The Estate of Marina D. Kolchinsky v. Bentley

CourtDistrict Court, N.D. Illinois
DecidedFebruary 5, 2021
Docket1:15-cv-10544
StatusUnknown

This text of The Estate of Marina D. Kolchinsky v. Bentley (The Estate of Marina D. Kolchinsky v. Bentley) is published on Counsel Stack Legal Research, covering District Court, N.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
The Estate of Marina D. Kolchinsky v. Bentley, (N.D. Ill. 2021).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

MARINA D. KOLCHINSKY and ) LIDIA L. KOLCHINSKY, ) ) Plaintiffs, ) ) vs. ) Case No. 15 C 10544 ) WILLIAM G. BENTLEY and ) BILL BENTLEY TRUCKING, LLC, ) ) Defendants. )

MEMORANDUM OPINION AND ORDER MATTHEW F. KENNELLY, District Judge: On October 5, 2014, Marina Kolchinsky and her mother, Lidia Kolchinsky,1 were severely injured in a motor vehicle collision involving their rental car and a tractor-trailer. They sued the tractor-trailer driver, William G. Bentley, and his company, Bill Bentley Trucking, LLC, alleging negligence, and in later iterations of their complaint they added as defendants Western Dairy Transport, LLC and WD Logistics, LLC. The latter two defendants prevailed on summary judgment, and that ruling was affirmed on appeal. The plaintiffs2 have reached a settlement agreement with the remaining defendants. They have submitted a petition asking this Court to approve the settlement, in the amount of $1,000,000, which represents the full insurance policy limit applicable in this case. Several attorneys serially retained by the plaintiffs under contingency fee

1 The Court will refer to each of the Kolchinskys by her first name to avoid the need to repeat their full names. 2 Marina Kolchinsky passed away on April 9, 2020. One of her adult sons, Arie Leib Porush, has been appointed as the special administrator of her estate. agreements assert that they are entitled to the full contract amount of one-third (33– 1/3%) of the $1,000,000 settlement in this case as well as expense reimbursement. Each attorney has moved to recover fees and expenses. Factual background

The Court assumes familiarity with the case's factual and procedural background, which the Court has described in its prior written opinions. See Kolchinsky v. Bentley, No. 15 C 10544, 2019 WL 423372 (N.D. Ill. Feb. 3, 2019) (Kolchinsky II); Kolchinsky v. Bentley, No. 15 C 10544, 2018 WL 10741494 (N.D. Ill. May 31, 2018) (Kolchinsky I). The following is a brief synopsis of the factual and procedural background, as relevant for the purposes of the present order. In October 2014, a tractor-trailer operated by William G. Bentley, the owner and sole member of Bill Bentley Trucking, LLC, rear-ended the plaintiffs' Hertz rental car and left them severely injured. On November 23, 2015, the plaintiffs, Marina Kolchinsky and her mother, Lidia Kolchinsky, sued Bentley and his company (together, the "Bentley

defendants"), alleging negligence. They later amended their complaint to add as defendants the companies that contracted with Bentley: Western Dairy Transport, LLC and WD Logistics, LLC. The Court granted summary judgment in favor of the latter two defendants, leaving only the Bentley defendants. Kolchinsky II, 2019 WL 423372, at *3. The plaintiffs then reached a $1,000,000 settlement with the Bentley defendants. On September 11, 2020, the plaintiffs filed a petition for the Court to approve it. Court approval is required because one of the plaintiffs is a deceased person's estate. During the course of the litigation—in Wisconsin state court and this Court—the plaintiffs serially retained four different attorneys and law firms, including (1) Jay Urban of Urban & Taylor S.C., who represented only Marina; (2) Joseph Shannon of Shannon Law Group PC, who represented only Lidia; (3) Todd Korb of Hupy & Abraham S.C.; and (4) Eugene Bykhovsky of Bykhovsky Law, LLC. Urban and Shannon represented the plaintiffs in a pre-suit discovery action filed in Wisconsin state court; Korb and

