Hotchkiss v. CSK Auto, Inc.

949 F. Supp. 2d 1040, 2013 WL 2371189, 2013 U.S. Dist. LEXIS 76170
Procedural entryThis page is a short order in Hotchkiss v. CSK Auto, Inc.. Read the opinion of the Court — 918 F. Supp. 2d 1108
District Court, E.D. Washington·Decided May 30, 2013·No. No. 12-CV-0105-TOR·Published

Opinion

ORDER ON PLAINTIFF’S MOTION FOR ATTORNEY’S FEES AND COSTS AND OTHER POST-TRIAL MOTIONS

THOMAS O. RICE, District Judge.

BEFORE THE COURT are the following motions: (1) Plaintiffs Motion for Attorney’s Fees, Expert Fees and Other Costs (ECF No. 200); (2) Plaintiff’s Motion to Compel Production of Defense Counsel’s Billing Records (ECF No. 231); (3) Plaintiffs Motion for New Trial (ECF No. 225); and (4) Defendants’ Motion to Amend Judgment (ECF No. 222). These matters were heard with oral argument on May 29, 2013. Patrick J. Kirby and Michael J. Delay appeared on behalf of the Plaintiff. James M. Kalamon and Brook L. Cunningham appeared on behalf of the Defendants. The Court has reviewed the [1045]*1045briefing and the record and files herein, and is fully informed.

DISCUSSION

A. Plaintiffs Motion for Attorney’s Fees and Costs

Plaintiff seeks an award of attorney’s fees and costs in the amount of $489,833.28 pursuant to RCW 49.60.030(2) after obtaining a $55,000 jury verdict on his retaliation claim under the Washington Law Against Discrimination (“WLAD”). This sum includes $471,085.50 in attorney’s fees (including time billed by law clerks and support staff) and $18,747.78 in non-taxable out-of-pocket costs.1 Plaintiff also requests a “contingency multiplier” of 1.5, which, when applied to the claimed award of $471,085.50 in attorney’s fees, would increase the total award of fees and costs to $706,628.25. For the reasons discussed below, the Court finds that the requested award is unreasonable in view of the limited success that Plaintiff achieved at trial. The Court will, however, award Plaintiff reasonable attorney’s fees in the amount of $210,000 and costs in the amount of $18,747.78..

1. Lodestar Determination

A plaintiff who prevails on a claim under the WLAD is entitled to an award of costs and reasonable attorney’s fees. RCW 49.60.030(2). In determining what constitutes a reasonable fee, courts must first calculate a “lodestar” figure by multiplying “the hours reasonably expended in the litigation by each lawyer’s reasonable hourly rate of compensation.” Steele v. Lundgren, 96 Wash.App. 773, 780, 982 P.2d 619 (1999) (citation omitted). Only hours reasonably expended on successful claims should be included in the lodestar calculation; the court must exclude hours billed on unsuccessful or unrelated claims.2 Bowers v. Transamerica Title Ins. Co., 100 Wash.2d 581, 597, 675 P.2d 193 (1983). A reasonable hourly rate should account for factors such "as the attorney’s customary hourly billing rate, the level of skill required by the litigation, the time limitations imposed on the litigation, the amount of potential recovery, the attorney’s reputation, and the undesirability of the case. Id.

Defendants have not challenged Plaintiffs proposed lodestar calculation. ECF No. 223 at 11. Having independently reviewed the record, the Court finds that the lodestar calculation reflects a reasonable number of hours expended at reasonable hourly rates. The total number of hours claimed by Mr. Kirby and Mr. Delay are reasonable in view of the type of claims asserted, the complexity of the issues, the experience of both counsel, and the fact that the case proceeded through trial. Similarly, the hourly rates claimed by Mr. Kirby and , Mr. Delay ($250/hr. and $350/ hr. by Mr. - Kirby for pretrial and trial preparation, respectively, and $350/hr. for Mr. Delay), appear to be commensurate with prevailing rates in the Spokane legal community for similar legal services. See ECF Nos. 203-206. These same conclusions apply to the hours and rates billed by Plaintiffs counsel’s associate attorneys, law clerks and support staff. Accordingly, the Court finds that the proposed lodestar figure of $471,085.50 is reasonable.

2. Contingency Multiplier

After calculating a lodestar figure, a court “may consider an adjustment based on additional factors under two broad categories: the contingent nature of success, and the quality of work performed.” 224 Westlake, LLC v. Engstrom Prop., LLC, 169 Wash.App. 700, 735, 281 [1046]*1046P.3d 693 (2012) (quotation and citation omitted). The party seeking the adjustment bears the burden of persuasion. Id. Because the lodestar calculation results in a “presumptively reasonable fee,” however, the court must exercise caution in deciding whether an adjustment is appropriate. Id. at 738, 281 P.3d 693. In short, a contingency adjustment “should be reserved for exceptional cases where the need and justification are readily apparent.” Xieng v. Peoples Nat’l Bank of Washington, 63 Wash.App. 572, 587, 821 P.2d 520 (1991) (quotation and citation omitted), aff'd 120 Wash.2d 512, 844 P.2d 389 (1993).

Here, Plaintiff requests that the lodestar figure be multiplied by 1.5 to account for both the “contingent nature” and “undesirability” of the case. ECF No. 200 at 18, 20. As an initial matter, the Court finds no basis for applying a multiplier based upon the “undesirability” of the case. Assuming for the sake of argument that the case was in fact undesirable, that fact is adequately reflected by counsel’s hourly billing rates. See Bowers, 100 Wash.2d at 597, 675 P.2d 193 (explaining that “the undesirability of the case” is a factor which should be considered in assessing the reasonableness of an attorney’s claimed hourly billing rate). This factor does not support an upward adjustment to the lodestar figure.

Nor is an upward adjustment warranted by the contingent nature of success. The purpose of a contingency multiplier is to incentivize attorneys to take high-risk contingency cases that might otherwise go unprosecuted. Chuong Van Pham v. City of Seattle, Seattle City Light, 159 Wash.2d 527, 541, 151 P.3d 976 (2007). In determining whether a contingency multiplier is warranted in a given case, a court must assess the likelihood of success at the outset of the litigation and should disregard time spent on the case after recovery has been assured. Bowers, 100 Wash.2d at 598-99, 675 P.2d 193. While a trial court has broad discretion in awarding a contingency multiplier, it should generally refrain from doing so when “the hourly rate underlying the lodestar fee comprehends an allowance for the contingent nature of the availability of fees.” Bowers, 100 Wash.2d at 598-99, 675 P.2d 193.

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Hotchkiss v. CSK Auto, Inc., 949 F. Supp. 2d 1040, 2013 WL 2371189, 2013 U.S. Dist. LEXIS 76170 (E.D. Wash. 2013).

949 F. Supp. 2d 1040 (Hotchkiss v. CSK Auto, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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