June 25, 2025

Tydingco-Gatewood issues $7M consent judgment vs the CNMI

U.S. District Court for the NMI designated judge Frances Tydingco-Gatewood issued yesterday a consent judgment that Betty Johnson’s Hawaii-based counsel Bronster Hoshibata law firm shall recover $7 million from the CNMI.

Tydingco-Gatewood said lawyers Margery Bronster and Robert Hatch and the CNMI government have entered into a settlement agreement on the fees and costs the government will pay to the lawyers and this consent judgment is an integral part of that agreement.

The $7-million consent judgment is enforceable in the event that the CNMI government is in default in the payment of $6.5 million to Bronster Hoshibata law firm.

In a separate written order yesterday, Tydingco-Gatewood said the $6.5-million fee agreement between the CNMI and the Bronster Hoshibata law firm is approved as of Tuesday, Sept. 9.

Tydingco-Gatewood heard Tuesday Bronster Hoshibata’s and the CNMI government’s joint motion for approval of the law firm’s fee agreement. No one objected to the motion.

In her order yesterday, the judge said she is aware that the fee agreement was reached after the parties participated in many months of settlement talks with Hawaii chief bankruptcy judge Robert J. Faris.

“Having considered the motion for approval as well as all arguments and submissions, the court hereby finds the fee agreement to be fair and reasonable,” Tydingco-Gatewood said.

Gov. Eloy S. Inos, Finance Secretary Larrisa Larson, the CNMI government, and Finance, through assistant attorney general Teresita J. Sablan, recently joined Bronster Hoshibata’s motion for approval of the attorney’s fee deal.

Sablan said the Commonwealth maintains its position that Bronster Hoshibata law firm’s fees should be limited to the lodestar amount without a multiplier.

However, Sablan said, the Commonwealth also recognizes that, if left to decide the matter, Tydingco-Gatewood could award an amount much greater than the lodestar.

The Inos administration agreed to settle Bronster Hoshibata’s petition for attorney’s fees and costs for payment of $6.5 million (to be paid over three years).

Bronster Hoshibata’s original demand was for $17.5 million to be paid through installment.

The administration also settled for $185,000 and $800,000 the petitions for attorney’s fees and costs filed by Johnson’s other counsels, Stephen C. Woodruff and Bruce Jorgensen, respectively.

The court had already approved Woodruff’s settlement deal. Jorgensen’s deal and a petition for attorney’s fees and costs filed by Johnson’s counsel from San Rafael, California, Timothy Lord, are still subject to court approval.

Lord’s initial demand for payment of fees was either $3.6 million or $5.9 million. The CNMI opposed granting fees to Lord.

0 thoughts on “Tydingco-Gatewood issues $7M consent judgment vs the CNMI

  1. Man just pay these attorneys now, once and for all. This is not even a murder of the century type of case but the lawyers are reaping millions from us. Wake up CNMI leaders, local lawyers, and wise elders. Please come together like a “Con Con”, and create a cultural and economic plan for all residents of the CNMI.

  2. Didn’t this start out as “pro Bono” by Jorgenson? Well at least the NMI Govt. is liable for this payment and NOT the fund as was the deal between Inos and the Fed Court with the 25% reduction..
    So now besides the balance of this years $25 Mil to the fund, this admin has to pay the $7 mill to the attorneys and also next years about $28 Mill as their fund payment. AND most likley the Fed will take the $23 Mill for CUC along with the monthly charges and any other that is due.
    The casino payment for the next year is only $15 Mil. while nothing on Casino will be completed for 3-4 years (IF that happens at all) and the fifth (after 3 years)year there is NO $15 Mill coming in.
    Every way it turns this Inos admin (with help from the past Fitial) and past and present elected keeps accumulating more and more.
    But they can afford to hire more people and give themselves raises.

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