Allocation, Reasonableness Of Fees: Trial Court Properly Awarded 20% Of Fees Requested By Two Prevailing Plaintiffs In Wage Hour Dispute Where They Had Limited Success

Plaintiffs Recovered $8,500; Sought Fees Of $171,000; Were Awarded Fees Of $37,250.

            Lack of success in a case can certainly impact fee recovery to prevailing parties, as Almaguer v. Newland Entities, Inc., Case No. C075662 (3d Dist. March 27, 2019) (unpublished), demonstrates.

            There, two plaintiffs partially prevailed on certain labor/wrongful termination claims, but lost certain tort, labor, and unfair competition claims. In the end, they recovered $8,500 in compensatory damages. They then moved to recoup over $171,000 in fees under Labor Code section 218, which is a pro-plaintiff mandatory fee-shifting statute. The defense opposed on the grounds that plaintiffs had limited success and need to apportion fees between successful/unsuccessful claims.   The trial judge agreed, eventually awarding about 20% of the request–$37,250.

            Plaintiffs’ appeal of the fee award was unavailing.

            Under Chavez v. City of Los Angeles, 47 Cal.4th 970, 989 (2010) [our Leading Case No. 13] and other cases, lack of success is a factor to be considered under a fee petition. The Third District saw no reason that this should not apply under Labor Code section 218. Beyond that, the trial judge did not err in apportioning fees between successful/unsuccessful claims and also deciding that having two attorneys at trial was “overkill.” Fee award affirmed on appeal.

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