Judge: Holly J. Fujie, Case: 22STCV06646, Date: 2025-03-06 Tentative Ruling
DEPARTMENT 56 JUDGE HOLLY J. FUJIE, LAW AND MOTION RULINGS. The court makes every effort to post tentative rulings by 5.00 pm of the court day before the hearing. The tentative ruling will not become the final ruling until the hearing [see CRC 3.1308(a)(2)], and are also available in the courtroom on the day of the hearing [see CRC 3.1308(b)]. If the parties wish to submit on the tentative ruling and avoid a court appearance, all counsel must agree and choose which counsel will give notice. That counsel must 1) call Dept 56 by 8:30 a.m. on the day of the hearing (213/633-0656) and state that all parties will submit on the tentative ruling, and 2) serve notice of the ruling on all parties. If any party declines to submit on the tentative ruling, then no telephone call is necessary and all parties should appear at the hearing in person or by Court Call. Court reporters are not provided, and parties who want a record of motions and other proceedings must hire a privately retained certified court reporter.
Case Number: 22STCV06646 Hearing Date: March 6, 2025 Dept: 56
SUPERIOR
COURT OF THE STATE OF CALIFORNIA
FOR
THE COUNTY OF LOS ANGELES - CENTRAL DISTRICT
|
SEAN M. FAZENDE, Plaintiff, vs. KIA AMERICA, INC., et al,
Defendants. |
|
[TENTATIVE] ORDER RE: MOTION FOR ATTORNEY FEES Date: March 6, 2025 Time: 8:30 a.m. Dept. 56 |
MOVING
PARTY: Plaintiff Sean M. Fazende (“Plaintiff”)
RESPONDING
PARTY: KIA America, Inc. (“Defendant”)
The Court has considered the moving,
opposition and reply papers.
BACKGROUND
This is a lemon-law action. Plaintiff’s
complaint (the “Complaint”) alleges: (1) breach of express warranty under the
Song-Beverly Act; (2) breach of implied warranty under the Song-Beverly Act;
and (3) violation of Civil Code section 1793.2, subdivision (b).
On January 15, 2025, Plaintiff filed
the instant motion for attorney’s fees (the “Motion”). On February 21, 2025,
Defendant filed an opposition (the “Opposition”). On February 27, 2025,
Plaintiff filed a reply (the “Reply”).
EVIDENTIARY
OBJECTIONS
Plaintiff
objects to certain portions of the Declaration of Samuel B. Laughlin
submitted with Defendant’s Opposition.
Plaintiff’s objection is OVERRULED.
DISCUSSION
Attorneys’ fees are allowed as costs
when authorized by contract, statute or law. (Code Civil Procedure (“CCP”), §
1033.5, subd. (a)(10)(B).)
In a lemon law action, costs and expenses,
including attorneys’ fees, may be recovered by a prevailing buyer under the
Song-Beverly Act. Civil Code section 1794 states: If the buyer prevails in an
action under this section, the buyer shall be allowed by the court to recover
as part of the judgment a sum equal to the aggregate amount of costs and
expenses, including attorney’s fees based on actual time expended, determined
by the court to have been reasonably incurred by the buyer in connection with
the commencement and prosecution of such action. (Civ. Code § 1794, subd. (d).)
The attorney claiming fees bears the
burden of proof as to “reasonableness” of any fee claim. (CCP, § 1033.5 subd.
(c)(5).) This burden requires competent evidence as to the nature and value of
the services rendered. (Martino v. Denevi (1986) 182 Cal.App.3d 553,
559.) “Testimony of an attorney as to the number of hours worked on a
particular case is sufficient evidence to support an award of attorney fees,
even in the absence of detailed time records.” (Id.)
In determining a reasonable attorneys’
fee, the trial court begins with the lodestar, i.e., the
number
of hours reasonably expended multiplied by the reasonable hourly rate. (Warren
v. Kia Motors America, Inc. (2018) 30 Cal.App.5th 24, 36.) The lodestar may
then be adjusted based on factors specific to the case in order to fix the fee
at the fair market value of the legal services provided. (Id.) These
facts 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, (4) the contingent
nature of the fee award. (Id.)
Plaintiff moves for an award of
attorneys’ fees in the amount of $74,478.75, consisting of: (1) $49,652.50 in
attorney’s fees; (2) a 1.5 multiplier enhancement in the amount of $24,826.25; and
(3) $3,688.47 in costs and expenses.
