Judge: Curtis A. Kin, Case: 20STCP03490, Date: 2025-01-16 Tentative Ruling
24STCP02299 Luchia Tsegaberhan
The Petition will be granted. A copy of the signed decree will be available in Room 112 of the clerk’s office seven days after the date of the hearing.
Case Number: 20STCP03490 Hearing Date: January 16, 2025 Dept: 86
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FRIENDS OF WESTWANDA DRIVE, |
Petitioner, |
Case No. |
20STCP03490 |
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vs. CITY OF LOS ANGELES, et al., |
Respondents, |
[TENTATIVE] RULING ON MOTION FOR AN AWARD OF ATTORNEYS’
FEES AND COSTS Dept. 86 (Hon. Curtis A. Kin) |
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KARLA SHAHIN, et al., |
Real Parties in Interest. |
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Petitioner
Friends of Westwanda Drive moves for an award of attorney fees and costs in the
amount of $629,813.50 against respondents City of Los Angeles (“City”) and Los
Angeles Department of Building and Safety and real parties in interest Karla
Shahin and Armen Melkonians, jointly and severally. The Motion is GRANTED IN PART.
I. Background
A.
Facts
The Court adopts the Court of
Appeal’s summary of the facts and administrative appeals:
“Karla
Shahin owns a lot on Westwanda Drive in Benedict Canyon. The lot sits on the
corner of Westwanda Drive and Stowell Lane in a hillside residential
development. Any home construction is therefore regulated by the Single-family
Zone Hillside Development Standards of section 12.21.
“Real
parties in interest Shahin and her husband Armen Melkonians (collectively real
parties) planned to build a two-story single-family home and a site retaining
wall and to have the lot graded. Shahin applied to the Department of Building
and Public Safety/Public Works (LADBS) for the necessary ministerial permits.
“In
May 2018, the City’s Bureau of Engineering (BOE) determined Westwanda Drive and
Stowell Lane, the two roadways adjacent to the Shahin lot, satisfied the
minimum roadway width requirement of 20 feet pursuant to section
12.21.C.10(i)(3). BOE relayed an electronic clearance to LADBS, which issued
the requested permits to Shahin.
“Neighborhood
residents became concerned the permits were issued to Shahin in error. Friends
of Westwanda Drive (Friends) believed Westwanda Drive did not meet the minimum
roadway width requirement and notified the LADBS and BOE.
“At
some point, BOE conducted a survey and informed LADBS of the result. The survey
confirmed that multiple portions of Westwanda Drive measured less than 20 feet
in width. Many permits had been issued to residents based on this ‘mistaken
information.’ On September 6, 2018, BOE declined to take ‘any other action.’” (Friends
of Westwanda Drive v. City of Los Angeles (2024) 2024 WL 220447, at *1,
footnote omitted.)
B.
Administrative
Appeals
The Court adopts the Court of
Appeal’s summary of the administrative appeals:
“On
February 27, 2020, Friends filed an appeal (a request for modification),
contesting the issuance of the permits to Shahin. Friends contended LADBS
issued the permits in error based on BOE's erroneous clearance. A survey,
commissioned by Friends, showed Westwanda Drive measured less than the minimum
roadway width requirement in many places. As a result, Friends argued, no building
or grading permits could be issued unless the street was widened to 20 feet or
a zoning administrator determination (ZAD) was granted in accordance with
section 12.21.C.10(i)(3). Shahin's permits should, therefore, be revoked as
prematurely issued. On March 10, 2020, LADBS denied the appeal without comment
or written findings.
“Friends
next appealed to the Board of Building and Safety Commissioners (BBSC). BBSC
held a public hearing on July 28, 2020, during which Friends’s appeal was
considered. According to a LADBS staff member’s testimony and report on appeal,
only one of Friends’s issues fell within BBSC’s purview—whether LADBS erred or
abused its discretion in issuing permits based on BOE’s erroneous clearance.
LADBS’s position was BOE's task was to verify that section 12.21.C.10(i)(3)’s
requirements had been met before issuing a clearance. LADBS was therefore
authorized to rely on BOE’s clearance and grant permits where, as here, the
clearance was never rescinded.
“An
LADBS representative testified despite BOE’s initial e-mails to the contrary, ‘after
further evaluation, it was agreed that this clearance was not issued in error.’
No further explanation was provided; no one from BOE testified.
“BBSC’s
deliberations suggest at least one commissioner believed LADBS had no authority
to override a determination by a different City agency, namely BOE. Another commissioner
echoed the LADBS staff member’s argument that LADBS did not err by granting
permits based on the BOE clearance, which was never canceled or withdrawn.
“On
July 31, 2020, BBSC issued a letter of determination that ‘LADBS properly
complied with all regulations and policies.’ BBSC later denied Friends’s motion
for reconsideration.” (Friends of Westwanda Drive, 2024 WL 220447, at *1-2,
footnote omitted.)
C.
Procedural
History
On
October 22, 2020, petitioner filed a Verified Petition for Writ of Mandate,
asserting a first cause of action for traditional mandate based on LADBS’s
issuance of building permits and a second cause of action for administrative
mandate based on BBSC’s denial of petitioner’s appeal. (See Pet. ¶¶ 23,
32.) The City[1]
and real parties filed separate oppositions to petitioner’s opening brief.
On
November 9, 2021, the Court[2]
tentatively denied the City’s defense of exhaustion of administrative remedies,
subject to further argument concerning the standard of review and whether petitioner
had an adequate remedy under the Los Angeles Municipal Code (“LAMC”). (11/9/21
Minute Order at 11-12.)
On
January 4, 2022, the Court conducted a further hearing on the writ petition. The
Court ordered the parties to file simultaneous briefs on the interpretation of
LAMC section 12.21.C.10(i)(3) and the City’s position in prior litigation about
the subject property. (1/4/22 Minute Order at 1.) On January 25, 2022, petitioner,
the City, and real parties filed supplemental briefs, as ordered.
On
February 7, 2022, the Court granted the petition as to both causes of action,
finding that no substantial evidence supported LADBS’s determination that Westwanda
Drive is 20 feet in width in all locations, as required under LAMC § 12.21.C.10(i)(3).
