Judge approves $71.5 mln Dewey settlement

By Casey Sullivan

Oct 9 (Reuters) - U.S. Bankruptcy Judge Martin Glennapproved on Tuesday a $71.5 million settlement between formerpartners of Dewey & LeBoeuf and the bankrupt law firm's estate.

The settlement requires former Dewey partners to payportions of their compensation, ranging between $5,000 and $3.5million individually, in exchange for a release from potentialclawback claims. As of Tuesday, roughly 400 out of 670 formerDewey partners had opted into the settlement.

Judge Glenn said the settlement is in the "best interest" ofthe Dewey estate and creditors because the deal ultimatelyprevents years of costly protracted litigation between Dewey'sestate and former partners. Glenn said the settlement "will leadto a quicker wind-down in Chapter 11, and - more importantly - aquicker and more certain distribution to creditors."

(Editing by Mohammad Zargham)