Agenda 11/13/2018 Item #16K 811/13/2018
EXECUTIVE SUMMARY
Recommendation to comply with a Court Order of the Federal District Court in Ft. Myers
awarding the Defendant, RTG, LLC, $162,502.50 in attorneys’ fees incurred both in the district
court and on appeal in the case of Collier County v. RTG, LLC (Case No. 2:17-cv-14-FtM-38CM).
OBJECTIVE: To comply with a Federal District Court Order awarding attorney’s fees.
CONSIDERATIONS: On May 23, 2017 (Agenda item 12A), the Board of County Commissioners
provided direction for the County Attorney to pursue an Appeal in the Eleventh Circuit Court of Appeals
in the litigation styled Collier County v. Holiday CVS, LLC and RTG, LLC, against the one remaining
party, Realty Trust Group, LLC.
The litigation was initiated on October 25, 2016 (Agenda item 12A) when the Board provided direction to
the County Attorney to pursue litigation to seek repayment of a jury award, attorneys’ fees, expert witness
fees and costs in excess of $6.5 million from Holiday CVS, LLC a corporate subsidiary of CVS Health
Corp. (“CVS”) and Realty Trust Group, LLC (“RTG”). Collier County filed a Complaint in the Collier
Circuit Court against both entities on the theory of unjust enrichment and seeking to recover the total
amount of damages awarded to CVS and RTG. CVS and RTG had the case transferred to the Federal
District in Ft. Myers, where their Motion to Dismiss Collier County’s Complaint was granted by the
Federal Court Judge on April 10, 2017.
The Federal District Court in Ft. Myers granted the CVS and RTG Motions to Dismiss C ollier County’s
Complaint on April 10, 2017. The basis for the dismissal was the Court’s finding that this was a
collateral attack on a jury verdict. The County’s position was that this is not an attack on a jury award, but
a separate action based on fairness; that the landlord, RTG, was now in essence getting double rent and
that CVS was receiving profits after they had been compensated for such profits as lost.
The County timely filed an Appeal with the United States Court of Appeals for the Eleventh C ircuit,
which affirmed the dismissal by the Federal District Court. The case was then remanded to the Federal
District Court for determination of RTG’s attorney’s fees in defending against their jury award. Collier
County challenged the reasonableness of the fees claimed by RTG.
On October 10, 2018, the Magistrate of the District Court entered her Report and Recommendation on
RTG’s Motions for Attorney Fees, agreeing with the County’s argument as to the unreasonableness of
some of RTG’s billing fees and recommending several categories of reductions or striking of fees. RTG’s
total claim for attorney fees was $214,453, and the Magistrate awarded a total amount $162,502.50. On
October 25, 2018, Judge Chappell entered an Order which accepted and adopted the Magistrate’s Report
and Recommendation.
FISCAL IMPACT: Sufficient budget is available within existing FY 2019 General Fund appropriations
to fund this court ordered payment.
GROWTH MANAGEMENT IMPACT: None.
LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires majority vote
for approval. -JAK
RECOMMENDATION: To comply with a Court Order awarding the Defendant, RTG, LLC,
$162,502.50 in attorneys’ fees incurred both in the district court and on appeal in the case of Collier
County v. RTG, LLC (Case No. 2:17-cv-14-FtM-38CM).
16.K.8
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11/13/2018
Prepared by: Jeffrey A. Klatzkow, County Attorney, and
Colleen M. Greene, Assistant County Attorney
ATTACHMENT(S)
1. Report and Recommendation dated October 10, 2018 (PDF)
2. Court Order dated October 25, 2018 (PDF)
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11/13/2018
COLLIER COUNTY
Board of County Commissioners
Item Number: 16.K.8
Doc ID: 7253
Item Summary: Recommendation to comply with a Court Order of the Federal District Court in
Ft. Myers awarding the Defendant, RTG, LLC, $162,502.50 in attorneys’ fees incurred both in the district
court and on appeal in the case of Collier County v. RTG, LLC (Case No. 2:17-cv-14-FtM-38CM).
