Sos v. State Farm Mutual Automobile Insurance Company

CourtDistrict Court, M.D. Florida
DecidedMay 13, 2024
Docket6:17-cv-00890
StatusUnknown

This text of Sos v. State Farm Mutual Automobile Insurance Company (Sos v. State Farm Mutual Automobile Insurance Company) is published on Counsel Stack Legal Research, covering District Court, M.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sos v. State Farm Mutual Automobile Insurance Company, (M.D. Fla. 2024).

Opinion

UNITED STATES DISTRICT COURT MIDDLE DISTRICT OF FLORIDA ORLANDO DIVISION

ANTHONY SOS,

Plaintiff,

v. Case No: 6:17-cv-890-PGB-LHP

STATE FARM MUTUAL AUTOMOBILE INSURANCE COMPANY,

Defendant. / ORDER This cause is before the Court on the following filings: 1. Plaintiff Anthony Sos’ (“Plaintiff”) Verified Motion for Attorneys’ Fees (Doc. 223 (the “Motion for Attorneys’ Fees”)), Defendant State Farm Mutual Automobile Insurance Company’s (“Defendant”) response in opposition (Doc. 231), Plaintiff’s reply (Doc. 234), and Defendant’s sur-reply (Doc. 238); 2. The Magistrate Judge’s Report and Recommendation regarding the Motion for Attorneys’ Fees (Doc. 244 (the “Report”)), Plaintiff’s Objection (Doc. 247 (the “Plaintiff’s Objection”)), Defendant’s Amended Objection (Doc. 248 (the “Defendant’s Objection”)), Defendant’s Response in Opposition to Plaintiff’s Objection (Doc. 250), Plaintiff’s Response in Opposition to Defendant’s Objection (Doc. 252), and this Court’s March 19, 2021 Order adopting the Report in part (Doc. 256); 3. This Court’s April 21, 2021 Order for Entry of Final Judgment (Doc.

261) and the Final Judgment (Doc. 262); and 4. The Eleventh Circuit Court of Appeals’ Opinion (Doc. 270) and Mandate (Doc. 271). I. BACKGROUND A. Factual Background

Although this case has a complex procedural history, the issues presently before the Court are limited and concern only the amount of attorney’s fees awarded to Plaintiff by the Court. (See generally Doc. 270). The pertinent allegations in this case are as follows. On January 28, 2016, Plaintiff was driving his leased vehicle, a Lexus sedan (the “Vehicle”), when he was involved in an automobile accident. (Doc. 1, ¶¶ 6–8). The Vehicle was insured by Defendant, with

whom Plaintiff filed a claim following the accident. (Id. ¶¶ 9–10). Defendant determined that Plaintiff’s Vehicle was a covered “total loss” under the terms of the insurance policy, and thus, Defendant purported to compensate Plaintiff for the actual cash value of the Vehicle. (See id. ¶¶ 11–15). However, Defendant failed to include in this payment the cost of sales tax and of state and local regulatory fees

that would necessarily be incurred in replacing the Vehicle. (Id. ¶¶ 12–16, 37–38). Consequently, Plaintiff filed a putative class action, alleging Defendant had breached its insurance contract with Plaintiff and with similarly situated insureds. (Id. ¶¶ 32, 37–38). More specifically, the putative class contained members who had also insured their leased vehicles with Defendant, had suffered a total loss, and had received payments by Defendant that did not include payment for the

aforementioned taxes and fees. (Id. ¶ 32). Ultimately, while Plaintiff’s request for class certification (Doc. 70) remained pending, the Court entered an Order holding Plaintiff was entitled to summary judgment as to both liability and damages for his individual breach of contract claim. (Doc. 159). The Court subsequently certified a class of Florida

insureds who were similarly situated to Plaintiff. (Doc. 181). Soon after, the Court granted Plaintiff’s request for summary judgment as to liability and damages for the class members’ claims. (Doc. 214). Importantly, in setting forth the class members’ damages, the Court found that each class member was entitled to attorney’s fees. (Id. at p. 22). B. The Magistrate Judge’s Report Addressing Amount of Attorney’s Fees

Magistrate Judge Leslie Hoffman Price issued a Report addressing the appropriate calculation of individual class members’ damages.1 (Id.). The Court later entered a Scheduling Order pertaining to this ruling and set forth deadlines for the parties to brief the remaining issues in the case, including as to attorney’s fees. (See Doc. 218). Pursuant to this Scheduling Order, Plaintiff filed its Motion for Attorneys’ Fees (Doc. 223), Defendant responded in opposition (Doc. 231), and

1 Magistrate Judge Leslie Hoffman legally changed her name during the pendency of this case. Accordingly, herein, the Court refers to the Magistrate Judge by her new legal name. Plaintiff replied (Doc. 234). With the Magistrate Judge’s leave, Defendant also filed a sur-reply (Docs. 236, 238). The Magistrate Judge also held a hearing on the issue of attorney’s fees. (See Docs. 240, 241, 242).

