Judge: Teresa A. Beaudet, Case: 20STCV38299, Date: 2025-01-17 Tentative Ruling
Case Number: 20STCV38299 Hearing Date: January 17, 2025 Dept: 50
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ITZEL MARTINEZ, Plaintiff, vs. GT EVENTS MANAGEMENT, INC., et al., Defendants. |
Case No.: |
20STCV38299 |
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Hearing Date: |
January 17, 2025 |
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Hearing Time: |
10:00 a.m. |
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[TENTATIVE]
ORDER RE: MOTION
FOR ATTORNEYS’ FEES AND COSTS |
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Background
Plaintiff Itzel Martinez (“Plaintiff”) filed this action on October 6,
2020 against Defendants GT Events Management, Inc., GT Events, Inc., and GT
Agency. The Complaint alleges causes of action for (1) discrimination on the
basis of disability, (2) retaliation, (3) failure to engage in good faith
interactive process, (4) failure to provide reasonable accommodation,
(5)
failure to prevent discrimination, harassment, and retaliation, (6) wrongful
termination in violation of public policy, (7) failure to rehire, (8) violation
of Labor Code section 226(b),
(9)
violation of Labor Code section 1198.5, (10)
intentional infliction of emotional distress, (11) violation of Business and Professions Code section 17200, and
(12) declaratory judgment.[1]
On June 21, 2024, a Judgment was
entered in this action. The Judgment provides, inter alia, that “this
matter came on for trial on May 1, 16, 17 and 23, 2023, in Department 50 of the
above-entitled Court before the Hon. Teresa A. Beaudet, sitting without a jury.
WHEREAS, having considered the arguments and evidence presented by both
parties, the Court issued a Statement of Decision. The Court found in favor of
Plaintiff Itzel Martinez on her discrimination, wrongful termination, failure
to engage in the interactive process and failure to accommodate causes of
action and awarded damages in the amount of $20,360.00, plus attorney fees and
costs per motion. The Court found in favor of Defendant GT Events Management,
Inc. (‘GT’) on the failure to prevent discrimination cause of action. IT IS
HEREBY ORDERED, ADJUDGED, AND DECREED that Judgment shall be entered for Itzel
Martinez and against GT Events Management Inc. in the amount of $20,360.00.”
Plaintiff now moves for an order awarding her attorneys’ fees in the
amount of $175,372.50 and costs in the amount of $6,811.73. GT Events
Management and GT Events, Inc. (jointly, “Defendants”) oppose.
Discussion
A. Entitlement to Attorney’s Fees
“A trial court has discretion to award
attorney’s fees and costs to the party prevailing in a FEHA action.” (Steele v. Jensen
Instrument Co. (1997) 59
Cal.App.4th 326, 331.) Government Code section 12965, subdivision (c)(6)
provides in pertinent part that “[i]n civil actions brought under this section,
the court, in its discretion, may award to the prevailing party, including the
department, reasonable attorney’s fees and costs, including expert witness
fees.” “In FEHA actions, the discretion to deny a fee award to a prevailing
plaintiff is narrow. A prevailing plaintiff should ordinarily recover an attorney’s
fee unless special circumstances would render such an award unjust.” (Steele
v. Jensen Instrument Co., supra, 59 Cal.App.4th at p. 331 [internal
quotations and citations omitted].)
“[T]he
fee setting inquiry in California ordinarily begins with the ‘lodestar,’ i.e.,
the number of hours reasonably expended multiplied by the reasonable hourly
rate….The reasonable hourly rate is that prevailing in the community for
similar work. The lodestar figure may then be adjusted, 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.” (PLCM Group, Inc. v. Drexler (2000) 22 Cal.4th 1084, 1095 [internal
citations omitted]; see
also Flannery v. Prentice (2001)
26 Cal.4th 572, 584, “[p]ursuant to long-established precedent and practice,
section 12965 fees are calculated by determining
the number of hours reasonably worked by the attorneys who prosecuted the
matter and multiplying that number by the reasonable hourly rate those
attorneys should receive for such work. Depending on the circumstances, consideration
may also be given to the attorneys’ experience, the difficulty of the issues
presented, the risk incurred by the attorneys in litigating the case, the
quality of work performed by the attorneys, and the result the attorneys
achieved.”)
