MRRM, PA v. Richardson Patrick ( 2005 )


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  •                              PUBLISHED
    UNITED STATES COURT OF APPEALS
    FOR THE FOURTH CIRCUIT
    In Re: MRRM, P.A., formerly                
    known as Law Offices of Ness,
    Motley, Loadholt, Richardson &
    Poole, former counsel to plaintiff
    class,
    Appellant,
    In Re: RICHARDSON, PATRICK,
    WESTBROOK & BRICKMAN,
    Appellee,
    and
    In Re: SPEIGHTS & RUNYAN
    CENTRAL WESLEYAN COLLEGE, on
    behalf of itself and all others
    similarly situated,
       No. 04-1838
    Plaintiff,
    v.
    W.R. GRACE & COMPANY; NATIONAL
    GYPSUM COMPANY; UNITED STATES
    GYPSUM COMPANY, a Delaware
    Corporation; AC&S, INCORPORATED,
    a Pennsylvania Corporation;
    ACOUSTICS, INCORPORATED; A P
    GREEN REFRACTORIES COMPANY, a
    Delaware Corporation; AMCHEM
    PRODUCTS, INCORPORATED; AMERICAN
    ASBESTOS PRODUCTS COMPANY, a
    California Corporation; AMERICAN
    ENERGY PRODUCTS, INCORPORATED;
    
    2                      IN RE: MRRM, P.A.
    ARMSTRONG WORLD INDUSTRIES,           
    INCORPORATED; ASBESTOS
    CORPORATION, LIMITED; ASBESTOS
    PRODUCT MANUFACTURING
    CORPORATION; ASBESTOS
    CORPORATION OF AMERICA
    INCORPORATED; ASBESTOS FIBERS,
    INCORPORATED; ASBESTOSPRAY
    CORPORATION; ASTEN GROUP,
    INCORPORATED; ATLAS ASBESTOS
    CORPORATION, LIMITED; ATLAS
    TURNER, INCORPORATED; BABCOCK &
    WILCOX COMPANY, a Delaware
    Corporation; BASIC, INCORPORATED, a
    Delaware Corporation; BELL
    ASBESTOS MINES, LIMITED; BRINCO
    MINING LIMITED, formerly known as
    Cassiar Resources Limited;            
    CALIFORNIA PRODUCTS CORPORATION;
    CALIFORNIA PRODUCTS INTERNATIONAL
    INCORPORATED; CAPE ASBESTOS
    FIBRES, LIMITED; CAPE INDUSTRIES,
    LIMITED; CAREY CANADA,
    INCORPORATED; C. E. THURSTON &
    SONS INCORPORATED, a Virginia
    Corporation; THE CELOTEX
    CORPORATION; CERTAINTEED
    CORPORATION, a Maryland
    Corporation; CERTAINTEED SALES
    CORPORATION; CHARTER
    CONSOLIDATED INVESTMENTS LIMITED;
    CHARTER CONSOLIDATED, LIMITED;
    CHARTER CONSOLIDATED SERVICES;
    CHARTER INDUSTRIES; CHEMROCK
    
    IN RE: MRRM, P.A.   3
    CORPORATION; COMBUSTION              
    ENGINEERING, INCORPORATED; CROWN
    CORK & SEAL COMPANY,
    INCORPORATED, a New York
    Corporation; DANA CORPORATION, a
    Virginia Corporation; DODSON
    MANUFACTURING COMPANY; EAGLE-
    PICHER INDUSTRIES, INCORPORATED;
    EMPIRE ACE INSULATION
    MANUFACTURING CORPORATION, a
    New York Corporation; EMPIRE
    ASBESTOS PRODUCTS, INCORPORATED, a
    New York Corporation; FIBREBOARD
    CORPORATION; FLINTKOTE COMPANY, a
    Massachusetts Corporation; FOSTER
    WHEELER CORPORATION, Successor-
    in-Interests to Forty-Eight
    Insulations Incorporated, a New
    York Corporation; GAF                
    CORPORATION; GARLOCK; GENERAL
    REFRACTORIES COMPANY, US
    Refractories Division; GEORGIA
    PACIFIC CORPORATION, a Georgia
    Corporation; GRANT WILSON,
    INCORPORATED, an Illinois
    Corporation; GREFCO, INCORPORATED,
    Minerals Division; H & A
    CONSTRUCTION CORPORATION,
    formerly known as Spraycraft, a
    New York Corporation; HAMILTON
    MATERIALS, INCORPORATED, a
    California Corporation; H. K.