Meeting Date: 11/13/2018
Prepared by:
Title: Legal Office Administrator – County Attorney's Office
Name: Debbie Allen
11/05/2018 10:58 AM
Submitted by:
Title: County Attorney – County Attorney's Office
Name: Jeffrey A. Klatzkow
11/05/2018 10:58 AM
Approved By:
Review:
County Attorney's Office Colleen Greene Level 2 Attorney Review Completed 11/05/2018 11:24 AM
Office of Management and Budget Valerie Fleming Level 3 OMB Gatekeeper Review Completed 11/05/2018 11:29 AM
County Attorney's Office Emily Pepin CAO Preview Completed 11/05/2018 11:32 AM
Budget and Management Office Mark Isackson Additional Reviewer Completed 11/05/2018 11:41 AM
County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 11/05/2018 1:05 PM
County Manager's Office Leo E. Ochs Level 4 County Manager Review Completed 11/05/2018 2:25 PM
Board of County Commissioners MaryJo Brock Meeting Pending 11/13/2018 9:00 AM
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UNITED STATES DISTRICT COURT
MIDDLE DISTRICT OF FLORIDA
FORT MYERS DIVISION
COLLIER COUNTY, a political
subdivision of the State of Florida,
Plaintiff,
v. Case No: 2:17-cv-14-FtM-38CM
RTG, LLC,
Defendant.
REPORT AND RECOMMENDATION1
This matter comes before the Court upon review of Defendant, RTG LLC’s
(“RTG”), Motion for Attorneys’ Fees (Doc. 55)2 filed on March 8, 2018; Plaintiff,
Collier County’s, response in opposition (Doc. 57) filed on March 22, 2018; and
Appellee RTG’s Motion for Attorneys’ Fees (Doc. 59) transferred to this Court on April
19, 2018. Through its two motions, RTG seeks a total of $214,452.50 for attorneys’
fees incurred both in the district court and on appeal. See Docs. 55, 59. Collier
1 A party has fourteen days from this date to file written objections to the Report and
Recommendation’s factual findings and legal conclusions. A party’s failure to file written
objections waives that party’s right to challenge on appeal any unobjected-to factual finding
or legal conclusion the district judge adopts from the Report and Recommendation. See 11th
Cir. R. 3-1.
2 Disclaimer: Documents filed in CM/ECF may contain hyperlinks to other documents
or websites. These hyperlinks are provided only for users’ convenience. Users are cautioned
that hyperlinked documents in CM/ECF are subject to PACER fees. By allowing hyperlinks
to other websites, this Court does not endorse, recommend, approve, or guarantee any third
parties or the services or products they provide on their websites. Likewise, the Court has no
agreements with any of these third parties or their websites. The Court accepts no
responsibility for the availability or functionality of any hyperlink. Thus, the fact that a
hyperlink ceases to work or directs the user to some other site does not affect the opinion of
the Court.
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County does not dispute RTG’s entitlement to fees incurred at the district court level,
but Collier County does oppose the reasonableness of the amount of such fees
requested. See Doc. 45; Doc. 57 at 1. Collier County did not respond to RTG’s
request for fees incurred during the appeal, and thus the Court deems that request
as unopposed.3 See Hicks v. Deepwater Global Distrib., Inc., No. 6:17-cv-1472-Orl-
41TBS, 2018 WL 3427876, at *1 (M.D. Fla. July 16, 2018) (“When a party fails to
respond, that is an indication that the motion is unopposed.”). For the reasons
stated herein, RTG’s Motion for Attorneys’ Fees incurred at the district court level
will be granted in part and denied in part, and RTG’s Motion for Attorneys’ Fees
incurred on appeal will be granted in part and denied in part.
I. Background
This litigation began as an eminent domain action to acquire land needed to
expand an intersection. Doc. 2 ¶¶ 8-9; Doc. 43 ¶¶ 1-2. As part of the expansion
project, Collier County sought a temporary construction easement and filed a petition
to commence an eminent domain proceeding against RTG and Holiday CVS, LLC
(“CVS”) to condemn certain property owned by RTG and leased by CVS. Doc. 2 ¶ 9,
11; Doc. 43 ¶ 2. The taking and easement eliminated or adversely impacted a total
of fourteen parking spaces used for CVS customer parking. See Doc. 2 ¶ 12, 14; Doc.
