Hong v. Mito Asian Fusion, Inc.

CourtDistrict Court, E.D. New York
DecidedApril 26, 2023
Docket1:19-cv-03149
StatusUnknown

This text of Hong v. Mito Asian Fusion, Inc. (Hong v. Mito Asian Fusion, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hong v. Mito Asian Fusion, Inc., (E.D.N.Y. 2023).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK

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YINGCAI HONG, individually and on behalf of others similarly situated,

Plaintiff, MEMORANDUM -against- AND ORDER 19-CV-3149 (TAM) MITO ASIAN FUSION, INC. et al.,

Defendants.

TARYN A. MERKL, United States Magistrate Judge:

Plaintiff Yingcai Hong initiated this action against Defendants Mito Asian Fusion, Inc., Yi Chen, Wei Chen, and Yong Chen on May 29, 2019. (Complaint (“Compl.”), ECF No. 1.) Plaintiff alleges various claims, including violations of the Fair Labor Standards Act, 29 U.S.C. § 206 et seq. (“FLSA”) and New York Labor Law (“NYLL”), Art. 6 § 190 et seq. and Art. 19 § 650 et seq.1 Following an amendment of the complaint, mediation, and the filing and review of a proposed partial settlement agreement, the parties’ partial settlement was approved under Cheeks v. Freeport Pancake House, Inc., 796 F.3d 199 (2d Cir. 2015). Plaintiff’s counsel now seeks fees and costs. Defendants object to the amount sought. For the reasons set forth herein, Plaintiff’s motion for fees and costs is granted in part.

1 Although Plaintiff’s complaint was originally styled as a collective action under the FLSA and NYLL (see Compl., ECF No. 1, ¶¶ 49–58), the Honorable Eric R. Komitee denied Plaintiff’s motion to conditionally certify a collective action on September 28, 2020. (Sept. 28, 2020 Mem. and Order, ECF No. 27.) FACTUAL BACKGROUND AND PROCEDURAL HISTORY As set forth in the complaint, Plaintiff alleged that Defendants hired him to work at their restaurant as a deliveryman from about November 14, 2018, to February 15, 2019, and again from about March 1, 2019, to April 8, 2019. (Compl., ECF No. 1, ¶ 32.) Plaintiff claimed that, every week during these time periods, he worked sixty-eight hours a week. (Id. ¶¶ 33, 35.) Plaintiff alleged that Defendants paid him a flat rate of $720.00 every two weeks for his work. (Id. ¶ 38.) Plaintiff thus contended that Defendants failed to pay him the New York minimum wage for each hour worked and the required overtime compensation of one and one-half times (1.5x) his regular rate of

pay for time in excess of forty hours a week. (Id. ¶¶ 24–25.) Plaintiff also contended that Defendants failed (1) to provide him with a notice at the time of hire reflecting true rates and dates of pay, and paystubs with adequate information, and (2) to post the required New York State Department of Labor notices regarding wage information. (Id. ¶¶ 28, 29, 31.) Plaintiff thereafter filed a motion to amend the complaint to add two additional Defendants, Yilei Cao and Changxi Zou, which was granted on August 9, 2021. (Aug. 9, 2021 Mem. and Order, ECF No. 35.) Following a referral to mediation, the parties filed a letter advising the Court that they had reached a partial settlement in the case, as to the amount of damages to be paid to Plaintiff. (Partial Settlement Letter, ECF No. 47.) The parties did not reach an agreement on the amount of attorney’s fees and costs. (Id.) The parties then filed a joint motion for settlement approval, as well as the proposed settlement agreement, pursuant to which Defendants agreed to pay Plaintiff $25,000.00. (Mot. for Settlement Approval, ECF No. 50; Settlement Agreement, ECF No. 50-1, at 2.) The Court subsequently held a hearing pursuant to Cheeks, at which the Court raised specific concerns about the terms of the parties’ proposed settlement agreement and encouraged the parties to attempt to reach an agreement as to the attorney’s fees. (Aug. 18, 2022 Minute Entry and Order.) Following the Cheeks hearing, the parties submitted a stipulation amending the parties’ settlement agreement, which addressed the Court’s concerns regarding the terms of the settlement agreement itself, but they did not resolve the fee dispute.2 (Stipulation, ECF No. 55.) The Court thereafter approved the parties’ settlement as to Plaintiff. (Nov. 1, 2022 ECF Order.) On December 23, 2022, Plaintiff’s counsel filed a motion for attorney’s fees, supported by a declaration by John Troy, Esq., and billing records, by which counsel “seeks $96,221.00 in fees and $4,431.80 in costs, for a total of $99,402.80.”3 (Decl. of John