    PORTER INCORPORATED; HIGHLAND
    STUCCO & LIME PRODUCTS,
    INCORPORATED; HOLLYWOOD STUCCO
    PRODUCTS, INCORPORATED;
    
    4                      IN RE: MRRM, P.A.
    HUXLEY DEVELOPMENT CORPORATION;      
    IPA SYSTEMS, INCORPORATED, a
    Pennsylvania Corporation; J. W.
    ROBERTS, LIMITED; JOHN
    CRANE-HOUDAILLE, INCORPORATED,
    formerly known as Crane Packing
    Company; KEENE CORPORATION;
    KAISER REFRACTORIES, a division of
    Kaiser Aluminum and Chemical
    Corporation; KAISER GYPSUM
    COMPANY; LAC D’AMAINTE DU
    QUEBEC, LTEE; NICOLET,
    INCORPORATED; OHIO LIME COMPANY;
    OWENS-CORNING FIBERGLAS
    CORPORATION; OWENS-ILLINOIS,
    INCORPORATED; PITTSBURGH-CORNING
    CORPORATION; PFIZER, INCORPORATED;
    QUIGLEY COMPANY, INCORPORATED;
    RAYMARK INDUSTRIES, INCORPORATED;    
    ROCK WOOL MANUFACTURING
    COMPANY, INCORPORATED; RYDER
    INDUSTRIES, INCORPORATED, a Texas
    Corporation; SEALTITE TEXTILE
    CORPORATION, a Delaware
    Corporation; SOUTHERN TEXTILE, a
    Delaware Corporation; SPECIAL
    ASBESTOS COMPANY, INCORPORATED;
    SPRAYON INSULATION & ACOUSTIC,
    INCORPORATED; SPRAYED INSULATION
    CORPORATION; SPRAYON RESEARCH
    CORPORATION; STARR-DAVIS
    COMPANY, INCORPORATED, a North
    Carolina Corporation; STANDARD
    INSULATIONS, INCORPORATED;
    STANDARD ASBESTOS
    MANUFACTURING AND INSULATING
    COMPANY, a Missouri Corporation;
    
    IN RE: MRRM, P.A.   5
    TAF INTERNATIONAL, LIMITED,            
    formerly known as Turner Asbestos
    Fibres, Limited; TURNER ASBESTOS
    FIBRES, LIMITED, a Foreign
    Corporation; TURNER & NEWALL,
    LIMITED, a Foreign Corporation;
    UNIROYAL INCORPORATED; USG
    CORPORATION, a Delaware
    Corporation; UNITED STATES
    MINERAL PRODUCTS COMPANY;
    VERMONT ASBESTOS GROUP, a
    Vermont Corporation; VIMASCO
    CORPORATION; WESTERN MINERAL
    PRODUCTS COMPANY, INCORPORATED;
    H. K. PORTER ASBESTOS TRUST,
    Defendants.   
    BASIL H. THOMSON, JR.; JOHN G.
    HILL, JR.; ROBERT L. POTTS; EARL V.
    BROWN; ESTELLE A. FISHBEIN;
    BEVERLY E. LEDBETTER; DENNIS C.
    HART,
    Amicus Curiae,
    HIGHLANDS INSURANCE COMPANY;
    AMERICAN REINSURANCE COMPANY;
    CONCORDIA COLLEGE; FURMAN
    UNIVERSITY; CLAFLIN UNIVERSITY;
    NEWBERRY COLLEGE,
    Movants.
