In re Madison Guaranty Savings & Loan (Nelvis Fee Application)

409 F.3d 409, 2005 WL 1266800
CourtCourt of Appeals for the D.C. Circuit
DecidedMay 31, 2005
DocketNo. 94-1
StatusPublished

This text of 409 F.3d 409 (In re Madison Guaranty Savings & Loan (Nelvis Fee Application)) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re Madison Guaranty Savings & Loan (Nelvis Fee Application), 409 F.3d 409, 2005 WL 1266800 (D.C. Cir. 2005).

Opinion

ON APPLICATION FOR ATTORNEYS’ FEES

PER CURIAM.

Bayani C. Nelvis petitions this court under section 593(f) of the Ethics in Govern[410]*410ment Act of 1978, as amended, 28 U.S.C. §§ 591-599 (2000) (“the Act”), for reimbursement of attorneys’ fees in the amount of $18,850.00 that he claims were incurred during and as a result of the investigation conducted by Independent Counsel. Because we conclude that Nelvis has not carried his burden of establishing all of the elements of his entitlement, we deny the petition except for a single unique item.

I. Background

In the mid-1990’s, Paula Jones sued President William Jefferson Clinton in federal district court in Arkansas, alleging that during the 1980’s while he was Governor there and she was a state employee, he made a sexual advance towards her in violation of federal and state law. (Hereinafter, Jones v. Clinton.) In preparation for trial, Jones’s attorneys sought other government employees towards whom the President may have made sexual advances. To that end, in December 1997 the attorneys subpoenaed Monica Lewinsky, an intern and then employee of the Clinton White House. Although she and the President had been having a sexual relationship since about 1995, Lewinsky executed an affidavit in response to the subpoena denying any such relationship.

Also subpoenaed at the time was Linda Tripp, a friend of Lewinsky’s. Ominously, Lewinsky told Tripp of the false affidavit and that she intended to lie about her relationship with the President if deposed. She also urged Tripp to lie about the matter in her own deposition. Tripp in turn related these comments to the office of Independent Counsel Kenneth W. Starr (“IC” or “OIC”), who had been investigating allegations of shady business deals on the part of Clinton and others while Clinton was Governor of Arkansas. The IC also learned that Lewinsky had spoken to the President about being subpoenaed, and that an influential friend of the President’s was trying to find Lewinsky a job. The IC related this information to the Attorney General (“AG”), who then conducted a preliminary investigation pursuant to § 591(a) of the Act to determine whether further investigation was warranted. On January 16, 1998, the AG determined that further investigation was indeed warranted, and expanded the IC’s jurisdiction to include an investigation of whether any criminal laws had been violated by any of those involved in the matter.

On January 17, 1998, the President was deposed in Jones v. Clinton. During the deposition, Clinton “denied having a ‘sexual affair,’ a ‘sexual relationship’ or ‘sexual relations’ with Lewinsky. He also testified that he had no specific memory of being ‘alone’ with Lewinsky.” See Robert W. Ray, Final Repoet Of The Independent Counsel, In Re: Madison Guaranty Savings & Loan Association, Regarding Monioa Lewinsky And Others, 16 (2001).

In light of these developments, the IC set out to determine the true nature of Lewinsky’s and the President’s relationship, relying on what others had seen and heard. To that end, the IC subpoenaed Bayani C. Nelvis, the fee petitioner here. Nelvis was a Navy Chief Petty Officer assigned to the White House during the Clinton administration. It appears that his main function was tending to the personal needs of the President by providing the President and his visitors with food and refreshments, including serving the President his meals when he ate in the Oval Office complex. In this role, according to Nelvis, he “had nearly-unlimited personal access to the Oval Office, the President’s personal dining room and the President’s study.” He further states that during the time Lewinsky was assigned to the White House he and she became acquainted and later formed a friendship, [411]*411and that he had observed Lewinsky in the presence of the President in the Oval Office.

After Nelvis testified before the grand jury about relevant information he had regarding the President’s relationship with Lewinsky, the IC believed that certain of his testimony was false. Nelvis was consequently informed that he was a target of the IC’s investigation. Ultimately, however, the IC declined prosecution and referred the matter to the Department of Defense for further disposition. Pursuant to § 593(f)(1) of the Act, Nelvis now petitions the court for attorneys’ fees in the amount of $18,850.00 that he incurred in his defense of the IC’s investigation.

II. Discussion

The Independent Counsel statute provides:

Upon the request of an individual who is the subject of an investigation conducted by an independent counsel pursuant to this chapter, the division of the court may, if no indictment is brought against such individual pursuant to that investigation, award reimbursement for those reasonable attorneys’ fees incurred by that individual during that investigation which would not have been incurred but for the requirements of this chapter.

28 U.S.C. § 593(f)(1). Accordingly, in order to obtain an attorneys’ fees award under the statute, a petitioner must show that all of the following requirements are met: (1) the petitioner is a subject of the investigation, (2) the fees were incurred during the investigation, (3) the fees would not have been incurred but or the requirements of the Act, and (4) the fees are reasonable. See In re North (Dutton Fee Application), 11 F.3d 1075, 1077-82 (D.C. Cir., Spec. Div., 1993) (per curiam). The petitioner “bears the burden of establishing all elements of his entitlement.” In re North (Reagan Fee Application), 94 F.3d 685, 690 (D.C.Cir., Spec.Div., 1996) (per curiam). The primary area of contention among the parties involved concerns whether or not Nelvis has satisfied the “but for” requirement.

We have in the past held that “[a]ll requests for attorneys’ fees under the Act must satisfy the ‘but for’ requirement of’ the Act. In re Sealed Case, 890 F.2d 451, 452 (D.C.Cir., Spec.Div., 1989) (per cu-riam). On numerous occasions we have also held that “the contemplation of the legislation is not that subjects of independent counsel investigations will be reimbursed for all legal fees, but only ... for those legal fees that would not have been incurred by a similarly-situated subject investigated in the absence of the Act.” See In re Madison Guar. Sav. & Loan (Clinton Fee Application), 334 F.3d 1119, 1123 (D.C.Cir., Spec.Div., 2003) (per curiam).

Nelvis claims that he passes the “but for” test for two reasons. First, he argues that he would not have been investigated but for the requirements of the IC statute because the investigation of the Lewinsky matter, which led to the investigation of him, only occurred as a result of the IC investigation that was already under way.

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Related

In Re: Madison Guaranty Savings & Loan
427 F.3d 981 (D.C. Circuit, 2003)
In Re Theodore B. OLSON
884 F.2d 1415 (D.C. Circuit, 1989)
In Re Sealed Case
890 F.2d 451 (D.C. Circuit, 1989)
In Re Oliver L. North (Dutton Fee Application)
11 F.3d 1075 (D.C. Circuit, 1993)
In Re Oliver L. North (Reagan Fee Application)
94 F.3d 685 (D.C. Circuit, 1996)

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Bluebook (online)
409 F.3d 409, 2005 WL 1266800, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-madison-guaranty-savings-loan-nelvis-fee-application-cadc-2005.