Importantly, in Plaintiff’s Motion for Attorneys’ Fees, Plaintiff sought an award of $4,415,351.00 in attorney’s fees along with prejudgment interest on this award. (Doc. 223, pp. 23–24). Specifically, in arriving at this figure, Plaintiff sought the following hourly rates for the members of Plaintiff’s legal team: Name Position Hourly Rate Christopher Lynch Partner $ 900.00 Edmund Normand Partner $ 800.00 Jacob Phillips Associate Attorney $ 458.00 Alex Couch Associate Attorney $ 458.00 Janna Sherwood Paralegal $ 225.00 Michelle Montecalvo Paralegal $ 195.00

(Id. at p. 12; see Doc. 223-5, p. 18). In support of Plaintiff’s requested fees, Plaintiff attached, among other documents, the Declaration of Plaintiff’s fee expert, John Yanchunis (“Plaintiff’s fee expert”), who opined that the proposed hourly rates were reasonable. (See Doc. 223-5). Plaintiff also requested a 2.5 multiplier on the attorney’s fee award and applied that multiplier in arriving at its proposed total award. (Doc. 223, pp. 22, 24). Ultimately, Magistrate Judge Hoffman Price issued a Report recommending that the instant Court award Plaintiff $2,983,500.00 in attorney’s fees, plus prejudgment interest running from July 8, 2020. (Doc. 244, p. 55). The Magistrate Judge used the federal lodestar analysis to arrive at this figure. (See, e.g., id. at pp. 7–8). Importantly, Magistrate Judge Hoffman Price identified the “Central Florida” market as the relevant market to consider when determining the reasonable hourly rates for the members of Plaintiff’s legal team. (See, e.g., id. at pp. 13–14, 17–18).

Consequently, in issuing the Report, the Magistrate Judge assigned little weight to Plaintiff’s fee expert’s opinions regarding reasonable hourly rates, in part because Plaintiff’s fee expert: (1) had failed to provide support concerning similar fees that had been awarded in the Middle District of Florida in similar cases, and (2) had relied heavily upon national references in reaching his opinion. (See, e.g.,

id. at p. 14; see also id. at pp. 16–17 (discounting the relevance of Plaintiff’s citation to hourly rates that were awarded to attorneys in a Southern District of Florida case and reasoning that “the relevant market is . . . the Middle District of Florida[.]”)). Further, although Plaintiff did cite to three awards of attorney’s fees entered in the Middle District of Florida, the Magistrate Judge found that these awards were also entitled to little weight, as they were entered pursuant to

settlement agreements and were thus unopposed. (See id. at pp. 15–16). Additionally, the Magistrate Judge noted that Plaintiff had failed to provide any evidence regarding Plaintiff’s paralegals’ professional histories in support of Plaintiff’s proposed hourly rates for these paralegals. (Id. at pp. 21–22). Accordingly, the Magistrate Judge relied upon her knowledge and

experience in recommending the following hourly rates for the members of Plaintiff’s legal team: Hourly Name Rate Hours2 Lodestar Christopher Lynch $550.00 466.9 $256,795.00 Edmund Normand $550.00 827.4 $455,070.00 Jacob Phillips $350.00 1225.7 $428,995.00 Alex Couch $250.00 118.0 $29,500.00 Janna Sherwood $150.00 92.4 $13,860.00 Michelle Montecalvo $150.00 61.2 $9,180.00 Total Lodestar: $1,193,400.00

(Id. at pp. 18–20, 21 (collecting cases involving comparable fee awards in the Middle District of Florida)). Finally, Magistrate Judge Hoffman Price determined that Plaintiff’s success was unlikely at the outset of the case. (Id. at p. 46).

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Sos v. State Farm Mutual Automobile Insurance Company, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sos-v-state-farm-mutual-automobile-insurance-company-flmd-2024.