Judge: Bruce G. Iwasaki, Case: 19STCV24892, Date: 2024-11-20 Tentative Ruling
Case Number: 19STCV24892 Hearing Date: November 20, 2024 Dept: 58
Judge Bruce G. Iwasaki
Hearing
Date: November 20, 2024
Case
Name: West v. Thackeray
Case
No.: 19STCV24892
Matter: Motion for Attorney Fees
and Costs
Moving
Party: Plaintiff Rebecca West
Responding Party: Defendant Eduardo Thackeray, Trustee of
the Thackeray Family Revocable Trust
Tentative Ruling: The
Motion for Attorney Fees is granted in the reduced amount of $60,625.
The request for costs is granted in the reduced amount of $2,381.15.
This is a case
arising out of the sale of residential home. On June 22, 2017, Defendant
Eduardo Thackeray (Defendant Thackeray) listed for sale the real property
located at 1217 Daniels, Los Angeles 90035 (Property); the marketing
information showed that the Property was a 1,627 square foot house with a
pre-approved plan for an additional 1,050 square feet. On July 10, 2017,
Plaintiffs Rebecca
West and Luca Giorgetti (Plaintiffs) executed a Purchase
Agreement with Defendant for the Property. In November 2017, Plaintiffs learned
that, in April 2017, Defendant had withdrawn the request for the permit for an
additional 1,050 square feet and sought a refund of the $5,811.02 fee that had
been paid; the permit was revoked and a refund issued on June 14, 2017.
Thereafter, on
July 16, 2019, Plaintiffs sued Defendants Thackeray (as trustee of the
Thackeray Family Revocable Trust and individually), Rodeo Realty, Belen
Palacios, and Alex Griswold. The Complaint alleges causes of action for (1.)
intentional misrepresentation, (2.) negligent misrepresentation, (3.) breach of
fiduciary duty, and (4.) breach of implied covenant of good faith and fair
dealing.
On March 26, 2020,
Plaintiffs filed a motion to compel arbitration to arbitrate their claims
against Defendant Thackery. On November 4, 2020, the Court granted the motion.
On July 11, 2023, the
Arbitrator submitted the Final Award, which was twenty-two pages in length. The
Arbitrator found in favor of Plaintiff West – awarding awarded actual damages
in the amount of $206,300 against Respondent Eduardo Thackeray, as Trustee of
the Thackeray Family Revocable Trust; Plaintiff was also awarded $210,000 in
attorneys’ fees and $50,239.86 in costs as the prevailing party.
On September 13,
2023, Plaintiff Rebecca West (Plaintiff) filed a Motion to Confirm the Arbitration
Award and sought attorney fees and costs in the amount of $20,720. Defendant
Thackeray opposed the motion on limited grounds. A reply was filed. On December
1, 2023, a Sur-Reply was filed; the Court will disregard this unauthorized
filing.
Now,
Plaintiff Rebecca West moves for $70,000 in attorney’s
fees and $4,841.15 in costs incurred for enforcing her judgment against
Defendant Eduardo Thackeray, Trustee of the Thackeray Family Revocable Trust
(Defendant), pursuant to Code of Civil Procedure sections 685.040 and
1033.5(a)(10)(A). Defendant opposes the motion.
The
motion for attorney fees is granted in the reduced amount of $60,625. The request for costs is granted in the amount of $2,381.15.
Legal Standard
Code of Civil Procedure section 685.040 provides “[t]he judgment creditor is entitled to the
reasonable and necessary costs of enforcing a judgment. Attorney's fees
incurred in enforcing a judgment are not included in costs collectible under
this title unless otherwise provided by law. Attorney's fees incurred in
enforcing a judgment are included as costs collectible under this title if the
underlying judgment includes an award of attorney's fees to the judgment
creditor pursuant to subparagraph (A) of paragraph (10) of subdivision (a) of
Section 1033.5.”
Thus,
under Section 685.040, “there are two requirements before a motion for an award
of postjudgment attorney fees may be awarded as costs: (1) the fees must have
been incurred to ‘enforce’ a judgment; and (2) the underlying judgment had to
include an award for attorney fees pursuant to ... section 1033.5, subdivision
(a)(10)(A), which provides that attorney fees may be awarded when authorized by
contract.” (Jaffe v. Pacelli (2008) 165 Cal.App.4th 927, 935.)
