“Class action counsel serve a valuable role in our legal system and deserve to be paid. But not twice.” Gelis v. BMW of N. Am., LLC, No. 24-2721, 2026 WL 1691583, at *1 (3d Cir. June 11, 2026) (“Gelis II“). With that admonition, the Third Circuit for the second time vacated a $3.7 million fee award to class counsel in a consumer class action alleging that BMW sold vehicles with defective timing chains. See also Gelis v. BMW of N. Am., LLC (“Gelis I“), 49 F.4th 371, 376–77, 380 (3d Cir. 2022) (“Gelis I“) (first rejection of the $3.7 million award).
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No Final Judgment, No Attorneys’ Fees: The Supreme Court Clarifies the Meaning of “Prevailing Party” in Lackey v. Stinnie
By Jess Davis, Steve Petkis & Sonya Winner on
In Lackey v. Stinnie, the Supreme Court has clarified who qualifies as a “prevailing party” eligible for attorneys’ fees under certain statutes. The decision carries significant implications for the availability of attorneys’ fees in class action cases where defendants are able to moot claims before a court enters a final judgment.
At issue in Lackey was whether plaintiffs could obtain attorneys’ fees under 42 U.S.C. §1988(b), which allows the “prevailing party” to recover attorneys’ fees in certain civil rights cases. Plaintiffs secured a preliminary injunction but were not able to obtain any further relief (including a final judgment) because the government voluntarily ceased the challenged conduct. In a 7-2 opinion authored by Chief Justice Roberts, the Supreme Court held that the plaintiff did not qualify as a “prevailing party.”
Continue Reading No Final Judgment, No Attorneys’ Fees: The Supreme Court Clarifies the Meaning of “Prevailing Party” in Lackey v. Stinnie