Judge: Gregory Keosian, Case: BC641704, Date: 2022-12-15 Tentative Ruling

Case Number: BC641704    Hearing Date: December 15, 2022    Dept: 61

Defendants Min & Hong Corporation and Maureen Hocking’s Motion to Strike or Tax Costs is GRANTED in part; $9,856.11 are taxed from Plaintiff’s memorandum of costs, leaving a total costs bill of $3,028.19.

 

I.                   MOTION TO TAX COSTS

 

“Any notice of motion to strike or to tax costs must be served and filed 15 days after service of the cost memorandum. If the cost memorandum was served by mail, the period is extended as provided in Code of Civil Procedure section 1013. If the cost memorandum was served electronically, the period is extended as provided in Code of Civil Procedure section 1010.6(a)(4).” (California Rules of Court Rule 3.1700, subd. (b)(1).)

“Code of Civil Procedure section 1032, subdivision (b) [], guarantees prevailing parties in civil litigation awards of the costs expended in the litigation: ‘Except as otherwise expressly provided by statute, a prevailing party is entitled as a matter of right to recover costs in any action or proceeding.’” (Williams v. Chino Valley Independent Fire Dist. (“Williams”) (2015) 61 Cal.4th 97, 100.).

 

“If the items on a verified cost bill appear proper charges, they are prima facie evidence that the costs, expenses and services therein listed were necessarily incurred.” (Rappenecker v. Sea-Land Service, Inc. (1979) 93 Cal.App.3d 256, 266.) Although individual cost items are ordinarily challenged by a motion to tax costs, no cost-item is effectively put in issue by “mere statements” claiming them to be unreasonable. (Ibid.) However, where “it cannot be determined from the face of the cost bill whether the items are proper,” “the mere filing of a motion to tax costs may be a ‘proper objection’ to an item.” (Nelson v. Anderson (1999) 72 Cal.App.4th 111, 131, 132.)

 

Plaintiff Joseph Pumphrey (Plaintiff) seeks costs amounting to $12,884.30. Defendants Min & Hong Corporation and Maureen Hocking (Defendants) object to these costs on several grounds. They argue, in general, that these costs should be denied under Code of Civil Procedure § 1033, because Plaintiff obtained a recovery — $4,000 — far less than that appropriate to maintain an action in an unlimited jurisdiction court.

 

Defendants are correct that a substantial reduction in costs is warranted under Code of Civil Procedure § 1033, subd. (a). That statute states: “Costs or any portion of claimed costs shall be as determined by the court in its discretion in a case other than a limited civil case in accordance with Section 1034 where the prevailing party recovers a judgment that could have been rendered in a limited civil case.” (Code Civ. Proc. § 1033, subd. (a).) Here, it was reasonably apparent to all parties by October 11, 2019 — when Plaintiff filed their first attorney fees motion — that Plaintiff’s prayer for injunctive relief had been rendered moot by Defendants’ voluntary remedial efforts. Thus by that time, injunctive relief was off the table, and Plaintiff’s maximum damages were readily estimable at $12,000.00. This is far below the amount in controversy necessary to maintain an action in unlimited jurisdiction court. (See Code Civ. Proc. § 86 [defining limited civil cases to include those involving $25,000 or less].) Even if Plaintiff reasonably believed that injunctive relief (and unlimited jurisdiction) were appropriate when the suit was filed, no such belief would have been reasonable from October 11, 2019 onward. Thus the maximum costs that Plaintiff could reasonably incur are appropriately limited to those incurred prior to October 2019, pursuant to Code of Civil Procedure § 1033, subd. (a). Such a cutoff date is consistent with the foreseeable damages available to Plaintiff, and the policies favoring remediation of accessibility barriers underlying the catalyst theory and Code of Civil Procedure § 1021.5. (See Cruz v. Fusion Buffet, Inc. (2020) 57 Cal.App.5th 221, 233 [describing factors relevant to a decision to deny fees under section 1033].)

Applying the foregoing cutoff date, the following reductions are appropriate for being incurred during and after October 2019:

·         $240 in filing and motion fees;

·         $641.42 in service of process charges;

·         $7,654.00 in court reporter fees;

·         $758.68 in electronic electronic filing or service fees;

·         $80.77 in overnight delivery charges.

These amount to an overall reduction of $9,374.87 from the costs sought. But some of Defendants’ more-specific objections apply to the remaining cost items.

Defendant objects to a $20 charge for the filing of a stipulation to continue trial, on the grounds that said continuance was for Plaintiff’s benefit. (Motion at p. 9.) But the stipulation itself plainly indicates that it was for, among other things, to accommodate Defendant’s unavailability for a settlement conference, and to allow a hearing on Plaintiff’s motions to compel, which he ultimately prevailed upon. (See 4/20/2018 Stipulation.) This cost is proper.

Defendant objects to service of process against certain named individuals, — Manal Elkhamisi, Craig Lobnow, and Adel Elkhamisi — on the grounds that the reason for their subpoena is not made clear in the costs bill, as they were not witnesses at trial. (Motion at p. 10.) Defendant is partially correct: Of these persons, only Lobnow’s utility as a witness is reasonably apparent from the record, as his inspection report was admitted into evidence at trial by stipulation. (See 7/27/2022 Minute Order.) Thus the subpoenas related to the Elkhamisi witnesses are properly taxed, in an amount equal to $162.00.

Defendant objects to the court reporter fee incurred on November 6, 2018. The record reveals that trial was set to begin on that date, appointment of the reporter on that date was approved by the court, and trial was continued pursuant to an ex parte application granted on that same date. The reporter was therefore reasonably necessary in the expectation that trial would begin at that time. No further reduction is appropriate on that charge.

Defendants object to the electronic filing charges on the grounds that Plaintiff’s fees indicate variable charges ranging from $29.13 to $274 for electronic filing and service costs, when alternative filing services are available that will charge a flat $7 per item. (Motion at p. 11.) Defendants do not, however, submit any admissible evidence that their proposed reduction is reasonable. And the matters for which these costs are sought are all reasonably related to necessary steps in the litigation process, taking into account the October 2019 cutoff discussed above, pursuant to Code of Civil Procedure § 1033.

Defendants finally object to the “other” charges sought by Plaintiff, which consist of FedEx charges and courtcall charges to attend hearing. (Motion at p. 12.) These FedEx charges are indeed not compensable, as “postage” charges are expressly disallowed as costs under Code of Civil Procedure § 1033.5, subd. (b)(3). However, Plaintiff’s courtcall expenses for hearings on April 11 and April 23, 2018, represent a reasonable and economical way to attend hearing on Plaintiff’s motions to compel further. Accordingly, of the overall $572.01 in other costs sought, $172.00 are reasonably permitted.

This yields a total cost award as follows:

·         $695 in filing and motion fees;

·         $250.64 in service of process costs;

·         $525 in court reporter fees;

·         $1,385.55 in electronic filing fees;

·         $172.00 in “other” costs.

This yields a total costs bill for Plaintiff amounting to $3,028.19.

Defendants’ motion to tax costs is GRANTED in part; $9,856.11 are taxed from Plaintiff’s memorandum of costs, leaving a total costs bill of $3,028.19.