Judge: Teresa A. Beaudet, Case: BC413753, Date: 2023-05-25 Tentative Ruling
Case Number: BC413753 Hearing Date: May 25, 2023 Dept: 50
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SCOTT LOWERY, Plaintiff, vs. LOS ANGELES COMMUNITY COLLEGES, et
al., Defendants. |
Case No.: |
BC413753 |
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Hearing Date: |
May 25, 2023 |
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Hearing Time: |
10:00 a.m. |
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[TENTATIVE]
ORDER RE: MOTION FOR STATUTORY ATTORNEYS’ FEES |
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Background
Plaintiff Scott E. Lowery (“Plaintiff”) filed the instant action on May
12, 2009 against Defendants Los Angeles Community Colleges and Southern
California Risk Management Associates. On July 22, 2009, Plaintiff filed a
First Amended Complaint (“FAC”) asserting causes of action for (1) disability
discrimination, (2) failure to engage in a good faith, timely interactive
process, (3) failure to accommodate, (4) failure to prevent disability
discrimination, and (5) retaliation in violation of FEHA. On March 4, 2010,
Plaintiff filed an amendment to the complaint substituting the name of Los
Angeles Community College District for the incorrect name Los Angeles Community
Colleges.
Following a lengthy procedural history in this matter, on May 10,
2017, the parties participated in a fourth mediation. (deRubertis Decl., ¶ 82.) The mediation produced a settlement that
was fully executed on September 25, 2017 (the “Settlement Agreement”). (deRubertis Decl., ¶ 82.) The
Settlement Agreement provides, inter alia, that the District shall pay
Plaintiff and his attorneys the total sum of $600,000.00. (deRubertis Decl., ¶ 82, Ex. Z, § 2.)
Section 8 of the Settlement Agreement provides that, “[n]otwithstanding the foregoing, the
released claims shall also not include Lowery’s
right, or the right of his attorneys, to seek and recover attorneys’ fees and
costs. The Parties acknowledge that Lowery is the
prevailing party in this litigation for purposes of recovering attorneys’ fees and costs, and the Parties acknowledge and
understand that, in the
event the Parties are not
able to resolve Lowery’s claim for attorneys’ fees and costs, this issue will be submitted to the Court for resolution.” (deRubertis Decl., ¶ 82, Ex. Z, § 8.)
Plaintiff now moves for
an order awarding statutory attorneys’ fees under Government
Code section 12965, subdivision (b) and as provided in the settlement. Los
Angeles Community College District (the “District”) opposes.
On December 5, 2022, the
Court issued a minute order concerning the instant motion which provides, inter
alia, that “[t]he parties did not resolve the timing issue regarding
motion for attorney fees. Plaintiff will file the opening brief on this issue
on or before 12/30/22. Defendant will respond on or before 01/18/23. Reply will
be due on or before 01/27/23. Pursuant to oral stipulation, the Hearing on
Motion for Attorney Fees scheduled for 12/05/2022 is continued to
02/09/23…[sic] The Court finds that the motion for attorney fees is not
untimely, the Court will set a new hearing date regarding that motion at the
02/09/23 hearing.”
On February 9, 2023, the Court issued an Order finding, inter alia,
that “[b]ased on a consideration of the arguments presented by the parties, the
Court does not find that the District has demonstrated that Plaintiff’s motion
for attorney’s fees is untimely.” (February 9, 2023 Order at p. 9:14-15.) The
Court continued the hearing on the instant motion to April 6, 2023.
On April 6, 2023, the Court continued the hearing on the instant
motion again, to May 25, 2023. The Court’s April 6, 2023 Order provides, inter
alia, that “[t]he District may file and serve a surreply on or before
4/27, 2023, with a courtesy copy delivered to
Dept. 50.¿Any surreply shall solely address Plaintiff’s new
evidence and argument in the reply concerning whether Plaintiff’s unsuccessful
causes of action are ‘related to’ Plaintiff’s successful cause of action, and
whether Plaintiff achieved only ‘limited success.’ Plaintiff may file and serve
a response thereto on or before May 11, 2023, with
a courtesy copy delivered to Dept. 50. The
parties may not include any argument or evidence on any other issue.¿The parties also agreed that Plaintiff
may provide in his brief a citation to additional cases on the issue
of a multiplier but without argument.
The briefs are limited to no more than
10 pages…”
On April 27, 2023, the District
filed a supplemental brief in opposition to Plaintiff’s motion for statutory
attorney’s fees. On May 11, 2023, Plaintiff filed a reply thereto.
Discussion
“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.”)
The Hourly Rate of Counsel
As
discussed in the Court’s April 6, 2023 Order, 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
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.)
Plaintiff
asserts that a multiplier of between 1.4 and 2.0 is warranted here. Plaintiff contends that a lodestar
multiplier is appropriate here due to (1) the contingency fee nature of the case, (2) preclusion from other work resulting from the representation, (3) the novelty or difficulties
in the case and skill displayed in presenting it, and (4) the results obtained.
