New Ruling Sought In 9/11 Settlements

NEW YORK, Aug. 6 -- Lawyers for the families of four Sept. 11 victims are urging a judge to reconsider his decision to reject $28.5 million in settlements that he now says are excessive, compared with those other survivors received.

U.S. District Judge Alvin K. Hellerstein had approved the pacts ranging from $5.5 million to $8 million weeks ago, but reversed himself on July 24. He said that the amounts were "disproportionately large" and that they "embarrass and prejudice" those who settled earlier.

Their families were among fewer than 100 who sued over deaths or injuries from the Sept. 11, 2001, terrorist attacks. More than 5,000 others received money from a fund established by Congress that distributed more than $7 billion.

Hellerstein said that people who went to court generally won larger awards than those who filed claims with the Victim Compensation Fund but that those who filed lawsuits may have faced more expenses. The specifics of settlements that were not rejected have been kept secret.

Hellerstein criticized the lawyers in the four rejected settlements, accusing them of trying to get a "very large windfall."

Baltimore lawyer Jonathan Asrael, who represented the families, said in papers filed in federal court Monday that the settlements were fair and should be reinstated.