Fair Housing Justice Center, Inc. v. Goldfarb Properties, Inc.

CourtDistrict Court, S.D. New York
DecidedMarch 30, 2025
Docket1:18-cv-01564
StatusUnknown

This text of Fair Housing Justice Center, Inc. v. Goldfarb Properties, Inc. (Fair Housing Justice Center, Inc. v. Goldfarb Properties, Inc.) 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
Fair Housing Justice Center, Inc. v. Goldfarb Properties, Inc., (S.D.N.Y. 2025).

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF NEW YORK FAIR HOUSING JUSTICE CENTER, Plaintiff, – against – OPINION & ORDER 18 Civ. 1564 (ER) PELICAN MANAGEMENT, INC., FORDHAM ONE COMPANY, LLC, and CEDAR TWO COMPANY, LLC., Defendants. Ramos, D.J.: Pelican Management, Inc., Fordham One Company, LLC, and Cedar Two Company, LLC (collectively “Defendants”), are the owners of rental buildings in New York City. Fair Housing Justice Center, Inc. (“FHJC”) brought this action on February 21, 2018 alleging that Defendants’ 2015 Policy (the “2015 Policy”) requiring that all prospective renters in their buildings earn an annual income of at least 43 times their total monthly rent was unlawful under both the Fair Housing Act (the “FHA”) and New York City Human Rights Law (“NYCHRL”).1 FHJC filed a first amended complaint (“FAC”) on June 4, 2018, Doc. 36. In January 2019, Defendants adopted a new minimum income policy (the “2019 Policy”). FHJC filed a second amended complaint (“SAC”) on July 2, 2019, Doc. 86. On July 23, 2019, Defendants filed an answer to the SAC and asserted a counterclaim seeking a declaration that the 2019 Policy was lawful. Doc. 94. After presiding over a bench trial in this action, on September 29, 2023, the Court issued findings of fact and conclusions of law finding in favor of FHJC on each of its