As to the contingency
fee nature of the case, in Ketchum v.
Moses (2001) 24 Cal.4th 1122,
1138, the California Supreme Court noted that “the purpose of a fee enhancement is primarily to
compensate the attorney for the prevailing party at a rate reflecting the risk
of nonpayment in contingency cases as a class.” Plaintiff asserts that in this case, that the risk of contingent representation should be met with an enhanced fee award. (Mot. at
p. 18:13-16, Citing to deRubertis Decl., ¶¶ 105-113, 119; Pine Decl., ¶¶ 21-26;
Lucien Decl., ¶¶ 24-26.)
The District asserts
that the contingency factor does not support a lodestar multiplier, contending
that “courts have expressed hesitancy to apply fee multipliers in the context
of FEHA claims because the contingent risk is limited by the statutory
entitlement to fees…” (Opp’n at p. 17:7-9.) The District cites to Weeks v. Baker & McKenzie (1998) 63 Cal.App.4th 1128, 1137, where the Court of Appeal found, inter
alia, that “although attorney fees were properly awarded under the Fair
Employment and Housing Act (FEHA), Government Code
section 12900 et seq., the trial court’s enhancement of those fees was not
supported by the factors it cited as justifying the use of a multiplier of 1.7.” The Weeks Court noted that “[l]ooking first to the contingent nature
of the award, as has already been discussed, the situation here is unlike that
in the Serrano cases,
where it was uncertain that the attorneys would be entitled to an award of fees
even if they prevailed. Government Code section 12965,
subdivision (b) created a reasonable expectation that attorney fees
would not be limited by the extent of Weeks’s recovery and that Weeks’s attorneys
would receive full compensation for their efforts. The contingent nature of the
litigation, therefore, was the risk that Weeks would not prevail. Such a risk
is inherent in any contingency fee case and is managed by the decision of the
attorney to take the case and the steps taken in pursuing it.” (Id. at p. 1175.)
In its May 11, 2023 reply,
Plaintiff cites to Greene
v. Dillingham Constr. N.A. (2002)
101 Cal.App.4th 418, 428-429,
where the Court of Appeal “interpret[ed] the
trial court as having determined that, under the circumstances, Weeks and Flannery did not allow consideration of a
fee enhancement on the basis that this was a contingent fee case. Because
in Ketchum (issued
after the trial court’s decision) the Supreme Court has reaffirmed
that contingent risk is a valid consideration in determining whether
to apply a fee enhancement in cases where attorney fees are authorized by
statute, we must remand the matter to the trial court for it to exercise its
discretion on whether a fee enhancement is merited in this case for contingent
risk. On remand, Greene bears the burden of proving that a fee enhancement is
warranted (Ketchum v. Moses, supra, 24 Cal.4th at p. 1138), and the trial court is
properly guided by the considerations set forth in Ketchum, Weeks and Flannery.”[1]
The District assert that
Plaintiff has not identified any factors unique to the present case such that the contingent risk
would warrant a multiplier. The District also asserts that “[w]ith regard to
appellate work specifically, Plaintiff’s appellate counsel took the case after
Plaintiff had already obtained a trial verdict on three causes of action
providing for the recovery of fees. Plaintiff’s appellate counsel thus took the
case at a time when the contingent risk would have appeared exceptionally low,
inasmuch as some amount of fees were guaranteed unless the Court of Appeals
reversed the trial court’s decision in its entirety.” (Opp’n at p. 17:19-24.) In
addition, the District notes that a “trial court is not required to include a fee enhancement to
the basic lodestar figure for contingent risk, exceptional skill, or other
factors, although it retains discretion to do so in the appropriate case;
moreover, the party seeking a fee enhancement bears the burden of proof.” (Ketchum v. Moses (2001) 24 Cal.4th 1122, 1138
[emphasis in original].)
As to the
preclusion factor, Plaintiff asserts that “the preclusion factor is evident given the amount of hours spent by
these small law firms.” (Mot.
at p. 18:25-26.) Mr. deRubertis states that he was “necessarily precluded from
other employment by agreeing to try this case.” (deRubertis Decl., ¶ 110.) Mr.
deRubertis also states that “[d]uring the weeks in preparation for this trial
and during the trial itself, I did not screen any potential clients; indeed,
each time trial approached if we actually commenced trial preparations, all new
case intake essentially came to a grinding halt in my office.” (deRubertis
Decl., ¶ 111.) In addition, Mr. deRubertis states that he “was required to turn
down two other opportunities for trials that [he] could have otherwise done
during the time period of this case.” (deRubertis Decl., ¶ 112.) Mr. Pine
states that “the
expenditure of significant time on any of our contingency cases-including this
one-necessarily displaces hourly work we would have otherwise taken.” (Pine Decl., ¶ 25.)
