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September 11 Attacks: Kreindler & Kreindler LLP Goes To Court To Stop Arbitrary Limits On Sept. 11 Victim Compensation Fund Awards Based Upon The "Financial Needs And Financial Circumstances Of The Claimants"
On April 14, 2003, Kreindler & Kreindler LLP partner Marc Moller appeared before Federal Judge Alvin Hellerstein of the Southern District of New York to argue on behalf of September 11 victims and families that they should receive the full compensation they are entitled to under the federal September 11 Victim Compensation Fund without reduction based upon a so-called "needs test."
Assisted by our partner Justin Green and associate Vince Parrett, Mr. Moller strongly advocated our position that Special Master Feinberg is not empowered by the Victim Compensation Fund legislation to "limit" awards based on "need". The New York Times declared that "Mr. Moller made the strongest impression on the judge" through his cogent arguments that the Special Master's "rules" for limiting awards based on victims' needs and resources were so open-ended as to be an invitation for arbitrariness. The New York Law Journal noted that "several times Judge Hellerstein told Mr. Moller that he had made a strong impression" and the Judge "echoed the attorney's key argument in pressing the U.S. Justice Department lawyer defending the Special Master." Mr. Moller argued that "without guidance, predictability, or necessary fairness," Mr. Feinberg's "interpretations of individual circumstances could trump everything else." Judge Hellerstein repeatedly asked the Justice Department lawyer to respond to our theme on whether the government's "needs test" did not create a "quality of arbitrariness that threatens to envelop" the other factors of economic and non-economic loss that Congress mandated the Special Master determine to fully compensate September 11 victims. At the end of the proceeding, Judge Hellerstein said he would soon rule on this important matter before him. We face a heavy burden and are prepared to appeal any adverse decision.
Win or lose, however, the challenge is not directed at the Special Master, but upon certain rules and regulations that we believe are impermissible. Our hope is that our effort will lead to more certainty and predictability to the Victim Compensation Fund and will hopefully encourage the Special Master to provide full and fair compensation to all 9/11 victims without depriving any claimants of the full recovery to which Congress said they are entitled.
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