43 ¶ 3. In March 2013, the Circuit Court of the Twentieth Judicial Circuit in and for
3 The Court notes both the Eleventh Circuit docket and the docket for the instant case
reflect Collier County has not filed any response to RTG’s Motion for Attorneys’ Fees incurred
on appeal, and the time to do so passed prior to transference of the motion. See U.S. Court
of Appeals for the Eleventh Circuit Doc. No. 17-12108; see also Fed. R. App. P. 27(3)(A).
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Collier County, Florida “found that the County had complied with all requirements
for the taking” and entered an order of taking. Doc. 2 ¶ 20.
In May 2013, CVS unilaterally terminated its lease with RTG due to the loss
of parking spaces. Id. ¶ 14; Doc. 43 ¶ 4. “CVS and RTG each claimed that, in
addition to ‘full compensation’ for the taking, they were entitled to business and
severance damages for anticipated lost business as a result of the ‘taking.’” Doc. 2 ¶
21. Therefore, the case proceeded to a jury trial on CVS’s and RTG’s damages claims
in January 2014. Id. ¶ 22; Doc. 43 ¶ 5. At the trial, “CVS and RTG represented
that CVS would be leaving [the RTG property] because of the ‘taking[,]’ thereby
leaving RTG without a tenant.” Doc. 2 ¶ 24. The jury rendered a verdict awarding
RTG $3,483,000.00 for the takings and severance damages. Doc. 43 ¶ 6; Doc. 43-2.
The jury awarded CVS $1,933,000.00 in business damages. Doc. 2 ¶ 29; Doc. 2-2.
Collier County also was ordered to pay approximately $1,500,000.00 to CVS and RTG
for attorneys’ fees and expert fees. Doc. 2 ¶ 29. Collier County did not appeal the
final judgment and paid RTG the awarded damages in full. Id. ¶ 30; Doc. 43 ¶ 7.
On November 23, 2016, Collier County filed the present case in the Twentieth
Judicial Circuit “to recover the monies paid pursuant to the jury verdict and final
judgment in the underlying eminent domain trial on the grounds that CVS and RTG
were unjustly enriched and that CVS and RTG conspired to commit extrinsic fraud
on the court because CVS has yet to close the store.” Doc. 43 ¶ 9. Collier County
subsequently withdrew its claim against RTG for civil conspiracy to commit extrinsic
fraud on the court. Id. ¶ 10. On January 10, 2017, CVS removed the case to this
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Court, and on January 17, 2017, RTG filed a motion to dismiss the Amended
Complaint. Id. ¶ 11; see Docs. 1, 2, 9. Finding Collier County’s claim barred under
the doctrine of res judicata, the Court granted RTG’s motion to dismiss and denied
Collier County’s request for leave to file a Second Amended Complaint. Doc. 33.
On May 9, 2017, Collier County appealed the dismissal Order. Doc. 39. On
May 15, 2017, RTG filed a motion for attorneys’ fees seeking fees pursuant to Sections
73.091 and 73.092 of the Florida Statutes. Doc. 43. RTG contemporaneously filed
an Affidavit of Attorneys’ Fees Incurred with attorneys’ time records indicating RTG
incurred $133,750.00 in attorneys’ fees. Doc. 44-1 at 2. On May 30, 2017, Collier
County filed a Notice of Consent as to Entitlement to Attorneys’ Fees, indicating
Collier County would agree that RTG was entitled to attorneys’ fees, conditioned on
RTG being the prevailing party following Collier County’s appeal to the Eleventh
Circuit. Doc. 45. Collier County indicated that notwithstanding the stipulation, it
contested the amount of fees sought by RTG. Id. The undersigned entered a Report
and Recommendation recommending RTG’s motion for attorneys’ fees be denied
without prejudice with leave to refile within thirty days of the entry of a mandate by
the Eleventh Circuit on Collier County’s pending appeal, which Judge Chappell
adopted over RTG’s objections on June 27, 2017. Docs. 46, 51; see also Docs. 49, 50.