(2/7/22 Minute Order at 13, 19.) The Court set a further hearing to discuss the
appropriate remedy and allowed the parties to file supplemental briefs. (Id.
at 19.) On February 22, 2022, petitioner, the City, and real parties filed
supplemental briefs concerning the remedy.
On
March 9, 2022, real parties filed declarations indicating that they obtained a
new BOE clearance and that a supplemental permit, which added the BOE clearance
to the original permit, was issued. (3/9/22 Shahin Decl. ¶¶ 2, 3 & Ex. 2;
3/9/22 Melkonians Decl. ¶ 2.) The Clearance Summary Worksheet from LADBS
indicated that a building permit was obtained to widen Westwanda Drive to
comply with the minimum 20-foot roadway width requirement. (3/9/22 Shahin Decl.
¶ 2 & Ex. 1.) A bond had been posted, and the street was to be widened
before a certificate of occupancy would be issued. (Ibid.)
On
March 10, 2022, the Court issued a ruling indicating that the Court “will issue
a writ directing LADBS to rescind the Building Permits; directing BBSC to set
aside its decision affirming LADBS's issuance of the Building Permits.”
(3/10/22 Minute Order at 1.) The Court indicated that its decision was based on
the BBSC decision that was challenged, not the new evidence provided by real
parties on March 9, 2022, as petitioner did not have the opportunity to
consider the new evidence and the record had not been augmented. (Ibid.)
On
May 12, 2022, the Court entered judgment in favor of petitioner and issued a
peremptory writ of mandate directing LADBS to revoke the building permits and BBSC
to set aside its denial of petitioner’s appeal challenging the issuance of the
permits.
On
June 6, 2022, real parties filed a motion for new trial based on the new BOE
clearance and issuance of a supplemental permit, which purportedly rendered
petitioner’s challenge to the City’s actions moot. (6/6/22 Motion at 3:3-14.) The
City joined the motion. On July 14, 2022, the Court denied the motion for new
trial.
On
August 30, 2022, the Court denied petitioner’s motion to determine the City’s
compliance with the writ.
Real
parties, but not the City, filed an appeal with the Court of Appeal. On January
22, 2024, the Court of Appeal affirmed the judgment. On April 2, 2024,
remittitur was issued.
II. Analysis
Petitioner seeks an award of attorney fees pursuant
to Code of Civil Procedure § 1021.5. “Upon motion, a court may award attorneys’
fees to a successful party against one or more opposing parties in any action
which has resulted in the enforcement of an important right affecting the
public interest….” (CCP § 1021.5.) “[E]ligibility for section 1021.5 attorney
fees is established when ‘(1) plaintiffs’ action “has resulted in the
enforcement of an important right affecting the public interest,” (2) “a
significant benefit, whether pecuniary or nonpecuniary has been conferred on
the general public or a large class of persons” and (3) “the necessity and
financial burden of private enforcement are such as to make the award
appropriate.”’” (Conservatorship of Whitley (2010) 50 Cal.4th 1206,
1214.)
A.
Preliminary Matters
Petitioner’s request to take judicial notice of Exhiibit
1, LAMC § 12.02, is GRANTED, pursuant to Evidence Code § 452(b).
Petitioner’s supplemental request to take judicial
notice of Exhibit 2, Class (B) Permit BR403143, is GRANTED, pursuant to Evidence
Code § 452(c). (Julian Volunteer Fire Co. Assn. v. Julian-Cuyamaca Fire
Protection Dist. (2021) 62 Cal.App.5th 583, 599 [judicial notice taken of
official acts of local agencies].)
The City’s objection to petitioner’s use of
single-spacing on pages 7 through 9 of the motion for attorney fees is
OVERRULED. To the extent that use of double spacing pursuant to Rule of Court
2.108(a) would have caused the motion to exceed the 15-page limit set forth in
Rule of Court 3.1113(d), thereby rendering the motion a late-filed paper under
Rule of Court 3.1113(g), the Court would exercise its discretion to consider
the opposition in its totality. (Rule of Court 3.1300(d) [“No paper may be
rejected for filing on the ground that it was untimely submitted for filing. If
the court, in its discretion, refuses to consider a late filed paper, the
minutes or order must so indicate”].) Pages 7 through 9 substantially repeat
the averments in counsel for petitioner’s declaration. (Compare Mot. at
7-9 with Hal Decl. ¶ 17(a-m).) Accordingly, the single-spaced narrative of
counsel for petitioner’s work on this case does not constitute the type of overlength
that would warrant a wholesale refusal to consider the motion.
The City’s objection to petitioner’s 11/14/24 errata
is OVERRULED. In the supplemental declaration of counsel for petitioner filed
on October 17, 2024, counsel sought to include a response to the City’s
objections to petitioner’s fee entries. (Supp. Hall Decl. ¶ 9.) Counsel did not
include the responses. Petitioner corrected this mistake in the notice of
errata filed on November 14, 2024. (See 11/14/24 Notice of Errata at
Supp. Hall Decl. ¶ 9 & Ex. 12.) Petitioner is not attempting to file an
unauthorized sur-reply.
B.
Entitlement to Fees
1.
Successful Party
A party “may be
considered successful if they succeed on any significant issue in the
litigation that achieves some of the benefit they sought in bringing suit.” (Ebbetts
Pass Forest Watch v. Department of Forestry & Fire Protection (2010)
187 Cal.App.4th 376, 382.) In determining whether the issue upon which a party
prevailed is significant, “the court must critically analyze the surrounding
circumstances of the litigation and pragmatically assess the gains achieved by
the action.” (Ibid.)
