigated these cases on a contingent basis, some for more than six years, and have spent tens of thousands of hours in the cases in which settlements have been reached," counsel for the car dealers said.  "Although the court awarded fees from the first settlement groups, the work done by counsel for the auto dealers still exceeds the fees awarded."  The car dealers have already obtained $59 million in the first round of settlements and $125 million in the second.

The litigation stems from a U.S. Department of Justice investigation launched in 2010 that uncovered a series of cartels to rig bids and fix prices for a broad range of auto parts.  The probe resulted in 12 executives pleading guilty in connection with the charges, including 10 Japanese executives who surrendered to U.S. jurisdiction and were each sentenced to one or two years in prison.  The criminal case prompted customers, car repair shops, dealerships and other businesses to file their own suits against auto parts makers that were all consolidated into an MDL in the Eastern District of Michigan in June 2012.  To date there have been 41 separate antitrust class actions that include 160 defendants, according to the motion.

In support of the fee request, the dealers' attorneys also noted that the third round of settlements provides benefits beyond the money.  It prohibits auto parts makers from engaging in anti-competitive behavior and ensures that they cooperate with the car dealers.  A proposed settlement filed on July 31 by a group of car dealers against Tokai Rika Co. Ltd, a Japanese auto parts maker, would require they assist the dealers with their case against other defendants who have yet to settle.

The case is Automotive Parts Antitrust Litigation, case number 2:16-cv-03802, in the U.S. District Court for the Eastern District of Michigan.