Court Denied $2.5 Million Fee in Bolt Settlement

A federal judge blocked an outside firm from collecting millions from a Chevrolet Bolt battery settlement fund.

Updated on Oct. 9, 2026 in Electric Vehicles

Court Denied $2.5 Million Fee in Bolt Settlement

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Should law firms be allowed to collect fees from class action settlements they did not negotiate?

The U.S. District Court for the Eastern District of Michigan rejected a $2.5 million fee request from an outside law firm. The court ruled that the firm provided no substantial benefit to the broader $150 million class settlement.

Why it matters

The ruling protects the integrity of the existing $150 million settlement by preventing the depletion of funds intended for class members. It reaffirms that legal fees are reserved for counsel who actively contribute to the litigation and negotiation process.

The court issued a 16-page opinion denying the $2.5 million request from an outside firm that did not participate in negotiating the $150 million settlement. Meanwhile, primary class counsel has been awarded $50 million in fees and expenses.

The players

U.S. District Court for the Eastern District of Michigan

This federal court holds jurisdiction over civil cases in the eastern part of Michigan and oversees complex litigation involving automotive class actions.

The details

The outside law firm initially encouraged clients to opt out of the class action before eventually advising them to rejoin the settlement and drop independent claims. The court found that this behavior prioritized the interests of specific clients rather than providing a service to the entire settlement class.

The court issued the opinion denying the fee request on October 8, 2026.

Roadmap

This decision reinforces strict standards for attorney compensation within large-scale automotive consumer litigation. It clarifies that settlement funds are prioritized for class members rather than supplemental legal costs from firms outside the primary action.

This decision preserves the total value of the settlement pool, ensuring that those affected by battery issues receive their full allocated compensation. Drivers covered by the settlement should monitor their accounts for disbursement details rather than expecting delays caused by additional fee claims.

The takeaway

Legal fee disputes highlight the necessity of active participation for attorneys seeking compensation in class actions. Consumers should remain aware that court oversight is in place to protect their settlement distributions from unauthorized legal claims.