136 Field Point Circle Holding Company, LLC v. Razinski

CourtDistrict Court, S.D. New York
DecidedMarch 30, 2022
Docket1:19-cv-05656
StatusUnknown

This text of 136 Field Point Circle Holding Company, LLC v. Razinski (136 Field Point Circle Holding Company, LLC v. Razinski) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
136 Field Point Circle Holding Company, LLC v. Razinski, (S.D.N.Y. 2022).

Opinion

1 DOCUMENT ELECTRONICALLY FH. UNITED STATES DISTRICT COURT i DOC #: SOUTHERN DISTRICT OF NEW YORK py AE re Fe OF OR ee || DATE FIED: 3/30/22 Ve Sree stan cceronaennte □□□□ 136 FIELD POINT CIRCLE HOLDING 3 ™ COMPANY LLC, : : No. 19 Civ. 5656 (JFK) Plaintiff, ot : OPINION & ORDER -against- : ALEXANDER RAZINSKI and TANYA : RAZINSKI, : Defendants. : oH rr ee eX Appearances FOR DEFENDANTS ALEXANDER RAZINSKI and TANYA RAZINSKI Pro se FOR THE PLAINTIFF 136 FIELD POINT CIRCLE HOLDING COMPANY LLC Mitchell J. Baker, Katie R. Wendle, BAKER, LESHKO, SALINE & DRAPEAU, LLP JOHN F. KEENAN, United States District Judge: Plaintiff 136 Field Point Circle Holding Company LLC (“136 FPC”) brought this action against Defendants Tanya Razinski and Alexander Razinski (“the Razinskis”) alleging breach of contract. Ina May 6, 2021, Opinion and Order (“May 6 Opinion”), the late Judge William H. Pauley III granted 136 FPC’s motion for summary judgment and entered judgment in favor of 136 FPC in the amount of $1,000,000. See 136 Field Point Circle Holding Co., LLC v. Razinski, No. 19 Civ. 5656 (WHP), 2021 WL 1820191, at *6 (S.D.N.Y. May 6, 2021). Presently before the Court is 136 FPC’s Motion for Attorney’s Fees (“Motion”)

pursuant to Federal Rule of Civil Procedure 54(d)(2).1 (ECF Nos. 59, 60.) For the reasons set forth below, the Motion is granted in part and denied in part. I. Background

The Court presumes the parties’ familiarity with the underlying facts of this case, which are set out in greater detail in Judge Pauley’s May 6 Opinion. See Razinski, 2021 WL 1820191, at *1. The Court summarizes here the facts that are relevant to resolving the instant motion. Since 2013, the law firm Baker, Leshko, Saline & Drapeau has provided 136 FPC with legal services related to this “Dickensian saga involving two holdover tenants and a multi- million dollar mansion in Greenwich, Connecticut.” Razinski, 2021 WL 1820191, at *1. As relevant here, the Razinskis entered into a financing agreement (“the Master Agreement”) in 2012 with

136 FPC in order to stave off their eviction from the waterfront Greenwich home. Under the agreement, 136 FPC exercised the Razinskis’ option to purchase the home “provided that the Razinskis could lease the property for one year at a rate of $25,000 a month, with the option to extend the term up to six months. . . . As part of the Master Agreement, the Razinskis

1 This case was reassigned to this Court on October 11, 2021, following Judge Pauley’s passing. (See Notice of Case Reassignment, dated Oct. 11, 2021.) also acquired an option to purchase the property from 136 Field Point Circle Holding by November 17, 2013.” Id. (citations omitted). Section 6.4 of the Master Agreement contained a

provision providing liquidated damages in the amount of $1,000,000 in the event the property was not sold. Id. The Razinskis did not exercise the option to purchase the home from 136 FPC. Id. Instead, the Razinskis filed suit in New York State court alleging that they had an equitable mortgage and a lis pendens on the property. Id. After several years of defending against the Razinskis’ fruitless litigation, 136 FPC filed suit in this District on June 18, 2019, seeking enforcement of § 6.4 of the Master Agreement. Id. at *2. In its complaint, 136 FPC alleged that because the property did not sell within two years of the signing of the Master Agreement, the Razinskis owed liquidated damages of $1,000,000. Id. Judge

