Owner’s Economic Benefits Outstripped Cost of Litigation Based on Conflicting Trial Court Evidence Presented in Fee Motion.
County of Santa Cruz was ordered to issue four unconditional certificates of compliance for 4 parcels owned by Heather Point. However, Heather Point was denied recovery of attorney’s fees of around $475,000 under CCP § 1021.5, California’s private attorney general statute.
The fee denial was affirmed in Heather Point Partners No. 4 v. County of Santa Cruz, Case No. H036645 (6th Dist. Apr. 29, 2013) (unpublished).
The reason was that there was conflicting tangible evidence which the trial court felt demonstrated Heather Point did obtain substantial economic benefits from the issuance of the COCs. Heather Point argued that the $475,000 in litigation costs transcended a minor economic benefit from the COCs, but the County proffered proof indicating that the property was enhanced in value to the tune of $2 million (given that one parcel was converted into 4 saleable parcels). Under these circumstances, the lower court did not err by siding with the County’s solid proof on the “financial benefit” prong of 1021.5.