Analysis
Plaintiff
West moves for attorney’s fees in the amount of $70,000 and costs in the amount
of $4,841.15, pursuant to Code of Civil Procedure sections 685.040 and
1033.5(a)(10)(A).
In
opposition, Defendant does not dispute that Plaintiff West is entitled to fees
to enforce the judgment. Rather, Defendant argues the fees requested are
unsubstantiated as fees incurred by West and unreasonable in the amount.
Challenge
to the Underlying Attorney Invoice Evidence
Defendant first argues that Plaintiff
has failed to demonstrate that the fees incurred were fees incurred by Plaintiff
West. Specifically, Defendant notes that the invoices attached to the motion
identify the client as “Luca Giorgetti” and the matter identified was “Giorgetti/general
corporate matters.” (Hughes Decl., Ex. A.)
In response, Plaintiff argues that
“the fact that the legal invoices reflecting those fees happen to be addressed
to Plaintiff West’s co-Plaintiff (Luca Giorgetti) does not rebut Plaintiff’s
counsel’s sworn declaration that the claimed fees were incurred “for” Plaintiff
West.” (Reply 2:9-12.)
Plaintiff’s argument is well taken. The
heading on the invoices – which identify co-Plaintiff Giorgetti– are not
dispositive to determining whether attorney fees were “incurred” by Plaintiff
West. Rather, the more persuasive evidence is the Hughes’ declaration and the
invoice descriptions, which is adequate evidence that these hours were incurred
on behalf of Plaintiff in enforcing the judgment entered in her favor.
(Hughes Decl., ¶¶2-3.) That is, the description of the work performed on the invoices
are consistent with attorney fees incurred to enforce Plaintiff’s judgment.
Lastly, Defendant’s assertion,
without evidence, that Plaintiff Giorgetti paid the claimed fees on Plaintiff
West’s behalf, even if true, are of no consequence. (Lolley v.
Campbell (2002) 28 Cal.4th 367, 373 [“California courts have routinely awarded
fees to compensate for legal work performed on behalf of a party pursuant to an
attorney-client relationship, although the party did not have a personal
obligation to pay for such services out of his or her own assets.”].)
Challenge
to the Hourly Rate
Plaintiff’s counsel contends that he
incurred 112 hours enforcing the Judgment at $625 an hour. (Hughes Decl., ¶¶
2-3, Ex. A.)
Defendant challenges Attorney
Hughes’ hourly rate of $625 by arguing that this “uncomplicated” collection
action did not require an attorney with such a high hourly rate. (Opp., 4:4-5.)
Defendant contends that a reasonable price for a collection attorney is $350
per hour.
In assessing the reasonableness of
hourly billing rates,¿“the court may rely on its own knowledge and familiarity
with the legal market, as well as the experience, skill, and reputation of the
attorney requesting fees [citation], the difficulty or complexity of the
litigation to which that skill was applied [citations], and affidavits from
other attorneys regarding prevailing fees in the community and rate
determinations in other cases.”¿(569 East County Boulevard LLC v.
Backcountry Against the Dump, Inc.¿(2016) 6 Cal.App.5th 426, 437; see¿Mountjoy
v. Bank of America, N.A.¿(2016) 245 Cal.App.4th 266, 272 [“ ‘ “a reasonable
hourly rate is the product of a multiplicity of factors…[including] the level
of skill necessary, time limitations, the amount to be obtained in the
litigation, the attorney’s reputation, and the undesirability of the case” ’
”].)¿
Defendant’s naked assertion that
$625 is unreasonable is insufficient to overcome Hughes’ evidence.[1]
Specifically, a
review of the declaration submitted in support of the motion for attorney’s
fees supports finding that Plaintiff’s attorney’s hourly rate of $625 is
reasonable; the rate is supported by substantial evidence under the present
circumstances. (Hughes Decl., ¶¶ 6-8 [ showing Hughes’ education and experience].)
The hourly rate is reasonable.
Challenge
to Hours Incurred
Next, Defendant challenges specific
categories of attorney fees.