The
District asserts that Plaintiff’s counsel’s statements of being precluded from
other work are conclusory and “have been found insufficient to support an enhancement for
preclusion.” (Opp’n at p. 18:8.) However, the District cites to a non-binding federal case to support
this assertion.
Plaintiff
also notes that “the novelty
and difficulty of the questions involved” may support a lodestar enhancement,
but does not provide any analysis of this factor in the Memorandum of Points
and Authorities. (Mot. at p. 19:2-11.)
Lastly,
Plaintiff asserts that “[t]he results obtained factor also supports an upwards adjustment,” because “[i]n this many years battle, Mr. Lowery’s counsel on a
purely contingent basis fought not only through trial, but also a full appeal
and petition to the Supreme Court, only to then have to
serially re-litigate after remand the result of the appeal. The end
result is an agreement by the LACCD to pay Mr. Lowery more money than he was awarded
in the trial and a stipulation that he is the ‘prevailing party’ for
purposes of this case.” (Mot. at p. 19:13-19; deRubertis Decl., ¶¶ 82-83.)
The
District counters that the “results achieved” factor does not support a
lodestar multiplier. The District cites to Thayer
v. Wells Fargo Bank (2001) 92
Cal.App.4th 819, 838, where the
Court of Appeal noted that “[t]he ‘results obtained’ factor can properly be
used to enhance a lodestar calculation where an exceptional effort produced an
exceptional benefit. In other words, as stated by a leading treatise, ‘the
California cases appear to incorporate the ‘results obtained’ factor into the
‘quality’ factor: i.e.,
high-quality work may produce greater results in less time than would work of
average quality, thus justifying a multiplier.” The District asserts that “Plaintiff received a modest
settlement when taking into account that the settlement sum covered roughly 9.5 years of potential back pay claims as well
as all other potential economic
and non-economic
damages. Plaintiff ultimately prevailed on only one of the five causes of
action he initially brought, and the
success on that claim was limited given the Court of Appeals decision holding that the District properly engaged in the interactive
process except with regard to its receipt of
Plaintiff’s November 29, 2007 medical documentation.” (Opp’n at p. 19:10-15.)
In
addition, the parties note that on May 4, 2012, Plaintiff’s previous motion for
attorney’s fees was granted in the amount of $673,564.40. (Smith Decl., ¶ 5,
Ex. C, p. 17.) As set forth in the May 4, 2012
Order, the Court applied a multiplier of 1.4. (Ibid.)
The District asserts that “the Court of Appeal’s decision reversing the
discrimination and failure to accommodate claims was primarily based on the
simple fact that, at the time of Plaintiff’s termination, there was no
indication that Plaintiff was able to perform the essential functions of the
job with or without accommodation…Thus, Plaintiff’s assumption of any
multiplier, let alone an increased multiplier, fails to take into account the
fact that the Court of Appeals largely undermined the factors considered by the
trial court in awarding a multiplier.” (Opp’n at p. 16:25-17:3.) Plaintiff does
not appear to address this point in the reply.
Considering the arguments of the parties,
the Court declines to apply the requested multiplier to the lodestar amount. The
Court also notes that because the quality of
representation and the degree of skill exercised by Plaintiffs’ counsel are
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.”].)
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 has attached billing statements to the instant motion detailing the
nature of the work performed. (deRubertis Decl., ¶¶ 114, 115, Exs. AA, BB, and CC; Pine Decl., ¶¶ 16, 19, Exs. 1, 4;
Lucien Decl., ¶ 27, Ex. A.) The deRubertis Law Firm billed
a total of 1,138.7 hours for services rendered. (deRubertis Decl., ¶ 118.)
Pine Tillet Pine, LLP billed a total of 222.64 hours for services rendered.
(Pine Decl., ¶ 20; deRubertis Decl., ¶ 118.) The Lucien Law Group billed a total of 513
hours for services rendered. (deRubertis Decl., ¶ 118.)
The District asserts
that Plaintiff’s lodestar calculations are unreasonable because the lodestar
does not distinguish between Plaintiff’s successful cause of action and
Plaintiff’s unsuccessful causes of action. The District asserts that “Plaintiff’s counsel would only be entitled to fees for work on one successful cause of
action out of five, and even on that cause of
action the fees would be subject to further reductions based on Plaintiff’s
relatively limited success in achieving his
chief objective (reinstatement).” (Opp’n at p. 15:9-12.)
The District asserts
that “[i]n FEHA and
civil rights actions where a plaintiff succeeds on some claims and not others, courts apply the two-step test outlined in Hensley
v. Eckerhart (1983) 461 U.S. 424 (superseded
in part on other grounds) (Hensley) to determine how much the lodestar amount should be reduced to reflect
the limited success.” (Opp’n at p. 11:11-13.) In Hensley, the United States Supreme Court
considered “whether a
partially prevailing plaintiff may recover an attorney’s fee for legal
services on unsuccessful claims.” (Hensley,
supra, 461 U.S. at p. 426.)