The Eleventh Circuit affirmed the Order dismissing the case, and the mandate
was entered on February 13, 2018. Docs. 53, 54. On March 8, 2018, RTG re-filed
its motion for attorneys’ fees, seeking an award of $162,675.00. Doc. 55. Collier
County filed a response in opposition, indicating it does not dispute RTG is entitled
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to attorneys’ fees but arguing the amount sought is not reasonable. Doc. 57. On
April 19, 2018, the Eleventh Circuit transferred a motion for attorneys’ fees RTG filed
with the appellate court to the district court “for consideration of the issues of
entitlement and the reasonable amounts of appellate attorney’s fees, if any, to be
awarded.” Doc. 58; see Doc. 59. Collier County did not respond to the motion at the
appellate or district court level, and the time to do so has passed. The matter is ripe
for judicial review.
II. Analysis
Parties generally are required to bear their own litigation expenses regardless
of who wins or loses. Fox v. Vice, 563 U.S. 826, 832 (2011). Exceptions exist,
however, where Congress has authorized courts to deviate from this rule in certain
types of cases by shifting fees from one party to another. Id. And “in diversity
cases[,] a party’s right to attorney’s fees is determined by reference to state law.”
Prime Ins. Syndicate, Inc. v. Soil Tech Distribs., Inc., 270 F. App’x 962, 963 (11th Cir.
2008). Here, RTG argues it is entitled to attorneys’ fees incurred at the district court
and appellate court levels under Sections 73.091 and 73.131 of the Florida Statutes,
respectively. The Court will address each in turn.
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a. Motion for Fees Incurred at District Court Level (Doc. 55)
i. Entitlement to Fees
Under the Florida Constitution, “[n]o private property shall be taken except
for a public purpose and with full compensation therefor paid to each owner . . . .”
Fla. Const. art. X, § 6. As such, “[i]t is . . . fundamentally clear that full compensation
under the Florida Constitution includes the right to a reasonable attorney’s fee for
the property owner.” Joseph B. Doerr Trust v. Cent. Fla. Expressway Auth., 177 So.
3d 1209, 1215 (Fla. 2015). Section 73.091(1) of the Florida Statutes indicates that
in eminent domain cases, “[t]he petitioner [seeking condemnation of private land]
shall pay attorney’s fees as provided in [§] 73.092[,]” and “[n]o prejudgment interest
shall be paid on costs or attorney’s fees.” As discussed below, § 73.092 explains how
reasonable attorneys’ fees should be calculated.
Florida courts have held that “[a]ttorney’s fees incurred in proceedings in the
trial court and on appeal that arise out of and are ancillary to the original proceeding
in condemnation are . . . payable by the state pursuant to sections 73.091 and 73.131.”
Schick v. Fla. Dep’t of Agric. & Consumer Srvs., 586 So. 2d 452, 454 (Fla. Dist. Ct.
App. 1991) (emphasis added) (citing State Dep’t of Transp. v. Shaw, 303 So. 2d 75, 77
(Fla. 1st DCA 1974)). A proceeding arises out of or is ancillary to the original
condemnation action if it involves a dispute “arising as a direct result of the
condemnation proceedings.” Seminole Cty. v. Butler, 676 So. 2d 451, 454 (Fla. 5th
DCA 1996) (internal quotation marks omitted) (quoting Terry v. Conway Land, Inc.,
508 So. 2d 401, 404 (Fla. 5th DCA 1987), approved, 542 So. 2d 362 (Fla. 1989)); see
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also Schick, 586 So. 2d at 453 (finding attorneys’ fees incurred during mandamus
action compensable under § 73.091 because it was “a proceeding supplemental or
ancillary to the condemnation suit necessarily filed to obtain full compensation for
the taking of appellant’s property as guaranteed by [the Florida Constitution].”);
Shaw, 303 So. 2d at 77 (finding attorneys’ fees incurred during action to receive
replacement housing allowance related to compensation for residential taking
compensable under § 73.091 because the suit was “a direct outgrowth of the eminent
domain proceeding” that would not have happened but for the taking of the
residential property).
Here, it is undisputed that RTG is entitled to recover attorneys’ fees. See Doc.
45; Doc. 55 at 9; Doc. 57 at 1. The Honorable Sheri Polster Chappell implicitly
acknowledged this case arises out of the original condemnation proceeding:
The Amended Complaint indicates Plaintiff “has paid CVS and RTG the
damages awarded in full.” Plaintiff had ample time to appeal the state
court judgment, but it did not. Plaintiff now brings its claim close to
three years later. This is not the typical unjust enrichment claim.
