Judge: Deirdre Hill, Case: YC072886, Date: 2023-02-24 Tentative Ruling

Case Number: YC072886    Hearing Date: February 24, 2023    Dept: M

Hearing Date:                         February 24, 2023

Moving Parties:                      Plaintiffs Cynthia Hu and Steven Lee

Responding Party:                  None

Motion for Attorney’s Fees and Costs

            The court considered the moving papers.  No opposition was filed. Plaintiff’s counsel was only appearing party at hearing

RULING

            The motion is GRANTED.  Plaintiffs are awarded attorney’s fees in the amount of $164,265.50 against defendants jointly and severally.

BACKGROUND

On May 15, 2018, plaintiffs Cynthia Hu and Steven Lee filed a complaint against Jacobo Balairon, Vivian Nguyen, and J & B Veterinary Services, Inc. for (1) breach of oral contract, (2) breach of implied covenant of good faith and fair dealing, (3) fraud, (4) unjust enrichment, and (5) declaratory relief.

On August 29, 2018, Jacobo Balairon (self-represented) filed a cross-complaint against Cynthia Hu for (1) fraudulent misrepresentation, (2) breach of contract, (3) breach of the implied covenant of good faith and fair dealing, and (4) declaratory relief.

On August 18, 2018, Jacobo Balairon and Vivian Nguyen filed an amended cross-complaint for (1) declaratory relief, (2) breach of contract, (3) misrepresentation, and (4) judicial partition.

On April 22, 2019, plaintiffs filed a FAC for (1) partition, (2) breach of contract, (3) fraud, (4) unjust enrichment, (5) declaratory relief, and (6) accounting.

On October 25, 2022, an interlocutory judgment was entered based on a default prove up hearing on August 19, 2022 in favor of plaintiffs and against defendants.

DISCUSSION

            Plaintiffs Cynthia Hu and Steven Lee request that the court award attorney’s fees in the amount of $164,265.50 and costs in the amount of $6,968.83 “as amounts incurred for the common benefit of the parties pursuant to the Interlocutory Judgment” and CCP §§874.020 and 874.040.

            The Interlocutory Judgment states that, “[a]ny recoverable attorney fees or legal costs by Plaintiffs, including, but not limited to, referee costs, shall be determined by this Court upon a duly noticed memoranda of costs and/or motion, including, but not limited to, pursuant to CCP sections 874.020 and 874.040.”

            Under §874.020, “The costs of partition include reasonable expenses, including attorney's fees, necessarily incurred by a party for the common benefit in prosecuting or defending other actions or other proceedings for the protection, confirmation, or perfection of title, setting the boundaries, or making a survey of the property, with interest thereon at the legal rate from the time of making the expenditures.”

Under CCP §874.040, “Except as otherwise provided in this article, the court shall apportion the costs of partition among the parties in proportion to their interests or make such other apportionment as may be equitable.”

Plaintiffs request that the court exercise its equitable power to allocate 100% of legal fees and costs to defendants because defendants “responded to this action by filing a meritless cross-complaint and engaging in frivolous defense of the action before abandoning their defense.”  They contend that “had Defendants simply followed through on their agreement to add Plaintiffs to title, the entire lawsuit would have been avoided.”

According to plaintiff Steven Lee’s declaration, plaintiffs have been represented by Khodadian Law, P.C., Blank Rome, Law Office of Patrick D. Flannery, and Cummins & White, LLP.  He includes the invoices for each of the firms.  According to Eric Khodadian’s declaration, when Khodadian Law was attorney of record, his hourly rate ranged from $300 to $400 and based on review of the time sheets, he estimates that Khodadian Law reasonably spent a total of 146 hours for the common benefit of the parties; totaling $49,495.  As to Blank Rome, the hourly rate ranged from $390 to $465 and they spent 43.3 hours for the common benefit of the parties, totaling $18,595.50.  The Law Office of Patrick D. Flannery charged an hourly rate of $425 and that it is estimated that he spent 207 hours for the common benefit of the parties, totaling $87,975.  As an attorney working for Cummins & White, Khodadian’s hourly rate is $400, and he has spent .5 hours, for a total of $200.  He estimates that he will spend an additional 20 hours at $400 as to the herein motion.  As to costs, plaintiffs contend they incurred $6,968.83.  See Memorandum of Costs.

The court finds that $164,265.50 in attorney’s fees was incurred for the common benefit of the parties.  As to apportionment as may be equitable, the court apportions the attorney’s fees and costs to defendants.

The motion is GRANTED.

Plaintiffs are ordered to submit a proposed order in accordance with the ruling and to give notice of ruling.