Warr v. Liberatore

CourtDistrict Court, W.D. New York
DecidedMarch 31, 2022
Docket6:13-cv-06508
StatusUnknown

This text of Warr v. Liberatore (Warr v. Liberatore) is published on Counsel Stack Legal Research, covering District Court, W.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Warr v. Liberatore, (W.D.N.Y. 2022).

Opinion

UNITED STATES DISTRICT COURT WESTERN DISTRICT OF NEW YORK _______________________________________

BENNY T. WARR and NINA M. WARR, DECISION & ORDER Plaintiffs, 13-CV-6508MWP v.

ANTHONY R. LIBERATORE, et. al,

Defendants. _______________________________________

In early 2019, this Court conducted a jury trial that resulted in judgment in favor of plaintiff Benny T. Warr against defendant Anthony R. Liberatore and judgments in favor of defendants James Sheppard, Joseph M. Ferrigno, III, and Mitchell R. Stewart, and the City of Rochester. (Docket ## 144, 149, 183). Warr was awarded $1.00 in nominal damages on his Section 1983 excessive force claim against Liberatore. (Docket # 183). On February 26, 2019, defendants submitted a bill of costs seeking reimbursement of $30,063.70 in costs. (Docket # 156). Following the trial, plaintiffs moved for a new trial and to set aside the verdict and for sanctions. (Docket ## 158, 170). On March 30, 2020, this Court issued an Amended Decision and Order denying the motion for a new trial and to set aside the verdict but granting in part the motion for sanctions. (Docket # 179). Familiarity with the prior Amended Decision and Order is assumed. In that decision, I determined that monetary sanctions were warranted because plaintiffs had demonstrated that during trial defendants’ counsel had engaged in “repeated misconduct . . . evidencing a reckless disregard for this Court’s rulings.” (Id. at 48). Accordingly, defendants’ counsel was ordered to “reimburse those fees and costs incurred by plaintiffs’ counsel in researching, preparing and filing plaintiffs’ post-trial submissions . . . [,] including the costs of ordering the transcript.” (Id. at 48). I further directed that in the event the parties were unable to stipulate to the amount owed, plaintiffs’ counsel should file an affidavit outlining those fees and costs, with supporting documentation. (Id. at 49-50). Plaintiffs appealed this Court’s denial of their motion for a new trial, but neither party appealed this

Court’s determination that sanctions were warranted. (Docket # 199). On April 19, 2021, the Second Circuit affirmed the judgments entered by this Court. (Id.). On April 17, 2020, plaintiffs’ counsel submitted an affidavit with attached supporting documentation seeking $28,507.50 in fees and $6,033.45 for the costs of ordering the trial transcript. (Docket # 184). At this time, the only issues pending before the Court are defendants’ bill of costs and plaintiffs’ application for fees.

I. Bill of Costs Defendants seek reimbursement of their costs in the amount of $30,063.70

pursuant to Rule 68 of the Federal Rule of Civil Procedure. According to defendants, on April 28, 2015, defendants served plaintiffs with an offer of judgment in the amount of $35,000. (Docket ## 156 at ¶ 5; 156-3). Plaintiffs did not accept the offer of judgment and ultimately obtained a verdict against defendant Liberatore in the amount of $1.00. (Docket # 156 at ¶¶ 6, 9). Defendants maintain that they are entitled to reimbursement of the costs they incurred subsequent to service of the unaccepted offer of judgment, which they assert consist of $2,818.50 for deposition transcripts, $26,770 in expert witness fees, and $475.20 for demonstrative exhibits used at trial. Id. at ¶¶ 12-14). Rule 68 provides: At least 14 days before the date set for trial, a party defending against a claim may serve on an opposing party an offer to allow judgment on specified terms, with the costs then accrued. If, within 14 days after being served, the opposing party serves written notice accepting the offer, either party may then file the offer and notice of acceptance, plus proof of service. The clerk must then enter judgment.

An unaccepted offer is considered withdrawn, but it does not preclude a later offer. Evidence of an unaccepted offer is not admissible except in a proceeding to determine costs.

If the judgment that the offeree finally obtains is not more favorable than the unaccepted offer, the offeree must pay the costs incurred after the offer was made.

Fed.R.Civ.P. 68(a)-(b), (d). “The purpose of Rule 68 is to encourage settlement and avoid litigation.” Van Echaute v. Law Office of Thomas Landis, Esq., 2011 WL 1302195, *1 (N.D.N.Y. 2011). Rule 68 is a cost-shifting provision, which “in essence shifts the risk of going forward with a lawsuit to the [plaintiff], who becomes exposed to the prospect of being saddled with the substantial expense of trial.” Christian v. R. Wood Motors, Inc., 1995 WL 238981, *4 (N.D.N.Y. 1995) (quoting Mallory v. Eyrich, 922 F.2d 1273, 1278 (6th Cir. 1991)). Plaintiffs oppose defendants’ bill of costs on the grounds that it is premature because at the time it was filed a judgment had not yet been entered in plaintiffs’ favor. (Docket # 163 at 3-4). They also contend that defendants are not entitled to recover post-offer costs because the offer of judgment was not made in good faith. (Id. at 4-5). Finally, plaintiffs maintain that, in the event costs are awarded, defendants are not entitled to recover expert fees in excess of the statutory daily attendance fee for witnesses. (Id.). With respect to timing, I agree with plaintiffs that defendants’ request for reimbursement of costs was premature at the time it was filed because judgment had not yet been entered in plaintiffs’ favor. See Delta Air Lines, Inc. v. August, 450 U.S. 346, 352 (1981) (“[“Rule 68] applies only to offers made by the defendant and only to judgments obtained by the plaintiff[;] [i]t therefore is simply inapplicable to this case because it was the defendant that obtained the judgment”); Sparaco v. Lawler, Matusky & Skelly, 201 F.R.D. 335, 336 (S.D.N.Y. 2001) (“defendants cannot rely on Rule 68 to recover costs and attorneys’ fees because [it] does

not by its terms apply to situations in which the defendant prevails altogether – that is, where the claims against the offering defendants are dismissed entirely”). Nevertheless, judgment has now been entered in Warr’s favor against Liberatore (Docket # 183), and I conclude that defendants’ request for reimbursement of their costs is now ripe for determination. I turn next to Warr’s conclusory assertion that the $35,000 offer of judgment by defendants was insufficient to trigger the cost-shifting provisions of Rule 68 considering the “significant injuries and damages” alleged by Warr. (Docket # 163 at 4). Even if Rule 68 could be read to impose a reasonableness requirement – a contention not supported by the caselaw upon which plaintiff relies, see Delta Air Lines, Inc. v. August, 450 U.S. at 355 (“the plain

language of [Rule 68] makes it unnecessary to read a reasonableness requirement into the Rule[;] [a] literal interpretation totally avoids the problem of sham offers, because such an offer will serve no purpose, and a defendant will be encouraged to make only realistic settlement offers”) – plaintiff has not suggested any basis upon which to conclude that defendants’ offer was made in bad faith. The simple facts that four of the five defendants obtained judgment in their favor dismissing plaintiffs’ claims and that Warr was awarded only nominal damages on his successful claim against the remaining individual defendant belie plaintiffs’ contention that the offer was so unreasonable as to amount to bad faith. See Ciraolo v. City of New York, 2000 WL 1521180, *2 (S.D.N.Y. 2000) (“[h]ere, [d]efendants offered [p]laintiff a pre-trial Rule 68 offer of judgment in the amount of $25,001, . . .

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