Arbitration Panel Awards Fee to Defense, With Motion to Vacate Award Being Denied.
In Holland v. Wachovia Securities, LLC, 2009 WL 7035871 (S.D. Cal. Award May 18, 2009), plaintiffs sued Wachovia Securities, LLC and its manager for wrongful termination based mainly on age discrimination. Wachovia counterclaimed that plaintiffs violated the Computer Fraud and Abuse Act and misappropriated trade secrets.
An arbitration panel dismissed plaintiffs’ claims after a ten day hearing, entering an award in favor of Wachovia and against one of the plaintiffs for $72,403 in compensatory damages. However, in line with our Mission Statement that a fee award can often sting a litigant greatly where there are fee shifting statutes (as there are in the trade secret area), the losing plaintiff also was ordered to pay $372,094 in defense attorney’s fees (representing about 80% of the total fees and costs incurred by both defendants). Holy smokes, Batman! Not to mention that plaintiffs’ motion to vacate the arbitration award was denied.