The Hensley Court held that “the extent of a plaintiff’s success is a crucial factor in
determining the proper amount of an award of attorney’s fees under 42 U.S.C. § 1988. Where the plaintiff has failed to
prevail on a claim that is distinct in all respects from his successful
claims, the hours spent on the unsuccessful claim should be excluded in
considering the amount of a reasonable fee. Where a lawsuit consists of related
claims, a plaintiff who has won substantial relief should not have his
attorney’s fee reduced simply because the district court did not adopt each contention
raised. But where the plaintiff achieved only limited success, the district
court should award only that amount of fees that is reasonable in relation to
the results obtained.” (Hensley, supra,
461 U.S. at p. 440.)
Plaintiff also cites to Vines v. O'Reilly Auto Enterprises, LLC (2022)
74 Cal.App.5th 174, 183, where the Court of Appeal noted that “[w]here a
prevailing plaintiff succeeded on only some claims, the court should make a
two-part inquiry: First, did the plaintiff fail to prevail on claims that were
unrelated to the claims on which he succeeded? Second, did the plaintiff
achieve a level of success that makes the hours reasonably expended a
satisfactory basis for making a fee award?” (Internal quotations omitted, citing Hensley,
supra, 461 U.S. at p. 434.) “If a plaintiff … present[s] in one lawsuit distinctly different
claims for relief that are based on different facts and legal theories,
counsel’s work on one claim will be unrelated to his work on another claim;
these unrelated claims [must] be treated as if they had been raised in separate
lawsuits, and therefore no fee may be awarded for services on the unsuccessful
claim. If, in contrast, a lawsuit consists of related claims, the attorney fee
amount awarded for a plaintiff who has obtained substantial relief should
not be reduced merely for the reason the plaintiff did not succeed on each
contention raised. Nevertheless, even though fees are not reduced simply
because a plaintiff prevails on only one of several factually related and
closely intertwined claims, a reduced fee award is appropriate when a claimant
achieves only limited success.” (Ibid. [internal quotations and citations omitted].) Both parties
cite to Harman
v. City and County of San Francisco (2006)
136 Cal.App.4th 1279, 1310-1311, where the Court of Appeal noted that the
Hensley Court “recognize[d] that there is no
certain method of determining when claims are related or
unrelated, but it instructs the court to inquire whether the different
claims for relief … are based on different facts and legal theories. If so, they qualify as unrelated
claims. Conversely, related claims will involve a common core of facts or will
be based on related legal theories.” (Internal quotations and citations
omitted.)
As set forth above,
Plaintiff’s FAC in this matter alleges causes of action for (1) disability
discrimination, (2) failure to engage in a good faith, timely interactive
process, (3) failure to accommodate, (4) failure to prevent disability
discrimination, and (5) retaliation in violation of FEHA.
The District notes that the
Court of Appeal issued an Opinion in this matter on October 24, 2013, as well as an
Order Modifying Opinion on November 21, 2013. (Smith Decl., ¶ 2, Ex. A.) The Court of Appeal’s October 24,
2013 Opinion and the Order Modifying Opinion provide, inter alia, “[w]e find the trial court’s decision as
to the employer’s failure to engage in a good faith
interactive process supported in part, but the decision as to the employee’s
claims for wrongful discharge and failure to
accommodate unsupported,” and “[w]e will affirm the
judgment in part, reverse the judgment in part, and remand the case to the trial court with directions to enter a
new judgment reflecting these changes and
awarding such damages and/or other remedies to which Lowery may be entitled as
a result of the District’s failure to engage in a good faith interactive
process after November 29, 2007.” (October 24, 2013
Opinion at p. 2; November
21, 2013 Order Modifying Opinion.)
The District asserts
that “Plaintiff’s claim
for failure to engage was…based on distinguishable facts and theories from Plaintiff’s failed causes of action for retaliation, failure
to prevent discrimination, disability discrimination,
and failure to accommodate. For example, the retaliation claim was based on the theory that Plaintiff’ was terminated for filing a workers’
compensation claim. (See Plt. First Amended
Complaint, at ¶ 64.). Plaintiff’s claim for failure to engage in the
interactive process did not require proof regarding
retaliatory motive or that Plaintiff engaged in protected workers’ compensation activities.” (Opp’n at p. 12:6-12.) The District also
asserts that “the disability-related claims are distinct causes of action based
on distinct facts…” (Opp’n at p. 12:13.)