    
    6                         IN RE: MRRM, P.A.
    In Re: MRRM, P.A., formerly                
    known as Law Offices of Ness,
    Motley, Loadholt, Richardson &
    Poole, former counsel to plaintiff
    class,
    Appellant,
    In Re: RICHARDSON, PATRICK,
    WESTBROOK & BRICKMAN,
    Appellee,
    and
    In Re: SPEIGHTS & RUNYAN
    CENTRAL WESLEYAN COLLEGE, on
    behalf of itself and all others
    similarly situated,
       No. 04-1859
    Plaintiff,
    v.
    W.R. GRACE & COMPANY; NATIONAL
    GYPSUM COMPANY; UNITED STATES
    GYPSUM COMPANY, a Delaware
    Corporation; AC&S, INCORPORATED,
    a Pennsylvania Corporation;
    ACOUSTICS, INCORPORATED; A P
    GREEN REFRACTORIES COMPANY, a
    Delaware Corporation; AMCHEM
    PRODUCTS, INCORPORATED; AMERICAN
    ASBESTOS PRODUCTS COMPANY, a
    California Corporation; AMERICAN
    ENERGY PRODUCTS, INCORPORATED;
    
    IN RE: MRRM, P.A.   7
    ARMSTRONG WORLD INDUSTRIES,           
    INCORPORATED; ASBESTOS
    CORPORATION, LIMITED; ASBESTOS
    PRODUCT MANUFACTURING
    CORPORATION; ASBESTOS
    CORPORATION OF AMERICA
    INCORPORATED; ASBESTOS FIBERS,
    INCORPORATED; ASBESTOSPRAY
    CORPORATION; ASTEN GROUP,
    INCORPORATED; ATLAS ASBESTOS
    CORPORATION, LIMITED; ATLAS
    TURNER, INCORPORATED; BABCOCK &
    WILCOX COMPANY, a Delaware
    Corporation; BASIC, INCORPORATED, a
    Delaware Corporation; BELL
    ASBESTOS MINES, LIMITED; BRINCO
    MINING LIMITED, formerly known as
    Cassiar Resources Limited;            
    CALIFORNIA PRODUCTS CORPORATION;
    CALIFORNIA PRODUCTS INTERNATIONAL
    INCORPORATED; CAPE ASBESTOS
    FIBRES, LIMITED; CAPE INDUSTRIES,
    LIMITED; CAREY CANADA,
    INCORPORATED; C. E. THURSTON &
    SONS INCORPORATED, a Virginia
    Corporation; THE CELOTEX
    CORPORATION; CERTAINTEED
    CORPORATION, a Maryland
    Corporation; CERTAINTEED SALES
    CORPORATION; CHARTER
    CONSOLIDATED INVESTMENTS LIMITED;
    CHARTER CONSOLIDATED, LIMITED;
    CHARTER CONSOLIDATED SERVICES;
    CHARTER INDUSTRIES; CHEMROCK
    
    8                     IN RE: MRRM, P.A.
    CORPORATION; COMBUSTION              
    ENGINEERING, INCORPORATED; CROWN
    CORK & SEAL COMPANY,
    INCORPORATED, a New York
    Corporation; DANA CORPORATION, a
    Virginia Corporation; DODSON
    MANUFACTURING COMPANY; EAGLE-
    PICHER INDUSTRIES, INCORPORATED;
    EMPIRE ACE INSULATION
    MANUFACTURING CORPORATION, a
    New York Corporation; EMPIRE
    ASBESTOS PRODUCTS, INCORPORATED, a
    New York Corporation; FIBREBOARD
    CORPORATION; FLINTKOTE COMPANY, a
    Massachusetts Corporation; FOSTER
    WHEELER CORPORATION, Successor-
    in-Interests to Forty-Eight
    Insulations Incorporated, a New
    York Corporation; GAF                
    CORPORATION; GARLOCK; GENERAL
    REFRACTORIES COMPANY, US
    Refractories Division; GEORGIA
    PACIFIC CORPORATION, a Georgia
    Corporation; GRANT WILSON,
    INCORPORATED, an Illinois
    Corporation; GREFCO, INCORPORATED,
    Minerals Division; H & A
    CONSTRUCTION CORPORATION,
    formerly known as Spraycraft, a
    New York Corporation; HAMILTON
    MATERIALS, INCORPORATED, a
    California Corporation; H. K.
