C.R.H. Industrial Water, LLC, et al. v. Michael Eiermann, et al.

CourtDistrict Court, N.D. Ohio
DecidedMarch 3, 2026
Docket1:23-cv-01805
StatusUnknown

This text of C.R.H. Industrial Water, LLC, et al. v. Michael Eiermann, et al. (C.R.H. Industrial Water, LLC, et al. v. Michael Eiermann, et al.) is published on Counsel Stack Legal Research, covering District Court, N.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
C.R.H. Industrial Water, LLC, et al. v. Michael Eiermann, et al., (N.D. Ohio 2026).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF OHIO EASTERN DIVISION C.R.H. INDUSTRIAL WATER, LLC, ) CASE NO. 1:23-CV-1805 et al., ) ) Plaintiffs, ) MAGISTRATE JUDGE ) JENNIFER DOWDELL ARMSTRONG v. ) ) MICHAEL EIERMANN, et al., ) MEMORANDUM ) OPINION AND ORDER Defendants. )

I. INTRODUCTION AND PROCEDURAL HISTORY This trade secrets case was dismissed with prejudice in March 2025 pursuant to Rule 41(a)(1)(A)(ii) of the Federal Rules of Civil Procedure, after a lengthy mediation process that led to a settlement. (Order, ECF No. 62.) The parties had agreed that the Court would retain juris- diction over the terms of their settlement agreement (see Stipulated Notice, ECF No. 61), and further specifically agreed that I would retain jurisdiction to interpret and enforce the terms of the settlement agreement if any dispute arose. (See Minutes of Proceedings [non-document], Jan. 27, 2025.) The case is now before the Court for the determination of attorney fees, costs, and interest relative to a consent judgment entry after the defendants breached the settlement agreement that ended their litigation. (Mem. Opinion and Order, ECF No. 74.) The factual and procedural background of this case is set forth in detail in the Court’s Memorandum Opinion and Order of December 10, 2025. (ECF No. 74, PageID# 674–76.) It need not be repeated in detail here. After an evidentiary hearing on October 27, 2025, the Court determined that Plaintiffs C.R.H. Industrial Water, LLC and C.R.H. Ohio, LTD. (“Plaintiffs”) are entitled to the entry of a consent judgment against Defendants Michael Eiermann, Andrew Bokovitz, Perry Celaschi, and Engineered H2O Solutions, LLC (“Defendants”)—the remedy provided in their settlement agree- ment for a breach. (Id.; see also Consent Judgment, ECF No. 63-1.) Specifically, the Court set forth the following: Plaintiffs shall have and recover judgment against Defendants in the total amount of Sixty-Eight Thousand Dollars ($68,000) minus any payments made pursuant to the Settlement Agreement and Waiver and Release be- tween the parties plus Ten Thousand Dollars ($10,000.00) plus interest at the statutory rate, court costs and reasonable attorney fees.

(ECF No. 74, PageID# 684.)

The Court requested briefing from the parties regarding attorney fees and ordered that the parties set forth the amount that has already been paid pursuant to the settlement agreement. (Id.) On December 24, 2025, the plaintiffs filed a motion for attorney fees, interest, and costs (ECF No. 75), supported by: (1) an affidavit from attorney Thomas Feher as an expert (ECF No. 75-1); (2) an affidavit from attorney John Mitchell (ECF No. 75-2); (3) redacted billing entries for the months of May through December 2025 (ECF Nos. 75-3, 75-4, 75-5, 75-6, 75-7, 75-8, 75-9, and 75-10); (4) invoices from the company Veritext (ECF No. 75-11); and (5) food, lodging, and rideshare confirmation emails, and printed electronic driving directions related to the travel of attorney Lauren Kemp (ECF No. 75-12). On January 19, 2026, the defendants filed a brief in opposition to the motion. (ECF No. 77.) On January 26, 2026, the plaintiffs filed a reply brief in support of their motion. (ECF No. 78.) The Court then ordered the plaintiffs to submit unredacted copies of their billing entries for the Court’s in camera review. (Order [non-document], Feb. 13, 2026.) The plaintiffs submitted these records, and the Court has reviewed them thoroughly. This Memorandum Opinion and Order follows. For the reasons that follow, the Court GRANTS IN PART the motion for attorney fees, interest, and costs (ECF No. 75.) The Court awards reasonable attorney fees in the amount of $62,316.50. The Court awards reasonable costs and expenses in the amount of $9,332.73. And the Court awards pre- and postjudgment interest at the statutory rates, although less prejudgment in- terest than the Plaintiffs request. The motion is otherwise DENIED.

