Judge: Teresa A. Beaudet, Case: 21STCV36052, Date: 2025-04-01 Tentative Ruling
Case Number: 21STCV36052 Hearing Date: April 1, 2025 Dept: 50
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Majed Elaawar, Plaintiff, vs. General motors LLC; and does
1 through 10, inclusive, Defendants. |
Case No.: |
21STCV36052 |
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Hearing Date: |
April 1, 2025 |
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Hearing Time: |
10:00 a.m. |
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[TENTATIVE]
ORDER RE: PLAINTIFF’S MOTION FOR ATTORNEYS’ FEES, COSTS, AND EXPENSES |
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Background
In
2020, Plaintiff Majed Elaawar purchased a Chevrolet Bolt from Defendant General
Motors LLC. In September of 2021, Plaintiff sued Defendant for breach of
express and implied warranties. Plaintiff Majed Elaawar moves under CCP § 1794(d) for an award of $118,755.45 in attorney’s
fees, $7,420.64, in costs and expenses, plus an additional $4,500.00 in fees
for the Reply to Defendant’s Opposition. Plaintiff General Motors opposes.
On September 20,
2021, Plaintiff filed this action.
On August 7, 2024,
this matter was settled. Notice of entry of judgment was filed and served on August
14, 2024.
On November 7,
2024, Plaintiff filed this motion for Attorney Fees.
On March 18,
2025, Defendant filed the Opposition.
On March 25,
2025, Plaintiff filed the Reply.
Evidentiary Objections
Plaintiff submits evidentiary objections to the Declaration of Natalie
Keshishian in their Reply. The Court rules on Plaintiffs’ evidentiary
objections as follows:
Objection 1: Overruled
Objection 2: Overruled
Objection 3: Overruled
Objection 4: Overruled
Objection 5: Overruled
Objection 6: Overruled
Objection 7: Overruled
Objection 8: Overruled
Objection 9: Overruled
Objection 10: Overruled
Objection 11: Overruled
Objection 12: Overruled
Objection 13: Overruled
Objection 14: Overruled
Objection 15: Overruled
Discussion
Civil Code section
1794, subdivision (d) provides: “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.”
“[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 Robertson v.
Fleetwood Travel Trailers of California, Inc. (2006) 144 Cal.App.4th 785, 818 [applying the lodestar method to
determine attorneys’ fees in Song-Beverly action].)
The Hourly Rate of Counsel
Plaintiff requests a lodestar total of
$87,967.00 for work performed by Strategic Legal Practices. Courts repeatedly
have stated that the trial court is in the best position to value the services
rendered by the attorneys in his or her courtroom, and this includes the
determination of the hourly rate that will be used in the lodestar calculus. ((569 East County Boulevard LLC v. Backcountry Against
the Dump, Inc. (2016) 6
Cal.App.5th 426, 436-437.)
From August 30, 2021 through the present,
Strategic Legal Practices (SLP) billed 194.9 hours for its legal services.
(Shahian Decl. pp. 229-233. Ex. 23.) Strategic Legal Practice’s primary case
team was comprised of eight attorneys: Mani Arabi at $495/hour; Angel Baker at
$595/hour; Olivia Avelino at $595/hour; Christopher Campbell at $495/hour;
Tionna Carvalho at $595/hour; Elizabeth Larocque at $595/hour; Rebecca Neubauer
at $495/hour; and Greg Yu at $20/hour (Shanian Decl. ¶ 12.) Mr. Shanian’s
billing hours were not included in this total. (Shanian Decl. ¶ 1.) Mr. Shahian
also attests to the reasonableness of the hourly rates of these eight lawyers.
(Shanian Decl. ¶ 4.) Additionally, Mr. Shanian cites numerous lemon law cases brought
by Strategic Legal Practices where the courts found SLP’s hourly rates
reasonable. (Shanian Decl. ¶¶ 8, 9(b-q).) Defendant does not object to the
hourly rates of SLP’s primary case team.
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.
Lodestar Multiplier
Plaintiff requests a lodestar multiplier for
their fees. 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.)
However, the court must not consider
extraordinary skill and the other Serrano factors to the extent these are
already included within 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 p. 1139.)
