Sheffield v. Stewart Builders, Inc.

CourtDistrict Court, S.D. Texas
DecidedMarch 10, 2021
Docket4:19-cv-01030
StatusUnknown

This text of Sheffield v. Stewart Builders, Inc. (Sheffield v. Stewart Builders, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sheffield v. Stewart Builders, Inc., (S.D. Tex. 2021).

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF TEXAS HOUSTON DIVISION

LOUIS SHEFFIELD, Individually and on § Behalf of all Others Similarly Situated, § § Plaintiffs, § § v. § CIVIL ACTION H- 19-1030 § STEWART BUILDERS, INC., § § Defendant. §

MEMORANDUM OPINION AND ORDER Pending before the court are (1) a motion for attorneys’ fees and costs filed by plaintiff Louis Sheffield on behalf of himself and other members of this Fair Labor Standards Act (“FLSA”) collective action (Dkt. 48); and (2) an oral motion to approve the settlement made, in an abundance of caution, during a hearing on March 10, 2021. Sheffield and defendant Stewart Builders, Inc. (“Stewart”) have reached an agreement regarding the damages in this case, but they seek the court’s assistance in determining reasonable attorneys’ fees and costs. Id. The court found during the hearing that the settlement was a “fair and reasonable [resolution] of a bona fide dispute over FLSA provisions.” Lynn’s Food Stores, Inc. v. United States, 679 F.2d 1350, 1352–55 (11th Cir. 1982); see Bodle v. TXL Morg. Corp., 788 F.3d 159, 164 (5th Cir. 2015) (citing Lynn’s Food). The motion for approval of the settlement is therefore GRANTED. With regard to the motion for attorneys’ fees, the court has considered the motion, response, reply, Sheffield’s counsel’s affidavit, supplemental authority, the arguments made during the March 10 hearing, and the applicable law, and the court has determined that Sheffield’s motion should be GRANTED IN PART. I. BACKGROUND Louis Sheffield filed a claim this FLSA overtime collective action lawsuit against Stewart on behalf of himself and others who work or worked as pump operators for Stewart. Dkt. 1. Sheffield contends that Stewart’s pump operators were misclassified as exempt. Id. Sheffield

filed an eleven-page complaint on March 20, 2019. Dkt. 1. On March 16, 2019, Sheffield filed a nine-page motion for conditional certification with a five-page declaration and an eleven-page opposed motion for approval and distribution of notice and for disclosure of contact information with an eight-page declaration and other attachments. Dkts. 9, 10. He timely filed replies after Stewart filed responses. Dkts. 13, 14. On July 10, 2019, the court denied the motions because Sheffield had not made a sufficient factual showing that there were similarly situated individuals who wanted to opt in to the lawsuit. Dkt. 15. The seven-page order denying the motion contained reasoning because, given the rulings of other courts in this same district on motions for conditional certification, Sheffield had a colorable argument for conditional certification. See id. at 5 n.1. On August 12, 2019, Sheffield filed two consents to join the collective action. Dkt. 18. On August

15, 2019, he again filed a motion to certify the class and a motion for approval and distribution of notice, which were similar to the original motions but provided more support for the assertion that others would like to join the case. See Dkts. 21, 22. Sheffield also filed replies after Stewart responded. Dkts. 29, 30. The court granted the motion to certify the class on October 30, 2019, and the parties agreed on the documents to send to class members shortly thereafter. Dkts. 31, 32. After several individuals opted into the collective action, Sheffield filed a notice of acceptance of third offer of judgment. Dkt. 46. He also filed an opposed motion for attorneys’ fees. Dkt. 48. In his motion for attorneys’ fees, Sheffield notes that he accepted Stewart’s offer of judgment of $32,000 plus reasonable fees on July 23, 2020. Dkt. 48. The plaintiff filed the motion 2 pursuant to Federal Rule of Civil Procedure 54(d) and seeks reasonable fees pursuant to 29 U.S.C. § 216(b). Id. It seeks $43,789, which is $43,284 is fees and $495 in costs. Id. The motion for attorneys’ fees is now ripe for disposition. II. LEGAL STANDARD

