McKinney v. Chicago Transit Authority

District Court, N.D. Illinois·Decided August 10, 2023·No. 1:20-cv-06093·Unknown

Opinion

UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

LASONA MCKINNEY,

Plaintiff, Case No. 20 C 6093 v. Magistrate Judge Sunil R. Harjani C HICAGO TRANSIT AUTHORITY,

Defendant.

MEMORANDUM OPINION AND ORDER

This matter is before the Court on Plaintiff’s Petition for Award of Fees, Non-taxable Expenses, and Taxable Costs (“Fee Petition”) pursuant to 42 U.S.C. § 2000e-5. McKinney initiated this lawsuit against his current employer, Chicago Transit Authority (“CTA”), for violating Title VII of the Civil Rights Act of 1964 (“Title VII”). After a five-day jury trial, the jury returned a verdict in favor of McKinney in the amount of $99,000.00 in compensatory damages. See Doc. 160. As the prevailing party, McKinney filed the instant Fee Petition seeking an award of $342,068.00 in fees for 525.4 hours of work performed through the jury verdict, at a rate of $650/hour, an award of $558.00 in non-taxable expenses, and an award of $6,717.80 in taxable costs. For the reasons explained below, the Fee Petition [178] is granted in part and denied in part. DISCUSSION In Title VII actions, “a court, in its discretion, may allow the prevailing party, ... a reasonable attorney’s fee (including expert fees) as part of the costs.” 42 U.S.C. § 2000e-5(k). Federal Rule of Civil Procedure 54(d)(1) allows a prevailing party to recover costs other than attorneys’ fees unless a federal statute, federal rule, or court order states otherwise. As the prevailing plaintiff, McKinney may recover his reasonable attorney’s fees and costs. A fee analysis begins with a “lodestar” calculation, calculated as “the number of hours reasonably expended on the litigation multiplied by a reasonably hourly rate.” Estate of Enoch ex rel. Enoch v. Tienor, 570 F.3d 821, 823 (7th Cir. 2009) (quoting Hensley v. Eckerhart, 461 U.S. 424,

433 (1983). The party requesting the fee has the burden of proving the reasonableness of both the hourly rate and hours expended. See Hensley, 461 U.S. at 437. CTA objects to McKinney’s proposed fee award for three reasons. First, CTA alleges that McKinney’s counsel should be awarded a rate of $550/hour, not $650/hour. Second, CTA claims that because McKinney’s counsel violated various discovery rules and court orders, McKinney’s Fee Petition should be denied or reduced. Third, CTA argues that because McKinney’s counsel failed to include any non-taxable expense receipt, his expenses should be denied.1 A. $650/Hour is a Reasonable Hourly Rate for Work Post-Dating January 2023 First, McKinney claims that $650/hour is an appropriate rate for his attorney’s time. CTA responds that there is no compelling reason to disturb McKinney’s counsel’s previously awarded

rate of $550/hour in similar cases prior to 2023. The Court uses the lodestar method to calculate a reasonable fee, even where the attorney has a contingency fee agreement. See Pickett v. Sheridan Health Care Ctr., 664 F.3d 632, 639 (7th Cir. 2011). The first step in determining the lodestar is

1 In response to McKinney’s Fee Petition, CTA has not addressed many of the arguments that it asserted in the parties’ Local Rule 54.3(e) Statement. See generally Doc.178-2. In particular, CTA no longer asserts the following: (1) McKinney’s fees should be reduced because of McKinney’s counsel’s estimate of possible fees if the case went to trial; (2) McKinney’s fees should be reduced to one-third of what he sought because McKinney was only successful on one claim at trial and McKinney was only awarded $99,000 when he sought $300,000; and (3) no fees should be paid for time spent on McKinney’s overtime claim. See generally Doc. 182. Because CTA has not responded to McKinney’s arguments regarding CTA’s initial objections, CTA forfeits these initial objections. See Nichols v. Mich. City Plant Planning Dep’t, 755 F.3d 594, 600 (7th Cir. 2014) (“The non-moving party waives any arguments that were not raised in [a] response....”); see also Mortera v. Target Corp., 2019 WL 1532960, at *4 (N.D. Ill. Apr. 9, 2019) (holding plaintiff forfeited objection to costs by not challenging defendant’s claimed amount). to assess the reasonableness of the attorney’s hourly rates. See Hensley, 461 U.S. at 433. The plaintiff bears the burden of showing that the proposed rate is reasonable. Id. A reasonable hourly rate is “one that is derived from the market rate for the services rendered.” Pickett, 664 F.3d at 640 (internal quotation marks omitted). The attorney’s “actual billing rate for comparable work is

presumptively appropriate to use as the market rate.” People Who Care v. Rockford Bd. of Educ., Sch. Dist. No. 205, 90 F.3d 1307, 1310 (7th Cir.1996) (citing Gusman v. Unisys Corp., 986 F.2d 1146, 1150 (7th Cir.1993)). However, the Seventh Circuit has recognized the difficulty of determining the hourly rate of an attorney who uses contingent fee agreements and has advised district courts to rely on the “next best evidence,” namely “evidence of rates similarly experienced attorneys in the community charge paying clients for similar work and evidence of fee awards the attorney has received in similar cases.” Spegon v. Catholic Bishop of Chi., 175 F.3d 544, 555 (7th Cir.1999). As between the two “next-best” alternatives, the Seventh Circuit has “indicated a preference for third party affidavits that attest to the billing rates of comparable attorneys.” Pickett, 664 F.3d at 640. Once an attorney provides evidence of his billing rate, the burden shifts to the

defendant to present evidence establishing “a good reason why a lower rate is essential.” People Who Care, 90 F.3d at 1313. By way of background, McKinney’s counsel graduated from Yale Law School in 1981. See. Doc. 178-1 at 2. After law school, he joined the law firm now known as Miner, Barnhill & Garland, where he became a partner in 1998. Id. at 3. During his twenty-five years at the Miner firm, McKinney’s counsel represented plaintiffs in federal and state litigation in employment discrimination, wage and hour, personal injury, medical malpractice, and First Amendment cases. Id. In 2008, McKinney’s counsel became General Counsel for ACORN Housing Corporation (later known as Affordable Housing Centers of America), where he was responsible for legal issues for seventeen offices across the country. Id at 5. In 2011, he joined the Chicago Lawyers’ Committee for Civil Rights as head of the Employment Opportunity Project, where he pursued high-impact civil rights litigation. Id. at 6. In 2016, McKinney’s counsel began his solo practice, concentrating on employment discrimination and wage and hour cases. Id. at 7. Since then, he has

litigated numerous cases in federal court, including an appeal at the Seventh Circuit. Id. at 7-8. The Court begins its inquiry with McKinney’s counsel’s actual billing rate for comparable legal work. Here, the majority of McKinney’s counsel’s practice involves working for a contingent fee. See Doc. 178-1 at 8.

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