Rather, this claim is a collateral attack on a jury verdict.
Doc. 33 at 4 (emphasis omitted) (citations omitted). In other words, “[t]he suit giving
rise to this controversy was ancillary to, and a direct outgrowth of the eminent
domain proceeding” because this suit would not have happened but for the original
condemnation action. See Shaw, 303 So. 2d at 77. Accordingly, the Court
recommends finding RTG is entitled to fees under Fla. Stat. § 73.091.4
4 The Court notes that the parties appear to dispute whether RTG’s status as a
prevailing party is the reason RTG is entitled to such fees. Compare Doc. 49 at 4 (“It is
important to note that Sections 73.091 and 73.092(2) are not prevailing party statutes.
Instead, they are statutory provisions that implement the constitutional mandate of full
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ii. Reasonableness of Fees
A reasonable attorney fee is calculated by multiplying the number of hours
reasonably expended by the reasonable hourly rate for the relevant type of litigation.
See Hensley v. Eckerhart, 461 U.S. 424, 433 (1983); Lee Cty. v. Tohari, 582 So. 2d
104, 105 (Fla. 2d DCA 1991). When determining appropriate attorneys’ fees for a
supplemental proceeding5 to an eminent domain action, the court also must consider
certain statutory factors:
(a) The novelty, difficulty, and importance of the questions involved.
(b) The skill employed by the attorney in conducting the cause.
(c) The amount of money involved.
(d) The responsibility incurred and fulfilled by the attorney.
(e) The attorney’s time and labor reasonably required adequately to
represent the client in relation to the benefits resulting to the client.
(f) The fee, or rate of fee, customarily charged for legal services of a
comparable or similar nature.
(g) Any attorney’s fee award made under subsection (1).
compensation, which include the payment of attorneys’ fees.”), with Doc. 45 (consenting to
RTG’s entitlement to attorneys’ fees only if RTG is the prevailing party after the appeal to
the Eleventh Circuit), Doc. 57 (“The County does not dispute that RTG is the prevailing party
and entitled to recover its reasonable attorneys’ fees.” (emphasis in original) (citing Fla. Stat.
§ 73.091(1))). Because RTG prevailed and the parties agree RTG is entitled to attorneys’
fees, the Court need not decide today for the purposes of this recommendation whether RTG
also would be entitled to attorneys’ fees under § 73.091 if it did not prevail.
5 Generally, a “supplemental proceeding” occurs after a final judgement has been
entered. Sw. Fla. Water Mgmt. Dist. v. Shea, 86 So. 3d 582, 584 (Fla. 2d DCA 2012) (citing
Fla. Dep’t of Transp. v. Smithbilt Indus., Inc., 715 So. 2d 963, 967 (Fla. 2d DCA 1998)).
Because a final judgment was entered in the eminent domain case prior to the instant action,
the parties evidently agree this case constitutes a “supplemental proceeding” within the
meaning of § 73.092(2). See Doc. 55 at 14; Doc. 57 at 2.
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Fla. Stat. § 73.092(2). “In determining the amount of attorney’s fees to be paid . . .
under subsection (2), the court shall be guided by the fees the defendant would
ordinarily be expected to pay for these services if the petitioner were not responsible
for the payment of those fees.” Fla. Stat. § 73.092(3). The defendant is required to
provide a fee agreement with its attorney if one exists, “and the court must reduce
the amount of attorney’s fees to be paid by the defendant by the amount of any
attorney’s fees awarded by the court.” Fla. Stat. § 73.092(5). Further, “in no case
should the court-awarded fee exceed the fee agreement reached by the attorney and
his client.” Tohari, 582 So. 2d at 104-05 (quoting, e.g., Fla. Patient’s Comp. Fund v.
Rowe, 472 So. 2d 1145, 1151 (Fla. 1985)).
In support of its request for fees incurred by RTG’s attorneys, D. Tobyn
DeYoung, Esq. and James A. Helinger, Jr., Esq., RTG filed an Affidavit of Attorneys’
Fees Incurred, including invoices containing timesheets, and an affidavit submitted
by CVS’ counsel in this action, Scott J. Johnson, Esq. Doc. 56-1; Doc. 56-2. Upon
the Court’s direction, counsel for RTG informed the Court that they do not have a fee
agreement with RTG. Doc. 61. Collier County opposes the amount of fees sought,
arguing the statutory factors support a reduction in RTG’s requested attorneys’ fees.
