Goodman et al v. J.P. Morgan Investment Management, Inc.

Filing 37

OPINION AND ORDER GRANTING 27 MOTION for relief from requirement of providing defendant quarterly statements of attorney fees. Signed by Magistrate Judge Norah McCann King on 10/27/2014. (pes1)

IN THE UNITED STATES DISTRICT COURT
FOR THE SOUTHERN DISTRICT OF OHIO
EASTERN DIVISION

NANCY GOODMAN, et al.,
Plaintiffs,
vs.

Civil Action 2:14-cv-414
Judge Frost
Magistrate Judge King

J.P.MORGAN INVESTMENT
MANAGEMENT, INC.,
Defendant.
OPINION AND ORDER
Plaintiffs seek recovery on behalf of three investment funds
pursuant to § 36(b) of the Investment Company Act of 1940, 15 U.S.C. §
80a-35(b).

Specifically, plaintiffs allege that defendant acted in

breach of its fiduciary duty by charging investment advisory fees
disproportionate to the services provided and in excess of fees
negotiated at arm’s length for such services.

The Court issued a

preliminary pretrial order on August 6, 2014, requiring, inter alia,
that plaintiffs provide defense counsel quarterly statements of
attorney fees and expenses incurred to date.
Order, ECF 21.

Preliminary Pretrial

This matter now before the Court for consideration of

plaintiffs’ motion for relief from that requirement.

Plaintiffs’

Motion, ECF 27.
Plaintiffs argue that disclosure of attorneys’ fees to defendant
during the pendency of this litigation is unnecessary in this case.
See Plaintiffs’ Motion, p. 2.

Plaintiffs specifically argue that

“Section 36(b) of the ICA, which is the provision pursuant to which

1

Plaintiffs seek relief, does not contain a provision for fee-shifting”
and that, “if Plaintiffs obtain a judgment on behalf of the relevant
mutual funds, Plaintiffs’ attorneys will be entitled to a fee based on
the equitable common fund/common benefit doctrine.”

Id.

Defendant opposes Plaintiffs’ Motion, arguing that plaintiffs are
not entitled to attorneys’ fees, but nevertheless asserting an
interest in minimizing any award of attorney’s fees in this case.
Defendant’s Response, ECF 35, p. 4.
Having considered the contentions of the parties, the Court
concludes that its discretion is better exercised by relieving
plaintiffs of the requirement of providing defendant quarterly
statements of attorney fees.
Accordingly, Plaintiffs’ Motion, ECF 27, is GRANTED.

October 27, 2014

s/Norah McCann King_______
Norah McCann King
United States Magistrate Judge

2