In
the opposition, Defendants argue that “special circumstances exist that
would render…an [award of attorney’s fees] unjust. This Court simply awarded
Plaintiff $20,360.00 – approximately $5,000.00 below the statutory limit of the
Superior Court. This matter should have been brought in a Limited Jurisdiction
Court. Moreover, Plaintiff sought litigation for the sole purpose of an
attorney fee award as Plaintiff failed to do better than her own 998. It will
not be an abuse of discretion for the Court to refrain granting request for attorneys’
fees and costs given the award rendered.” (Opp’n at p. 6:5-11 [emphasis
added].)
Defendants cite to Steele v. Jensen Instrument Co., supra, 59 Cal.App.4th at pages 330-331, where
the Court of Appeal noted that a “policy promoted by a
cost-shifting statute is the encouragement of the bringing of an action in the
appropriate forum. For example, actions in which the amount in dispute is
$25,000 or less should be brought in the municipal court. If a plaintiff brings an
action in superior court and recovers a judgment within the $25,000
jurisdictional limit of the municipal court, the trial court has the discretion
to deny costs to the plaintiff. In the superior court, costs or any portion
of claimed costs shall be as determined by the court in its discretion…where
the prevailing party recovers a judgment that could have been rendered in a
court of lesser jurisdiction. In determining whether the prevailing party
recovered a judgment that could have been rendered in a court of lesser
jurisdiction, the trial court does not add a potential award of statutory or
contractual attorney’s fees.” (Internal quotations and citations
omitted.)
Here, the Court in its discretion
does not find that Plaintiff’s request for attorney’s fees and costs should be
denied because Plaintiff recovered a judgment of only $20,360.00. Plaintiff
asserts that “this Court already ruled that Plaintiff is entitled to its
attorney’s fees and cost per motion.” (Reply at p. 1:17-18.) Indeed, as set
forth above, the Court’s June 21, 2024 Judgment provides, inter alia,
that “[t]he Court found in favor of Plaintiff Itzel Martinez on her
discrimination, wrongful termination, failure to engage in the interactive
process and failure to accommodate causes of action and awarded damages in the
amount of $20,360.00, plus attorney fees and costs per motion.”
In
addition, in Harman v. City and County of San Francisco (2007) 158 Cal.App.4th 407, 427,
footnote 11, cited by Plaintiff, the Court
of Appeal noted that “Beaty v. BET Holdings, Inc. and Vo v. Las Virgenes Municipal Water
Dist. were cases brought under the FEHA. In Vo, the jury found that the defendant was liable
for harassment based on race, awarding the plaintiff $40,000 in compensatory
damages, an amount later reduced to $37,500 by stipulation. The trial court
then awarded the plaintiff $470,000 in attorney fees. Despite the fact that the
fee award was more than 10 times greater than the plaintiff’s damages, the
court concluded that the fee was justified because the defendant took a rigid
nonsettlement posture, and because the award served the FEHA’s objectives of
exposing and deterring discrimination.”
In the motion, Plaintiff asserts
that “[a]t all times, defendant denied that it terminated Plaintiff due to her
disabilities. The difficult fact pattern of this case, coupled with defendant’s
hardline positions, made success highly unlikely. Defendant maintained that
Plaintiff was not subject to discrimination or retaliation. From beginning to
end, Defendant did not give an inch in this case, and Plaintiff’s counsel
responded by vigorously fighting to vindicate the rights of Plaintiff.” (Mot.
at p. 3:1-6.) In her supporting declaration, Plaintiff’s counsel asserts that
she “attempted to resolve this matter with Defendant GT on at least two
occasions. Plaintiff submitted a…CCP section 998
offer to compromise on February 8, 2021, inclusive of all claims for damages,
cost and expenses, attorneys’ fees, statutory penalties, and interest against
it. (See Exh. 5, copy of the 998 offer.) Defendant GT refused to engage or
accept the 998 offer to compromise. Parties attended an MSC on March 15, 2022.