Here, Plaintiff seeks a 1.35 lodestar
multiplier on account of the risks of litigation, the novelty of the case, the
outcome, and the skill exhibited by counsel. (Motion, p. 13:20-23.) However,
the Court finds that the factors don’t support the application of a multiplier.
There is no indication that this lemon law case was complex or presented
challenging legal issues, particularly considering that Plaintiff’s counsel
specializes in these types of cases. There is no evidence that Plaintiff’s
counsel was precluded from taking other cases because of the nature of this
case. Nor is the success achieved by Plaintiff’s counsel exceptional. The Court
also notes that the hourly rate requested by Plaintiff’s counsel is reasonable
because of counsel’s demonstrated skill and experience. Because the quality of
representation and the degree of skill exercised by Plaintiff’s counsel is
already factored into the lodestar, it would be unreasonable to award an
enhancement. ((See Holguin v. Dish Network LLC (2014) 229 Cal.App.4th 1310, 1333 [“Where,
as here, the court determines that the lodestar itself constitutes a reasonable
fee for the action at issue, no enhancement is warranted.”].)
Accordingly, the Court declines to apply a
multiplier to the lodestar amount.
Reasonableness of the Requested Hours
While Defendant does not challenge SLP’s
hourly rates, they do argue that the total hours billed, 194.9, is
unreasonable. “[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. Board of Trustees of
California State University, supra,
at p. 396.) Here, Plaintiff’s counsel has attached billing
statements detailing the nature of the work performed. (Shahian Decl., p. 231,
Ex. 23.) Defendant raises several arguments about the reasonableness of these
billing entries.
First, Defendant argues Plaintiff’s attorney
billed multiple hours for a fraud claim they cannot recover from. Under
California law “[w]hen a cause of action for which attorney fees are provided
by statute is joined with other causes of action for which attorney fees are
not permitted, the prevailing party may recover only on the statutory cause of
action,” unless the issues are common or the claims for relief are so
intertwined that it would be impracticable, if not impossible, to separate
[them].” (Santana
v. FCA US, LLC (2020) 56 Cal.App.5th 334, 349; see also In re Ford Motor Co. DPS6 Powershift
Transmission Prods. Liability Lit., No. ML 18-02874 AB (PVCx) (July 22,
2021) [finding that prevailing Plaintiff under Song-Beverly Act properly
excluded from its request any fees solely related to fraud].) Defendant argues
that the fraud claim they briefly litigated stood on its own, and therefore the
7.5 hours of work attributed to that claim should be subtracted from the total.
(Opp. p. 5:12-13.)
The Court disagrees. As Plaintiff points out,
it is improper to apportion fees when plaintiffs’ various claims involve a
common core of facts or are based on related legal theories. (Drouin v. Fleetwood Enterprises, (1985) 163 Cal.
App. 3d 486, 492-93.) In Drouin, the Court of Appeals found that
plaintiff’s Lemon Law claims under the Magnusson-Moss Warranty Act (“MMWA”) and
her remaining claims (including a claim for fraud) could not be apportioned
because they all “were related to her purchase of the motor home from defendant
and her subsequent efforts to obtain repairs of its defects.” (Id. at 493) Similarly, here, Plaintiff’s Song-Beverly
claims all relate to Plaintiff’s purchase of his vehicle from Defendant, as
well as their subsequent efforts to obtain repairs of its defects. Thus, these fees
cannot be apportioned between the SBA claims, as they involve common facts and
legal theories.
The Court declines to strike these 7.5 hours.
Second, Defendant argues that the hours billed
are unreasonable due to their heavy reliance on templates for discovery
responses. (Opp. pp. 7-9.) Defendant supplies multiple exhibits, comparing SLP’s
work product from previous cases against GM and their filings in this case. (Keshishian
Decl. ¶¶ 3-7.) Defendant points out that, in the past year, Plaintiff’s counsel
has filed 61 fee motions against GM. (Keshishian Decl., ¶ 17, Ex. R.) Defendant
argues they shouldn’t be forced to pay for the same work every time SLP sues
them.
It is true that SLP’s work regularly relies on
templates. Much of the law does. That said, counsel still has to apply the
individual circumstances of a case to their templates. Because each of these
cases are unique, the motions are too, so Defendant is not being charged for
the same work. Ultimately, the Court sees no reason to punish Plaintiff’s
counsel for working more efficiently.
