Alorica Inc. v. Tech Mahindra (Americas) Inc.

District Court, E.D. Texas·Decided August 14, 2026·No. 4:24-cv-00030·Unknown

Opinion

United States District Court EASTERN DISTRICT OF TEXAS SHERMAN DIVISION

ALORICA INC., § § Plaintiff, § v. § Civil Action No. 4:24-cv-30 § Judge Mazzant TECH MAHINDRA (AMERICAS) § INC., § § Defendant. § MEMORANDUM OPINION AND ORDER Pending before the Court is Plaintiff Alorica Inc.’s Application for Attorneys’ Fees, Costs, and Interest (the “Motion”) (Dkt. #224). Having considered the Motion, the relevant pleadings, and the applicable law, the Court finds that the Motion should be GRANTED in part and DENIED in part. BACKGROUND This is a breach of contract case. On January 12, 2024, Plaintiff Alorica Inc. (“Plaintiff”) filed this action against Defendant Tech Mahindra (Americas) Inc. (“Defendant”) asserting claims for: (1) breach of contract, (2) suit on sworn account, (3) quantum merit, (4) money had and received, (5) promissory estoppel, and (6) unjust enrichment (Dkt. #1). On March 12, 2024, Defendant filed its Original Answer and asserted counterclaims for breach of contract and promissory estoppel (Dkt. #5 at pp. 5– 7). On February 10, 2025, Defendant filed its Second Amended Answer, adding a counterclaim for fraudulent misrepresentation (Dkt. #69 at p. 18).1 Each of the claims at issue in this lawsuit were based on the same set of operative facts and arguments—that is, the parties had a contractor-subcontractor relationship governed by an Order

Agreement and Amendment and that either Defendant failed to pay under the terms of the agreements or Plaintiff overcharged Defendant. On September 8, 2025, a jury trial commenced in the above-captioned action. On September 10, 2025, the jury returned a verdict in favor of Plaintiff, finding that Defendant breached the contract and awarded Plaintiff damages in the amount of $2,210,078.81 (Dkt. #207 at pp. 1–2). On September 16, 2025, the Court entered Final Judgment in this case ordering that

Plaintiff shall recover from Defendant: (1) actual damages in the amount of $2,210,078.81; (2) pre- judgment interest; (3) post-judgment interest on all sums at the federal rate provided by 28 U.S.C. § 1961(a) beginning on the date judgment is entered; (4) costs of court; and (5) attorneys’ fees (Dkt. #218 at p. 2). On October 7, 2025, Plaintiff filed its Application for Attorneys’ Fees, Costs, and Interest, seeking an award of $1,006,089.52 for attorneys’ fees and $63,829.52 for costs and expenses that it incurred in prosecuting its breach of contract claims and pre- and post-judgment interest

(Dkt. #224 at p. 1). On October 21, 2025, Defendant filed its Response, requesting that the Court stay Plaintiff’s motion for attorneys’ fees, costs, and interest pending resolution of its appeal

1 On August 28, 2025, the Court issued a Memorandum Opinion and Order ruling on the parties’ cross-motions for summary judgment (Dkt. #172). The Court’s summary judgment ruling significantly narrowed the issues for trial by dismissing all the parties’ claims except Plaintiff’s claims for breach of contract and suit on sworn account and Defendant’s claims for breach of contract and fraudulent misrepresentation (Dkt. #172 at p. 21). On September 2, 2025, the issues to be tried were further narrowed after Defendant voluntarily dismissed its counterclaim against Plaintiff for misrepresentation (Dkt. #174). As a result, there was but a single narrow issue for the jury to decide: whether the contract was breached, and if so, by whom (Dkt. #172 at p. 15). (Dkt. #226 at p. 1). In addition to requesting a stay, Defendant specifically opposes Plaintiff’s request for costs related to trial exhibits, which it contends are not recoverable under binding appellate precedent (Dkt. #226 at p. 1). On November 4, 2025, Plaintiff filed its Response in

Opposition to Defendant’s request to stay its application for fees and cost pending resolution of the appeal (Dkt. #229). The Motion is now ripe for adjudication. LEGAL STANDARD I. Attorney’s Fees After determining whether attorney’s fees are recoverable under the applicable law, courts use the lodestar method to calculate reasonable attorney’s fees. Black v. SettlePou, P.C., 732 F.3d 492, 502 (5th Cir. 2013). “The lodestar is calculated by multiplying the number of hours an attorney

reasonably spent on the case by an appropriate hourly rate, which is the market rate in the community for this work.” Id. The requested rates should fall “in line with those prevailing in the community for similar services by lawyers of reasonably comparable skill, experience and reputation.” Blum v. Stenson, 465 U.S. 886, 895 n.11 (1984). The relevant legal community is the community where “the district court sits.” See Tollett v. City of Kemah, 285 F.3d 357, 368 (5th Cir. 2002) (citation modified). The lodestar is presumptively reasonable. City of Burlington v. Dague, 505 U.S. 557, 562 (1992)

“The party seeking attorneys’ fees must present adequately recorded time records to the court.” Watkins v. Fordice, 7 F.3d 453, 457 (5th Cir. 1993). The Court should use this time as a benchmark and then exclude any time that is excessive, duplicative, unnecessary, or inadequately documented. Id. The hours remaining are those reasonably expended on the litigation. Id. The Court then considers whether the circumstances warrant a lodestar adjustment. Migis v. Pearle Vision, Inc., 135 F.3d 1041, 1047 (5th Cir. 1998). In making any adjustment, the Court considers twelve Johnson factors. Id. (citing Johnson v. Ga. Highway Express, Inc., 488 F.2d 714, 717– 19 (5th Cir. 1974)). The Johnson factors are: (1) time and labor required; (2) novelty and difficulty of issues; (3) skill required; (4) loss of other employment in taking the case; (5) customary

fee; (6) whether the fee is fixed or contingent; (7) time limitations imposed by client or circumstances; (8) amount involved and results obtained; (9) counsel’s experience, reputation, and ability; (10) case undesirability; (11) nature and length of relationship with the client; and (12) awards in similar cases. Id. (citing Johnson, 488 F.2d at 717–19).2 The most critical factor in determining reasonableness is the degree of success obtained. Hensley v. Eckerhart, 461 U.S. 424, 436 (1983). “Many of these factors usually are subsumed within

the initial calculation of hours reasonably expended at a reasonable hourly rate and should not be double-counted.” Jason D.W. ex rel. Douglas W. v. Hou. Indep. Sch. Dist., 158 F.3d 205, 209 (5th Cir. 1998) (citation modified). Three of the Johnson factors—complexity of the issues, results obtained, and preclusion of other employment—are fully reflected in the lodestar amount. See Heidtman v.

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Alorica Inc. v. Tech Mahindra (Americas) Inc., (E.D. Tex. 2026).

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