Here, petitioner’s main
contention was that LADBS issued building permits for real parties’ property in
error because the property did not have a continuous paved roadway (“CPR”) of
at least 20 feet in width from the driveway apron to the boundary of the
hillside area, as required by LAMC § 12.21.C.10.(i)(3). (Pet. ¶¶ 10, 11.) The
Court (Judge Strobel) agreed. (2/7/22 Minute Order at 12 [“Since LADBS was
presented with undisputed evidence that the 20-foot requirement was not met…it
was arbitrary and capricious for LADBS to issue the permits simply because
another city agency declined to rescind a clearance”].) Petitioner succeeded in
obtaining a judgment in its favor and issuance of a writ of mandate ordering
the revocation of the building permits and the vacating the affirmance of the
issuance of the permits. This is the same relief sought in the writ petition. (Pet.
Prayer for Relief ¶¶ 1(a), 2.) The Court of Appeal affirmed the judgment. (Friends of Westwanda Drive, 2024
WL 220447, at *6.)
The City argues that petitioner
was not successful because real parties obtained an alternative clearance,
which purportedly places petitioner in the same position as if this lawsuit had
never been filed. The City ignores the reason why real parties obtained the
alternative clearance – the fact that petitioner had won on its writ petition.
(See 3/9/22 Melkonians Decl. ¶ 2 [“In order to cure the clearance and
building permit found by this Court to have been issued in error, I have
prepared, submitted and processed a street widening map for Westwanda Drive…resulting
in a new, updated BOE clearance and a Supplemental Building Permit….]; see
also 3/9/22 Shahin Decl. ¶ 2.) The City also fails to acknowledge that the
alternative clearance obtained by real parties addresses petitioner’s main
contention in this action – that building permits for the subject property
should not have been issued due to lack of a minimum 20-foot-wide CPR.
The City cites Karuk
Tribe of Northern California v. California Regional Water Quality Control Bd.,
North Coast Region (2010) 183 Cal.App.4th 330 and Center for Biological
Diversity v. California Fish & Game Com. (2011) 195 Cal.App.4th 128 and
for the assertion that petitioner merely achieved a “do-over” and did not
vindicate any important right. “In determining whether a plaintiff is a
successful party for purposes of section 1021.5, ‘[t]he critical fact is the
impact of the action, not the manner of its resolution.’ The trial court in its
discretion ‘must realistically assess the litigation and determine, from a
practical perspective, whether or not the action served to vindicate an
important right so as to justify an attorney fee award’ under section 1021.5.”
(Karuk, 183 Cal.App.4th at 362, internal citations omitted.) Karuk
and Center for Biological Diversity are both inapposite. In both cases, the plaintiffs obtained a remand to
the administrative agencies, which reconsidered the matters and maintained their
positions. (See Center
for Biological Diversity, 195
Cal.App.4th at 131.) In both cases, the remand resulted in the agencies providing
fuller explanations for their decisions. (See Karuk, 183 Cal.App.4th at 366; Center for Biological Diversity,
195 Cal.App.4th at 140.) By contrast, the Court here did not order any remand.
Rather, petitioner obtained the relief sought – enforcement of LAMC § 12.21.C.10.(i)(3)
through the revocation of the building permits and vacating of the denial of
petitioner’s appeal before the BBSC.
The City also argues that,
because the clearance has not been completed, the success of plaintiff’s suit
cannot be evaluated. However, real parties have committed to the widening of
Westwanda Drive by posting a bond. (Hall Decl. ¶ 21 & Ex. 10 [LADBS
clearance summary worksheet indicates that bond for building permit posted; Friends
of Westwanda Drive, 2024 WL 220447 at *2.)
The City also contends
that petitioner has not challenged other parcels on Westwanda Drive that do not
comply with the 20-foot roadway width requirement. However, the instant lawsuit
pertained only to the property owned by real parties and their compliance with
LAMC § 12.21.C.10.(i)(3). The compliance of other parcels with the LAMC does
not dictate whether petitioner is entitled to fees under CCP § 1021.5.
Because petitioner prevailed on the essential issue
in the litigation, petitioner is a successful party under section 1021.5.
2.
Enforcement of Important Right Affecting the Public
Interest
“In assessing whether an
action has enforced an important right, courts should generally realistically
assess the significance of that right in terms of its relationship to the
achievement of fundamental legislative goals. As to the benefit, it may be
conceptual or doctrinal and need not be actual and concrete; further, the
effectuation of a statutory or constitutional purpose may be sufficient ...
[However,] [t]he benefit must inure primarily to the public. Thus, the statute
directs the judiciary to exercise judgment in attempting to ascertain the
‘strength’ or ‘societal importance’ of the right involved.” (Sandlin v.
McLaughlin (2020) 50 Cal.App.5th 805, 829, quoting Choi v. Orange County
Great Park Corp. (2009) 175 Cal.App.4th 524, 531, internal quotations and
citations omitted.)
“Where…the nonpecuniary benefit to the public is
the proper enforcement of the law, the successful party must show that the law
being enforced furthers a significant policy.” (La Mirada Avenue Neighborhood
Assn. of Hollywood v. City of Los Angeles (2018) 22 Cal.App.5th 1149, 1158.)
As petitioner argues, the public interest
vindicated in this action was the enforcement of zoning laws, specifically the
20-foot minimum CPR requirement under LAMC § 12.21.C.10.(i)(3). “[L]itigation brought to enforce…compliance
with planning and zoning laws has been held to involve important rights
affecting the public interest, and the private attorney general theory as
codified in Code of Civil Procedure section 1021.5 applies to such suits.” (San
Bernardino Valley Audubon Society, Inc. v. County of San Bernardino (1984)
155 Cal.App.3d 738, 753.)
LAMC § 12.21.C.10.(i)(3)
is contained in Article 2 of the LAMC, which is known as the “Comprehensive
Zoning Plan of the City of Los Angeles.” (LAMC § 12.00.) LAMC § 12.02 declares
that the regulations set forth in Article 2 are “necessary in order to
encourage the most appropriate use of land; to conserve and stabilize the value
of property; to provide adequate open spaces for light and air, and to prevent
and fight fires; to prevent undue concentration of population; to lessen congestion
on streets; to facilitate adequate provisions for community utilities and
facilities such as transportation, water, sewerage, schools, parks and other
public requirements; and to promote health, safety, and the general welfare all
in accordance with the comprehensive plan.” Ensuring a minimum 20-foot-wide
CPR promotes the general welfare, particularly facilitating the evacuation of
residents during fires and access for fire trucks to put out the fires in a
hillside neighborhood which may spread to the larger community. (Evans Decl. ¶¶
4, 5; Grey Decl. ¶¶ 4, 5; Kadin Decl. ¶¶ 4, 5; Mims Decl. ¶¶ 4, 5; Rosen Decl.