1 �e complaint was originally filed by both FHJC and an individual named Alfred Spooner. On May 2, 2019, the parties filed a stipulation of dismissal of all claims by Spooner with prejudice. See Doc. 75. �e original complaint was against Cedar Two Company, LLC., Deegan Two Company, and Goldfarb Properties, Inc. (the “Original Defendants”). Deegan Two Company and Goldfarb Properties, Inc. were replaced by Pelican Management, Inc. and Fordham One Company in the second amended complaint. Doc. 86. claims against Defendants: disability discrimination under the Fair Housing Act (“FHA”) and the New York City Human Rights Law (“NYCHRL”), and source of income discrimination under the NYCHRL. Doc. 172 (the “Opinion”) at 29, 30, 36. �e Court also found against Defendants on their counterclaim, which sought declaratory judgment, holding that the 2019 Policy was not lawful as to its requirements for applicants with partial rental subsidies. Id. at 40. �e Court awarded FHJC all of its requested relief: $240,540 in compensatory damages, $750,000 in punitive damages, and an injunction prohibiting Defendants from, among other things, applying minimum income requirements to applicants with rental subsidies or vouchers. Id. at 42, 48. On October 10, 2023, Defendants filed a notice of appeal of the Opinion and injunction with the Second Circuit. Doc. 178. On October 27, 2023, Defendants filed an emergency motion for a partial stay pending appeal of the injunction, “insofar as the [injunction] prohibits [d]efendants from applying minimum income standards to partially subsidized applicants.” Doc. 183 at 1. On November 3, 2023, Defendants filed a motion requesting that the Court recognize a supersedeas bond of $1,099,500 obtained by Defendants, and that it approve a stay of execution on the Court’s damages awards pending appeal, pursuant to Federal Rule of Civil Procedure 62. Doc. 188. On November 6, 2023, the Court denied the motion for a partial stay pending appeal, Doc. 190, and on November 14, 2023, it entered an order approving the supersedeas bond and staying execution of the judgment pending appeal. Doc. 198. On November 13, 2023, FHJC filed the instant motion for attorneys’ fees and costs expended in litigating this case. Doc. 194. On December 15, 2023, Defendants filed their opposition to the motion. Doc. 203. On January 5, 2024, FHJC filed its reply, Doc. 204, in which it supplemented its fee request to include fees and costs associated with the instant motion. See Doc. 204 at 1 n.1. On January 21, 2025, the Second Circuit issued a summary order affirming the Opinion; the mandate issued on February 11, 2025. Doc. 207. Pursuant to a stipulation and order entered on February 24, 2025, Doc. 209, on March 4, 2025, FHJC filed a supplemental affirmation in support of its motion for attorneys’ fees and costs incurred in opposing Defendants’ appeal. Doc. 210.2 Defendants filed a supplemental affirmation in response on March 28, 2025. Doc. 211. In total, FHJC is claiming $1,535,711.00 in fees and $46,575.61 in costs, for a total of $1,582,286.61. Doc. 210 ¶¶ 3, 16. FHJC is represented by Emery Celli Brinckerhoff Abady Ward & Maazel (“ECBAWM”), a litigation boutique that focuses on civil rights, commercial, criminal, and attorney ethics matters. Doc. 196 at 2. I. LEGAL STANDARD Both the FHA and NYCHRL permit a fee-shifting award for the “prevailing party”3 in a civil action. See 42 U.S.C.A. § 3613(c)(2) (“In a civil action under subsection (a), the court, in its discretion, may allow the prevailing party, other than the United States, a reasonable attorney’s fee and costs.”); New York City, N.Y., Code § 8- 502(g) (“In any civil action commenced pursuant to this section, the court, in its discretion, may award the prevailing party reasonable attorney’s fees, expert fees and other costs.”). Fee awards under the NYCHRL are determined using the same standards as for similar federal statutes. Shannon v. Fireman’s Fund Insurance Co., 156 F. Supp. 2d 279, 298 (S.D.N.Y. 2001). “Ordinarily, the starting point for calculating a fee award is the lodestar method, which multiplies the number of hours the prevailing party’s attorney expended on the case by the reasonable hourly rate charged for similar work by attorneys of like skill in

2 FHJC notes that, although the billing records it provides with its supplemental filing include the hourly billing rates from 2025, “for consistency and efficiency, [FHJC is] discounting [its] request for attorney fees in this case by basing all of [its] calculations on [ECBAWM’s] lower 2023 hourly billing rates that [FHJC] used in [its] original motion for fees in this case.” Doc. 210 ¶ 8. 3 “[T]he question of whether a plaintiff is a ‘prevailing party’ within the meaning of the fee-shifting statutes is a threshold question that is separate from the question of the degree to which the plaintiff prevailed.” LeBlanc-Sternberg v. Fletcher, 143 F.3d 748, 757 (2d Cir. 1998). As further discussed below, the parties contest the degree to which FHJC prevailed in the instant case; however, Defendants do not contest that FHJC is the “prevailing party.” the jurisdiction.” Marchuk v. Faruqi & Faruqi LLP, 104 F. Supp. 3d 363, 366 (S.D.N.Y. 2015); see also Millea v. Metro-North Railroad Co., 658 F.3d 154, 166 (2d Cir. 2011) (citation omitted) (“Both this Court and the Supreme Court have held that the lodestar . . . creates a ‘presumptively reasonable fee.’”); Quaratino v. Tiffany & Co., 166 F.3d 422, 425 (2d Cir. 1999) (citing Hensley v. Eckerhart, 461 U.S. 424, 433 (1983)) (“The starting point for the determination of a reasonable fee is the calculation of the lodestar amount.”). The lodestar is calculated based on “prevailing market rates,” those “in line with those [rates] prevailing in the community for similar services by lawyers of reasonably comparable skill, experience, and reputation.” Reiter v.

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Bluebook (online)
Fair Housing Justice Center, Inc. v. Goldfarb Properties, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/fair-housing-justice-center-inc-v-goldfarb-properties-inc-nysd-2025.