Law firm ropes 9/11 riches

By Brett Arends

June 3, 2005

Nearly four years after 9/11 the lawsuits still keep coming.

And it's throwing the spotlight on Hub law firm Ropes & Gray.

The respected Boston firm, which has offices across the United States, represents the worldwide insurance companies fighting off multibillion dollar property claims over the terrorist destruction of the World Trade Center.

Yesterday, Ropes attorneys asked a federal court to throw out the latest $2.1 billion demand from the Port Authority of New York and New Jersey, the trade center's original owners.

It has already been in the thick of the battle since October 2001, battling claims made by New York property developer Larry Silverstein. He took over the Twin Towers just two months before the attacks.

Silverstein is reported in some quarters to have spent as much as $200 million on lawyers, as he pursues demands for as much as $7 billion from his insurers.

How much have the insurance companies paid Ropes & Gray?

``Considerably less,'' said partner Robert Skinner. ``It's far less than that.''

But it's still nearly four years, at several hundred dollars, per lawyer, per hour.

Skinner is one of two partners working on the case, along with firm veteran Kenneth W. Erickson.

Ropes' prominent role in the biggest legal battle of the new millennium comes out of a decades-long relationship with Lloyds of London, the famous market for specialist insurance.

And there is no sign this battle is going to end any time soon.

Silverstein had insurance on the WTC worth $3.5 billion per incident. He argued he was entitled to $7 billion, as the two planes amounted to two incidents.

After two trials, the courts appear to have awarded him $4.2 billion, but that is subject to appeal.

In the latest twist, the Port Authority of New York and New Jersey has joined the fray, demanding an extra $2.1 billion.

The authority originally owned the WTC and leased it to Silverstein.

It has already received $950 million for damage to other buildings. Now it wants additional money for damage to the towers themselves.

Ropes' reply, on behalf of its clients, is that it is already covering that damage under Silverstein's policy.

When will it end?

``If it went all the way to trial,'' said Skinner, ``it would likely take a couple of years.''