The Court declines to reduce the amount of
hours billed for this reason.
Third, Defendant argues Plaintiff billed 2.3
hours of administrative tasks at attorney rates. (Opp. p.9:14-26.) Upon review,
the Court finds that the following reflect unreasonable and excessive
billing:
·
January 3, 2022 – revise and finalize P’s
Notice of Case Management – 0.5 hours at $410. (See generally
Shahian Decl., Ex. 23, p.1.)
·
January 18, 2022 – review and finalize P’s CMS
and Notice of Posting Jury Fees – 0.2 hours at $410. (See generally
Shahian Decl., Ex. 23, p.1.)
·
December 12, 2022 – Initiate Plaintiff’s
outgoing discovery to Defendant – 0.30 hours at $595. (See generally
Shahian Decl., Ex. 23, p.1.)
·
December 13, 2022 – Mediation Scheduling – 0.60
hours at $595. (See generally Shahian Decl., Ex. 23, p.1.)
The Court finds that the above listed tasks
were predominantly administrative tasks to be performed by a secretary or
attorney service. Therefore, the Court deducts $822.50 from the overall fee
award.
Fourth, Defendant requests a 10% reduction in
Plaintiff’s billings. (Opp. p. 13:11.) In Song-Beverly cases, a court can
“reduce a fee award based on its reasonable determination that a routine,
noncomplex case was overstaffed to a degree that significant inefficiencies and
inflated fees resulted.” (Morris v. Hyundai Motor Am.
(2019) 41 Cal.App.5th 24, 39.) Defendant argues that Plaintiff deployed 25
timekeepers on this matter, which created inefficiencies. (Opp. p. 12.) However,
as Plaintiff points out, only six attorneys and one law clerk account for 75%
of the hours billed on this case. (Reply p. 1:12-13.) The rest, Plaintiff
argues, are not duplicative, as Plaintiff audits its billing to remove
duplicative billing. (Declaration of Angel M. Baker re: Plaintiff’s Motion for
Attorney’s Fees, Costs, and Expenses, Ex. 1, Shahian Decl. iso Fee Motion, ¶ 19.)
After reviewing the hours, the Court is not persuaded that Plaintiff’s counsel
padded their billings by using multiple attorneys.
The Court declines to reduce Plaintiff’s
billings by 10%.
Costs
Plaintiff seeks $7,420.64 in costs per their
agreement with Defendant. (See Baker Decl. ¶ 84, Ex. 4.) Defendant argues Plaintiff’s costs are not
compensable. (Opp. p. 13:13.) Defendant notes that Plaintiff failed to file a
Memorandum of Costs pursuant to CRC 3.1700. However, Plaintiff argues they
don’t need to file a Memorandum of costs, as they are seeking costs under CCP § 1794(d). A memorandum of costs is generally only
required where the attorney’s fees sought as costs are of a fixed amount. (See Kaufman v. Diskeeper Corp. (2014) 229 Cal.App.4th 1, 8-9.) Additionally,
Defendant has not actually filed a motion to strike or tax Plaintiff’s costs.
Therefore, the Court grants Plaintiff’s
request for costs.
Reply Billing
Plaintiff seeks $4,500 in connection with
Plaintiff’s counsel’s review of Defendant’s opposition to the instant fee
motion, the preparation of a reply and appearance at the hearing on the fee
motion. (Shahian Decl., Ex. 23.) This Reply was submitted on March 25, 2025. Assuming
an hourly rate of around $550, $4,500.00 is about 8 hours of billing. Given the
quality of the Reply and the future time spent arguing this motion, the Court
finds this estimate reasonable.
Therefore, the Court grants Plaintiff’s
request for Reply Billing.
Conclusion
Based on the
foregoing, Plaintiff’s motion for attorney’s fees is granted. Plaintiff is
entitled to recover $87,144.50 in attorney fees, $7,420.64 in costs and
expenses, and $4,500 for Plaintiff’s work on the Reply from Defendant. This
totals $99,064.14.
Plaintiff is ordered
to give notice.
DATED:
Hon.
Teresa A. Beaudet
Judge,
Los Angeles Superior Court