Entitlement
to Attorneys’ Fees
Plaintiff contends that he is the
prevailing party in this action because of a signed 998 offer in which
Defendant ultimately agreed to settle this case. The Court agrees and Defendant
does not dispute this. Plaintiff is the prevailing party in this action
entitled to a reasonable amount of attorneys’ fees.
Reasonableness
of Fees
Reasonable Hourly Rate
“The reasonable hourly rate is that
prevailing in the community for similar work.” (PLCM Group v. Drexler
(2000) 22 Cal.4th 1084, 1095 [“The experienced trial judge is the best judge of
the value of professional services rendered in [her] court.”].)
Plaintiff seeks to recover
attorneys’ fees for 2 attorneys from JSGM Law LLP (“JSGM”) and 3 attorneys and 4
paralegals from Wirtz Law APC (“Wirtz”). Their hourly rates are as follows: (1)
Guy Mizrahi: $550/hr; (2) Pouyan Bohloul: $395/hr; (3) Amy R. Rotman: $550/hr;
(4) Jessica
R. Underwood: $550/hr; (5) Rebecca Evans: $300/hr; (6) Dalia Zaki: $250/hr; (7)
Alana Mellgren: $450/hr; (8) Amanda Vitanatchi $250/hr; and (9) Andrea
Lizarraga: $250/hr.
For each of the JSGM attorneys, attorney
Guy Mizrahi attests to their legal experience and the reasonableness of their
rates. (Mizrahi Decl., ¶¶ 7-12.) For each of the Wirtz attorneys and
paralegals, attorney Richard M. Wirtz attests to their legal experience and the
reasonableness of their rates. (Wirtz Decl., ¶¶ 14-25.) The Court finds, based
on the submitted evidence in the Mizrahi and Wirtz declarations and the Court’s
own experience, that Plaintiff’s attorneys’ requested hourly rates are
reasonable for attorneys with their experience and in this area of the law. The
range of rates charged in this matter by JSGM and Wirtz are reasonable for
attorneys of similar experience, in the same area, dealing with the same
subject matter. (See Goglin v BMW of North America (2016) LLC 4
Cal.App.5th 462, 473-74 [approving $575 per hour fee on lemon law action for
attorneys in Los Angeles].)
Defendant argues that the use of 9
different legal professionals in this action is unwarranted and resulted in redundant
work (Opp., pp. 3:14-22, 5:15-23.) The Court has discretion to reduce fees that
result from inefficient or duplicative use of time. (Horsford v. Board of
Trustees of California State University (2005) 132 Cal.App.4th 359, 395.)
The Court will consider this issue in determining whether the total number of
hours was reasonable.
Reasonable Hours Incurred
“A trial court assessing attorney fees
begins with a touchstone or lodestar figure, based on the ‘careful compilation
of the time spent and reasonable hourly compensation of each attorney ...
involved in the presentation of the case.” (Christian Research Institute v.
Alnor (2008) 165 Cal.App.4th 1315, 1321.) “The reasonableness of attorney
fees is within the discretion of the trial court, to be determined from a
consideration of such factors as the nature of the litigation, the complexity
of the issues, the experience and expertise of counsel and the amount of time
involved. The court may also consider whether the amount requested is based
upon unnecessary or duplicative work.” (Wilkerson v. Sullivan (2002) 99
Cal.App.4th 443, 448.)
Plaintiff’s fee recovery is based on
58.20 hours spent by attorneys at JSGM and 57 hours spent by attorneys and
paralegals at Wirtz litigating this case through this Motion for which
Plaintiff has submitted billing records. (Mizrahi Decl., Ex. 1; Wirtz Decl.,
Ex. 1.) At the rates identified above, Plaintiff represents that he is seeking
a lodestar of $49,652.50.
Defendant objects to several of
Plaintiff’s requested hours on the grounds that Plaintiff’s counsel billed time
that was unreasonable and unnecessary.
First, Defendant objects to various tasks
as unnecessary work due to overstaffing or as duplicative. (Opp., pp. 5:15-23;
9:3-7.) Specifically, Defendant objects to 2.4 hours ($970.00) billed on August
3, 8, 15 and 16, 2023 on grounds that these tasks were redundant and 0.3 hours
($135) on grounds that these tasks were duplicative. (Laughlin Decl., Ex. 11.) Upon
review of the entries, the time spent does not appear to be duplicative.
