It’s Not The Size Of The Firm, It’s How You Use It: Ninth Circuit Smacks Down Fee-Shaming Of Small Law

Above the Law

by Kathryn Rubino

February 25, 2026

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The Ninth Circuit recently ruled that attorney’s fees awarded to successful plaintiffs cannot be reduced simply because the winning firm is small. This landmark decision underscores the importance of recognizing the quality of legal work over the size of the firm, setting a significant precedent in legal circles. The case involved Gaw Poe, a four-lawyer boutique, which secured a jury verdict against Prestige Consumer Healthcare for antitrust violations related to discounted eyedrop pricing for Costco. Initially, U.S. District Judge Michael Fitzgerald slashed their $7.6 million fee request to $3.1 million, citing concerns about setting a new benchmark and referencing the firm’s smaller size. The appellate court, however, rejected this reasoning. In a unanimous decision, Ninth Circuit Judge Salvador Mendoza Jr. emphasized that judges should not treat firm size as an indicator of skill or worth. He highlighted that successful attorneys are entitled to fees commensurate with their expertise, regardless of their firm’s size. This ruling reflects a broader push against the practice of "fee shaming," where smaller firms face scrutiny over their compensation despite achieving favorable outcomes. The decision not only affirms the value of small law but also challenges outdated stereotypes about legal talent being tied to large firms. This case matters because it addresses systemic biases within the legal profession and could influence future fee determinations. By ensuring that attorneys are compensated fairly, irrespective of firm size, the ruling promotes a more equitable justice system. As Randolph Gaw, founder of Gaw Poe, noted, the focus should be on results rather than the scale of the firm. This decision sends a clear message: excellence in legal practice should dictate compensation, not the number of lawyers employed. For legal professionals and clients alike, this sets an important precedent that prioritizes merit over size, fostering a more inclusive and competitive legal landscape.

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Originally published on Above the Law on 2/25/2026