In the reply, Plaintiff asserts that the unsuccessful
claims were not unrelated to the successful claims. Plaintiff submits another
Declaration of David M. deRubertis in support of the reply, who asserts that:
“Mr. Lowery pursued three legal
theories at trial: failure to engage in a timely, good faith interactive
process; failure to accommodate; and disability discrimination – all of which
related both to the removal from his position on October 8, 2007 and the
failure to reinstate after November 29, 2007. The successful and unsuccessful
claims thus asserted the identical legal theories based on a continuous course
of conduct. The only difference between the successful and unsuccessful claims
was that they analyzed the identical legal claims from a closely related but
not exactly identical moment in time: November 29, 2007 vs. October 8, 2007 –
just 52 days apart. Even if the claims relating to the October 8, 2007 removal
were not made, the same evidence would have been introduced at trial by the
Plaintiff – the events leading to the removal from the job on October 8, 2017
where [sic] part and parcel of the story and background that explained the
failure to reinstate in November 2017. And, from a damage perspective, the only
difference between the finding that LACCD was liable from October 8, 2017 to
the finding that LACCD was liable for failing to reinstate after November 29,
2017 was that by reversing as to the October 8, 2017 removal, the appellate
court reduced Mr. Lowery’s economic damages by 7 weeks of pay –an insignificant
amount (approximately $10,096.15).” (David M. deRubertis Decl. in Support of
Reply, ¶ 10.)[2]
In its April 27, 2023
supplemental brief, the District asserts that “[c]ontrary to the
assertion in [Plaintiff’s] counsel’s declaration that all of [Plaintiff’s]
claims were based on the same theories, [Plaintiff’s] failed claims, i.e., the
remaining four causes of action alleged in the First Amended Complaint and the
unsuccessful portion of the failure to engage claim, are distinct from the
successful portion of the failure to engage claim, and require different
elements of proof based on facts that occurred at different time periods.” (District’s April 27, 2023 Supplemental Opposition Brief
at p. 3:16-21.)
As to Plaintiff’s first cause of action for disability discrimination,
the District cites to Moore v. Regents of
University of California (2016)
248 Cal.App.4th 216, 234-235,
where the Court of Appeal noted that “[t]he plaintiff can meet his or her
burden of establishing a prima facie case of discrimination by presenting
evidence that demonstrates, even circumstantially or by inference, that he or
she (1) suffered from a disability, or was regarded as suffering from a
disability, (2) could perform the essential duties of the job with or
without reasonable accommodations, and (3) was subjected to an adverse
employment action because of the disability or perceived disability.” The District asserts that no such proof is
required to state a claim for failure to engage in the interactive process. The District notes that “[t]he ‘interactive process’ required by the FEHA is an
informal process with the employee or the employee’s representative, to attempt
to identify a reasonable accommodation that will enable the employee to perform
the job effectively.” (Wilson v. County of Orange (2009) 169 Cal.App.4th 1185, 1195.) The
District also asserts that “[a] claim for failure to prevent disability
discrimination, one of [Plaintiff’s] claims that was dismissed before trial,
is…dependent on proof of disability discrimination, and thus rises and falls on
the same evidence necessary to prove a disability discrimination claim.”
(District’s April 27, 2023 Supplemental Opposition
Brief at p. 4, fn. 1.)
As to Plaintiff’s third cause of
action for failure to accommodate, the District cites to
Wysinger v. Automobile Club of Southern California (2007) 157 Cal.App.4th 413, 424-425, where the Court of Appeal noted that
“[h]ere the verdicts on the reasonable accommodation issue and the interactive
process claim are not inconsistent. They involve separate causes of action and proof of different
facts. Under FEHA, an employer must engage in a good faith interactive
process with the disabled employee to explore the alternatives to accommodate
the disability. An employee may file a civil
action based on the employer’s failure to engage in the interactive process.
Failure to engage in this process is a separate FEHA violation independent from
an employer’s failure to provide a reasonable disability accommodation, which
is also a FEHA violation. An employer may claim there was no available reasonable
accommodation. But if it did not engage in a good faith interactive process, it
cannot be known whether an alternate job would have been found. The interactive process
determines which accommodation is required.” (Internal quotations and citations omitted.)[3]
As to Plaintiff’s fifth cause of
action for retaliation in violation of FEHA, the District notes that “in order to
establish a prima facie case of retaliation under the FEHA, a plaintiff must
show (1) he or she engaged in a ‘protected activity,’ (2) the employer
subjected the employee to an adverse employment action, and (3) a causal link
existed between the protected activity and the employer’s action.” (Yanowitz v. L'Oreal USA, Inc. (2005) 36 Cal.4th
1028, 1042.) The District asserts that no such proof is
required for a failure to engage claim.
In his reply to the District’s
supplemental opposition brief, Plaintiff asserts that “differences between the elements of
the successful and unsuccessful claims does
not determine whether they are sufficiently unrelated for purposes of a
‘limited success’ reduction.” (Plaintiff’s May 11,
2023 Reply at p. 8:7-10.) Plaintiff notes that in Wysinger v.
Automobile Club of Southern California, supra, 157
Cal.App.4th at page 430, the Court of Appeal noted that “ACSC contends the attorney fees awarded
to Wysinger are excessive. It notes that Wysinger prevailed on some but not all causes of action. It argues
the trial court should have reduced and apportioned the fees.” In Wysinger, “the
trial court found that Wysinger obtained
excellent results and apportionment of fees was not appropriate because the
issues in the case were common to one another and … intertwined … . ACSC
claim[ed] the causes of action were unrelated and distinct.” (Id. at p. 431.) The Court of Appeal disagreed, finding that
“[a]ll involved underlying disability and age discrimination issues and are
based on 52 paragraphs of facts in Wysinger’s complaint,
which he alleged were common to all causes of action.” (Ibid.)
