Herring Networks, INC v. Maddow

District Court, S.D. California·Decided February 5, 2021·No. 3:19-cv-01713·Unknown

Opinion

HERRING NETWORKS, INC., Case No.: 3:19-cv-1713-BAS-AHG

Plaintiff, ORDER GRANTING IN PART AND v. DENYING IN PART DEFENDANTS’ MOTION FOR ATTORNEY FEES RACHEL MADDOW, et al., AND COSTS Defendants. [ECF No. 35]

Before the Court is Defendants’ Motion for Attorney Fees and Costs. ECF No. 35. This matter was referred to the undersigned by District Judge Cynthia Bashant. ECF No. 30 at 16. For the reasons set forth below, the Court GRANTS IN PART and DENIES IN PART Defendants’ motion. I. BACKGROUND Plaintiff Herring Networks, Inc. (“Plaintiff”) filed a complaint for defamation against Defendants Rachel Maddow, Comcast Corporation, NBCUniversal Media, LLC, and MSNBC Cable LLC (collectively, “Defendants”). ECF No. 1. Plaintiff’s claim stemmed from a statement Rachel Maddow made on The Rachel Maddow Show on MSNBC. Id. Soon after Plaintiff filed suit, Defendants filed a special motion to strike pursuant to California Code of Civil Procedure § 425.16, commonly known as the Anti- Strategic Lawsuits Against Public Participation (“anti-SLAPP”) law. ECF No. 18. After special motion to strike. ECF No. 30 at 16. Because the Court granted the anti-SLAPP motion, Defendants were permitted to file a motion for attorney fees and costs. Id. (citing CAL. CIV. PROC. CODE § 425.16(c)(1)). After Defendants filed their motion for attorney fees and costs (ECF No. 35), the Court set a briefing schedule. ECF No. 36. Plaintiff timely filed its opposition brief, and Defendants timely filed their reply brief. ECF Nos. 37, 38. Plaintiff also filed objections to evidence submitted in Defendants’ motion and reply brief. ECF Nos. 37-4, 39. This Order follows. Under California’s anti-SLAPP statute, “a prevailing defendant on a special motion to strike shall be entitled to recover his or her attorney[] fees and costs.” CAL. CIV. PROC. CODE § 425.16(c)(1). Under the anti-SLAPP statute, an award of attorney fees to a prevailing defendant is mandatory. Ketchum v. Moses, 17 P.3d 735, 741 (Cal. 2001); Christian Research Inst. v. Alnor, 81 Cal. Rptr. 3d 866, 871 (Ct. App. 2008). The anti- SLAPP statute is “intended to compensate a defendant for the expense of responding to a SLAPP suit. To this end, the provision is broadly construed so as to effectuate the legislative purpose of reimbursing the prevailing defendant for expenses incurred in extracting herself from a baseless lawsuit.” Graham-Sult v. Clainos, 756 F.3d 724, 752 (9th Cir. 2014) (quoting Wanland v. Law Offices of Mastagni, Holstedt & Chiurazzi, 45 Cal. Rptr. 3d 633, 637 (Ct. App. 2006)). To determine a reasonable attorney fee award for an anti-SLAPP motion, the California Supreme Court has found that “the lodestar adjustment approach should be applied.” Ketchum, 17 P.3d at 744. For the lodestar approach, the Court begins by “multiplying the number of hours reasonably spent on the litigation by a reasonable hourly rate.” McCown v. City of Fontana, 565 F.3d 1097, 1102 (9th Cir. 2009) (citing Hensley v. Eckerhart, 461 U.S. 424, 433 (1983)). The party seeking attorney fees and costs carries the initial burden of production to establish the reasonableness of the requested fee. United States v. $28,000.00 in U.S. Currency, 802 F.3d 1100, 1105 (9th Cir. 2015) (citing Blum v. Stenson, 465 U.S. 886, 895 inform and assist the court in the exercise of its discretion, the burden is on the fee applicant to produce satisfactory evidence—in addition to the attorney’s own affidavits—that the requested rates are in line with those prevailing in the community for similar services by lawyers of reasonably comparable skill, experience and reputation.” Blum, 465 U.S. at 896 n.11. Once the applicant meets its burden of production, the court then