Judge: David Sotelo, Case: 21STCV21924, Date: 2022-09-07 Tentative Ruling



Case Number: 21STCV21924    Hearing Date: September 7, 2022    Dept: 40

MOVING PARTY:               Defendant Christian Stephen Molnar.

 

Plaintiff Jasbir Singh brought this action against Defendant Christian Stephen Molnar—Singh’s former lawyer—alleging Malpractice and Fraud, among others.

 

Molnar thereafter brought a Special Motion to Strike Plaintiff’s Complaint Pursuant to Code of Civil Procedure Section 425.16 (the anti-SLAPP statute), which the Court Granted on January 20, 2022.  Molnar now requests Attorney’s Fees and Costs in full for a total recovery of $33,231.50, comprised of $32,501.00 in reasonable attorney’s fees and $730.50 in reasonable costs and expenses for the work of Defense Counsel in this action.

 

Background

 

Attorney-Client Relationship

 

Defendant attorney Christian Molnar represented Plaintiff Jasbir Singh between 2006 and 2013. In one matter, Molnar litigated action against several debtors who failed to pay Singh on a promissory note (the “Chima Action”).

 

In May 2009, Molnar obtained a $44,000 award plus pre-judgment interest for Singh. The Judgment on Court’s judgment confirming these damages contained space for, but left blank, provisions for attorney’s fees and costs. Following trial, Molnar did not file a motion for attorney’s fees on the grounds that Singh had requested that Molnar inflate Molnar’s invoice amounts to show greater legal fees than actually incurred. Two years later in 2011, Molnar filed an Application of Foreign Judgment and Affidavit in the Nevada courts to enforce the Chima Action judgment. The defendants in the Chima Action eventually relocated to the State of Nevada. The following year, in February 2012, the Foreign Judgment was recorded, and Defendant emailed Plaintiff a copy the on March 5, 2012. Allegedly unbeknownst to Plaintiff, Molnar had recorded the Foreign Judgment for $71,777.57, not $44,000. The difference between this sum and the $44,000 award Plaintiff obtained and now “included” attorney’s fees and costs that were represented by Molnar as part of the underlying judgment in the Chima Action.

 

The following year, on March 18, 2013, Singh fired Molnar.

 

First Malpractice Action

 

One year later, on April 1, 2014, Singh sued Molnar for malpractice (“First Malpractice Case”) based on Molnar’s work in several matters, including the Chima Action (LASC BC519223).

 

Molnar cross-claimed against Singh for attorney’s fees, to which Singh responded by raising malpractice affirmative defenses, arguing part that Molnar committed malpractice by failing to obtain the above-mentioned attorney’s fees in the 2009 Chima Action.

 

In the meantime, Defendants in the Chima Action reached out to Molnar regarding resolution of the Foreign Judgment, to which Molnar’s counsel at the time responded by providing contact information for Singh’s then counsel. In February 2017, the Foreign Judgment in the Chima Action was renewed in Nevada by Plaintiff’s then counsel. After failed attempts to settle and satisfy the Foreign Judgment, which Singh rejected, in March 2020, the Defendants in the Chima Action moved to enforce the judgment by petitioning Nevada courts to declare a judgment amount and allow satisfaction of payment. Singh opposed this motion, and after briefs and surresponses were filed in the matter, the Nevada trial court found that it could not enforce the Foreign Judgment because its underlying California judgment for $44,000 did not support the Foreign Judgment filed in Nevada for $71,777.57. More specifically, the Nevada Court held that it could not enforce the Foreign Judgment for lack of specificity where “[t]he Foreign Judgment […] showed a judgement of $44,000 with no amounts for attorney s fees, and total costs” and “a reference to pre-judgement interest with no amount in the judgment.” The Chima Action defendants then moved for relief from “the judgment.” The Nevada Court denied that request on September 30, 2020, but nevertheless dismissed the Foreign Judgment in Nevada for failure to state a sum certain, with other issues to be addressed in California courts.

 

The First Malpractice Case was heard in a bifurcated trial that ended on March 22, 2019, with the Court find that Molnar was Not Liable for malpractice in the Chima Action for failing to request attorney’s fees in the BC519223 action. Singh appealed the bifurcated trial’s findings, (see B297036 and B303366), which were Denied, with remittitur being issued on July 1, 2021.

 

Second Malpractice Action

 

On June 10, 2021, Singh again sued Molnar based on the above facts and for engaging in conduct leading to the dismissal of the Foreign Judgment in Nevada (LASC 21STCV21924 or “Second Malpractice Action”). Singh amended his complaint on November 15, 2021, alleging: (1) Breach of Contract, (2) Breach of Fiduciary Duty, (3) Indemnification, (4) Professional Negligence [Malpractice], and (5) Fraud.

 

Also on November 15, 2021, Molnar brought a Motion to Strike Plaintiff’s Complaint Pursuant to Code of Civil Procedure Section 425.16 (the anti-SLAPP statute) on the grounds that Singh was suing Molnar in the Second Malpractice Action for engaging in constitutionally protected activity within the meaning of the anti-SLAPP statute and that Singh could not show even minimal merit to his claims for various reasons.