Preparing
a writ of execution:
Defendant argues that Plaintiff’s request for 10.5 hours for this task was
unreasonable. In reply, Plaintiff notes that this mischaracterizes the time
spent on this task, which includes time spent researching the legal
requirements for levy against property held by a trust, additional time on
calls with the Sheriff’s department regarding levy on the property, and other tasks
related to this “highly technical task.” Based on the foregoing, the time incurred
on these tasks were reasonable.
Opposing
Defendant’s Demurrer: Defendant argues that time incurred by Plaintiff to oppose
Defendant’s demurrer is not recoverable because the demurrer was unrelated to collecting
the judgment; thus, the 5.9 hours incurred for this task should be struck. Plaintiff
persuasively argues that opposing this demurrer was necessary to ensue that
Defendant participated in judgment-enforcement proceedings. (See 5/24/2024
Minute Order) The hours incurred on this task are recoverable under Code of
Civil Procedure section 685.040.
Applying
for an order for sale: Although Plaintiff has requested 63.8 hours for this task,
Defendant argue it should have taken no more than 8 hours. Plaintiff argues that
this task was time intensive: applying for Order for Sale of a “dwelling” is
“arcane and involves multiple statutes and multiple steps.” (Reply 5:23-6:8.) While
the Court agrees with Plaintiff’s argument that these legal tasks were not
simple, the amount of hours incurred was excessive, especially given Attorney
Hughes’s extensive experience in handling “real estate litigation matters.” (Hughes
Decl., ¶ 6.) The Court will reduce these hours by 15 hours (reduction of $625 x
15 = $9,375).
Settlement
discussions:
Defendant argues that the 9.8 hours requested for this task are not recoverable
because they were not reflected in the attached invoices; rather, the invoices
show time spent discussing resolution with other defendants, unrelated to the
collection of the judgment. Plaintiff’s reply demonstrates the necessity of the
hours incurred for this task and that this time was recoverable under Code of
Civil Procedure section 685.040. (Reply 6:9-18.)
Preparing
the costs bill and attorney fee motion: Defendant argues the 14.7
requested for these tasks is excessive and should be reduced by 9.7 hours for a
total of 5 hours. Although Plaintiff’s reply does not address these fees, these
fees reflect a reasonable amount incurred in this highly litigious action.
Costs:
Finally, Defendant challenges
Plaintiff’s request for costs, seeking a reduction of $4,449.22, for a total of
$391.93 in costs.
Process server fees: Defendant argues that he should
not have to cover Plaintiff’s process server fees of $2,000. In response, Plaintiff
claims these fees were incurred in connection with submitting levy instructions
to the Sheriff’s Department (which does not accept electronic filing) and
filing and serving the various moving and reply papers relating to the Order of
Sale. (Reply 6:24-26.) These costs were reasonably necessary to the enforcement
of the judgment. The request to strike this cost is denied.
Parking fees: Defendant challenges Plaintiff’s
right to recover parking fee costs. In reply, Plaintiff argues she is not seeking
parking fee costs. (Reply 7:3-6.)
LA
County Sherriff’s Department Levy Fee: Defendant
contends that this levy fee is only $40, not $2,500. Although these costs may
be recoverable, the reply does not further substantiate these costs with
evidence (except by reference to the FAQs on the Sheriff’s Department website) and,
therefore, Plaintiff has not met its burden for this cost. (Oak Grove School Dist. v. City Title Ins. Co. (1963) 217 Cal.App.2d 678, 698 [“[W]here the items
are properly objected to by the plaintiff they are put in issue, and the burden
of proof is upon the defendant to establish the costs which are objected to.”].)
Accordingly,
this cost will be stricken except as to $40.
Accordingly, the Court will grant costs in the reduced
amount of $2,381.15.
Conclusion
The motion for
attorney fees is granted in the reduced amount of $60,625 ($70,000-9,375). The
request for costs is granted in the reduced amount of $2,381.15.
Defendant s ordered to pay to
Plaintiff’s counsel the sum of $63,006.15 on or before December 23, 2024.
[1] The reply
also suggests Defendant’s position is hypocritical given Defendant’s own
“veteran legal team.”