Vines v. O'Reilly Auto Enterprises, LLC

CourtCalifornia Court of Appeal
DecidedJanuary 21, 2022
DocketB301000
StatusPublished

This text of Vines v. O'Reilly Auto Enterprises, LLC (Vines v. O'Reilly Auto Enterprises, LLC) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Vines v. O'Reilly Auto Enterprises, LLC, (Cal. Ct. App. 2022).

Opinion

Filed 1/21/22 CERTIFIED FOR PUBLICATION

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION SEVEN

RENEE VINES, B301000

Plaintiff and Appellant, (Los Angeles County Super. Ct. No. PC058046) v.

O’REILLY AUTO ENTERPRISES, LLC,

Defendant and Respondent.

APPEAL from a postjudgment order of the Superior Court of Los Angeles County, Stephen P. Pfahler, Judge. Reversed and remanded. Mayall Hurley, William J. Gorham III and Nicholas F. Scardigli for Plaintiff and Appellant. Higgs Fletcher & Mack, John Morris, James M. Peterson, Derek W. Paradis and Rachel M. Garrard for Defendant and Respondent. _____________________________________ Renee Vines sued his former employer O’Reilly Auto Enterprises, LLC for violations of the Fair Employment and Housing Act (FEHA) (Gov. Code, § 12900 et seq.), 1 alleging race- and age-based discrimination, harassment and retaliation-related claims. After a jury found in his favor and awarded damages on his claims for retaliation and failure to prevent retaliation, Vines moved for an award of $809,681.25 in attorney fees. The trial court awarded only $129,540.44 in fees, based in part on its determination the unsuccessful discrimination and harassment claims were not sufficiently related or factually intertwined with the successful retaliation claims. On appeal Vines contends that determination was based on a legal error and the court thus abused its discretion in reducing the fee award. We agree, reverse the postjudgment fee order and remand for the court to recalculate Vines’s fee award. FACTUAL AND PROCEDURAL BACKGROUND 1. Vines’s Complaint On October 16, 2017 Vines filed a complaint against O’Reilly alleging he was a 59-year-old Black man who had been subjected during his employment with O’Reilly to discriminatory treatment and harassment by his supervisor Tim Fonder and others because of his age and race. For example, Fonder allegedly created false and misleading reviews of Vines, yelled at him and denied his requests for training given to younger, non- Black employees. Although Vines repeatedly complained to O’Reilly’s management regarding the harassment and discrimination, O’Reilly took no remedial action. Instead, the

1 Statutory references are to this code unless otherwise stated.

2 company began an investigation by John Larotonda, a district manager, that was pretextual and conducted to seek a reason for terminating Vines’s employment. Larotonda recommended, and O’Reilly approved, Vines’s termination in July 2017. Vines alleged six causes of action: two for discrimination (race and age); two for harassment (race and age); retaliation; and failure to prevent discrimination, harassment and retaliation. 2. O’Reilly’s Motion for Summary Judgment or, in the Alternative, Summary Adjudication On July 26, 2018 O’Reilly moved for summary judgment or, in the alternative, summary adjudication as to each of Vines’s claims. The trial court denied O’Reilly’s summary judgment motion, finding triable issues of material facts existed—including as to whether O’Reilly had been motivated by racial animus in taking disciplinary action against Vines and retaliated against Vines for his complaints—but granted summary adjudication of Vines’s causes of action for age discrimination and age harassment, finding Vines had failed to present any evidence his age had anything to do with his termination or O’Reilly’s alleged discrimination, harassment or retaliation. 3. The Jury Trial The parties tried the remaining four causes of action before a jury for two weeks in April and May 2019. For Vines’s retaliation claim the jury was instructed, in part: “Mr. Vines does not have to prove discrimination or harassment in order to be protected from retaliation. If he reasonably believed that O’Reilly’s conduct was unlawful he may prevail on a retaliation claim even if he does not present, or prevail on, a separate claim for discrimination or harassment.”

3 The jury returned its verdict on May 3, 2019, finding against Vines on his race discrimination (disparate treatment) and harassment claims: The jury found Vines’s race was not a substantial motivating reason for O’Reilly’s discharge or other adverse employment action and Vines was not subjected to unwanted harassing conduct because of his race. Vines, however, prevailed on his retaliation and failure to prevent retaliation claims. For his retaliation claim, as reflected on the special verdict form, the jury’s findings included that Vines had “complain[ed] to a supervisor, human resources or the T.I.P.S. Hotline of what he reasonably believed to be race discrimination, race harassment, or unlawful retaliation.” 2 The jury awarded Vines $70,200 in damages: $35,100 for economic loss and $35,100 for noneconomic loss. Although the jury also found Vines had proved by clear and convincing evidence that an officer, director or managing agent of O’Reilly acting on O’Reilly’s behalf engaged in unlawful retaliation with malice, oppression or fraud, or that O’Reilly knew of that conduct and adopted or approved it after it occurred, the jury in a subsequent phase of the trial awarded Vines nothing as punitive damages. Judgment in Vines’s favor was entered on July 2, 2019. 4. Vines’s Motion for Attorney Fees and O’Reilly’s Opposition On July 16, 2019 Vines, pursuant to section 12965, moved for an award of $809,681.25 in attorney fees—a lodestar of

2 Vines presented evidence at trial that O’Reilly provided a means for its employees to report complaints by calling its “T.I.P.S. Hotline,” and Vines testified he had made 17 calls to the hotline or O’Reilly’s corporate headquarters in Springfield, Missouri, as well as other complaints to O’Reilly.

4 $647,745 with a 1.25 multiplier. Vines’s motion was supported by multiple attorney declarations, attorney billing records and other exhibits. One of his attorneys averred the matter included multiple rounds of written discovery with more than 1,000 documents produced; more than 10 depositions in several states and multiple cities; and the need to oppose a motion for summary judgment and/or summary adjudication and prepare for a 10-day jury trial. Vines argued a lodestar multiplier was justified because of the difficulty of the case, including the large number of Vines’s complaints to O’Reilly; the skills displayed by his attorneys in overcoming that difficulty; and his attorneys’ acceptance of the matter on a contingency basis. Vines also argued a downward lodestar adjustment was not warranted because the retaliation and failure to prevent retaliation claims on which he prevailed were related to the unsuccessful unlawful discrimination and harassment claims. He further asserted he had obtained full, not limited, success, as shown, among other factors, by the verdict form’s providing for a single award of damages regardless of the number of FEHA violations to be found by the jury. In its opposition to Vines’s attorney fee motion O’Reilly contended Vines was not the prevailing party for purposes of an award of attorney fees; but, even if he were, his fee request should be denied altogether because the amount of fees he requested was excessive given the nominal jury award and Vines’s limited success: The jury had awarded Vines only $70,200 even though in his closing argument he had sought more

5 than $2.5 million in damages, 3 and Vines had prevailed on only two of his six causes of action. O’Reilly argued in the alternative the fee amount should be substantially reduced because a court has discretion to limit fees for unsuccessful causes of action if they were not related to the successful causes of action or the plaintiff did not obtain substantial relief.

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Vines v. O'Reilly Auto Enterprises, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/vines-v-oreilly-auto-enterprises-llc-calctapp-2022.