The District also asserts that Plaintiff’s
“claims for disability discrimination, failure to prevent
discrimination (which was dismissed just before trial), and failure to
accommodate are distinct causes of action based on the District’s actions as of
October 8, 2007…By contrast, the successful portion of the failure to engage
claim was solely concerned with the District’s subsequent responsibility to
reinitiate the interactive process after Lowery provided new medical
documentation on November 29, 2007.” (District’s April 27, 2023 Supplemental
Opposition Brief at p. 5:2-5; 5:11-13.)
The District cites to the Court of Appeal’s October 24, 2013 Opinion in this matter which provides, inter
alia, that as to the failure to accommodate cause of action, “Lowery testified that he had told those
at the October 8, 2007 interactive meeting
that he had for some time been lifting more than 30 pounds
(despite his doctor’s restrictions), and that getting a lighter ladder would
help. But the ability to lift up to 30 pounds
was well short of the job’s essential lifting and carrying
requirements.” (Smith
Decl., ¶ 2, Ex. A, p. 24.) The Court of Appeal found that “[l]acking evidence that Lowery was able
to perform all the essential tasks of his
position as HVAC Technician as of October 8, 2007, with or without reasonable accommodation, the District cannot be held
liable under section
12940, subdivision (m),
for failure to accommodate Lowery’s disability.” (Id.
at p. 26.)
As to the disability
discrimination cause of action, the Court of Appeal’s October 24, 2013 Opinion
provides, inter alia, that “[t]he record contains no substantial evidence that on October 8, 2007,
Lowery was able to perform the essential duties of
his position, with or without reasonable accommodation.”
(Id. at p. 21.) The Court of Appeal Opinion
also provides as to the disability discrimination cause of action that “[t]he
evidence in the record does not support the determination that at the time he
was placed on leave, Lowery was able to perform the essential functions of his
job, with or without reasonable accommodation. Nor does it show that, even if
he could then perform all the job’s essential functions, the District had any
way of knowing that when it removed him from his position.” (Id. at p. 20.)
As to the failure to
engage cause of action, the Court
of Appeal’s October 24, 2013 Opinion provides, inter alia, as follows:
“[t]he trial court made no determination that as of October 8, 2007,
or at any time before the District’s constructive
receipt of Dr. Grahek’s November 29, 2007 letter, the District had breached its duty to engage in an interactive process, or
had acted in bad faith in doing so, in any way that
resulted in harm to Lowery…Nor would the evidence have
supported such a determination. Lowery’s evidence did not show that Lowery was capable of performing the essential duties of his position as B-Shift
HVAC Technician, or that he was qualified for any other
position with the District, as of any time before November 29,
2007. He therefore failed to show that he was harmed by the District’s failure to participate in the good faith interactive process before
that date. However, Dr. Grahek’s November 29, 2007
letter constituted substantial evidence that Lowery
was then qualified for the position from which he had earlier been removed…The
court held that when the District received Dr. Grahek’s letter (constructively
in late November 2007, and actually in 2009), it did not do what it should have
done: engage in a new interactive process, as required by section 12940, subdivision (n)…The evidence supports
this determination.” (Smith
Decl., ¶ 2, Ex. A, pp. 28-29, emphasis in original.)
The District asserts
that “[i]f the October 7, 2009 portion of the cause of action was ‘the
same’ or ‘identical’ to the November 29, 2007 portion of the cause of action,
the Court of Appeal would simply have upheld the judgment on the cause of
action as a whole. Instead, it made it a point to distinguish the different
portions and specifically find that Lowery was unsuccessful as to the former
and successful as to the latter.” (District’s April 27, 2023 Supplemental
Opposition Brief at p. 7:9-13.)
As to Plaintiff’s cause of action for retaliation, the District asserts, as set
forth above, that “the retaliation claim which was dismissed before
trial was based on the theory that Lowery was terminated for filing a workers’
compensation claim…Lowery’s failure to engage in the interactive process claim
did not require proof regarding retaliatory motive or that Lowery engaged in
protected workers’ compensation activities.” (District’s April 27, 2023
Supplemental Opposition Brief at p. 5:14-18, citing FAC, ¶ 64.)
In his reply to the District’s supplemental opposition brief,
Plaintiff asserts that his unsuccessful claims were not unrelated to the
successful claims. Plaintiff notes that in Harman
v. City and County of San Francisco, supra, 136 Cal.App.4th at page
1311, the Court of Appeal found
that “[w]hile the courts have
sometimes applied the Hensley distinction without elaboration (see Corder v.