    PORTER INCORPORATED; HIGHLAND
    STUCCO & LIME PRODUCTS,
    INCORPORATED; HOLLYWOOD STUCCO
    PRODUCTS, INCORPORATED;
    
    IN RE: MRRM, P.A.   9
    HUXLEY DEVELOPMENT CORPORATION;      
    IPA SYSTEMS, INCORPORATED, a
    Pennsylvania Corporation; J. W.
    ROBERTS, LIMITED; JOHN
    CRANE-HOUDAILLE, INCORPORATED,
    formerly known as Crane Packing
    Company; KEENE CORPORATION;
    KAISER REFRACTORIES, a division of
    Kaiser Aluminum and Chemical
    Corporation; KAISER GYPSUM
    COMPANY; LAC D’AMAINTE DU
    QUEBEC, LTEE; NICOLET,
    INCORPORATED; OHIO LIME COMPANY;
    OWENS-CORNING FIBERGLAS
    CORPORATION; OWENS-ILLINOIS,
    INCORPORATED; PITTSBURGH-CORNING
    CORPORATION; PFIZER, INCORPORATED;
    QUIGLEY COMPANY, INCORPORATED;
    RAYMARK INDUSTRIES, INCORPORATED;    
    ROCK WOOL MANUFACTURING
    COMPANY, INCORPORATED; RYDER
    INDUSTRIES, INCORPORATED, a Texas
    Corporation; SEALTITE TEXTILE
    CORPORATION, a Delaware
    Corporation; SOUTHERN TEXTILE, a
    Delaware Corporation; SPECIAL
    ASBESTOS COMPANY, INCORPORATED;
    SPRAYON INSULATION & ACOUSTIC,
    INCORPORATED; SPRAYED INSULATION
    CORPORATION; SPRAYON RESEARCH
    CORPORATION; STARR-DAVIS
    COMPANY, INCORPORATED, a North
    Carolina Corporation; STANDARD
    INSULATIONS, INCORPORATED;
    STANDARD ASBESTOS
    MANUFACTURING AND INSULATING
    COMPANY, a Missouri Corporation;
    
    10                     IN RE: MRRM, P.A.
    TAF INTERNATIONAL, LIMITED,            
    formerly known as Turner Asbestos
    Fibres, Limited; TURNER ASBESTOS
    FIBRES, LIMITED, a Foreign
    Corporation; TURNER & NEWALL,
    LIMITED, a Foreign Corporation;
    UNIROYAL INCORPORATED; USG
    CORPORATION, a Delaware
    Corporation; UNITED STATES
    MINERAL PRODUCTS COMPANY;
    VERMONT ASBESTOS GROUP, a
    Vermont Corporation; VIMASCO
    CORPORATION; WESTERN MINERAL
    PRODUCTS COMPANY, INCORPORATED;
    H. K. PORTER ASBESTOS TRUST,
    Defendants.   
    BASIL H. THOMSON, JR.; JOHN G.
    HILL, JR.; ROBERT L. POTTS; EARL V.
    BROWN; ESTELLE A. FISHBEIN;
    BEVERLY E. LEDBETTER; DENNIS C.
    HART,
    Amicus Curiae,
    HIGHLANDS INSURANCE COMPANY;
    AMERICAN REINSURANCE COMPANY;
    CONCORDIA COLLEGE; FURMAN
    UNIVERSITY; CLAFLIN UNIVERSITY;
    NEWBERRY COLLEGE,
    Movants.
    
    Appeals from the United States District Court
    for the District of South Carolina, at Charleston.
    Sol Blatt, Jr., Senior District Judge.
    (CA-87-1860-2-8)
    IN RE: MRRM, P.A.                           11
    Argued: March 16, 2005
    Decided: April 18, 2005
    Before WILKINSON, NIEMEYER, and MOTZ, Circuit Judges.