The FLSA provides for the imposition of costs and attorneys’ fees in favor of prevailing parties. 29 U.S.C. § 216(b). In evaluating a fee award, the Court determines the amount of attorneys’ fees to which a prevailing party is entitled through a two-step process. Hopwood v. Texas, 236 F.3d 256, 277 (5th Cir. 2000). The court first calculates the “lodestar” by multiplying the reasonable number of hours spent on the case by the reasonable hourly rate. Id. A reasonable rate for attorneys’ fees awarded under Section 1692k(a)(3) is the prevailing market rate for attorneys of comparable experience employed in cases of similar complexity. See Cope v. Duggins, 203 F.Supp.2d 650, 655 (E.D. La. 2002) (citing Blum v. Stenson, 465 U.S. 886, 895–96 n.11 (1984)). The rates are based on what is customary for similar work in the local forum are presumptively reasonable, though in limited circumstances, such as if there is “abundant and

uncontradicted evidence [of] the necessity [of] turning to out-of-district counsel,” then “the co- counsel’s ‘home’ rates should be considered as a starting point for calculating the lodestar amount.” McClain v. Lufkin Indus., Inc., 649 F.3d 374, 382, 387 (5th Cir. 2011). FLSA plaintiffs seeking attorneys’ fees “are charged with the burden of showing the reasonableness of the hours billed.” Saizan v. Delta Concrete Products Co., 448 F.3d 795, 799 (5th Cir. 2006); see also Hensley v. Eckerhart, 461 U.S. 424, 437 (1983) (stating that “the fee applicant bears the burden of establishing entitlement to an award and documenting the appropriate hours expended and hourly rates”). Plaintiffs’ counsel, however, “is not required to record in great detail how each minute of

3 his time was expended,” but should at a minimum “at least identify the general subject matter of his time expenditures.” Hensley, 461 U.S. at 437 n.12. At the second step, the court considers whether the lodestar amount should be adjusted upwards or downwards based on the factors set out in Johnson v. Georgia Highway Express, Inc.,

488 F.2d 714 (5th Cir. 1974), although the most critical of these factors is the overall degree of success achieved. Hensley, 461 U.S. at 434. The Supreme Court has also instructed that the court should engage in a “strong presumption” that the lodestar figure, without adjustment, is the reasonable fee award. Pennsylvania v. Del. Valley Citizens’ Council for Clean Air, 478 U.S. 546, 565 (1986)). III. ANALYSIS Sheffield’s counsel has provided a declaration that details the rates and hours requested and why they are reasonable. Dkt. 48-1. Stewart objects that neither the rates nor the hours expended are reasonable. Dkt. 51. A. Rates

Sheffield seeks the following rates for the following attorneys: Josh Sanford (lead counsel): $500; Vanessa Kinney: $350; Meredith McEntire: $350; Rebecca Matlock: $225; Steve Rauls: $300; and Anna Stiritz: $400. Id. Additionally, he seeks reimbursement at $125 per hour for a paralegal and $90 per hour for an unnamed law clerk. Id.

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Forbush v. J C Penney Company
98 F.3d 817 (Fifth Circuit, 1996)
Hopwood v. State of Texas
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Saizan v. Delta Concrete Products Co.
448 F.3d 795 (Fifth Circuit, 2006)
Hensley v. Eckerhart
461 U.S. 424 (Supreme Court, 1983)
Blum v. Stenson
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McClain v. Lufkin Industries, Inc.
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Cope v. Duggins
203 F. Supp. 2d 650 (E.D. Louisiana, 2002)
Ambre Bodle v. TXL Mortgage Corporation, et
788 F.3d 159 (Fifth Circuit, 2015)
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Johnson v. Georgia Highway Express, Inc.
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Sheffield v. Stewart Builders, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/sheffield-v-stewart-builders-inc-txsd-2021.