Hawaii Supreme Court Upholds $222M Attorney Fee Cap in Maui Fire Settlement
Hawaii Supreme Court ruled attorneys can keep $222 million in fees from Maui wildfire settlement.
Why it matters: This decision sets a precedent for attorney fee limits in large disaster settlements, affecting law firms handling complex mass torts and class actions in the future.
- Hawaii Circuit Judge Peter Cahill capped attorney fees at $222 million from the $4.03 billion Maui wildfire settlement on June 5, 2026.
- The fee structure includes 8.33% fees for clients retained before settlement, up to 10% for trial-ready cases, and 3% for those signed after the settlement announcement.
- A $222 million Common Benefit Fund compensates attorneys with collective contributions, with larger shares for substantial work.
- On September 30, 2026, the Hawaii Supreme Court upheld the fee cap and Common Benefit Fund but vacated provisions barring appeals of fee awards.
On June 5, 2026, Maui Circuit Judge Peter Cahill imposed a cap of $222 million on attorney fees from the $4.03 billion settlement addressing claims from around 21,750 plaintiffs affected by the devastating August 2023 Maui wildfires, which caused 102 deaths and destroyed over 2,200 structures in Lahaina. Judge Cahill’s fee structure differentiated by timing and case readiness, allotting 8.33% fees to attorneys with clients retained before settlement, up to 10% for trial-ready cases, and 3% for clients signed afterward. This nuanced arrangement aimed to balance fairness with incentivizing effective legal representation.[Washington Post]
To equitably compensate attorneys who contributed collectively, a $222 million Common Benefit Fund was established. This fund rewards larger shares to attorneys with substantial efforts benefiting all plaintiffs in the complex mass tort litigation. The fund's creation reflects a growing judicial recognition of collaborative attorney roles in large-scale disaster cases.[LegalTech Digest]
On September 15, 2026, the Hawaii Supreme Court heard appeals challenging the fee caps, with opponents claiming Judge Cahill overstepped and that the limits could discourage lawyers from representing large plaintiff groups. However, on September 30, 2026, the Court upheld the fee cap and the establishment of the Common Benefit Fund but vacated parts penalizing appeals of fee awards, allowing future challenges to fee determinations.[Justia]
Jesse Creed, lead attorney in the case, praised the judge’s approach, stating, "I feel like Judge Cahill has been guided by fairness to the community from the outset of the litigation." Similarly, Hawaii Governor Josh Green emphasized collaboration to expedite recovery efforts: "Going forward I will continue to work with all parties, including those who opposed the settlement, to expedite our critical recovery as a people and a state."[Governor’s Office]
By the numbers:
- $222 million — attorney fees capped by Maui Circuit Judge Peter Cahill
- $4.03 billion — total settlement awarded to approximately 21,750 plaintiffs
- 102 — deaths caused by the August 2023 Maui wildfires
Yes, but: While the fee cap aims to ensure fairness and community interests, appellants argued it may reduce incentives for lawyers to undertake extensive mass tort litigation in the future.
What's next: Distribution timelines for the settlement funds to plaintiffs remain pending, and further appeals on fee awards are now permissible after parts of the fee appeal provisions were vacated.