After 1 Year, FTX Bankruptcy Is More Lucrative for Law Firms Than Enron and Lehman | Law.com

For debtor’s counsel, notoriously lucrative bankruptcies have included Enron, Lehman Brothers and General Motors. After defaulting on nearly a trillion dollars in combined debt, the trio generated hundreds of millions of dollars in fee revenue for law firms.

But for law firms like Sullivan & Cromwell and Quinn Emanuel Urquhart & Sullivan, the bankruptcy of cryptocurrency trading firm-turned-accounting fraud FTX is proving to be just as profitable, even though it wasn’t associated with a major recession.

Between November 2022 and September 2023, debtor’s counsel Sullivan & Cromwell billed $131.5 million in legal work at a blended hourly rate of $1,289. Working as special counsel to FTX, Quinn Emanuel billed more than $28 million during the same period.

Source: After 1 Year, FTX Bankruptcy Is More Lucrative for Law Firms Than Enron and Lehman | Law.com