Gates (9th Cir. 1991) 947 F.2d 374, 379), we find other authority that attempts to give
the distinction greater precision…The Seventh Circuit in Mary Beth G.
v. City of Chicago (7th Cir. 1983) 723 F.2d 1263, followed by
a line of Ninth Circuit decisions, suggests that ‘a useful tool for making this
determination is to focus on whether the claims seek relief for essentially the
same course of conduct. Under this analysis, an unsuccessful claim will
be unrelated to a
successful claim when the relief sought on the unsuccessful claim is intended
to remedy a course of conduct entirely distinct and separate from the course of
conduct that gave rise to the injury on which the relief granted is premised.’”
(Emphasis in original.) Plaintiff asserts that here, his unsuccessful claims did not seek “to
remedy a course of conduct entirely distinct and separate from
the course of conduct that gave rise to the injury on which the relief granted [was] premised.”
Rather, Plaintiff
contends, his “claims sought to remedy the same thing: Mr. Lowery’s loss of his
employment at [the District] from his removal on October 7, 2007 to his failure
to be re-instated after November 29, 2007 to his eventual termination. This is
one single course of conduct leading to a single harm…” (Plaintiff’s May 11,
2023 Reply at p. 9:9-12.) Plaintiff asserts that the District’s distinction
between “the unsuccessful claims based on the removal on October 7, 2007 and
the successful claim based on the failure to re-instate after November 29,
2007” is without a difference, because “[a]ll of the claims related to [the
District’s] refusal to let Mr. Lowery continue to work; they were just
separated by about seven (7) weeks in time.” (Plaintiff’s May 11, 2023 Reply at
p. 9:22-23.)
Based on a consideration of the
foregoing, the Court finds that Plaintiff has the better argument that his
unsuccessful claims are not “distinct
in all respects” from his successful claims, or that his unsuccessful claims
sought to remedy a
course of conduct entirely distinct and separate
from the course of conduct that gave rise to the injury on which the relief
granted was premised.
The Court notes that
the FAC contains factual “allegations common to all causes of action.” (FAC, p.
2:20.) In Wysinger v. Automobile Club of Southern California, supra,
157 Cal.App.4th at page 431,
discussed above, the Court of Appeal found that the subject causes of action in
that case “[a]ll involved underlying disability and
age discrimination issues and are based on 52 paragraphs of facts in Wysinger’s
complaint, which he alleged were common to all causes of action.”
Similarly,
here, the FAC alleges that Plaintiff “injured his back in course and scope of
his job duties as a Heating and Air Conditioning Technician working for [the
District].” (FAC, ¶ 10.)
Plaintiff worked for the District “on modified work from the time of his injury
of 04/11/06 until approximately October 8, 2007.” (FAC, ¶ 22.) On October 8, 2007,
Plaintiff attended a meeting with the District, and the District refused to let
Plaintiff keep working because the District “believed that the report of Dr.
Steven Grahek contradicted the job duties of [Plaintiff] as a Heating and Air
Conditioning Technician.” (FAC, ¶¶ 28-29.) Plaintiff’s first cause of action
for disability discrimination alleges, inter alia, that “defendants have
violated the FEHA by discriminating against [Plaintiff] on the basis of
disability…” (FAC, ¶ 34.) Plaintiff’s fourth cause of action for failure to
prevent disability discrimination alleges that the District “failed to prevent
discrimination on the basis of disability.” (FAC, ¶ 58.)
Plaintiff’s second
cause of action for failure to engage in a good faith, timely interactive
process alleges that “[h]aving been placed on notice of Plaintiff’s disability [the
District] had an affirmative duty to engage in a timely, good faith interactive
process with the Plaintiff, in order to determine effective reasonable
accommodations. Defendants failed to comply with this mandatory duty…” (FAC, ¶
41.) Plaintiff’s third cause of action for failure to accommodate alleges that
“[b]eginning on or about October 8, 2007, and continuing thereafter to present,
Defendants discriminated against Plaintiff by failing to provide reasonable
accommodations to the Plaintiff.” (FAC, ¶ 50.) Plaintiff’s fifth cause of
action for retaliation alleges that the District “terminated [Plaintiff] for
his disability/restrictions imposed by the doctor in the workers’ compensation
case, even though Dr. Grahek indicated that [Plaintiff] could continue working
as a HVAC Technician,” and that Plaintiff “was retaliated against because he
filed a workers’ compensation case…Immediately after [the District] became
aware that [Plaintiff’s] injury was a compensable injury from a workers’
compensation report, [the District] began the proceedings to stop [Plaintiff]
from working for [the District].” (FAC, ¶¶ 63, 64.) In Wysinger v. Automobile Club of Southern California,
supra, 157 Cal.App.4th at page 431, the Court of Appeal noted that
“[e]mployment discrimination cases, by their very nature, involve several
causes of action arising from the same set of facts.” (Internal quotations omitted.) The Wysinger Court further
noted that “Wysinger prevailed on
the interactive process claim which involves proof of disability.” (Id. at p. 431.)
