As previously discussed here, some law firms are poised to generate significant fees from the current financial crisis. To that list we can now law firms Squire, Sanders & Dempsey and Hughes Hubbard. On Monday, the US Treasury announced that it will pay the two firms approximately $5.5 million each to assist the Department in the implementation of the Capital Purchase Program authorized under the Emergency Economic Stabilization Act. It stated:
The firms will help the Department with executing transactions under the program, which includes reviewing executed investment agreements, working directly with accepted financial institutions to identify and resolve any legal issues before closing, and conducting the closing of transactions.
The agreements with the firms are effective until April 28, 2009. Treasury issued a request for quotes from five firms on the General Services Administration’s Federal Supply Schedules on October 24. The Department received four quotes in response. Based on the estimated transactions under the program, total costs for each firm is not expected to exceed approximately $5.5 million. More information on these contracts will be posted at https://www.fpds.gov (Federal Procurement Data System).