However, Defendant GT did not engage in good faith and made no reasonable
offers.” (Nazarian Decl., ¶ 15.) Plaintiff’s counsel states that “GT never
responded to Plaintiff’s section 998 Offer and
never made any counteroffers.” (Nazarian Decl., ¶ 17.) Plaintiff’s counsel
states that she “faced tenacious opposition from Defendant who fought
vigorously throughout this litigation.” (Nazarian Decl., ¶ 30.) Here, the Court
finds that Plaintiff has shown that the “fee [is] justified because the
defendant took a rigid nonsettlement posture, and because the award serve[s]
the FEHA’s objectives of exposing and deterring discrimination.” (Harman v. City and County of San Francisco, supra,
158 Cal.App.at p. 427, fn. 11.)
Defendants also assert that “the
award rendered by this Court is less than one-third of the C.C.P. 998 Offer to
Compromise served by Plaintiff’s counsel on February 8, 2021.” (Opp’n at p.
2:15-16.) In Steele, cited by Defendants, the Court of Appeal noted that
“Code of Civil Procedure section 998 permits a defendant to make a
statutory offer to compromise an action. ‘If an offer made by a
defendant is not accepted and the plaintiff fails to obtain a more favorable
judgment, the plaintiff shall not recover his or her costs and shall pay the
defendant’s costs from the time of the offer.’ (Code
Civ. Proc., § 998, subd. (c).) ‘[I]n determining the ‘more favorable
judgment’ issue under section 998 ‘we first add to
the judgment of damages those recoverable costs and attorney’s fees authorized
by statute and incurred before the settlement offer.’…Although Code
of Civil Procedure section 998, subdivision (c) has been amended to
preclude, in contract actions, the addition of attorney’s fees and costs to the
judgment of damages, such fees and costs must be added in actions brought under the
FEHA.” (Steele v. Jensen Instrument Co., supra, 59 Cal.App.4th at p. 330.)
But here, Defendants
do not appear to indicate that they made a Code of
Civil Procedure section 998 offer to Plaintiff that was rejected. To the
contrary, Defendants appear to acknowledge that on February 8, 2021, Plaintiff
made a Code of Civil Procedure section 998 offer to
GT Events Management, Inc. that was not accepted. (Nazarian
Decl., ¶ 15, Ex. 5.) The Court finds that Defendants fail to articulate why
Plaintiff’s request for attorney’s fees and costs should purportedly be denied
under Code of Civil Procedure section 998.
Based on the foregoing, the Court
finds that Plaintiff is entitled to attorney’s fees here under Government Code section 12965, subdivision (c)(6).
B. The Hourly Rate of Counsel
In
her supporting declaration, Plaintiff’s counsel Sherri Nazarian
indicates that she seeks an hourly rate of $650.00 per hour. (Nazarian Decl., ¶
7.) Ms. Nazarian’s background and
experience are discussed in her supporting declaration. (Nazarian Decl.,
¶¶ 3-7.) In addition, Plaintiff’s counsel Harut Voskanyan indicates that he
seeks an hourly rate of $575.00 per hour. (Voskanyan Decl., ¶ 8.) Mr.
Voskanyan’s background and experience are discussed in his supporting
declaration. (Voskanyan Decl., ¶¶ 2-6.)
In the opposition, Defendants do not appear to
dispute Plaintiff’s counsel’s requested hourly rates. The Court finds that the hourly rates requested by Plaintiff’s counsel
are reasonable and commensurate with rates charged by attorneys with comparable
skill and experience.
C.
Reasonableness
of the Requested Fees
“[T]he
court’s discretion in awarding attorney fees is…to be exercised so as to fully
compensate counsel for the prevailing party for services reasonably provided to
his or her client.” (Horsford v. Board of Trustees of California State
University (2005) 132 Cal.App.4th
359, 395.) The trial court may reduce the award
where the fee request appears unreasonably inflated, such as where the
attorneys’ efforts are unorganized or duplicative. (Serrano v. Unruh (1982) 32 Cal.3d 621, 635, fn. 21.)
“[T]he 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.” (Horsford v. Bd. of Trustees
of California State Univ., supra,
132
Cal.App.4th at p. 396.)
