LRL Properties v. Portage Metropolitan Housing Authority

914 F. Supp. 188, 1995 U.S. Dist. LEXIS 20083, 1995 WL 795648
CourtDistrict Court, N.D. Ohio
DecidedDecember 26, 1995
DocketNo. 5:92 CV 2211
StatusPublished

This text of 914 F. Supp. 188 (LRL Properties v. Portage Metropolitan Housing Authority) is published on Counsel Stack Legal Research, covering District Court, N.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
LRL Properties v. Portage Metropolitan Housing Authority, 914 F. Supp. 188, 1995 U.S. Dist. LEXIS 20083, 1995 WL 795648 (N.D. Ohio 1995).

Opinion

MEMORANDUM OPINION

DOWD, District Judge.

J. INTRODUCTION

This Court disposed of the merits of this case in a judgment entry March 15, 1993, granting Defendants’ motion to dismiss (Docket No. 29). Defendants filed a post-judgment motion for an award of attorney [190]*190fees under the authority of 42 U.S.C. § 1988, 28 U.S.C. § 1927 and Fed.R.Civ.P. 11 (Docket No. 30). The Court denied the motion without prejudice to allow Defendants to refile at the conclusion of Plaintiffs’ appeal (Docket No. 37). On appeal, this Court’s ruling was affirmed by a 2-1 vote. LRL Properties v. Portage Metropolitan Housing Authority, 55 F.3d 1097 (6th Cir.1995). Defendants refiled their motion for attorney fees and Plaintiffs have submitted a response memorandum (Docket Nos. 41 and 47, respectively). Having considered the arguments in light of Sixth Circuit precedent, the Court denies Defendants’ motion.

II. BACKGROUND

Plaintiffs LRL and LRL II are Ohio partnerships organized in part for the purpose of owning and operating Kenwood Courts, an apartment complex in the City of Kent, Ohio. Plaintiff Melvin Ross is a general partner of both entities. Plaintiffs filed this action against the Portage Metropolitan Housing Authority, its executive director Christie Anderson, the manager of its Section 8 Housing Program Thomas A. Smith, and the individual members of its board of commissioners.

Plaintiffs brought them action under 42 U.S.C. § 1983, alleging that the Defendants, acting under color of state law, violated Plaintiffs’ fourteenth amendment rights to due process and equal protection by conspiring to “unlawfully destroy plaintiffs’ ownership of and efforts to successfully operate an apartment complex located in the City of Kent, Ohio, which primarily provides affordable housing to minority and low-income households.” (Complaint, ¶ 1). Plaintiffs also asserted state law claims of defamation and tortious interference with business.

Plaintiffs alleged that since at least 1985, the PMHA has pursued a political and/or economic objective of replacing the existing management and ownership of Kenwood Courts with alternative ownership and management, either by the PMHA itself or by those with whom Defendants have a favored or preferred relationship. Plaintiffs further allege that in pursuing this goal Defendants have violated Plaintiffs’ procedural and substantive due process rights, have treated Plaintiffs differently from similarly situated persons, have defamed Plaintiffs, and have tortiously interfered with Plaintiffs’ business interests.

This Court granted Defendants’ motion to dismiss.1 The Court held that because the statute of limitations for Section 1983 claims in Ohio is two years, Plaintiffs could not pursue claims based on events occurring before October 21, 1990, two years prior to the filing date. Alleged events occurring after that date, even if taken as true for purposes of the motion to dismiss, failed to state a claim under Section 1983.2 Plaintiffs showed no cognizable liberty or property interests which would allow them to invoke the protection of the due process and equal protection clauses of the Fourteenth Amendment. The Court also denied Plaintiffs’ motion for leave to file an amended complaint, holding that the amended complaint cured none of the deficiencies in the original complaint. The Court’s decision was affirmed in all respects by the Sixth Circuit, which also denied Plaintiffs’ petition for rehearing en banc. LRL, 55 F.3d at 1097.

In seeking attorney fees and costs, Defendants contend that this lawsuit was frivolous, unreasonable and lacking foundation. Defendants say Plaintiffs should have known that the two-year statute of limitations on Section 1983 claims barred most of the claims presented. Moreover, Plaintiffs should have known that the interests they were asserting were not constitutionally protected liberty and property interests, according to Defendants. Defendants allege that the suit was filed in the belief Defendants would agree to a quick settlement in order to avoid substan[191]*191tial litigation costs. Defendants seek 664.13 in attorney fees and costs. $58,-

III. LAW AND DISCUSSION

A Award of Attorney Fees Under 42 U.S.C. § 1988(b)

Defendants seek an award under 42 U.S.C. § 1988(b), which gives the court discretion to allow the prevailing party reasonable attorney fees.3 Although the language of the statute does not distinguish between prevailing plaintiffs and prevailing defendants, the legislative history and relevant case law demonstrate that the standards are distinct.

The legislative history reflects that the primary purpose of Section 1988(b) is to give private citizens who might not otherwise be able to afford it an opportunity to vindicate important constitutional rights. See Sen.Rep. No. 94-1011, 2-5 (1976), reprinted in 1976 U.S.Code Cong. & Ad.News, 5908, 5910-12. The Senate Report accompanying the legislation stated:

It is intended that the standards for awarding fees be generally the same as under the fee provisions of the 1964 Civil Rights Act. A party seeking to enforce the rights protected by [Section 1983], if successful, should ordinarily recover an attorney’s fee unless special circumstances would render such an award unjust.

Id. at 5912 (emphasis added) (citation omitted). While the legislative history thus evinces a clear presumption in favor of awarding attorney fees to a prevailing plaintiff, it affords no such presumption to a prevailing defendant: “ ‘[P]rivate attorneys general’ should not be deterred from bringing good faith actions to vindicate the fundamental rights here involved by the prospect of having to pay their opponent’s counsel fees should they lose.” Id.

In Christiansburg Garment Co. v. EEOC, 434 U.S. 412, 98 S.Ct. 694, 54 L.Ed.2d 648 (1978), the Supreme Court articulated what has become the standard for awarding attorney fees to prevailing defendants in civil rights eases: “[A] district court may in its discretion award attorney’s fees to a prevailing defendant in a Title VII case upon a finding that the plaintiff’s action was frivolous, unreasonable, or without foundation, even though not brought in subjective bad faith.” Id. at 421, 98 S.Ct. at 700. While Christiansburg addressed Title VII cases, the Supreme Court later held that the Christiansburg standard applied in actions brought pursuant to Section 1983. Hughes v. Rowe, 449 U.S. 5, 14, 101 S.Ct. 173, 178, 66 L.Ed.2d 163 (1980).

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Related

Hughes v. Rowe
449 U.S. 5 (Supreme Court, 1980)
David Tarter v. William Raybuck
742 F.2d 977 (Sixth Circuit, 1984)
In Re Ruben
825 F.2d 977 (Sixth Circuit, 1987)
Lrl Properties v. Portage Metro Housing Authority
55 F.3d 1097 (Sixth Circuit, 1995)
Smith v. Smythe-Cramer Co.
754 F.2d 180 (Sixth Circuit, 1985)
Swan v. Ruben
485 U.S. 934 (Supreme Court, 1988)

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Bluebook (online)
914 F. Supp. 188, 1995 U.S. Dist. LEXIS 20083, 1995 WL 795648, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lrl-properties-v-portage-metropolitan-housing-authority-ohnd-1995.