Bush v. LVNV FUNDING LLC

CourtDistrict Court, E.D. Pennsylvania
DecidedOctober 31, 2022
Docket2:22-cv-01292
StatusUnknown

This text of Bush v. LVNV FUNDING LLC (Bush v. LVNV FUNDING LLC) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bush v. LVNV FUNDING LLC, (E.D. Pa. 2022).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF PENNSYLVANIA

STEPHANIE BUSH, CIVIL ACTION

Plaintiff, NO. 22-1292-KSM v.

LVNV FUNDING LLC,

Defendant.

MEMORANDUM MARSTON, J. October 31, 2022 Plaintiff Stephanie Bush alleges that Defendant LVNV Funding, LLC violated the Fair Debt Collections Practices Act (“FDCPA”) when it reported to credit agencies that Bush owed a debt without noting that the debt was disputed. (See generally Doc. No. 1.) On May 3, 2022, LVNV made an offer of judgment, which Bush accepted on May 16, 2022. (See Doc. No. 4 at 2.) The offer stated that judgment would be entered against LVNV for $1,001 in statutory damages and “an amount for [Bush’s] reasonable attorney’s fees and costs in connection with [Bush’s] prosecution of the claims alleged against LVNV through the date of [Bush’s] acceptance of this Offer, in an amount to be agreed upon by counsel or, alternatively, as determined by the Court.” (Id. at 1.) The parties were unable to agree about attorney’s fees,1 and on June 24, 2022, Bush filed a Petition in Support of an Award of Counsel’s Fees and Costs, asking for $4,795.00 in fees. (Doc. No. 5 at 4.) LVNV opposed the motion, arguing that the fees should be reduced by

1 The parties agree that reasonable costs totaled $458.71. (See Doc. No. 8 at 10 (“LVNV does not contest Plaintiff’s request for costs.”).) $1,495. (Doc. No. 8 at 10.) After reviewing LVNV’s objections, Bush agreed to reduce the fee by 0.8 hours, or $330, for a total award of $4,465, but she argues that no further reduction is warranted. (Doc. No. 9 at 1–2, 9.) LEGAL STANDARD In determining whether an attorney’s fees are reasonable, courts use the “‘lodestar’

formula, which requires multiplying the number of hours reasonably expended by a reasonable hourly rate.” Maldonado v. Houstoun, 256 F.3d 181, 184 (3d Cir. 2001); see also Hensley v. Eckerhart, 461 U.S. 424, 433 (1983); Middlebrooks v. Teva Pharma. US, Inc., Civil Action No. 17-412, 2019 WL 936645, at *4 (E.D. Pa. Feb. 26, 2019). The party seeking fees bears the burden of showing that the claimed rates and number of hours are reasonable. See Hensley, 461 U.S. at 433 (“The party seeking an award of fees should submit evidence supporting the hours worked and rates claimed.”); United Sates ex rel. Palmer v. C&D Tech., Inc., 897 F.3d 128, 139 (3d Cir. 2018) (“In a statutory fees case, the party seeking attorney’s fees has the burden to prove that its request for attorney’s fees is reasonable by submitting evidence supporting the hours worked and rates claimed.” (cleaned up)); see also Clemens v. N.Y. Central Mut. Fire Ins. Co.,

903 F.3d 396, 400 (3d Cir. 2018) (“Under the lodestar method, the party seeking attorney’s fees has the burden to prove that its request is reasonable.” (cleaned up)). “The party opposing the fee award then has the burden to challenge, by affidavit or brief with sufficient specificity to give fee applicants notice, the reasonableness of the requested fee.” United States ex rel. Palmer, 897 F.3d at 138 (cleaned up); Middlebrooks, 2019 WL 936645, at *4. Courts have a “positive and affirmative function in the fee fixing process, not merely a passive one.” Maldonado, 256 F.3d at 184; see also Evans v. Port Auth. of N.Y. & N.J., 273 F.3d 346, 362 (3d Cir. 2001) (“It is important that we reiterate our admonition in Maldonado that fee requests be subjected to a thorough and searching analysis . . . [I]t is necessary that the Court ‘go line, by line, by line’ through the billing records supporting the fee request.”). “In calculating the hours reasonably expended, a court should review the time charged, decide whether the hours set out were reasonably expended for each of the particular purposes described and then exclude those that are excessive, redundant, or otherwise unnecessary.” Maldonado, 256 F.3d at 184.