Bykhovsky represented the plaintiffs in this federal lawsuit. More specifically, Korb filed the present suit; he was later replaced by Bykhovsky; and he was later rehired to replace Bykhovsky. Korb, an attorney with the Hupy firm, negotiated the settlement that the plaintiffs have now requested this Court to approve. Each of the lawyers the plaintiffs retained asserts that he is entitled to 1/3 of the plaintiffs' recovery—about $333,333—as well as reimbursement for expenses, except for Shannon, who only seeks one-third of Lidia's recovery. 1. Attorneys Urban and Shannon Marina hired attorney Jay Urban, founder and principal of Urban & Taylor in October 2014, shortly after the accident. Due to a perceived potential conflict of interest

between the two plaintiffs, Urban referred Lidia to Joseph Shannon, founding partner of the Shannon Law Group. Lidia hired Shannon in February 2015. Urban did not file the present lawsuit. He initiated a proceeding in Wisconsin state court to enable the plaintiffs to obtain discovery. That proceeding resulted in the production of numerous documents, including the Bentley defendants' insurance coverage, the vehicle rental agreement, and the Illinois traffic crash report. Shannon and Urban worked together on the state court discovery action and determined that the limit of liability insurance coverage was $1,000,000 for both plaintiffs' claims. Shannon has submitted a time sheet that indicates he billed 23.25 hours representing Lidia—meeting with the plaintiff, requesting and scanning her medical records, submitting a FOIA request to the U.S. Department of Transportation, conducting other research on the driver, and corresponding with Urban and his law firm. Shannon Law Grp., P.C.'s Reply, Ex. 1 (dkt. no. 236-2).

Urban, in contrast, has not submitted any time records or other evidence of his activities in representing Marina. In connection with an earlier submission, however, Korb submitted a report provided by Urban listing his expenses, which totaled $6,556.37, including an expert retainer fee, travel, postage and shipping, and parking. Mot. for Declaratory Ruling, Korb Affid., Ex. E (dkt. no. 47-3, ECF p. 88 of 88). In October 2015, about a month before filing the instant lawsuit in federal court, the plaintiffs discharged Urban and Shannon. Urban claims that he is entitled to an award of attorney's fees in the amount of one-third of the settlement between the plaintiffs and the Bentley defendants, while Shannon claims only one-third of Lidia's recovery. In the alternative, they seek a quantum meruit award, that is, an award

reflecting the reasonable value of their services. 2. Attorney Korb Immediately after discharging Urban and Shannon, the plaintiffs hired Todd Korb. Korb obtained the "blackbox" data from the Kolchinskys' rental car (computer-stored data that encapsulates the details of a vehicle crash event), filed this lawsuit—including two amended complaints—against the Bentley defendants, conducted discovery and disclosures, including depositions of key witnesses and the parties, and engaged experts. Korb obtained a $1,000,000 policy limits settlement offer from the Bentley defendants on April 7, 2017. Korb recommended that the plaintiffs accept the offer. He discouraged them from pursuing a claim against Western Dairy and WD Logistics because in his view such a claim was unlikely to succeed. The plaintiffs rejected Korb's advice: they decided not to accept the offer, and they ultimately fired Korb. The plaintiffs hired a new attorney in October 2017: Eugene Bykhovsky. They

enlisted him to attempt negotiate a larger settlement amount from the Bentley defendants, despite the insurance policy limit, and to pursue claims against Western Dairy and WD Logistics. In December 2017, they formally discharged Korb. 3. Attorney Bykhovsky Korb was still formally representing the Kolchinskys in October 2017 when they first engaged Bykhovsky. In February 2018, about two months after the plaintiffs discharged Korb, Bykhovsky filed a third amended complaint, naming WD Logistics and Western Dairy as defendants—and sought a greater amount from the Bentley defendants. He also conducted discovery relating to the new defendants.

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