    Affirmed by published opinion. Judge Wilkinson wrote the opinion,
    in which Judge Niemeyer and Judge Motz joined.
    COUNSEL
    ARGUED: William Howell Morrison, MOORE & VAN ALLEN,
    P.L.L.C., Charleston, South Carolina, for Appellant. Edward James
    Westbrook, RICHARDSON, PATRICK, WESTBROOK & BRICK-
    MAN, L.L.C., Mt. Pleasant, South Carolina, for Appellee. ON
    BRIEF: Frederick C. Baker, MOTLEY RICE, L.L.C., Mt. Pleasant,
    South Carolina, for Appellant.
    OPINION
    WILKINSON, Circuit Judge:
    In this case we consider the appropriate allocation of a class action
    attorney fee award among three law firms. The fee award itself was
    previously approved and is not in controversy. Instead, one firm has
    appealed the district court’s distribution of that award, essentially
    claiming that its share was insufficient.
    We affirm, albeit with reservations about the conclusory nature of
    the district court’s order allocating the fee.
    I.
    For well over a decade, class counsel litigated and eventually set-
    12                       IN RE: MRRM, P.A.
    tled an asbestos-related nationwide class action lawsuit on behalf of
    colleges and universities. See Cent. Wesleyan Coll. v. W.R. Grace &
    Co., 
    6 F.3d 177
     (4th Cir. 1993) (affirming conditional certification of
    the class). Class counsel were the firms Ness, Motley, Loadholt, Rich-
    ardson & Poole ("Ness Motley")1 and Speights & Runyan. The even-
    tual common fund totaled approximately $70 million.
    In December 2001, class counsel petitioned the district court for
    fees. They requested 28.75% of the cash recovery, amounting to
    about $20 million. The district court approved the entire request, after
    a thorough application of Barber v. Kimbrell’s, Inc., 
    577 F.2d 216
    ,
    226 (4th Cir. 1978) (adopting the twelve fee-shifting factors of John-
    son v. Georgia Highway Express, Inc., 
    488 F.2d 714
     (5th Cir. 1974)).
    The Barber factors include such considerations as the time and labor
    required, the novelty or difficulty of the issues litigated, customary
    fees in similar situations, and the quality of the results involved. The
    district court thoroughly examined each of them. See JA 758-70.
    The court acknowledged that the fee was being awarded even
    though the work had not been completed. Indeed, the administration
    of the common fund continues to this day. The district judge empha-
    sized that "it is important to note that there is still much work to be
    done in this case." The fee award was thus predicated on class coun-
    sel’s duty to honor its obligations to the class.
    Subsequent to the fee award, Edward Westbrook, a Ness Motley
    partner, distributed 60% of the fee — 50% to Ness Motley and 10%
    to Speights & Runyan. The remaining 40% was withheld due to diffi-
    culties in determining its allocation. Westbrook was in a position to
    do this because he had exercised primary leadership over the case
    since its inception. However, in February 2002, several shareholders
    — including Westbrook — left Ness Motley to form the new firm of
    Richardson Patrick Westbook & Brickman ("RPWB"). The district
    court, recognizing Westbrook’s role, agreed that he and his new firm
    1
    Between December 2001 and the present — the times most relevant
    to this case — Ness Motley has used a variety of different names.
    Although it is currently known as MRRM, P.A., as shown in the caption
    of this case, to minimize confusion we will refer to it throughout as
    "Ness Motley."
    IN RE: MRRM, P.A.                             13
    should continue as co-lead class counsel. Thus, there were now three
    firms involved in the settlement, the administration, or both: Ness
    Motley, Speights & Runyan, and RPWB.
    In October 2003, following unsuccessful attempts among the three
    firms to allocate the remaining 40% of the award, Westbrook peti-
    tioned the district court to divide it. On May 27, 2004, the district
    court held oral argument for this purpose. It began by inviting West-
    brook and Daniel Speights to meet privately in the courthouse library
    and emerge with a recommendation. Unsurprisingly, an attorney for
    Ness Motley objected to being excluded from this meeting. West-
    brook and Speights nonetheless met and agreed that the entire fee be
    divided such that, out of the total, Ness Motley receive 51%, Speights
    & Runyan receive 34%, and RPWB receive 15%. The court allowed
    Ness Motley an opportunity to respond with its own proposal —
    namely, that it deserved the entire remaining unallocated fee (or 90%
    of the total), that Speights & Runyan should receive only the 10% that
    it already had been given, and RPWB deserved nothing at all.