The plaintiffs are ordered to file a notice on or before March 5, 2026, stating whether the defendants have made additional payments under the settlement agreement since the filing of their reply brief and, if so, the amount of the principal balance that is still outstanding. A final judgment entry will promptly follow that notice. II. LAW AND ANALYSIS A. Attorney Fees Under Ohio law, a party who successfully enforces a settlement agreement in court may recover its reasonable attorney fees and expenses incurred in enforcing the settlement, as compen- satory damages. E.g., Rohrer Corp. v. Dane Elec. Corp. U.S.A., 482 F. App’x 113, 117 (6th Cir.

2012). Here, the parties’ settlement agreement also expressly provided for the recovery of attorney fees and costs: Fee Shifting. The Parties agree that the prevailing Party in any action relat- ing to or arising out of this Agreement will be awarded its reasonable attor- neys’ fees and costs incurred as a result of such proceeding.

Settlement Agreement at 4, Oct. 27, 2025 Hrg. Ex. 7; see also Marten Transp., Ltd. v. Logistical Advantage Corp., No. 1:22-cv-1118, 2023 WL 5277765, at *5 (N.D. Ohio June 14, 2023) (noting that the existence of a contract that provides for fee-shifting is an independent basis to award fees).

And the parties’ negotiated consent judgment entry also provides for the award of fees, costs, and interest: It is therefore ORDERED, ADJUDGED AND DECREED that Plaintiffs shall have and recover judgment against Defendants in the total amount of Sixty-Eight Thousand Dollars ($68,000) minus any payments made pursu- ant to the Settlement Agreement and Waiver and Release between the par- ties plus Ten Thousand Dollars ($10,000.00) plus interest at the statutory rate, court costs and reasonable attorney fees in the event any [Defendant]1 violates any term of the Settlement Agreement and Waiver and Release. Reasonable attorneys’ fees shall only be awarded for attorney fees incurred in connection seeking enforcement of the Settlement Agreement dated March 18, 2025.

(Consent Judgment Entry, ECF No. 63-1.)

Indeed, Defendants do not seem to dispute that—in light of the Court’s finding of a material breach—the Plaintiffs are entitled to some award of attorney fees. Rather, the dispute centers on what a reasonable award is here. Plaintiffs request $82,518.75. (Reply Br. at 6, ECF No. 78, PageID# 776.) This figure in- cludes: • $77,518.75 for work performed between May and December 2025 to inves- tigate and litigate the issue of Defendants’ breach; and

• $5,000 for work performed in drafting the reply brief in support of their fee application.

(See Mot. Att’y Fees at 2, ECF No. 75, PageID# 687; Reply Br. at 6, ECF No. 78, PageID# 776.)

Before turning to Defendants’ position, the Court notes that Plaintiffs’ first request seems to include a relatively small mathematical error. Mr. Mitchell avers—and the billing records sub- stantiate—that he and the other professionals from his firm billed and collected from Plaintiffs: • $7,023.75 in May; • $5,406.25 in June; • $25,103.75 in July;

1 Plaintiffs corrected a scrivener’s error in the original consent judgment entry before filing it; the parties had mistakenly written “Plaintiff” instead of “Defendant” here. The Defendants have not contested that this was an inadvertent drafting error. • $10,890.00 in August; • $6,448.75 in September; • $16,550.00 in October; and • $118.75 in November.

(Mitchell Aff., ECF No. 75-2, PageID# 712–13; Billing Records, ECF Nos. 75-3 through 75-10.) Additionally, Mr. Mitchell avers—and the records substantiate—that his firm had earned (though not yet billed) $5,805 for the month of December, up to the date Plaintiffs filed their mo- tion for fees. (PageID# 713 & 722.) These amounts total only $77,346.25.

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