¶¶ 4, 5.)
The
City maintains that petitioner did not enforce an important right because real
parties responded to the granting of the writ petition by obtaining a different
clearance. As stated above, however, real parties obtained the alternative
clearance in response to the Court’s ruling on the writ petition, and the
alternative clearance addresses petitioner’s main contention in this case. The
City cannot claim that real parties’ response to the ruling on the writ
petition did not implicate an important public right.
For the foregoing reasons, by obtaining a writ of
mandate and affirmance on appeal, petitioner enforced an important right
affecting the public interest, namely, the enforcement of zoning law.
3.
Significant Benefit Conferred on General Public or
Large Class of Persons
“Whether a successful
party’s lawsuit confers a ‘significant benefit’ on the general public or a
large class of persons is a function of (1) ‘the significance of the benefit,’
and (2) ‘the size of the class receiving [the] benefit.’ [Citation.] In evaluating
these factors, courts are to ‘realistic[ally] assess[ ]’ the lawsuit’s ‘gains’
‘in light of all the pertinent circumstances.’ [Citation.]” (La Mirada, 22
Cal.App.5th at 1158.) “A benefit need not be monetary to be significant. (§
1021.5 [defining “a significant benefit” as either “pecuniary or
nonpecuinary”].) Where, as here, the nonpecuniary benefit to the public is the
proper enforcement of the law, the successful party must show that the law
being enforced furthers a significant policy. [Citation.]” (La Mirada,
22 Cal.App.5th at 1158.)
“[T]he significant
benefit requirement of section 1021.5 requires more than a mere statutory
violation.” (Burgess v. Coronado Unified School District (2020) 59
Cal.App.5th 1, 9.) However, a significant benefit can be found “simply from the
effectuation of a fundamental constitutional or statutory policy” “from a
realistic assessment, in light of all the pertinent circumstances, of the gains
which have resulted in a particular case.” (Woodland Hills Residents Assn.,
Inc. v. City Council (1979) 23 Cal.3d 917, 939-40.)
For the reasons stated
above with respect to enforcement of an important right, petitioner demonstrates
that a significant benefit was conferred on the general public. (La Mirada,
22 Cal.App.5th at 1158 [finding when proper enforcement of law is the public
benefit, “the significant benefit and important right requirements of section
1021.5 to some extent dovetail”].)
The City attempts to
frame the result of this case as benefitting only Veronica
and Francesco Di Ianni, the sole members of petitioner who lived next door to
real parties, or at most, a small portion of Westwanda Drive. According to the
City, the Di Iannis used the roadway width as a pretext to stop real parties’
construction of a single-family home and were not concerned about the width of
Westwanda Lane. The City points to email communications indicating that
petitioner’s main concern was stopping real parties’ construction of a
single-family home. (See Atwood Decl. ¶ 9 & Ex. B at 54 [“There are
many grave issues regarding safety, parking, fire access etc. I believe every
neighbor adjoining this parcel wants to fight to stop this project
aggressively. Dozens (at least) of other neighbors on Westwanda and Reeevesbury
strongly oppose a house on this tiny vertical lot.”], 74 [“So now we all need
to get together as a group and plan out actions effectively. [Melkonians] won this
round and cut down the trees but we can't let him build here for sure”], 148
[“I am so enraged by this whole situation and my incapability to stop this guy
from moving forward. I’d love to hear a ruling where they accept their mistake
and restore the nature of this hill”].) After neighbors indicated that they
preferred to allow the construction of real parties’ home so that it would be
completed faster, Ms. Di Ianni responded: “As you may recall the Hillside
Ordinance limits the type of work that is possible on roads that have less than
20 feet of width and so we want to make sure that there has not been an
agreement to widen the road (post construction for example) which would
penalize the neighbors who live on those choke points on Westwanda.” (Atwood
Decl. ¶ 9 & Ex. B at 39.)
In a separate
opposition, real parties argue that petitioner was solely concerned with
personal benefits. Real parties point to a settlement offer from petitioner
indicating that petitioner sought concessions that would only benefit the Di
Iannis, including the planting of trees for their privacy, temporary relocation
costs, sound proofing of their residence, power washing, and installation of an
air filtration system at their residence. (Real Parties Decl. ¶ 4 & Ex. A.)[3]
From the contemporaneous communications presented
by the City, it appears that petitioner’s main goal was to stop the
construction of the home on the neighboring property, not to enforce the CPR
requirement. Petitioner’s attempts to claim otherwise through their deposition
testimony, which took place on May 13, 2024 – after the issuance of the Court
of Appeal’s opinion – ring hollow. (See Supp. Hall Decl. ¶ 3 & Ex.
11 at 17:19-21 [“MRS. DI IANNI: Yeah. I mean -- yeah, the first one -- first
and foremost was the safety, you know, to build on a hillside. And, yeah,
that's, right.”], 93:24-94:2 [“MR. DI IANNI:…As I stated earlier, our goal was
very clear around insuring safety and security and insuring compliance with the
hillside ordinance and not sending incorrect precedent for not only Westwanda
as a community but other similar communities”].)
Nevertheless, “fees may not be denied merely
because the primary effect of the litigation was to benefit the individual
rather than the public.” (Indio Police Command Unit Assn. v. City of Indio
(2014) 230 Cal.App.4th 521, 543.) Petitioner’s “personal economic interest and
subjective motivation is irrelevant to the ‘significant benefit’ inquiry.” (Friends
of Spring Street v. Nevada City (2019) 33 Cal.App.5th 1092, 1110.) What
matters is whether enforcement of the law at issue furthered a significant
policy. (La Mirada, 22
Cal.App.5th at 1158.)
Here, the statutory policy behind the CPR
requirement was the promotion of health,
safety, and the general welfare, including the prevention and fighting of fires.