    Roughly half-way through the hearing, the district judge com-
    mented that "I’m impressed by the — I can visualize trying to pay out
    this money to all these colleges, that job is going to be one terrific job,
    I understand that." During oral argument before the court of appeals,
    in fact, counsel continually repeated this very sentence in attempting
    to assure us that adequate reasons for the allocation existed. At the
    end of the district court hearing, without having explained what it was
    that particularly persuaded him, the judge stated:
    Well, it’s got to end. The whole thing has got to end. I’ve
    listened to the argument, the arguments have been convinc-
    ing. I’m going to write a very short order, based on the argu-
    ments this day heard. And I think that the arguments have
    caused me to change my mind somewhat.
    The judge then stated that his allocation was based on $20 million:
    I’m going to award Speights and Runyan six million five;
    [Ness Motley], eleven million; and [RPWB], two million
    five. Now, that’s it. I’m going to put that in the order, based
    14                        IN RE: MRRM, P.A.
    on a twenty million dollar fee, and direct the attorneys to
    work out the mechanics.
    He made no further explanation, but before departing the bench, the
    judge acknowledged "that there isn’t anybody particularly happy with
    the division, but I guess you can’t satisfy everybody. If there were a
    way to do that, I’d like to do it. But after listening to the arguments,
    I think that’s a reasonable division."
    On June 28, 2004, the district court entered an order reflecting this
    allocation, "[f]or the reasons stated at hearing, and in consideration of
    the applicable law and facts . . . ." The court stated that RPWB was
    to be compensated for its work, as were the other firms. The district
    court alluded generally to this point in a footnote in its order.2
    Ness Motley timely appealed. We review fee allocations, like the
    initial award of an attorney fee, under an abuse of discretion standard
    of review. Barber, 
    577 F.2d at 226
    . Because Ness Motley has given
    us no reason sufficient to reverse under this deferential standard, we
    affirm, albeit with reservation.
    II.
    Ness Motley raises substantive and procedural challenges to the
    allocation in favor of RPWB.
    A.
    Ness Motley believes that the district court erred in awarding
    RPWB any fees at all, and that even if RPWB is entitled to some fees,
    the district court awarded it too great a share. Ness Motley empha-
    sizes that the fee has already been awarded, explicitly conditioned on
    counsel continuing to administer the common fund and to meet all
    2
    The footnote explained: "This amount is awarded to cover the work
    the Richardson, Patrick firm must expend, independent of the former
    Ness, Motley firm, to resolve all remaining issues regarding December
    21, 2001 Settlement Fund. This includes the costs which may be incurred
    to research and finalize a potential re-calculation of the total attorneys’
    fees award due to an unforeseen tax issue."
    IN RE: MRRM, P.A.                           15
    other obligations class counsel owes to the class. According to Ness
    Motley, RPWB, largely composed of individuals who have already
    been paid from Ness Motley’s share of the fee (and who, consistent
    with their separation agreement, will receive a portion of any future
    allocations), should not be paid "twice." Had Westbrook not withheld
    40% of the fee before leaving Ness Motley, it says, there would be
    no more money for RPWB to claim.
    We are not persuaded that any of these arguments require that, as
    a matter of law, RPWB receive no part of the fee. RPWB continues
    to perform significant services on behalf of the class. The allocation
    does not pay anyone "twice." The simple fact that the case now
    involves three parties and the members of one party were formerly
    employed by another does not render their continued remuneration
    objectionable. The allocation instead simply adjusts the payment
    among the parties to reflect the efforts of each. We find no abuse of
    discretion in including RPWB.
    B.