Doc. 57 at 3-6. The Court agrees and thus recommends the fees be reduced as
discussed below.
1. Reasonable Hours
An attorney should exercise proper “billing judgment” and exclude those hours
that would be unreasonable to bill a client or opposing counsel. Duckworth v.
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Whisenant, 97 F.3d 1393, 1397 (11th Cir. 1996) (citing Norman v. Housing Auth. of
Montgomery, 836 F.2d 1292, 1301 (11th Cir. 1988)). Having conducted a thorough
review of the invoices containing RTG’s counsel’s timesheets, the Court recommends
several categories of reductions are necessary. Except as noted below, the Court
finds the remainder of the billed hours requested to be reasonable.
(a) Hours Spent on Defamation Claim
As noted by Collier County and by Carlos A. Kelly, Esq. in his affidavit
supporting Collier County, “Mr. DeYoung [(DTD)] billed a total of 14.5 hours related
to what appears to be a potential defamation claim against the Collier County
Attorney, Jeffrey Klatzkow.” Doc. 57 at 4, 15. Collier County references the
following entries:6
10/25/16 DTD Legal research regarding defamation, slander, libel; 5.75
review County Commission Meeting; review article
regarding lawsuit; telephone conference with CVS
counsel.
10/28/16 DTD Review news video containing Klatzhow defamatory 4.50
remarks; discuss same with CVS and with client;
prepare correspondence to client; continue strategy
and outline of defenses to allegations in the complaint.
11/01/16 DTD Review ethical rules regarding statements to media 2.25
post trial; continue review of transcripts and exhibits
in light of allegations of complaint; conference with
CVS counsel; conference with client.
11/02/16 DTD Continue review of Florida Bar rules regarding same; 2.00
continue drafting and revising letter to attorney,
Klatzkow regarding complaint; conference with
attorneys regarding same.
6 All reproductions of invoices in this Report and Recommendation are for ease of
reference only. They are intended to convey succinctly the relevant portions of information
from the invoices.
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See Doc. 56-1 at 3-4. Collier County argues these hours are not compensable because
they were not reasonably incurred in defense of Collier County’s claim, but instead
they “relate to a potential tort claim against a non-party that [RTG] never raised.”
Doc. 57 at 4. The Court agrees hours spent pursuing the defamation claim are not
reasonably related to this lawsuit and thus are not compensable. Accordingly, the
Court recommends reducing the requested fees by eliminating the October 25, 2016
and November 2, 2016 entries. Because the entries for October 28, 2016 and
November 1, 2016 contain some compensable time, the Court recommends adjusting
the time as follows:7
10/28/16 DTD Prepare correspondence to client; continue strategy 2.25
and outline of defenses to allegations in the complaint.
11/01/16 DTD Continue review of transcripts and exhibits in light of 1.69
allegations of complaint; conference with CVS counsel;
conference with client.
These adjustments amount to a total reduction of 10.56 to Mr. DeYoung’s hours.
(b) Multiple Attorneys
In exercising “billing judgment,” attorneys must exclude “excessive,
redundant, or otherwise unnecessary [hours].” Am. Civil Liberties Union of Georgia
v. Barnes, 168 F.3d 423, 428 (11th Cir. 1999) (quoting Hensley, 461 U.S. at 434).
These hours tend to occur when more than one attorney represents a client. Id. at
7 The Court notes that counsel for RTG use “block billing,” meaning they list various
tasks for a single day without identifying how much time was spent on each. See Doc. 56-1
at 3-11; see also Doc. 57 at 4. Therefore, there is no perfect system for the Court to adjust
the attorneys’ hours. The Court will make the necessary adjustments by assigning each task
listed for a day an equal portion of the time billed, eliminating any tasks that are not
compensable, and adding up the time that had been allocated for the remaining tasks to
determine the compensable time for that day.
