Danny Hobson v. First State Bank
TN.1431 , 801 S.W.2d 807 (1990)
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This appeal involves the allowance of attorney fees. The appellees, Charles J. Swayze, Jr. and James Y. Dale, 1 Mississippi
attorneys, filed the underlying lawsuit in the Circuit Court of Tipton County in January, 1986 on behalf of their client,
Danny Hobson, against First State Bank ("Bank"). They sought to recover $2,200, the amount of a check written by Flowers,
Deverell and Crawford of Covington, Tennessee, presented to and subsequently dishonored by said Bank. Hobson also sought class
action certification for his suit, which was subsequently granted. The present litigation was initiated by class attorneys
filing a petition for attorney fees and expenses and the disbursement of all funds pertaining to the representation of Hobson
and his class. Counsel for certain class members (hereafter "Respondents") filed their objection to class attorneys' petition
seeking to have the petition dismissed as to them on the ground that they were represented by their own counsel. Respondents
also objected to certain specific items for which compensation was sought. Following a full hearing, the trial court ordered
that class attorneys be awarded attorney fees in the amount of $439,356.12, said amount to be paid from a common fund involving
the entire class, including those class members represented at the underlying trial by counsel of their own choosing. Respondents' appeal presents the following three issues to be resolved by this Court: (1) whether the members of a class
who employed their own counsel to enter an appearance on their behalf may be required to pay attorney fees of class attorneys
who created the common fund for the benefit of the class; (2) whether the non-resident lawyers who fail to comply with Rule
19 of the Tennessee Supreme Court Rules may be compensated for services while in violation of said Rule; and (3) whether the
award of attorney fees was made on good and sufficient evidence. We find no error and affirm.