Enel faces a $3.3 million legal-fee lawsuit from Davis Polk and Wardwell. The energy company has hired New York firm Davidoff Hutcher and Citron to defend the case.
The dispute involves legal work from litigation tied to Winter Storm Uri. The storm caused major power problems across Texas in February 2021.
However, Enel disputes Davis Polk’s claims. The company says the firm overbilled it and charged for unnecessary work.
Davis Polk rejects those claims. Instead, the firm says Enel failed to pay its legal bills as agreed.
Key Takeaways
- Enel faces a $3.3 million legal-fee lawsuit from Davis Polk.
- Enel hired Davidoff Hutcher and Citron to defend the case.
- The dispute stems from litigation tied to Winter Storm Uri.
- Enel says Davis Polk charged excessive legal fees.
- The company also disputes charges for unnecessary work.
- Meanwhile, Davis Polk says Enel failed to pay its bills.
- The case highlights risks tied to law firm billing disputes.
Enel Challenges Davis Polk Legal Fees
Gary Lerner is a partner at Davidoff Hutcher and Citron. He has appeared in New York state court for Enel North America and two affiliates.
Davis Polk says Enel failed to pay millions of dollars in legal fees. The firm says those bills came from a major contract dispute.
That dispute involved about $200 million. It followed major problems in the Texas energy market after Winter Storm Uri.
However, Enel tells a different story. The company says Davis Polk’s lawsuit leaves out key facts.
Enel has also challenged the firm’s billing. According to Enel, some invoices included excessive charges.
The company also says Davis Polk billed for work that was not needed.
Davis Polk disputes those claims. Instead, the firm says Enel failed to meet its payment duties.
As a result, the Enel legal-fee lawsuit centers on both payment and billing practices.
Dispute Stems From Winter Storm Uri
The original legal work involved Enel subsidiary High Lonesome. An Allianz affiliate also played a role in the dispute.
High Lonesome had entered into a contract tied to weather risks. The contract covered its West Texas wind farm.
Then, Winter Storm Uri hit Texas in February 2021. The storm caused widespread power outages.
At the same time, power prices rose sharply across the state.
According to Davis Polk’s lawsuit, contract calculations showed that High Lonesome owed Allianz more than $125 million.
Allianz later sued High Lonesome in 2022. Davis Polk represented Enel-related companies in that case.
However, the legal-fee dispute came later.
Davis Polk says Enel stopped paying its bills during the Allianz litigation. The firm says this happened in late 2024.
By June 2025, Davis Polk said Enel owed millions of dollars. The bills covered more than 2,000 hours of legal work.
Enel Raises Billing Concerns
Enel says billing concerns helped drive its decision to change lawyers.
The company accused Davis Polk of charging high rates. It also said the firm performed unnecessary work.
Those claims now form a key part of the fee dispute.
However, Davis Polk rejects Enel’s account. The firm says the case centers on unpaid legal fees.
For corporate legal teams, the dispute offers an important lesson. Complex cases can create large legal bills over time.
Why Legal Billing Matters
Law firms and clients often agree on billing terms before litigation begins.
Nevertheless, long cases can create disputes over costs. These disputes may involve attorney rates and staffing.
They may also involve research, travel and document review.
Therefore, clear billing terms can help prevent problems later.
Regular invoice reviews can also help. In addition, early discussions may stop a billing issue from becoming a lawsuit.
The Enel case shows how a fee dispute can become major litigation.
Enel Hires Davidoff Hutcher
Enel’s new lawyers have handled several high-profile legal matters.
Davidoff Hutcher and Citron has represented Rudy Giuliani in federal and state investigations.
For example, the firm represented Giuliani in matters tied to efforts to challenge the 2020 presidential election results.
The firm also represented him in investigations involving his business and political activities in Ukraine.
In addition, Davidoff Hutcher represented Giuliani during a congressional investigation into the January 6, 2021, attack on the U.S. Capitol.
Firm Also Represented Steve Bannon
Davidoff Hutcher and Citron also represented Steve Bannon.