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432 (citation omitted). While “[t]here is nothing inherently unreasonable about a
[claimant] having multiple attorneys,” it is the claimant’s burden to show that the
time spent by those attorneys reflects a distinct contribution by each lawyer to the
case. Id. (citation omitted). Here, there are several billing entries reflecting Mr.
DeYoung and Mr. Helinger did duplicative work or were both involved in conferences.
The Court recognizes that two attorneys with Mr. DeYoung’s and Mr. Helinger’s
(JHJ) experience can independently contribute to work on a time-intensive project or
dispositive motion—such as their successful motion to dismiss—but there are
instances where the attorneys did duplicative work on procedural matters:
11/30/16 DTD Review federal rules regarding removal; conference 4.50
with client regarding property party and removal draft
57.105 letter and motion; conference with CVS counsel
regarding removal . . . .
11/30/16 JHJ Research and consider removal to Federal Court; confer 5.00
with client; confer with CVS representatives8
01/19/17 DTD Review certification of interested parties (CVS); prepare 0.50
same; notice of pending of other actions . . . .
01/18/17 JHJ Receipt and review CVS Notice of Interested Persons 0.25
And Notice of Pendency of Other Actions
02/16/17 DTD . . . Review Collier County’s Response in Opposition to 5.00
CVS Motion to Stay Discovery Pending Ruling on its
Motion to Dismiss; review cited cases and legal research
regarding same.
02/16/17 JHJ . . . receipt and review Collier County Opposition to 3.00
Staying Discover[y] and Research Cases
See Doc. 56-1 at 4-6, 9-11. Such entries are excessive, redundant or otherwise
unnecessary. The Court therefore recommends reducing the requested fees by
8 The Court notes CVS’ counsel, not RTG’s counsel, ultimately filed the Notice of
Removal. See Doc. 1.
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eliminating Mr. Helinger’s January 18, 2017 entry and adjusting the following
entries:9
11/30/16 DTD Continue review of file regarding complaint and defenses; 1.80
conference regarding strategy of counterclaims
02/16/17 JHJ Receipt and review Collier County Public Records and 2.00
Meeting Minutes transcript; e-mail to Scott Johnson
These adjustments amount to a total reduction of 2.70 to Mr. DeYoung’s hours and
1.25 to Mr. Helinger’s hours.
(c) Travel Time
As Collier County points out, “[i]n Florida, the longstanding rule is that an
award of attorneys’ fees should not include travel time without proof that a competent
local attorney could not be obtained.” Doc. 57 at 5; see Fence Wholesalers of Am.,
Inc. v. Beneficial Comm. Corp., 465 So.2d 570, 570 (Fla. 4th DCA 1985) (remanding
case for reduction of travel time from attorneys’ fees award “when there was no
showing a competent local attorney could not be obtained”); Chandler v. Chandler,
330 So.2d at 190, 191 (Fla. 2d DCA 1976); see also Griffin v. Philip Morris USA, Inc.,
No. 3:09-cv-11128, 2014 WL 12619188, at *4 n.6 (M.D. Fla. Nov. 3, 2014). Here, both
Mr. Helinger and Mr. DeYoung billed for their travel time to Fort Myers for a hearing
on March 8, 2017:
03/08/17 DTD Prepare, travel and attend Pretrial Hearing in Ft. Myers; 4.00
conference with counsel.
03/08/17 JHJ Travel and attend Pretrial Hearing in Ft. M[y]ers; 4.00
conference with attorneys
9 The adjustments to block billings were made as described in n.7, supra.
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See Doc. 56-1 at 7, 11. RTG failed to demonstrate that a competent local eminent
domain attorney could not be obtained. Therefore, the Court recommends adjusting
both attorneys’ hours by 3.50 hours to eliminate the approximate travel time to and
from the United States Courthouse and Federal Building in Fort Myers.10
(d) Total Adjustments
Based on the foregoing, the Court recommends adjusting Mr. DeYoung’s hours
down by 16.76 hours, resulting in a reasonable total of 160.99 hours. The Court
recommends adjusting Mr. Helinger’s hours down by 4.75 hours, resulting in a
reasonable total of 92.00 hours.
2. Reasonable Rate
The burden is on the fee applicant “to produce satisfactory evidence” that the
rate is in line with those prevailing in the community. Blum v. Stenson, 465 U.S.