determines whether the fee is reasonable. $28,000.00 in U.S. Currency, 802 F.3d at 1105 (citing Blum, 465 U.S. at 895 n.11 and Camacho, 523 F.3d at 980). A court has broad discretion in determining what is reasonable. See Metabolife Int’l, Inc. v. Wornick, 213 F. Supp. 2d 1220, 1222 (S.D. Cal. 2002); see, e.g., Garrison v. Ringgold, No. 19cv244-GPC-RBB, 2019 WL 5684401, at *3 (S.D. Cal. Nov. 1, 2019) (explaining that the “court has wide discretion in determining the reasonableness of attorney[] fees.”) (citing Gates v. Deukmejian, 987 F.2d 1392, 1398 (9th Cir. 1992)). In the instant case, Defendants request an award of attorney fees in the amount of $347,244, based on 384.28 hours incurred in the process of strategizing, researching, and briefing the anti-SLAPP motion, and the fee motion. ECF No. 38 at 3–5; see ECF No. 35-1 at 13–14.1 Additionally, Defendants request costs in the amount of $10,724.36. ECF No. 38 at 6–7. Plaintiff counters that the Court should substantially reduce the fees to $84,995.80. ECF No. 37 at 6, 18. Plaintiff does not contend that Defendants’ requested costs should be reduced. Compare ECF No. 35-2 at 26 (Defendants initially requested $9,706.28 in costs) with ECF No. 37 at 17 (Plaintiffs listed $9,706.28 as a “reasonable [] rate” for initial costs). A. Evidentiary Objections As a preliminary matter, the Court considers Plaintiff’s evidentiary objections. First, Plaintiff objects to various statements made within the Edelman declaration in support of 1 Due to discrepancies between original and imprinted page numbers, page numbers for objects to evidence included in Defendants’ reply brief. ECF No. 39. The Court will address these objections in turn. 1. Objections to the Declaration of Scott A. Edelman in support of Defendants’ Motion for Attorney Fees and Costs Plaintiff objects to fifteen statements in the Edelman declaration. ECF No. 37-4 at 2–9. A few examples of Mr. Edelman’s statements at issue include his representations that “[s]ubstantial efforts went into the preparation of this dispositive motion;” “Defendants’ counsel also researched the case law surrounding substantially true speech;” “Gibson Dunn was retained on a modified contingency fee basis NBCU agreed to pay Defendants’ counsel a rate of $100,000 for the filing and argument on the Anti-SLAPP Motion;” and “[b]ased on my reading of the relevant case law, fee applications submitted in other district courts in California, and my overall familiarity with rates charged by my firm’s competitors, it is my understanding that these rates are comparable to the rates charged by peer firms and attorneys with similar skill and experience.” Id. (quoting ECF No. 35-2). Plaintiff’s objections are based on a range of evidentiary principles, such as hearsay, relevance, vagueness, lack of foundation, speculation, lack of authentication, improper legal conclusions, and unfair prejudice outweighing probative value. ECF No. 37-4 at 2–9. Defendants contend that Plaintiff’s objections lack merit and are “nothing more than a collateral” attack on Defendants’ motion. ECF No. 38 at 5 n.3. Defendants argue that the facts and observations set forth in the Edelman declaration are based on his personal knowledge and experience, and relate directly to their motion. Id. Plaintiff’s objections are largely boilerplate objections that cite to evidentiary rules without analysis. See, e.g., Obesity Research Inst., LLC v. Fiber Research Int’l, LLC, 310 F. Supp. 3d 1089, 1107 (S.D. Cal. 2018). Plaintiff’s objections based on lack of personal knowledge, lack of foundation, improper opinion, and hearsay are overruled. There is no information to contradict Mr. Edelman’s testimony that the statements in his declaration are within his personal knowledge and based on his revi

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