“Hours that would not generally be billed to one’s own client are not properly billed to an adversary.” Id. (cleaned up). And, although a court may not sua sponte reduce a fee award, the court “has a great deal of discretion to adjust the fee award” once the party opposing the award lodges specific objections. United States ex rel. Palmer, 897 F.3d at 139. ANALYSIS As mentioned above, in calculating the lodestar, the Court must multiply the reasonable hourly rate by the number of hours reasonably expended. See Maldonado, 256 F.3d at 184. Here, Bush seeks fees for the time that her attorney, Stephen Dunne, Esq., and paralegal, Kathryn Salvaterra, spent working on this case. A. Attorney’s Fees Beginning with Dunne, LVNV does not appear to challenge the requested hourly rate of

$412.50. And in any event, the Court finds this rate reasonable given Dunne’s 16 years’ experience in commercial litigation. (Doc. No. 5-1 at 1 (attesting that he has been practicing since 2006).) According to the Community Legal Services (“CLS”) fee schedule, an hourly rate of $475 to $530 is customary for attorneys with similar experience in the Philadelphia area. (See Doc. No. 5-4.) See Maldonado, 256 F.3d at 187–88 (“The fee schedule established by Community Legal Services, Inc. (‘CLS’) has been approvingly cited by the Third Circuit as being well developed and has been found by the Eastern District of Pennsylvania to be a fair reflection of the prevailing market rates in Philadelphia. . . . We approve of those rates as reasonable in fixing the hourly rates in this case, and deny the hourly rates that are inconsistent with them.”). Dunne’s hourly rate of $412.50 falls below this range, and in the absence of any evidence to the contrary, the Court does not find it unreasonable or excessive. Instead of targeting his hourly rate, LVNV focuses on the tasks performed by Dunne and argues that they are unreasonable and that the Court should exclude time spent performing

administrative tasks, drafting a “form complaint,” and researching Riccio v. Sentry Credit, Inc., 954 F.3d 582 (3d Cir. 2020). (Doc. No. 8 at 6–8) The Court addresses each issue in turn. 1. Administrative Tasks First, LVNV argues that line items for reviewing court notices of filed documents (0.1 hours), sending docketed materials to the client (0.3 hours), communicating with a process server (0.5 hours), and reviewing emails from opposing counsel (1.1 hours), are not “attorney function[s] normally billed to a paying client” and should be excluded from the fee award.2 (Doc. No. 8 at 7–8.)

2 As mentioned above, Bush has agreed to reduce the fee request by 0.8 hours for “time spent on arguably clerical or administrative tasks.” (Doc. No. 9 at 6.) The first reduction relates to the letter of representation that Dunne sent to LVNV. LVNV targets three line items, totaling 0.9 hours, related to drafting the letter and sending it to LVNV, arguing that Dunne improperly billed three times for drafting and sending the same letter of representation. (Doc. No. 8 at 7.) Bush responds that three different forms of notice—certified mail, first class mail, and facsimile—were necessary because “LVNV Funding, LLC all to [sic] often engages in a lack of notice argument making duplicative notice absolutely necessary to avoid future litigation expenses down the road where [LVNV] argues lack of notice.” (Doc. No. 9 at 6.) Bush has, nevertheless, agreed to exclude two line items from the fee request, thus reducing the request by 0.5 hours.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
Bush v. LVNV FUNDING LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bush-v-lvnv-funding-llc-paed-2022.