Second, Defendant objects to various tasks
as administrative or clerical in nature. (Opp. pp. 5:24-6:9.) Specifically,
Defendant objects to 9.4 hours ($4,120.00) billed on May 9 and 31, June 8 and
21, 2022, March 27, June 28, July 3, 10, 24 and 31, August 1, November 8 and
30, December 1, 4, and 14, 2023, January 19, 23, 24, 25, 30 and 31, February
12, 13, 15 and 22, and March 12, 2024 as excessive time for administrative
duties and overheard. (Laughlin Decl., Ex. 11.) Upon review, the Court does not
find that these tasks were unnecessary or billed at excessive rates.
Third, Defendant objects to time spent
related to a discovery dispute on grounds that the discovery sought was not material
to Plaintiff’s claims. (Opp., pp. 6:11-7:2.) Specifically, Defendant objects to
18.3 hours ($7,228.50) billed on June 30, July 12, 15, 18 and 20, August 16, 24,
25, 26 and 29, December 1 and 2, 2022, January 9, March 2, 9 and 14, and May 4,
2023 as excessive time for discovery dispute issues with a motion to compel
further responses. (Laughlin Decl., Ex. 11.) Upon review, the Court does not
find that Plaintiff spent an unreasonable amount of time on this discovery
dispute, as the issue was contested and the Court ordered Defendant to produce
additional documents in response.
Fourth, Defendant objects to the time
spent drafting the instant fee Motion on grounds that the work includes a
boilerplate brief and simple gathering of documents. (Opp., p.7:3-6.)
Specifically, Defendant objects to 14.6 hours ($7,680.00) to draft the Motion
and complete various related tasks. (Laughlin Decl., Ex. 11.) While the billing
and supporting evidence may have taken some time to gather, the Court finds
that the time as requested is excessive and not reasonable. The Court therefore
reduces the fee by $3,000.00.
Next, Defendant objects to various tasks as
billed at excessive amounts of time. (Opp., pp. 7:7-8:2; 10-15.) Specifically,
Defendant objects to the following:
· 0.9 hours ($495.00)
for preparing the summons, Complaint and initial filing papers
· 3.4 hours
($1,343.00) for initial review of the file and discovery responses and prepare
meet and confer correspondence regarding same
· 0.9 hours
($355.00) for reviewing meet and confer correspondence and a proposed
protective order
· 1.0 hour ($550.00)
for preparing a status report for the client
· 0.2 hours
($110.00) for preparing Plaintiff’s objections to notice of deposition
· 0.2 hours ($79.00)
for reviewing the Court’s IDC rules
· 0.5 hours
($275.00) for preparing a memo summarizing and analyzing Plaintiff’s deposition
· 0.3 hours
($165.00) for preparing correspondence to defense counsel
· 0.5 hours
($275.00) for preparing a memo regarding trial strategy issues
· 0.4 hours
($180.00) for drafting, reviewing and revising the stipulation to continue
trial
· 0.6 hours
($330.00) for consulting with an expert
(Laughlin Decl., Ex. 11.)
The Court finds that most of this time
spent is reasonable. The Court will, however, reduce the fees by $550.00 for
the time spent on internal memos.
Next, Defendant objects to excessive time
spent on standard discovery and discovery responses. (Opp., p. 8:3-9.)
Specifically, Defendant objects to 11.6 hours ($6,349.00) billed on April 2 and
22, November 15, 2022 and May 9, 2023. (Laughlin Decl., Ex. 11.) The Court finds
that the amount of time spent preparing Plaintiff’s responses to the initial discovery
is slightly overstated considering this is a standard Lemon Law action. The
Court will thus reduce the fees by 2.0 hours, in the amount of $1,100.00.
Defendant also objects to the time spent
to finalize the settlement in this matter as unnecessary. (Opp., p. 8:16-25.)
Specifically, Defendants objects to 5.2 hours ($2,735.00) billed on March 18,
19 and 20, April 4 and 15, May 1, 3, 14, 20, 21, 22, 23 and 30, June 3, 4 and 5,
and July 3, 8 and 9 2024. (Laughlin Decl., Ex. 11.) As both parties contested
the settlement terms in this matter for several months, the time spent does not
appear unnecessary or excessive.
Next Defendant objects to the time spent
preparing for trial as unnecessary. (Opp. pp. 8:26-9:2.) Specifically,
Defendant objects to 6.9 hours ($2,820.00) billed on January 23, 26, 29 and 30,
February 14 and 26, and April 17, 2024. (Laughlin Decl., Ex. 11.) Upon review
of the entries, the Court does not find that this time was unreasonably spent.
Defendant further objects to certain
time-entries as block-billed or vague. (Opp., p. 9:8-17.) Specifically,
Defendant objects to 3.0 hours ($1,588.00) billed on February 22 and 25, March
2, July 14, 2022 and January 6, 2023. (Laughlin Decl., Ex. 11.) The Court will
reduce the fees by 1.0 hour, $550.00, for work billed prior to counsel preparing
the representation agreement.
