Rite Aid Must Preserve Whistleblower Attorney Fees, Firm Says

Rite Aid Corp.'s obligation to cover nearly $4 million in legal fees incurred as part of a former employee’s whistleblower suit must be preserved in bankruptcy, according to a law firm suing the pharmacy chain.

Waters Kraus & Paul LLP filed a complaint Monday against Rite Aid in the US Bankruptcy Court for the District of New Jersey in an effort to thwart any possibility that the retail company will try to avoid paying the firm’s legal fees following a $60 million California whistleblower settlement last year. The firm’s suit was filed as Rite Aid attempts to use Chapter 11 ...