    We are more concerned, however, about the procedural question
    Ness Motley has raised. While we agree that RPWB is entitled to
    some portion of the fee, the district court has made it difficult for us
    to ascertain why RPWB has been given the particular amount that the
    court found appropriate. On this basis, Ness Motley urges us to vacate
    the allocation and remand for application of the Barber factors.
    We fully recognize that the district court’s close familiarity with
    this case extends to the issue of attorney fees. Indeed, the district
    court demonstrated such familiarity in its thorough application of the
    Barber factors to award attorney fees in the first place. For this rea-
    son, we cannot accept Ness Motley’s invitation to impose Barber
    once more. Many of the Barber factors are inapplicable to questions
    of how a fee should be divided. Moreover, when, as here, Barber has
    clearly been meticulously applied and a significant portion of the
    resulting fee divided without objection, a rule requiring reapplication
    of Barber for every subsequent dispute would eviscerate the abuse of
    discretion standard and encourage vexatious application to the court.
    In declining to require district courts to apply Barber in this con-
    text, we join other courts of appeals which have approved fee alloca-
    16                         IN RE: MRRM, P.A.
    tions among co-counsel for reasons that did not involve the Barber
    factors. See, e.g., In re FPI/Agretech Sec. Litig., 
    105 F.3d 469
     (9th
    Cir. 1997); Smiley v. Sincoff, 
    958 F.2d 498
     (2d Cir. 1992). Yet while
    these courts did not require anything like reapplication of the Barber
    factors, neither were they willing to accept an allocation without rea-
    sons spelled out by the district court. In Smiley, the Ninth Circuit was
    able to quote at length from the district court’s allocation order. 
    Id. at 502
    . FPI/Agretech, in turn, repeated that, in the allocation context,
    "[s]o long as the district court provides a ‘concise but clear explana-
    tion’ of its reasons, and those reasons are supported by the record, the
    reviewing court should accept its decision." FPI/Agretech, 
    105 F.3d at 473
     (quoting id.).
    Thus, the district court’s familiarity with the case should have led
    to a greater precision and effort in explaining fee allocation decisions
    than the district court provided, especially considering the substantial
    sums involved and the somewhat speculative nature of the future ser-
    vices. Without precise reasons from the district court, appellate courts
    are in danger of being left without any real basis to review the deci-
    sion. See James v. Jacobson, 
    6 F.3d 233
    , 239 (4th Cir. 1993). The dis-
    trict court stated that it found the allocation to be "reasonable," but
    declined to offer us much basis as to why this was so.
    We nonetheless decline to remand. A charitable construction of
    comments from the bench — especially the recognition that the con-
    tinuing administration of the fund is "one terrific job" — might link
    the eventual allocation to the fact that RPWB has substantial continu-
    ing obligations to the class. Those obligations were explained in great
    detail by counsel, both below and on appeal, and the court’s com-
    ments hint that this explanation of the work was what influenced its
    decision. For instance, RPWB must guard millions of dollars of the
    class’s fund that have been jeopardized by IRS action. It must protect
    part of the settlement itself — particularly the $25 million W.R.
    Grace rebate — within the confines of bankruptcy law. And even
    assuming away any threat to the class recovery itself, the process of
    distributing the common fund in a manner that satisfies the members
    of the class and the Settlement Advisory Committee will require
    energy, patience, and diplomacy.
    We recognize that this circuit has not heretofore given specific
    instructions to district courts as to the nature of their discretion in this
    IN RE: MRRM, P.A.                           17
    precise context. Although we do not anticipate from district courts a
    full-blown Barber analysis when faced with issues of this sort, some-
    thing more than threadbare justification is to be expected when a fee
    allocation involves large sums for future services. In short, district
    courts should explain in clear terms, even if only briefly, the reasons
    that an allocation this substantial is justified. We affirm this alloca-
    tion, because the circumstances of this case have allowed us to sur-
    mise the basis for the exercise of the district court’s discretion and
    because appellant has given us no real reason to believe that this dis-
    cretion has been abused.
    III.
    For the foregoing reasons, the judgment of the district court is
    AFFIRMED.