Judge: Teresa A. Beaudet, Case: 24STCV01276, Date: 2025-06-06 Tentative Ruling
Case Number: 24STCV01276 Hearing Date: June 6, 2025 Dept: 50
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RAUL CANIZALES, an individual, Plaintiff, vs. KIA AMERICA, INC.; and DOES 1 through 50, inclusive, Defendants. |
Case No.: |
24STCV01276 |
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Hearing
Date: |
June 6, 2025 |
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Hearing Time: |
10:00 a.m. |
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[TENTATIVE] ORDER RE: PLAINTIFFS’
MOTION FOR ATTORNEYS’ FEES, COSTS, AND EXPENSES |
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Background
Plaintiffs
Raul Canizales (Plaintiff) filed this action on January 17, 2024 against
Defendant Kia America, Inc. (Defendant) for violations of the Song-Beverly Act.
In
September 2024, the parties resolved the claim by way of a settlement agreement
under which Defendant was to repurchase the vehicle and pay Plaintiff’s
attorney fees and costs pursuant to a noticed motion filed pursuant to Civil Code section 1794, subdivision (d). (Kowalski
Decl., ¶7c, Exhibit 1.)
Plaintiff
now moves for an award of attorney fees, costs, and expenses in the amount of
$35,035.87. Defendant opposes.
Discussion
Civil Code section 1794(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 $29,240.90 for work performed by the Consumer Law
Experts, PC (CLE). From December 2023 through the present, CLE billed 71.3
hours for services rendered. (Kowalski Decl., Exhibit 22.)
Plaintiff
requests applicable hourly billing rates ranging from $210 to $550 for CLE as
follows: Jessica Anvar, $550/per hour; Jordan Cohen, $525/hour; Joseph
Kowalski, $415/hour; Julian Moore, $530/hour, Richard Ruiz, $210/hour.
(Kowalski Decl., Exhibit 22.) Based on the Court’s own knowledge and
experience, the evidence of reasonable rates in the Los Angeles area (Kowalski
Decl., Exhibits 2-21, 23), and the experience of the CLE staff (Kowalski Decl.,
¶ 8-12), the Court finds that the hourly rates requested by counsel are
reasonable and commensurate with rates charged at their levels.
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 (Horsford).) 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, supra, at p.
396.)
Here,
Plaintiff’s counsel attached a billing record of the hours spent in litigating
this case to the instant motion detailing the nature of the work performed. (Kowalski
Decl., ¶ 33, Exhibit 22.)
Defendants
argue that Plaintiff’s counsel’s hourly rates are unreasonable in light of the
non-complex nature of this case. The Court,
based on its own knowledge and experience, finds that the hourly fees are
reasonable in the Los Angeles-area legal community. “The 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 [internal citations omitted].)
“In making its calculation, the court may rely on its own knowledge and
familiarity with the legal market, as well as the experience, skill, and
reputation of the attorney requesting fees . . . .” ((Id. at p. 437.)
In
arguing against Plaintiff’s counsel’s hourly rates, Defendant argues that no
complex issues exist in this case. However, Plaintiff’s counsel’s hourly rates
are not based on the complexity of the case– they are based on the attorneys’
skill and experience. Defendant argues that the highest rate Plaintiff’s
counsel charged, $550/hour, is unreasonably high. However, the attorney who
billed $550/hour is Jessica Anvar, “the founder and Managing Attorney of CLE,”
who has been litigating lemon law cases for over ten years. (Kowalski Decl., ¶
8, Exhibit 22.) Furthermore, Attorney Anvar billed a total of only 0.9 hours on
this case. (Kowalski Decl., Exhibit 22.) A majority of the hours were billed by
one of the CLE attorneys with the lowest rates, Joseph Kowalski, who billed
55.1 hours at a rate of $415/hour. (Kowalski Decl., Exhibit 22.)
Defendant
also contends that excessive time to complete tasks, research irrelevant
issues, complete administrative duties, discuss the case with other attorneys
or staff, complete standard discovery, prepare for a PMQ deposition, finalize
the settlement, and prepare the instant motion should be cut. The Court does
not agree with Defendant’s argument that there was excessive time on research,
discussion between the CLE staff, discovery, or finalizing the settlement.
Although
many of the entries that Defendant identifies as “excessive” do not appear to
be excessive, the Court agrees that a few are or may be. For example, the
3/18/24 time entry for 2.3 hours of work amounting to $1,219 by Julian Moore
appears to be excessive. The entry indicates that it was to “review and analyze
discovery and review file to conference with associate…”, (Kowalski Decl.,
Exhibit 22) however, there is no time entry afterward that indicates this
conference took place and there are no other time entries by Julian Moore after
this, indicating that Julian Moore’s review was unnecessary. As for the 6/24/25
time entry to prepare for the PMQ deposition, Defendant argues this entry is
excessive because the depositions never took place and they were improperly
scheduled. In reply, Plaintiff argues that it was not unreasonable to prepare
for a deposition even though it ultimately did not go forward. Because
Plaintiff argues that “at the time there was no reason to not prepare for the
deposition” (Reply, 6:21-22) and Defendant does not argue or provide any
evidence that CLE knew the deposition was not going to proceed when the time
preparing was incurred, the Court finds no reason to deem this time entry
excessive or unreasonable. As to excessive billing for administrative tasks,
the Court agrees that the 4/9/24 entry by Richard Ruiz to file and serve
documents amounting to $42.00 and the 4/19/24 entry by Richard Ruiz to schedule
an LACC hearing amounting to $42.00 are non-billable administrative tasks.