(LAMC § 12.02.) The widening of Westwanda Drive will facilitate evacuation of
residents and access for the Fire Department to prevent the spread of any fires.
(Evans Decl. ¶¶ 4, 5; Grey Decl. ¶¶ 4, 5; Kadin Decl. ¶¶ 4, 5; Mims
Decl. ¶¶ 4, 5; Rosen Decl. ¶¶ 4, 5.)
For the foregoing reasons, the Court finds that a
significant benefit was bestowed on the general public or a large class of
persons.
4.
Necessity and Financial Burden of Private
Enforcement
“[T]he necessity and
financial burden requirement really examines two issues: whether private
enforcement was necessary and whether the financial burden of private enforcement
warrants subsidizing the successful party’s attorneys.” (Whitley, 50
Cal.4th at 1214.)
“The ‘necessity’ of
private enforcement looks to the adequacy of public enforcement.” (Whitley, 50 Cal.4th at 1215, citing Lyons
v. Chinese Hosp. Assn. (2006) 136 Cal.App.4th 1331, 1348.) Here, as the
City acted contrary to the LAMC in issuing the building permits for the subject
property, private enforcement, i.e., petitioner’s commencement of this
case, was necessary to enforce the LAMC. (See Woodland Hills Residents
Assn., Inc. v. City Council (1979) 23 Cal.3d 917, 941 [“Inasmuch as the
present action proceeded against the only governmental agencies that bear
responsibility for the subdivision approval process, the necessity of private,
as compared to public, enforcement becomes clear”].)
In evaluating the “financial
burden of private enforcement,” the Court evaluates the “costs of the
litigation” as compared to “any offsetting financial benefits that the
litigation yields or reasonably could have been expected to yield.” (Whitley, 50 Cal.4th at 1215.) The Court engages in a “cost-benefit
analysis” by “compar[ing] the estimated value of the case to the actual cost
and mak[ing] a value judgment whether it is desirable to encourage litigation
of that sort” by awarding fees. (Robinson
v. City of Chowchilla (2011) 202 Cal.App.4th 382, 402.) An award of fees “is ‘appropriate except
where the expected value of the litigant’s own monetary reward exceeds by a
substantial margin the actual litigation costs.’” (Ibid., quoting Whitley,
50 Cal.4th at 1216.)
The
City argues that petitioner was concerned with the price at which real parties
could sell their property, which purportedly tied into the value of the Di
Iannis’ property. (City Opp. at 16:3-9, citing Atwood Decl. ¶ 9 & Ex. B at
74 [“He may live in this house for 2 years and then sell it. It is an excellent
flip as he bought the land for $75 000 and will be putting in $6-800 000 to
build and he will have a home that he can sell it for at least 2M”].) Petitioner
also expressed concern that real parties would sue their neighbors to correct
the width of Westwanda Drive. (Atwood Decl. ¶ 9 & Ex. B at 178.) The City
also contends that parking and privacy has monetary value. (Hurwitz v. City of Orange (2004) 122 Cal.App.4th 835, 856 [parking]; Kallis
v. Sones (2012) 208 Cal.App.4th 1274, 1278-80 [trees].)
However, petitioner did
not seek any particular pecuniary gain in the litigation. (See Whitley, 50 Cal.4th at at 1217
[“As a logical matter, a strong nonfinancial motivation does not change or
alleviate the ‘financial burden’ that a litigant bears”].) Petitioner merely
sought the revocation of the building permits and the vacating of the denial of
petitioner’s BBSC appeal. (Pet. Prayer for Relief ¶¶ 1, 2.)
The
City’s assertion of potential financial
benefit to petitioner is entirely speculative. (See Boatworks, LLC v. City
of Alameda (2019) 35 Cal.App.5th 290, 310, quoting People v. Investco
Management & Development LLC (2018) 22 Cal.App.5th 443, 470 [“Where
personal benefits are a step removed from the results of the litigation, the
potential financial benefit is indirect and speculative,” allowing trial court
to conclude that financial burden requirement under section 1021.5 satisfied].)
Indeed, it is difficult to quantify what, if any, financial gain petitioner has
realized or reasonably could have expected to realize at the outset, including
from preservation of parking and privacy, as well as prevention from any
lawsuit from real parties for payment to compensate Westwanda Drive. With
respect to property values, it is also unclear what financial benefit
petitioner would have gained had real parties not been allowed to construct,
and subsequently sell, a home on their property.
To the extent that
petitioner sought personal benefits through this case, the Court notes “the
purpose of section 1021.5 is not to compensate with attorney fees only those
litigants who have altruistic or lofty motives, but rather all litigants and
attorneys who step forward to engage in public interest litigation when there
are insufficient financial incentives to justify the litigation in economic
terms.” (Whitley, 50 Cal.4th at 1211.)
For the foregoing reasons,
the litigation costs exceeded any monetary reward that petitioner obtained or
could have reasonably expected to obtain from the instant litigation. Petitioner
has met its burden of “establishing that its litigation costs transcend its
personal interest.” (See Beach Colony II v. California Coastal Com.
(1985) 166 Cal.App.3d 106, 113.) The
Court finds that the necessity and financial burden of private enforcement by petitioner
warrants a fee award under CCP § 1021.5.
C.
Reasonableness of Fees Requested
Petitioner moves for $629,813.50
in fees. The amount is based on the
sum of (1) the lodestar of $287,622.50 for the case on the merits with a 2.0
multiplier, (2) $52,587.50 for work on the motion for attorney fees, and (3)
costs in the amount of $1,981.00.
1.
Reasonableness of Hourly
Rates
The City argues that attorney Jamie T. Hall’s hourly rate
should be reduced from $650 to $400 because he quoted a $400 hourly rate to
petitioner. (Atwood Decl. ¶ 9 & Ex. B at 19, 26.) Counsel is
entitled to fees based on the market rate. (PLCM Group v. Drexler (2000)
22 Cal.4th 1084, 1095 [“reasonable
hourly rate is that prevailing in the community for similar work”].) Based on
petitioner’s 18 years of litigation experience, an hourly rate of $650 is
reasonable. (Hall Decl. ¶ 10.)
