Where a jury awarded a plaintiff $180,000 in damages on a 42 U.S.C. 1983 First Amendment retaliation claim, the plaintiff’s request for fees should be allowed but his counsel’s hourly rate should be reduced from $540 to $350 per hour.
“Plaintiff’s 1983 First Amendment retaliation claim against Defendant proceeded to a jury trial. The jury reached a verdict in favor of Plaintiff and awarded him $180,000.00 in damages. The matter is currently before the Court on two motions: 1) Plaintiff’s ‘Motion for Attorneys’ Fees Pursuant To 42 U.S.C. 1988 and Fed. R. Civ. P. 54(d)’ and 2) Defendant’s Motion for Stay Under Fed. R. Civ. P. 62.
“For the reasons that follow, the Court shall grant the Motion for Attorneys’ Fees in part and deny it in part. This motion contains three separate sections wherein Plaintiff requests: 1) attorney and professional fees of more than $300,000.00; 2) $1,786.22 in non-billable expense costs; and 3) interest on the judgment to be issued at the rate of 5.46%. The requests for the last two items are unopposed and shall be granted. As to the requested attorney-fee award, the Court shall reduce Mr. Nacht’s hourly rate from $540 to $350 per hour. The Court rejects all other challenges to the requested attorney fee award.
“As to the second motion, Defendant’s Motion to Stay, the Court denies that motion to the extent that it seeks a discretionary stay without a bond. In its reply brief, however, Defendant offers to obtain a bond if its request for a discretionary stay is denied. The Court will grant a stay, as of right under Fed. R. Civ. P. 62(b), if Defendant posts a bond in the full amount of the judgment to be issued.
“The Court rejects Mr. Nacht’s argument that his rate is established as reasonable because his client agreed to pay it. The Court concludes the rate is excessive, particularly in light of the Sixth Circuit’s ruling that $500 per hour was so excessive in a class action that it amounted to an abuse of discretion. This Court concludes that $350 per hour, the median for civil rights work in the Survey, is a reasonable rate. Reducing the rate to $350 per hour results in Mr. Nacht’s fees being reduced from $114,066.75 (217.27 x $525) to $76,044.50 (217.27 x $350), for a reduction of $38,022.25.
“For the reasons set forth above, IT IS ORDERED that Plaintiff’s Motion for Attorney Fees is GRANTED IN PART AND DENIED IN PART. The Court ORDERS that Plaintiff is entitled to: 1) attorney and professional fees in the total amount of $281,522.50; 2) $1,786.22 in non-billable expense costs; and 3) interest on the judgment to be issued at the rate of 5.46%. The Court ORDERS the parties to meet and confer and, within fourteen (14) days of this Opinion and Order, to submit an agreed-upon final judgment that reflects the Court’s rulings.
“IT IS FURTHER ORDERED that Defendant’s Motion for Stay is GRANTED IN PART AND DENIED IN PART. The motion is DENIED to the extent that Defendant seeks a discretionary stay. The motion is GRANTED to the extent that the Court APPROVES a supersedeas bond in the full amount of the final Judgment to be issued.”
Seals v. Wayne County Employees' Ret. Sys.; MiLW 02-108044, 21 pages; U.S. District Court for the Eastern District of Michigan; Cox, J.
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