The firm became involved after the congressional committee investigating January 6 subpoenaed Bannon.
Bannon later faced a criminal contempt case. He had refused to comply with the subpoena.
The firm represented him in that case as well.
Therefore, Davidoff Hutcher brings experience with complex and closely watched disputes.
The firm has also handled legal-fee disputes involving Giuliani and Bannon.
Davidoff Hutcher Faced Fee Disputes
The firm’s history includes separate fights over unpaid legal bills.
Davidoff Hutcher sued Giuliani over unpaid fees. In September 2025, a New York judge ordered Giuliani to pay $1.36 million plus interest.
The firm also pursued a fee dispute with Bannon.
Bannon later settled that case. A judge had ordered him to pay more than $480,000 in fees.
However, those disputes are separate from the Enel case.
Still, the history adds an unusual element to the current legal-fee fight.
Enel Lawsuit’s Impact on Law Firms
The Enel legal-fee lawsuit highlights a larger issue in the legal industry.
Law firms and corporate clients must manage the cost of complex cases. At the same time, clients want clear value from outside counsel.
Large cases can involve thousands of attorney hours. Therefore, billing disagreements can grow into major disputes.
For law firms, detailed time records are important. Clear communication with clients matters too.
Meanwhile, corporate legal teams can reduce risk by reviewing bills regularly.
They can also raise questions before a disagreement becomes serious.
As a result, the Enel case could draw attention from legal departments and firms with large litigation budgets.
What Happens Next?
The competing claims will continue through the New York court process.
Davis Polk says Enel owes fees for legal services. Meanwhile, Enel disputes the amount and nature of those charges.
The court will consider both positions as the case moves forward.
For legal professionals, the dispute offers several areas to watch. These include corporate litigation, energy law and law firm billing.
It also raises an important business-of-law question: How should firms and major corporate clients resolve legal-fee disputes?
Frequently Asked Questions
Why is Enel facing a legal-fee lawsuit?
Enel faces a lawsuit from Davis Polk over unpaid legal fees. The bills relate to litigation involving an Enel subsidiary and an Allianz affiliate.
How much are the disputed fees?
The dispute involves about
$3.3 million in legal fees.
Who is representing Enel?
Enel hired
Davidoff Hutcher and Citron. Partner Gary Lerner has appeared for Enel North America and two affiliates.
What caused the original dispute?
The original litigation involved a contract tied to weather risks at an Enel wind farm in West Texas.
How did Winter Storm Uri affect the case?
Winter Storm Uri hit Texas in February 2021. The storm caused widespread outages.
It also caused major changes in power prices. Those events became relevant to the contract dispute involving High Lonesome and Allianz.
Why did Enel change lawyers?
Enel says concerns about Davis Polk’s billing helped lead to the change.
The company claims Davis Polk charged excessive fees. It also says the firm billed for unnecessary work.
What does Davis Polk say?
Davis Polk disputes Enel’s claims.
The firm says Enel failed to meet its obligation to pay for legal services.
Why is this case important to law firms?
The dispute shows the risks that can arise when clients challenge legal bills.
Therefore, law firms may benefit from clear fee agreements and detailed billing records. Corporate legal teams can also benefit from regular invoice reviews.
What can legal departments learn from the case?
Legal departments can review outside counsel bills on a regular basis. They can also raise concerns early.
In addition, clear agreements can help prevent disputes. These agreements should cover rates, staffing and expenses.
The Broader Legal Industry Impact
The Enel case is about more than a legal bill. Instead, it shows how billing disputes can grow into major litigation.
Corporate clients face pressure to control legal spending. At the same time, law firms must explain the value of their work.
Consequently, both sides have a reason to keep billing clear.
For now, the
Enel legal-fee lawsuit remains focused on disputed legal bills. The parties also continue to present different accounts of the dispute.
As the case moves through court, legal professionals will be watching closely. The dispute could offer further insight into how companies and law firms handle complex fee disagreements.
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