The Court finds that the
hourly rates for all of petitioner’s counsel and legal assistants, including
$650 for Jamie T. Hall, $850 for Julian K. Quattlebaum, $350 for Robert
Christensen, as well as an hourly rate of $195 for the work provided by paralegals
Jennifer Burnett, Veronica Lebron and Christopher Rodriguez, are reasonable.
(Hall Decl. ¶¶ 10, 14; Quattlebaum Decl. ¶ 11; Christensen Decl. ¶¶ 3, 4.)
2.
Duplicative Billing
The City next argues that
the fee request should be reduced because three attorneys worked on this case. Counsel
for petitioner responds by stating that each of the attorneys wrote discrete
sections on briefs in this case. (Supp. Hall Decl. ¶ 4.) The Court declines to
reduce the fees due to purported duplicative billing. It was not unreasonable for more than one
attorney to have spent time on this matter.
3.
Block Billing
The City objects to block
billing of multiple tasks, as opposed to setting forth the time spent on each
task. (See Bell v. Vista Unified School Dist. (2000) 82 Cal.App.4th 672,
689 [“If counsel cannot further define his billing entries so as to
meaningfully enlighten the court . . . then the trial court should exercise its
discretion in assigning a reasonable percentage to the entries, or simply cast
them aside”].) Block billing is not “objectionable per se.” (Christian
Research Institute v. Alnor (2008) 165 Cal.App.4th 1315, 1325.) Courts may
penalize block billing “ ‘when the practice prevents them from discerning which
tasks are compensable and which are not.’ [Citations.]” (In re Marriage of
Nassimi (2016) 3 Cal.App.5th 667, 695.)
Having reviewed counsel
for petitioner’s time sheets, the Court determines that the asserted tasks are
compensable. Although counsel routinely combines several tasks into individual
billing entries (Hall Decl. ¶ 16 & Ex. 7), the Court can sufficiently determine
whether the hours claimed for combined tasks is reasonable.
4.
Pre-Litigation
Administrative Proceedings
The City contends that fees for pre-litigation
administrative proceedings are not recoverable. The citation to Beach Colony
II v. California Coastal Com. (1985) 166 Cal.App.3d 106 is unavailing. In Beach
Colony II, the Court of Appeal compared CCP § 1021.5 with CCP § 1028.5 and
noted that the “absence of any reference to administrative proceedings in
section 1021.5 suggests, at least, the section was not meant to apply to
non-judicial aspects of an administrative proceeding.” (Beach Colony II, 166
Cal.App.3d at 116.) The Court of Appeal did not reach the issue of whether CCP
§ 1021.5 allows for the recovery of fees “incurred during the
quasi-judicial portion of administrative proceedings from which judicial review
is taken through writ procedures.” (Ibid.; see also Best v.
California Apprenticeship Council (1987) 193 Cal.App.3d 1448, 1456 [“our
holding in Beach Colony II left open the possibility that section 1021.5
allows attorney's fees arising from quasi-judicial, as opposed to
quasi-legislative, administrative proceedings”].)
Attorney fees incurred in
an administrative proceeding are compensable under CCP § 1021.5 if the
administrative proceeding is “useful and necessary to the public interest
litigation.” (Best, 193 Cal.App.3d at 1461; Edna Valley Watch v.
County of San Luis Obispo (2011) 197 Cal.App.4th 1312, 1318-20.) Here,
petitioner was required to exhaust its administrative remedies by filing an
appeal with the BBSC and create an administrative record. (11/9/21 Minute Order
at 8-9.) The City maintains that petitioner sought the “wrong type of
administrative appeal.” (City Opp. at 18:28.) The City does not explain what
type of appeal petitioner should have filed, but it appears that Judge Strobel
previously rejected this argument. (11/9/21 Minute Order at 11.)
It thus appears that the
administrative proceeding was useful and necessary to this action. (See
Best, 193 Cal.App.3d at 1461 [“Since the administrative proceedings here
were the first step in the litigation leading to the mandamus proceeding (§
1094.5), by their very nature they were useful and of a type ordinarily
necessary to the public interest litigation”].) Fees may be awarded for the
administrative proceeding to the extent they were reasonably incurred. The City
does not argue that the fees incurred during the administrative proceeding were
not reasonably incurred; its opposition to such fees is limited to the argument
that they are not recoverable at all. The Court thus finds that petitioner may
recover fees for hours spent in the administrative proceeding.
5.
Miscellaneous Arguments
The City argues several
other arguments: (1) the Court should reduce fees for “administrative work,
clerical work, travel time, internal and client conferencing, and non-legal work”
and (2) work claimed for “Review and/or respond to emails with opposing counsel”
is vague and should be cut. (Atwood Decl. ¶ 13.)
With respect to the first
argument, the City relies on In re Marriage of Nassimi (2016) 3
Cal.App.5th 667, 695-96. (City Opp. at 19:3-5.) Nassimi does not contain
any support for the City’s proposition. Indeed, paralegal time is compensable
under CCP § 1021.5. (Guinn v. Dotson (1994) 23 Cal.App.4th 262, 269.) Counsel
also declares that the non-legal work was related to the administrative building
permit appeal, which the Court deems compensable for the reasons stated above.
(Supp. Hall Decl. ¶ 5.) Moreover, internal and client conferencing is not
unreasonable per se, because “collaboration does not necessarily amount to
duplication.” (Premier Medical Management Systems, Inc. v. California Ins.
Guarantee Assn. (2008) 163 Cal.App.4th 550, 562.) The Court exercises its
discretion to award the reasonable value of professional services, including
for non-legal work. (Collins v. City of Los Angeles (2012) 205
Cal.App.4th 140, 159, citing PLCM Group, 22 Cal.4th at 1095-96.)
With respect to the second argument, the City maintains
that attorney Hall does not state the subject of the emails, whom the emails
are from, or whether he is reviewing or responding to emails. (City Opp. at
19:13-18.) This does not mean that the fees were not reasonably incurred.