 

The Court Granted Molnar’s anti-SLAPP Motion on January 20, 2022, finding that “because the causes of action in the First Amended Complaint involve conduct that is protected activity for the purposes of anti-SLAPP and because Singh cannot show even minimal merit to his probability of succeeding on the merits of his claims because, inter alia, res judicata precludes, fatally estops and bars all five causes of action.”

 

Molnar then brought the instant Motion for Attorney’s Fees and Costs on March 18, 2022, seeking “to recover $32,501.00 in reasonable attorney[’]s fees and litigation costs in the amount of $730.50 incurred in defense of this action.”

 

Singh filed a Notice of Appeal for “Judgment after an order granting a Special Motion to Strike under CCP Section 425.16” on March 25, 2022. On May 3, 2022, the Superior Court noticed Singh that his appeal had been placed in default and would be referred to the Court of Appeal for dismissal if he failed to correct the defects in the appeal. On June 8, 2022, the Second District Court of Appeal issued a Notice of Non-Compliance of Default on Appeal.

 

To date, Singh has failed to file an Opposition to the Motion for Attorney’s Fees and Costs.

 

Motion for Attorney’s Fees and Costs: GRANTED

 

Legal Standard: A prevailing defendant on an anti-SLAPP motion is entitled to recover their attorney’s fees and costs. (Code Civ. Proc., § 425.16, subd. (c)(1).) Holguin v. DISH Network LLC (2014) 229 Cal.App.4th 1310, 1332.) No specific findings reflecting the court’s calculations for attorney’s fees are required; the record need only show that the attorney’s fees were awarded according to the “lodestar” or “touchstone” approach. (Rebney v. Wells Fargo Bank (1991) 232 Cal.App.3d 1344, 1349.) The Court has broad discretion to determine the amount of a reasonable attorney’s fee award, which will not be overturned absent a “manifest abuse of discretion, a prejudicial error of law, or necessary findings not supported by substantial evidence.” (Bernardi v. County of Monterey (2008) 167 Cal.App.4th 1379, 1393-94.)

 

Analysis: Defendant Molnar brings this unopposed Motion seeking “that the Court award him $32,501.00 in reasonable attorney[’]s fees[, no multiplier,] and litigation costs in the amount of $730.50.” (Mot., 9:18-19.)

 

The Court begins this inquiry “with the ‘lodestar,’ i.e., the number of hours reasonably expended multiplied by the reasonable hourly rate.” (PLCM Group v. Drexler (2000) 22 Cal.4th 1084, 1095.) From there, the “lodestar figure may then be adjusted [according to a multiplier enhancement] based on consideration of factors specific to the case, in order to fix the fee at the fair market value for the legal services provided.” (Ibid.) Relevant multiplier factors include “(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.” (Ketchum v. Moses (2001) 24 Cal.4th 1122, 1132.)

 

Defendant Molnar argues that an hourly rate of $400.00 per hour for Defense Counsel Jeff C. Hsu and an hourly rate of $295 per hour for Defense Counsel Patrick Gillespie is reasonable (Mot., 6:22-7:4), and the Court agrees based on the subject matter of this action, Defense Counsel’s respective number of years of practice, and Defense Counsel’s respective litigation experience (Mot., Hsu Decl., ¶ 10 [detailing Mr. Hsu’s 16 years of experience practicing law in professional liability defense and malpractice actions before state, federal, and appellate court and other information], ¶ 17 [detailing Mr. Gillespie’s 8 years of experience practicing law in actions involving anti-SLAPP matters]).

 

Defendant Molnar argues that Defense Counsel reasonably expended 83.3 hours in this matter, (Mot., 6:22-7:4), which the Court determines is reasonable based on the verified time records provided by Defendant Molnar (Mot., Hsu Decl., Exs. 1-5 [verified time records]). (See Horsford v. Board of Trustees of Calif. State Univ. (2005) 132 Cal.App.4th 359, 397 [“trial court abused its discretion in rejecting wholesale counsels’ verified time records” where “verified time statements of the attorneys, as officers of the court, are entitled to credence in the absence of a clear indication the records are erroneous”].)

 

Defendant does not seek a multiplier enhancement award. (See Mot., 3:2-9:19.)

 

The Court thus AWARDS Defendant Molnar reasonable attorney’s fees of $32,501.00.

 

Defendant Molnar also seeks $730.50 in costs and expenses, comprised of $209 in filing and motion fees and $521.50 in a “First Appearance Fee” (Mot., Hsu Decl., Ex. 6 [Memorandum of Costs]; Mar. 18, 2022 Memorandum of Costs, MC-010, p. 1, MC-011, p. 3), which the Court AWARDS in full.

 

The Court therefore GRANTS Defendant Christian Stephen Molnar’s Motion for Attorney’s Fees and Costs in the amount of $33,231.50, comprised of $32,501.00 in reasonable attorney’s fees and $730.50 in reasonable costs and expenses.

 

Conclusion

 

Defendant Christian Stephen Molnar’s Motion for Attorney’s Fees and Costs is GRANTED in full for a total of recovery of $33,231.50, comprised of $32,501.00 in reasonable attorney’s fees and $730.50 in reasonable costs and expenses for the work of Defense Counsel in this action.