Troy (“Troy Decl.”), ECF No. 62, ¶ 68; see Mot. for Attorney Fees, ECF No. 61.) In response, Defendants contended that the requested fees are “entirely unreasonable” and that they should be reduced “by a significant margin,” and pointed out that Plaintiff failed to include detailed receipts for costs. (Defs.’ Mem. of Law in Opp’n, ECF No. 65 (“Defs.’ Mem.”), at 1; see id. at 6.) In reply, Plaintiff submitted a supplemental memorandum, another invoice, and receipts for some of the costs. (Reply, ECF No. 66;

2 In the meantime, the parties also consented to jurisdiction by the undersigned magistrate judge for all purposes. (See Consent to Jurisdiction, ECF Nos. 54, 56.) 3 The Court notes that counsel’s math does not add up. ($96,221.00 + $4,431.80 = $100,652.80.) The Court also notes that counsel’s filings are inconsistent. For example, in the summary table detailing the counsel fees in Mr. Troy’s declaration, the total fee is listed as $84,973.00. (Decl. of John Troy (“Troy Decl.”), ECF No. 62, at 30.) There is also a discrepancy in counsel’s filings regarding the number of hours being sought. (Compare id. ¶ 66 (stating that counsel’s firm seeks 183.14 hours), with id. at 30 (including summary chart stating that 209.26 hours were expended, but including hours by each billing professional that equal 183.14).) The final invoice submitted together with Plaintiff’s reply memorandum provides a third set of numbers, indicating 187.64 billable hours, for a total attorney’s fee of $86,648.00. (Dec. 23, 2022 Invoice, ECF No. 66-1.) Although courts are not to act as “green-eyeshade accountants” when evaluating fee requests, the Court is of course permitted to “properly calculate” items in the record. Fisher v. SD Prot. Inc., 948 F.3d 593, 601 (2d Cir. 2020) (quoting Fox v. Vice, 563 U.S. 826, 838 (2011)). In the final analysis, these inconsistencies are irrelevant to the Court’s ultimate determination because, for the reasons set forth below, the amount of attorney’s fees and costs that will be awarded is less than counsel’s request. Reply Mem., ECF No. 67.) In the reply memorandum, Plaintiff’s counsel agreed to reduce the requested hourly rate for Mr. Troy for certain types of work (e.g., preparing interrogatories and engaging in document production). (Reply Mem., ECF No. 67, at 4.) In the updated invoice, Plaintiff lists billable hours totaling $86,648.00, and expenses of $5,016.80, for a total of $91,664.80. (Dec. 23, 2022 Invoice, ECF No. 66-1, at 8–9.) For the reasons set forth herein, the Court grants Plaintiff’s motion for attorney’s fees and costs in part. DISCUSSION I. Legal Standards

A. The FLSA and NYLL Under both the FLSA and the NYLL, a prevailing plaintiff is entitled to an award of “reasonable” attorney’s fees. See 29 U.S.C. § 216(b); NYLL § 663(1). As the Second Circuit observed in Fisher v. SD Protection Inc., “[a]ttorneys’ fees and costs in FLSA actions generally arise in three contexts.” 948 F.3d 593, 600 (2d Cir. 2020). They arise following a ruling in favor of the plaintiff, in the context of a negotiated settlement, and, of relevance here, “following a settlement where the settlement agreement reserves the questions of fees and costs for the court to decide.” Id. at 600–01.

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Hong v. Mito Asian Fusion, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/hong-v-mito-asian-fusion-inc-nyed-2023.