Pauley granted 136 FPC’s motion for summary judgment, holding that the Razinskis had breached § 6.4 of the Master Agreement and ordered the Razinskis to pay 136 FPC in accordance with their agreement. Id. at *6. On May 20, 2021, 136 FPC filed the instant Motion for Attorneys’ Fees pursuant to Federal Rule of Civil Procedure 54(d)(2) and the indemnification clause of the Master Agreement. (Mot. for Attorney’s Fees; ECF No. 60.) 136 FPC alleges that under § 11 of the Master Agreement, the Razinskis are required to pay for reasonable attorney’s fees related to their breach of the contract. (Mem. of Law in Support; ECF No. 60.) In support of the Motion, 136 FPC submitted billing records (“Billing

Records”) which indicated that Mitchell Baker (“Baker”), a partner at Baker, Leshko, Saline & Drapeau, and an associate at the firm, Katie Wendle (“Wendle”), expended 180.1 hours on this litigation. (Billing Records; ECF No. 60–5.) The Billing Records contain the billing entries for both Baker and Wendle and reflect a rate of $750 an hour for Baker and $500 an hour for Wendle. (Id.) In total, the Billing Records reflect $114,670.98 in fees for the 180.1 hours of billable work. (Id.) In an affidavit accompanying the Motion, Baker notes that although the Billing Records reflect $114,670.98 in fees, “[t]he total which has been paid and for which reimbursement is sought is $100,406.89.” (Baker Aff’d ¶ 7; ECF No. 60–1.) Baker goes

on to state that “[t]he discrepancy between the time expended, $114,670.98, and the amount sought, $100,406.89, is due to certain adjustments I made at the request of the client.” (Id.) The affidavit provides no further information about the “adjustments” and does not specify which of the billing entries contained in the Billing Records are included in the $100,406.89 request. In their Memorandum of Law in Opposition to the Motion, the Razinskis argue that the Court should deny the Motion because (1) the indemnity clause of the Master Agreement does not apply, and (2) the fees sought by the Plaintiff are not reasonable. (Mem. of L. in Opp’n at 1–2; ECF No. 64.) Specifically, the

Razinskis argue that the fees requested “are unsubstantiated, lack specificity, contain errors, are excessive, duplicative and vague.” (Id. at 1.) In an affidavit accompanying the Memorandum, Tanya Razinski specifically objects to $43,580.73 of the fees reported in the Billing Records, which, as noted previously, reflect a total of $114,670.98 in fees. (Tanya Razinski Aff’d; ECF No. 63.) The Razinskis also request that the Court sanction 136 FPC’s counsel under Federal Rules of Civil Procedure 11(b).2 (Mem. in Opp’n at 1.) In response, 136 FPC filed a Reply Memorandum of Law (“the Reply”) and voluntarily reduced its request by $43,580.73, noting that “[f]or the purposes of resolving [this motion],

Plaintiff is willing to forgo any fees to which the Razinskis have objected.” (136 FPC Reply Mem. of L. at 4; ECF No. 66.) The Reply further states that “to the extent the Court deems any

2 The Razinskis request for sanctions is denied as procedurally improper. See Williamson v. Recovery Ltd. P'ship, 542 F.3d 43, 51 (2d Cir. 2008) (affirming the district court's denial of the defendants' Rule 11 motion where the defendants “failed to make a separate motion for sanctions under Rule 11, and therefore failed to comply with the procedural requirements of the rule”); see also Begonja v. Vornado Realty Tr., 159 F. Supp. 3d 402, 414–15 (S.D.N.Y. 2016) (“[D]efendants' request for attorneys' fees under Rule 11 was made together with the motion to dismiss rather than as a separate motion, and for that reason alone it must be denied.”). of the hourly rates charged unreasonable, Plaintiff asks the Court to make an independent determination on a reasonable hourly rate for Plaintiff’s counsel’s work.” (Id.) In an

affidavit accompanying the Reply (“Reply Affidavit”), Baker notes that 136 FPC’s newly reduced request is $56,826.16.

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Bluebook (online)
136 Field Point Circle Holding Company, LLC v. Razinski, Counsel Stack Legal Research, https://law.counselstack.com/opinion/136-field-point-circle-holding-company-llc-v-razinski-nysd-2022.