In
her supporting declaration, Plaintiff’s counsel Sherri Nazarian states
that “[m]y attached time keeping record includes 151 detailed entries, which is
not remotely close to the actual hours I spent on this case. (See Exh. ‘1,’ a
true and correct copy of my time keeping for the hours I am seeking payment
for.).” (Nazarian Decl., ¶ 26.) Ms. Nazarian states that “even though I have
expended over 330 hours on this case, I am requesting recovery for the total
hours of 151 at $650 per hour, which equals $98,150.” (Nazarian Decl., ¶ 27.)
Plaintiff
also seeks attorney’s fees for 134.3 hours expended by Mr. Voskanyan, for a
total of $77,222.50 (134.3 hours x 575.00/hour). (Nazarian Decl., ¶ 29.) In his
supporting declaration, Mr. Voskanyan states that “[a]ttached to Plaintiff’s
Appendix of Evidence as Exhibit 2 is a true and correct copy of my time records
that reflect my work performed on this case, which I kept regularly in the
course of my work on this case.” (Voskanyan Decl., ¶ 10.)
In the
opposition, Defendants appear to object to “pre-litigation hours” Plaintiff’s
counsel seek to recover. Defendants do not identify any specific billing
entries they purportedly object to. In addition, Defendants do not cite to any
legal authority indicating that Plaintiff may not recover fees for time incurred
on “pre-litigation” tasks relating to this action.
Defendants
also appear to object to 29.7 hours spent by Plaintiff’s counsel “preparing,
filing the complaint, conversing between themselves and preparing an initial
set of discovery.” (Opp’n at p. 7:17-18.) Again, Defendants do not identify any
specific billing entries they object to. Thus, the Court is unable to determine
whether any such unidentified billing entries are purportedly unreasonable. Moreover,
the Court finds that 29.7 hours to prepare and file a complaint and to prepare
an initial set of discovery is reasonable.
In
addition, Defendants appear to object to 19.4 hours of time incurred by
Plaintiff “for motions to compel that were denied...” (Opp’n at p. 7:20-21.)
Again, Defendants do not identify the particular billing entries they are
objecting to. In addition, Defendants do not cite to any legal authority
indicating that a party must prevail on a motion in order to recover attorney’s
fees for the time spent on such motion.
Defendants
also state that “Plaintiff seeks 6 hours for conversing with a witness (DT) who
was identified in discovery or deposed or called as a witness at trial.” (Opp’n.
at p. 7:23-24.) This argument is confusing. The Court notes that Mr.
Voskanyan’s time records include an entry for a “call with witness DT” on March
14, 2021. (Voskanyan Decl., ¶ 10, Ex. 2.) To the extent Defendants are
objecting to this billing entry, it is unclear on what grounds Defendants are
doing so.
Lastly,
Defendants state that “Plaintiff is seeking over 7 hours for ex parte motions
to continue trial based on Defense counsel illness and unavailability (which
were granted by the Court not only on Defense counsel unavailability but also
the Court’s) rather than simply stipulating to the same.” (Opp’n at pp.
7:25-8:1.) Again, it is unclear what specific billing entries Defendants are
objecting to. Moreover, Defendants do not submit any evidence to support the
foregoing argument.
The
Court does not find that Defendants have demonstrated that any of Plaintiff’s
billing entries are unreasonable. The Court finds that the time requested by
Plaintiff’s counsel is reasonable.
D.
Costs
Plaintiff’s
counsel states that Plaintiff seeks $6,811.73 in costs. (Nazarian Decl.,
¶ 30, Ex. 4.) Defendants do not appear to dispute Plaintiff’s requested costs. The
Court finds that the requested costs are reasonable.
Conclusion
Based on the foregoing, Plaintiff’s motion for attorney’s
fees and costs is granted. Plaintiff is awarded attorney’s fees in the amount
of $175,372.50 and costs in the amount of $6,811.73.
Plaintiff
is ordered to provide notice of this ruling.
DATED:
Hon. Teresa A.
Beaudet
Judge, Los
Angeles Superior Court
[1]The Court notes that the causes of action listed on
the caption page of the Complaint do not exactly match the causes of action
alleged in the body of the Complaint.