Lastly, Defendant objects to the
fees incurred after Defendant’s first 998 offer was served. (Opp., pp.
9:18-10:7.) Specifically, Defendant objects to 3.7 hours ($1,765.00) billed on February
13, 15, 23 and 27, March 8 and 12, April 23, May 20 and 21, 2024. (Laughlin
Decl., Ex. 11.) As Defendants completed this work prior to reaching the final
settlement in this matter, the time spent on these tasks was reasonable.
Having analyzed the motions and pleadings
filed, and having reviewed the billing statements provided, the Court
determines that a reasonable lodestar in this case, based on the foregoing
discussion, is $44,452.50.
Multiplier
While the lodestar reflects the basic fee
for comparable legal services in the community, it may be adjusted based on
various factors, including “(1) the novelty and difficulty of the questions
involved, and the skill displayed in presenting them; (2) the extent to which
the nature of the litigation precluded other employment by the attorneys; (3)
the contingent nature of the fee
award” and (4) the
success achieved. (Serrano v. Priest (1977) 20 Cal.3d 25, 49.)
Nonetheless,
the court must not consider extraordinary skill and the other Serrano factors
to the extent these are already included with the lodestar. (Ketchum v.
Moses (2001) 24 Cal. 4th 1122, 1138-1139.) “[A] trial court should award a
multiplier for exceptional representation only when the quality of
representation far exceeds the quality of representation that would have been
provided by an
attorney of comparable skill and experience billing at the hourly rate used in
the
lodestar
calculation. Otherwise, the fee award will result in unfair double counting and
be
unreasonable.” (Id.
at 1139.)
Plaintiff requests a lodestar
multiplier enhancement of 1.5 in the additional amount of $24,826.25 for risk
and delay and because public interest justifies a multiplier. (Mot., pp. 13:11-15:1.)
The Court finds that under the
circumstances of this case, a lodestar multiplier is not appropriate. While
Plaintiff argues that counsel accepted the case only on a contingency basis and
there was a delay in payment the Court finds that such consideration and risk
is already included within the lodestar amount. That is because the substantial
hourly rates allowed for by the court are hourly rates for lemon law cases done
on a contingency basis. Based on the foregoing, the Court declines to award a
lodestar multiplier.
Entitlement
and Reasonableness of Costs
Allowable costs “shall be reasonably
necessary to the conduct of the litigation rather than merely convenient or
beneficial to its preparation.” (CCP, § 1033.5, subd. (c)(2).) Any items not
specifically mentioned by statute “may be allowed or denied in the court's
discretion.” (CCP, § 1033.5 subd. (c)(4).)
Song-Beverly allows a successful plaintiff
to recover both “costs” and “expenses.” (Civ. Code, § 1794, subd. (d).) Courts
have held that “it is clear the Legislature intended the word
‘expenses'
to cover items not included in the detailed statutory definition of ‘costs.”’ (Jensen
v.
BMW
of North America, Inc.
(“Jensen”) (1995) 35 Cal.App.4th 112, 137.) The court in Jensen
held
that “[t]he legislative history indicates the Legislature exercised its power
to permit the
recovery
of expert witness fees by prevailing buyers under the Act … ,” noting that the
legislature
included “expenses” in the lemon law act because '“[t]he addition of awards of
“costs
and
expenses” by the court to the consumer to cover such out-of-pocket expenses as
filing fees,
expert
witness fees, marshall’s fees, etc., should open the litigation process to
everyone.’
[Citation.]”
Plaintiff requests a total of $3,688.47
in costs and expenses. (Mizrahi Decl., ¶ 43; Wirtz Decl., ¶ 52.) Defendant does
not object to the costs or expenses sought.
Based on the foregoing, Plaintiff’s Motion
for Attorneys’ Fees is GRANTED, in part. The court awards $44,452.50 in
attorneys’ fees and $3,688.47 in costs. Payment
of these funds is due to Wirtz Law APC within 30 days of this Order.
Moving
Party is ordered to give notice of this ruling.
Parties who intend to submit on this
tentative must send an email to the Court at SMC_DEPT56@lacourt.org as directed
by the instructions provided on the court website at www.lacourt.org. If the department does not receive an email
and there are no appearances at the hearing, the motion will be placed off
calendar.
Dated this 6th day of March 2025
|
|
|
|
|
Hon. Holly J. Fujie Judge of the
Superior Court |