Considering that counsel claims 0.1 hours for the vast majority of the
“review/respond” billing entries, the Court finds that the entries are
reasonable on their face.
6.
Discovery
The City asserts that
42.5 hours claimed for discovery should be reduced because petitioner did not
respond to discovery propounded by the City in 2022 until two years later on a
Friday night before a Monday deposition. (City Opp. at 19:25-20:2; Atwood Decl.
¶ 13.) The City maintains that, if petitioner produced documents, it would not
need to take depositions. (Atwood Decl. ¶ 13.) However, if the City needed the
discovery earlier, it could have moved to compel responses or further responses
pursuant to CCP §§ 2031.300 or 2031.310. (See Supp. Hall Decl. ¶ 6 [“The
discovery was obviously not a priority for the City because it did not
diligently pursue discovery during the course of the appeal”].) The Court will
not reduce fees due to delayed production.
7.
Real Parties’ Liability
Real parties argue that they
should not be held liable for fees because they were merely protecting property
rights without any authority to grant or revoke the permits. “[A]ttorney fees
should not be imposed on…an individual who has only engaged in litigation to
adjudicate private rights…but has otherwise done nothing to compromise the
rights of the public or a significant class of people.” (Adoption of Joshua
S. (2008) 42 Cal.4th 945, 954.)
In Joshua S., the
same-sex partner of a birth mother sought an order of adoption for a child
after the relationship between the partner and mother had deteriorated. (Joshua
S., 42 Cal.4th at 949-50.) The birth mother argued that a “second parent”
adoption was unlawful. (Id. at 950.) The Supreme Court validated the
second parent adoption. (Id. at 949.) The partner sought attorney fees
from the mother under CCP § 1021.5. (Id. at 949.) The Supreme Court
found that the mother was not liable for fees, holding that the mother “was a
private litigant with no institutional interest in the litigation, and the
judgment she sought in the present case would have settled only her private
rights and those of her children and [the partner].” (Id. at 957.) The
high court held that the mother had “done nothing to adversely affect the
public interest other than being on the losing side of an important appellate
case.” (Id. at 958.)
Real parties’ involvement
here is not like the mother in Joshua S. Real parties own the subject
property and applied for the building permits. (Friends of Westwanda Drive,
2024 WL 220447 at *1.)[4]
Further, real parties actively participated in the litigation, including by
opposing the writ petition, filing supplemental briefing, filing new evidence
the day before the final hearing on the writ petition, filing a motion for new
trial, and appealing the judgment. “[R]eal parties in interest that had a
direct interest in the litigation, the furtherance of which was generally at
least partly responsible for the policy or practice that gave rise to the
litigation” can be held liable for attorney fees under CCP § 1021.5. (Connerly
v. State Personnel Bd. (2006) 37 Cal.4th 1169, 1181.) Further, “a real
party in interest in a mandamus proceeding that has a direct interest in the litigation,
more than merely an ideological or policy interest, and actively participates
in the litigation is an opposing party within the meaning of Code of Civil
Procedure section 1021.5 and can be liable for attorney fees under the statute.”
(Mejia v. City of Los Angeles (2007) 156 Cal.App.4th 151, 161.) Real
parties did more than just defend their private rights; unlike the defensive
posture of the mother in Joshua S., real parties affirmatively sought
building permits and sought to uphold their issuance, despite the lack of
compliance with LAMC § 12.21.C.10(i)(3). Real parties shall be liable for the
entirety of petitioner’s fee award.
8.
Reduction of Fee Award for
Appeal
The City argues that they
should not be liable for hours relating to the appeal, as they did not
participate. (See also Friends of Westwanda Drive, 2024 WL 220447
at *4 [City is not party to appeal].) The Court agrees. Petitioner argues that
the City’s issuance of the permits prompted the entire case. The City’s actions
prompted the commencement of the case, but the City did not prompt the appeal
of the case. Real parties appealed the judgment. Petitioner’s work defending
against the appeal was due to real parties, not the City.
Adding up the billing
entries to which the City objected with “City not a party to the appeal” or
“City not party to building permit appeal” (Atwood Decl. ¶ 13 & Ex. F
[Jamie Hall – 7/8/22, 8/14/22, 8/15/22, 9/27/22, 11/14/22, 11/15/22,, 12/19/22,
12/20/22, 1/3/23, 1/5/23, 1/18/23, 2/2/23, 4/14/23, 4/27/23, 5/5/23, 5/19/23, 5/22/23,
8/15/23, 9/1/23, 9/3/23, 9/4/23, 9/5/23, 9/6/23, 9/7/23, 9/8/23, 9/11/23,
9/28/23, 10/17/23, 12/15/23, 12/17/23, 12/19/23, 1/8/24, 1/9/24, 1/13/24,
1/14/24, 1/15/24, 1/16/24, 1/17/24, 1/18/24, 1/19/24, 1/22/24; Julian
Quattlebaum – 9/1/23, 9/3/23, 9/4/23, 9/5/23, 9/6/23, 9/7/23, 9/8/23, 1/14/24,
1/15/24, 1/16/24, 1/17/24; Robert Christensen – 9/4/23, 9/5/23, 9/6/23, 9/7/23;
Veronica Lebron – 4/2/24), petitioner’s fee request against the City is reduced
by $57,934.50.[5]
9.
Fee Motion
Petitioner seeks $52,587.50 for work on
the motion for attorney fees. As the instant motion is a routine motion, there
is no plausible reason why petitioner should be compensated in an amount similar
to the amount petitioner claims for the work on the appeal, which is not
routine. The Court finds that a 50 percent reduction is
appropriate. Accordingly, petitioner may recover $26,293.75 for the fee motion.
10.
Costs
Absent any direct opposition to the costs, the
Court finds that the claimed costs of $1,981.00
is reasonable.
11.