As
to the District’s assertion that reductions are warranted based on “Plaintiff’s relatively limited success in achieving his chief objective (reinstatement),”
(Opp’n at p. 15:11-12), Plaintiff responds that Plaintiff’s decision to forego seeking reinstatement and opt for a
money settlement instead is not a measure of lack of success. (See David
M. deRubertis Decl. in Support of Reply, ¶ 11.) In its supplemental brief, the District
asserts that “the Court of Appeal’s decision not to affirm the
reinstatement order further undermines Lowery’s attempt to argue that the
damages resulting after appeal were essentially unchanged from the judgment,
and thus that there was no difference between Lowery’s unsuccessful and
successful claims.” (District’s April 27, 2023 Supplemental Opposition Brief at
p. 8:25-28.) The Court notes that
the Court of Appeal’s November
21, 2013 Order Modifying Opinion in this
matter provides, inter alia, that the Court of Appeal’s October 24, 2013 Opinion
is modified to read, “[t]he matter is remanded to the superior court with
directions to determine and award damages, reinstatement, and/or other remedies
to which Lowery may be entitled as a result of the District’s failure to engage
in a good faith interactive process after November 29, 2007.” (Smith Decl., ¶ 2, Ex. A.)
As
set forth above, in Vines v. O'Reilly Auto Enterprises, LLC, supra, 74 Cal.App.5th at page 183, the Court of Appeal found that “[i]f…a lawsuit consists of related claims, the attorney fee
amount awarded for a plaintiff who has obtained ‘substantial relief’
should not be reduced merely for the reason the plaintiff did not succeed on
each contention raised. Nevertheless, even though fees
are not reduced simply because ‘a plaintiff prevails on only one of several
factually related and closely intertwined claims,’ ‘a reduced fee award is
appropriate when a claimant achieves only limited success.’” (Internal citation omitted.) The Court does not find
that the District has demonstrated that Plaintiff achieved only limited success
here. Plaintiff’s counsel indicates in his declaration in support of the motion
that “the end result of
[the District’s] decision to appeal then-Judge Segal’s decision is that
[the District] will pay Scott Lowery more money in settlement than had it not
filed its appeal. The judgment at the time of [the
District’s] appeal entitled Mr. Lowery to damages in the sum of four hundred
thirty-seven thousand four hundred and sixty dollars ($437,460.00) while the
settlement required [the District] to pay Mr. Lowery six hundred thousand
dollars ($600,000.00).” (deRubertis
Decl., ¶ 83.)
Lastly, the District
asserts that Mr. Lucien’s billing records contain duplicate entries. The
District states that such duplicate entries are highlighted for the Court’s
reference, but Exhibit I attached to the District’s counsel’s declaration does
not contain any highlights. (Smith Decl., ¶ 12, Ex. 1.) It is thus unclear what
specific entries the District contends are duplicates. The District does not
otherwise object to specific time entries in Plaintiff’s counsel’s billing
records in the opposition.[4]
As discussed in the
Court’s April 6, 2023 Order, Plaintiff requests a lodestar total of $1,135,951.30 for work performed by The deRubertis Law Firm, APC, Pine
Tillet Pine, LLP, and the Lucien Law Group. (deRubertis Decl., ¶ 118; Mot. at
pp. 19:21-20:12.)
///
///
Conclusion
Based on the foregoing, Plaintiff’s motion for attorney’s
fees is granted in part. Plaintiff is awarded attorney’s fees in the amount of $1,135,951.30.
Plaintiff
is ordered to provide notice of this ruling.
DATED:
Hon. Teresa A.
Beaudet
Judge, Los
Angeles Superior Court
[1]The Court notes that Plaintiff also cites to two
non-binding federal cases in its May 11, 2023 reply.
[2]Plaintiff also notes
that his counsel “determined that
Plaintiff should drop certain claims: (1) failure to prevent; and (2)
retaliation,” and that such claims “were ultimately dismissed for tactical
reasons.” (deRubertis Decl., ¶
104.)
[3]In his May 11, 2023 reply, Plaintiff cites to Nadaf-Rahrov
v. Neiman Marcus Group, Inc. (2008) 166
Cal.App.4th 952, 983,
where the Court of Appeal “disagree[d]…with Wysinger’s
construction of section 12940(n)” and “conclude[d] that the availability of a
reasonable accommodation (i.e., a modification or adjustment to the workplace
that enables an employee to perform the essential functions of the position
held or desired) is necessary to a section 12940(n) claim.”
[4]The District’s opposition provides, “Defendant would
request the opportunity to file a supplemental briefing objecting to specific
entries in the itemized billing statements attached to the Motion in the event
the Court accepts the Motion as timely or after the Court determines whether
entries related to specific causes of action should be excluded.” (Opp’n at p.
15:15-18.) The Court notes that the District does not cite to any legal
authority to support this proposed approach.