Elam v. Rooftopdc LLC

CourtDistrict Court, District of Columbia
DecidedNovember 16, 2020
DocketCivil Action No. 2018-0431
StatusPublished

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

Bluebook
Elam v. Rooftopdc LLC, (D.D.C. 2020).

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA ____________________________________ ) KEITH ELAM, et al., ) ) Plaintiffs, ) ) v. ) Case No. 18-cv-0431 (GMH) ) ROOFTOPDC LLC, et al., ) ) Defendants. ) ____________________________________)

MEMORANDUM OPINION AND ORDER

Over two years ago, Plaintiffs Keith Elam and Rashad Price brought this suit alleging that

their termination as kitchen workers at a local restaurant run by Defendants was motivated by

discrimination on the basis of their race. Earlier this year, the case ended with something of a

whimper. During discovery, Plaintiffs’ counsel withdrew; soon thereafter, the Court dismissed the

case without prejudice because pro se Plaintiffs failed to prosecute it further. Not fully satisfied

with that favorable result, certain Defendants—specifically, RoofTopDC, LLC, Noe Landini, and

Franco Landini—filed a motion seeking an order requiring Plaintiffs and their counsel to pay De-

fendants’ attorney’s fees contending that Plaintiffs’ claims were frivolous from the start and were

brought in bad faith, and that proceedings in this matter were multiplied vexatiously by Plaintiffs’

counsel. Because Defendants have not met the high bar for the award of fees, the Court denies the

motion.

I. BACKGROUND

Plaintiffs Keith Elam and Rashad Price worked in a kitchen, supervised by Defendants

Corey Fey and Shane Henderson, at RoofTopDC, LLC, owned by Defendants Noe Landini and

Franco Landini. ECF No. 1. After being fired within days of each other in March 2016, Plaintiffs

1 filed this suit against Defendants asserting claims of disparate treatment discrimination and hostile

work environment under Title VII of the Civil Rights Act of 1964 and the District of Columbia

Human Rights Act, as well as a common law wrongful termination claim. Id. Certain Defendants

responded to the Complaint by filing a partial motion to dismiss Plaintiffs’ common law wrongful

termination claim as having no basis in law (ECF No. 20), which Plaintiffs did not oppose. ECF

No. 21. Accordingly, this Court granted the motion to dismiss that claim. ECF No. 22.

The case then proceeded through discovery, with a flurry of extensions and two discovery

disputes. ECF Nos. 30–71. The second discovery dispute centered on Mr. Elam’s cell phone

records (the “Phone Dispute”). Defendants attempted to compel production of Mr. Elam’s com-

plete cell phone records in November 2019, believing the records could be relevant to damages,

impeachment, or one of Defendants’ asserted non-discriminatory reasons for firing Mr. Elam.

ECF No. 68. Plaintiffs attempted to protect certain of these phone records, asserting that they were

protected from disclosure by the Fifth Amendment. ECF No. 71. The Court never resolved this

dispute because Plaintiffs’ counsel withdrew while the motion was pending, and the Court even-

tually dismissed the case without prejudice for failure to prosecute in January 2020. ECF Nos. 76,

79. Thereafter, Defendants filed the motion for attorney’s fees now before the Court. 1 ECF No.

80. Mr. Price and Plaintiffs’ former attorneys Billy Ponds and Michael Fortini opposed the motion.

ECF Nos. 83, 85. Mr. Elam, at that point pro se, did not respond to the motion.

II. DISCUSSION

Federal courts follow the American Rule of attorney’s fees—that is, each party, whether it

prevails or not, typically bears its own attorney’s fees. See, e.g., Baker Botts L.L.P. v. ASARCO

LLC, 576 U.S. 121, 126 (2015). Deviations from that rule are rarely granted and are considered

1 Defendants Corey Fey and Shane Henderson, who were Defendants to this suit at its filing, did not join the motion for attorney’s fees.

2 exceptional. See Alyeska Pipeline Serv. Co. v. Wilderness Soc’y, 421 U.S. 240, 247–70 (1975)

(discussing history of American Rule and its rare exceptions). Seeking such an exception here,

Defendants assert that they are entitled to the payment of their attorney’s fees under three statutes,

the Federal Rules of Civil Procedure, and the court’s inherent power. ECF No. 80. The Court will

address in turn below each asserted basis for an award of fees.

A. 28 U.S.C. § 1927

Defendants first seek a fee award pursuant to 28 U.S.C. § 1927. Under that statute, a court

may award attorney’s fees against an attorney 2 who “multiplies the proceedings in any case un-

reasonably and vexatiously.” 28 U.S.C. § 1927. To justify such an award, an attorney’s conduct

must show “evidence of recklessness, bad faith, or improper motive” in filings or proceedings that

are deemed to be unreasonable and vexatious. LaPrade v. Kidder Peabody & Co., 146 F.3d 899,

906 (D.C. Cir. 1998) (quoting Travelers Ins. v. St. Jude Hosp. of Kenner, La., Inc., 38 F.3d 1414,

1416–17 (5th Cir. 1994)). Thus, courts use section 1927 to sanction attorneys who abuse the ju-

dicial process with “repeated” misbehavior or “singularly egregious” misconduct. United States

v. Wallace, 964 F.2d 1214, 1220 (D.C. Cir. 1992).

Here, Defendants claim that Plaintiffs’ counsel withheld Mr. Elam’s unredacted phone rec-

ords under a baseless assertion of Fifth Amendment privilege and pleaded a frivolous wrongful

termination claim in the original complaint. ECF No. 80 at 7–9, 17–18. Neither contention demon-

strates recklessness or bad faith. Defendants’ assertion about Mr. Elam’s phone records effectively

asks the Court to resolve the merits of the Phone Dispute. The Court never did so, and it need not

do so now after the case has been dismissed. The record before the Court is sufficient for it to

2 The Court observes that, even if Defendants had proven entitlement to fees under section 1927, only Plaintiffs’ counsel would be obligated to pay the fee award; an attorney’s client is not liable for fees awarded under that section. See, e.g., Alexander v. FBI, 541 F. Supp. 2d 274, 299 (D.D.C. 2008) (noting that, “by its terms, an award under Section 1927” may be assessed “only [against] counsel in litigation, not [ ] parties”).

3 determine that Plaintiffs’ counsel was seeking to protect their clients’ interests while attempting to

resolve the dispute in an efficient manner. Indeed, after the Phone Dispute arose, Plaintiffs’ coun-

sel offered Defendants multiple, reasonable ways to resolve it: the Court’s in camera review of

the records in question or their review by counsel for one of the other Defendants not involved in

the dispute. ECF No. 83 at 2–4. On that basis, the Court finds that, whatever the merits of the

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