Attorneys – Fees

Listen to this article

Where a plaintiff (1) accepted the defendants’ offer of judgment in the amount of $1,200 and then (2) filed a petition seeking counsel fees in the amount of $7,727.50 plus $490 in costs, the fee petition should be allowed despite the defendants’ objections to the reasonableness of both the rate claimed and the number of hours billed, though the fee amount must be reduced to $5,802.50.

“[Plaintiff Uvonne] Allen has submitted billing records itemizing a total of 38 hours of billable time spent by her counsel working on this case. … She seeks compensation at a rate of $275 per hour for 28.1 of those hours …

“First, the $275 hourly rate sought by Allen’s counsel is supported by the plaintiff’s submissions. … Allen’s counsel is a solo practitioner with more than three years of experience handling consumer protection matters such as this one. … He typically bills at the hourly rate sought here, although he has received higher rates in more complicated matters. … Although his rate is 10% higher than an attorney with similar experience in a similar practice area, … it is equivalent to the rate another session of this court assigned to first-year associates and career paralegals at a large firm nearly four years ago … Under these circumstances, the Court finds $275 is a reasonable hourly rate.

“Second, the defendants correctly identify four billing entries for what amount to two hours of administrative or clerical work, not attorney tasks. … Such tasks are not properly billed at an attorney’s rate. … The Court notes that Allen has, in other instances, combined similar administrative work together with other attorney tasks in single billing entries, without further objection by the defendants. … Rather than scouring the billing records to isolate such additional entries, then adopting a reduced rate for such entries reflective of their clerical nature, the Court will disallow the two hours to which the defendants have objected, but allow all other combined entries at the reasonable hourly attorney rate.

“Third, the defendants object to the number of hours billed in connection with performing six discrete tasks, claiming the total time spent on the tasks was excessive.  In some instances, the Court agrees.  … [M]odifications are appropriate …

“Fourth, the defendants seek a fee reduction based on their characterization of this action as ‘a nominal damages case.’ … This argument has little force.  The principle upon which the defendants rely arises from Farrar v. Hobby, 506 U.S. 103, 105-08 (1992), in which nominal damages of $1 were awarded to a civil-rights plaintiff who had sought $17 million in damages.  Here, Allen accepted $1,200 (exclusive of attorneys’ fees), … after having demanded only as much as $4,500 (inclusive of about $2,500 in attorneys’ fees) …  Under these circumstances, the damages are not fairly viewed as ‘nominal,’ and no reduction in fees based on Farrar is appropriate. …

“Accordingly, within fourteen days of this Order, the defendants shall pay Allen’s attorney’s fees and costs as follows:

“• $5,802.50 in fees (21.1 hours at a rate of $275/hour); and

“• $490 in costs.”

Allen v. Lindner & Associates, PC, et al. (Lawyers Weekly No. 02-213-13) (6 pages) (Sorokin, Ch. U.S.M.J.) (Civil No. 12-10903-LTS) (May 8, 2013).

 Click here for the full-text opinion.