Multiplier
The Court declines to
apply a positive multiplier. Courts look to, among other factors, the “novelty
and difficulty of the questions involved, and the skill displayed in presenting
them.” (Serrano v. Priest (1977) 20 Cal.3d 25, 48.) This case was not
novel or complex. Petitioner’s petition for writ of mandate ultimately involved
a straightforward review of whether LADBS erroneously issued building permits
in violation of LAMC § 12.21.C.10(i)(3) due to the inadequate width of
Westwanda Drive. (2/7/22 Minute Order at 11-13.) Even though the instant case
involved supplemental briefing, multiple hearings on the writ petition, and a
motion for new trial, the Court finds that an award based on the lodestar would
sufficiently compensate counsel for their efforts. (Weeks v. Baker &
McKenzie (1998) 63 Cal.App.4th 1128, 1176.)
However, the Court
exercises its discretion to apply a negative multiplier. In determining whether
to apply a positive or negative multiplier, the Court considers all relevant
factors including “‘(1) the novelty and difficulty of the questions involved,
(2) the skill displayed in presenting them, (3) the extent to which the nature
of the litigation precluded other employment by the attorneys, [and] (4) the
contingent nature of the fee award.’ [Citation.]” (Cates v. Chiang
(2013) 213 Cal.App.4th 791, 822, quoting Ketchum v. Moses (2001) 24
Cal.4th 1122, 1132.) “Any one factor may be sufficient to apply a positive or
negative multiplier.” (Cates, 213 Cal.App.4th at 822.)
At its core, this case
involved a straightforward analysis of whether the record reflected that
Westwanda Drive was at least 20 feet wide. (2/7/22 Minute Order at 11-13.)
While the case also involved the consideration of whether administrative
remedies were exhausted (11/9/21 Minute Order), the proper remedy (3/10/22
Minute Order), and the statutory interpretation of LAMC § 12.21.C.10(i)(3) (Friends
of Westwanda Drive, 2024 WL 220447 at *3), upon review of the relevant
orders and opinions, the Court finds that the difficulty of the case does not
warrant a lodestar of $287,622.50. The Court does recognize, however, the
multiple hearings, supplemental briefing, and the motion for new trial, which
petitioner successfully navigated to obtain an affirmance of the judgment.
Accordingly, the Court applies a relatively modest negative multiplier of 0.2
to the lodestar.[6]
1. Calculation
of Award
With respect to respondents City of Los Angeles and
Los Angeles Department of Building and Safety, the award of $212,025.15 is calculated as
follows:
·
$287,622.50 total claimed lodestar – $57,934.50
appeal = $229,688.00
·
$229,688.00 x 0.8 = $183,750.40 (negative
multiplier of 0.2)
·
$183,750.40 + $26,293.75
fee motion + $1,981.00 costs = $212,025.15
With
respect to real parties Karla
Shahin and Armen Melkonians, the award of $258,372.75 is
calculated as follows:
·
$287,622.50 total claimed lodestar x 0.8 = $230,098.00
(negative multiplier of 0.2)
·
$230,098.00 + $26,293.75
fee motion + $1,981.00 costs = $258,372.75
Of the $258,372.75
for which real parties are liable, respondents City of Los
Angeles and Los Angeles Department of Building and Safety are jointly and
severally liable for
$212,025.15.
III. Conclusion
The motion is GRANTED IN PART. Using the appropriate lodestar approach, and
based on the foregoing findings and in view of the totality of the
circumstances, the total and reasonable amount of attorney fees incurred for
the work performed in connection with the writ petition and costs is $258,372.75 to
be awarded to petitioner Friends of Westwanda Drive.
Respondents City of Los Angeles and Los Angeles
Department of Building and Safety and real parties Karla Shahin and Armen
Melkonians are jointly and severally liable for $212,025.15. Real
parties Karla Shahin and Armen Melkonians are solely liable for the remainder
of $46,347.60.
[1] In the answer to the Petition, the
City alleged that LADBS, which was separately named as a respondent, is not a
separate entity from the City. (City Answer at 2, fn. 1.) Accordingly,
reference to the City hereinafter includes LADBS.
[2] Prior to the instant motion, the matter
was heard by the Honorable Mary H. Strobel. All references to the Court in
discussing the procedural history refer to Judge Strobel.
[3] The settlement offer was presented in a different case, Friends of
Westwanda Drive v. City of Los Angeles et al., LASC Case No. 19STCP04113,
which concerned whether a tree removal permit and construction of real parties’
home were exempt from environmental review under the California Environmental
Quality Act. (Friends of Westwanda Drive v. City of Los Angeles (2024)
2024 WL 220448 at *1.)
[4] The Court notes petitioner’s reference
to pages 6 through 10 of the opening brief to demonstrate real parties’ involvement
during the administrative proceedings. (Reply to Real Party Opp. at 6:4-21.)
“An attorney’s argument in pleadings is
not evidence.” (Hebberd-Kulow Enterprises, Inc. v. Kelomar, Inc. (2013)
218 Cal.App.4th 272, 283.) Further, the Court does not have the administrative
record cited in the opening brief filed on September 10, 2021. The Court
nevertheless finds that real parties’ direct interest and active participation
in the litigation warrant an award of fees against them.
[5] For the 1/22/24 billing entry for
Jamie Hall, the Court reduces the 0.4 hours claimed by 0.1 hour because the 0.4
hours included “research deadline to file Motion for Attorneys Fees and Costs,”
which is not part of the appeal. (See Atwood Decl. ¶ 13 & Ex. F at
234.)
[6] The City seeks to reduce the lodestar
by the hours that petitioner spent on its motion to determine compliance with
the writ, which was denied. (Atwood Decl. ¶ 13; 8/30/22 Minute Order.) Petitioner
was entitled to file that motion. (Greene v.
Dillingham Construction, N.A., Inc. (2002) 101 Cal.App.4th 418, 424,
quoting Sokolow v. County of San Mateo (1989) 213 Cal.App.3d 231, 250
[“Attorneys generally must pursue all available legal avenues and theories in
pursuit of their clients' objectives; it is impossible, as a practical matter,
for an attorney to know in advance whether or not his or her work on a
potentially meritorious legal theory will ultimately prevail.”].) However, the
Court determines that petitioner’s lack of success on that motion is
appropriately accounted for with a negative multiplier.