Finally, the Court finds that the 12/10/24 time entry by Richard Ruiz for 1
hour to “Download all invoices from 3rd party resources…” (Kowalski Decl.,
Exhibit 22) amounting to $210.00 is both excessive time incurred to prepare the
instant motion and a non-billable administrative task. Accordingly, the
Court reduces the attorney fee award by $1,513.00
($1,219 + $42.00 + $42.00 + $210.00 = $1,513.00).
Defendant
also argues time entries that are block-billed or vaguely written should be
cut. The Court disagrees with Defendant’s argument about the entries regarding
communications with someone labeled as “DC,” as the identity of whoever the
communication was directed to is irrelevant. However, the Court agrees that the
various time entries referencing unspecified documents by unknown acronyms such
as “NCMC,” “NORA,” and “NPJF” do not meet Plaintiff’s burden to produce
evidence from which the Court can ascertain the reasonableness of the services
provided without merely guessing. ((See Martino v. Denevi (1986) 182
Cal.App.3d 553, 559.) Accordingly, the Court reduces the attorney fee
award by $155.40, which is the
value of two entries Defendant identifies as being vague: the 3/18/24 entry by
Richard Ruiz to draft the “NCMC” amounting to $71.40; and the 4/9/24 entry by
Richard Ruiz to draft “CMS<NORA<NPJF” amounting to $84.00. (Laughlin
Decl., Exhibit 7.) Defendant also argues that the 3/25/24 time entry by Richard
Ruiz that references “MCC” is vague and includes an unknown acronym.
(Opposition, 6:21-25; Laughlin Decl., Exhibit 7.) However, the actual time
entry indicates that it was for a “M&C letter,” (Kowalski Decl., Exhibit
22) which is widely understood to be a “Meet and Confer” letter.
Defendant
also argues that at least two entries were not calculated correctly. Defendant
identifies the 3/18/24 entry by Richard Ruiz amounting to $71.40 as being
incorrectly calculated, as it should have been $63.00. (Opposition, 10:4-6;
Laughlin Decl., Exhibit 7.) However, as analyzed above, the Court already
eliminated that time entry from the attorney fee award, so no further reduction
is needed. Defendant also identifies the 3/25/24 entry by Richard Ruiz
amounting to $52.50 as being incorrectly calculated. (Opposition, 10:6-7;
Laughlin Decl., Exhibit 7.) Defendant is correct. The time entry is for 0.2
hours at a rate of $210/hour, so the correct amount is $42.00. Accordingly,
the Court reduces the attorney fee award by $10.50.
Finally,
Defendant argues that the instant motion is procedurally defective because
there is no judgment entered yet. In support of this argument, Defendant argues
that “Motions for attorneys’ fees are recovered ‘as part of the judgment’ under
Song-Beverly (Civil Code section 1794, subdivision (d).)
No such judgment is entered in this case.” (Opposition, 10:15-17.) Defendant
explains that although the parties settled pursuant to a 998 offer compromise,
Plaintiff has not yet filed a copy of the final offer with proof of acceptance.
(Opposition, 10:17-20.) Although Defendant has adequately explained that
Plaintiff must file a copy of the final offer with proof of acceptance to hold
the offer enforceable, Defendant has not provided any authority indicating that
failure to file the offer and receive a judgment prior to filing a motion for
attorney fees makes the motion for attorney fees premature or procedurally
defective. Thus, Defendant’s argument here fails.
Although
Plaintiff requested an additional $5,000.00 “for Plaintiff’s counsel to review
Defendant’s Opposition, draft the Reply brief, and attend the hearing on this
issue,” (Motion for Attorney Fees, 2:9-10) in reply, Plaintiff did not clarify how
much time was actually spent on reviewing the opposition nor drafting the
reply. Thus, the Court refuses to award an additional $5,000.00.
Notably,
Defendant makes no objection to Plaintiff’s requested costs and expenses of
$794.97.
Conclusion
Based on the foregoing, Plaintiff’s
motion is granted.
Plaintiff
is entitled to recover $27,562.00 ($29,240.90 - $1,513.00 - $155.40 - $10.50 = $27,562.00)
in attorney fees and $794.97 in costs from Defendant.
Plaintiff is ordered to give notice
of this Order.
DATED: June 6, 2025 ________________________________
Hon. Teresa A.
Beaudet
Judge, Los Angeles
Superior Court