“Crack House” Costs Provision is the Fee Entitlement Basis; Amount of Fee Award is $138,067.10.
Well, California is well known as surfer paradise and also well known for its marijuana smoking population (residents who have or have not inhaled). In this vein, enjoy this one with us.
Beach Cities Collective, a medical-marijuana dispensary hit earlier with a $2.4 million damages award in its thus-far losing battle with the City of Dana Point, was recently faced with Dana Point’s motion to recoup attorney’s fees as the prevailing party in front of Orange County Superior Court Judge William Monroe. The basis for the award? A little known statute–Civil Code section 3496(c), which allows a governmental agency to be awarded fees, in the discretion of the court, where it seeks injunctive relief relating to a building that “gives away” any controlled substance. Interestingly enough, this statute is known as the “crack house costs” statute, allowing recovery of attorney’s fees as long as there is a causal connection between the fees and the abatement action.
Although Dana Point is reported to have spent more than $400,000 in attorney’s fees on this issue to date, Judge Monroe did award fees of $138,067.10 to Dana Point and against Beach Cities Collective. He reasoned that the requested lodestar was not too high, given the $229/hourly rate claimed by requesting attorneys, the complexity of the case, and the public benefit from the public nuisance action. The numbers of hours spent were high, but justified based on the other factors. The ruling is being appealed by Beach Cities Collective, which is not seeking a stay against judgment enforcement actions (at least so far).
More on this and other Orange County medical-marijuana dispensary litigation can be found by reading Brittany Levine’s July 12, 2011 article in The Orange County Register.
Other well known individuals do not share Dana Point’s apparent view of marijuana. Here you go on an interesing quote: “It really puzzles me to see marijuana connected with narcotics dope and all of that stuff. It is a thousand times better than whiskey. It is an assistant and a friend.” -Louis Armstrong