886, 896 n.11 (1984); see also Norman, 836 F.2d at 1299 (defining a reasonable hourly
rate as “the prevailing market rate in the relevant legal community for similar
services by lawyers of reasonably comparable skills, experience, and reputation”).
The relevant legal community here is the surrounding counties in the Fort Myers
Division of the Middle District of Florida. See Olesen-Frayne v. Olesen, 2:09-cv-49-
FtM-29DNF, 2009 WL 3048451, at *2 (M.D. Fla. Sept. 21, 2009).
Upon review of the timesheets as well as the affidavits of Mr. Johnson and Mr.
Kelly, the Court recommends the requested rates should be reduced. The invoices
10 See Directions from Helinger DeYoung, 4756 Central Avenue, St. Petersburg,
Florida 33711 to United States Courthouse and Federal Building, 2110 First Street, Fort
Myers, FL 33901, Google Maps (last visited Oct. 4, 2018).
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RTG submitted with its Affidavit of Attorneys’ Fees Incurred indicate Mr. DeYoung
billed RTG at an hourly rate of $575.00, and Mr. Helinger billed at an hourly rate of
$625.00. Doc. 56-1 at 8, 11. As Collier County notes, however, Mr. DeYoung and
Mr. Helinger retroactively increased their hourly rates from the $500.00 hourly rate
they previously requested both in this case and in the Eleventh Circuit appeal. See
Doc. 44-1 at 2, 8, 11; Doc. 57 at 6; Doc. 59 at 28, 76-77. Further, the original invoice
submitted to this Court indicated that both attorneys charged RTG at a rate of
$500.00 per hour, and the affidavit Mr. DeYoung submitted to the Eleventh Circuit
stated his hourly rate was $500.00. Doc. 44-1 at 8, 11; Doc. 59 at 76. Counsel for
RTG asserts “the rate of $500.00 per hour reflected in the first invoice is the hourly
rate they charge for regular billing, thirty-day invoices wherein fees are guaranteed
and paid on a regular basis.” Doc. 61 at 3. Because counsel for RTG agreed to
forego monthly billing in this case in expectation that Collier County, rather than
RTG, would pay counsel’s fees, they billed “at a higher hourly rate in recognition of
the risks associated with recovering fees and with the delay in payment.” Id.
Mr. Johnson stated in his affidavit supporting RTG’s request for fees that Mr.
Helinger is a former Chief Assistant Pinellas County Attorney and Special Counsel
to the Florida Department of Transportation, and he “has been in private practice for
over 35 years.” Doc. 56-2 at 2. He stated that Mr. DeYoung worked as an attorney
at Carlton Fields, is a former Assistant Attorney General in the Bureau of Eminent
Domain and “has been in private practice representing property owners in eminent
domain and property rights cases for over twenty years.” Id. “He is the current
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Vice-Chairman and the incoming Chairman of the Florida Bar’s Eminent Domain
Committee, and is the principle author of Florida Eminent Domain Practice and
Procedures Manual, Chapter 7, Orders of Taking (10th ed. 2017).” Id. at 2-3. Both
attorneys are AV-rated and specialize in eminent domain and property rights cases.
Id. at 3. Mr. Johnson opined that a “reasonable hourly rate customarily charged for
service of a similar nature in the Collier County community ranges from $475 to $625
per hour.” Id. at 6.
In his affidavit supporting Collier County, Mr. Kelly stated that the survey of
southwest Florida attorneys’ fees indicated rates in 2015 ranged from $250.00 to
$530.00 per hour for senior partners/shareholders. Doc. 57 at 16. Based on Mr.
Helinger’s and Mr. DeYoung’s qualifications as detailed above, $500.00 is a
reasonable hourly rate on the upper end of the range referenced by Mr. Kelly. The
rate also is consistent with the range provided by Mr. Johnson. Counsel for RTG
provides no legal authority supporting its request for a higher fee due to the
anticipated risk in planning to seek fees from Collier County and the delay in
payment. See generally Docs. 55, 61. The Court recommends it is unreasonable for
RTG’s counsel to alter its originally requested fees post facto and to expect Collier
County to pay a premium on what counsel would have charged RTG in the course of
regular billing. See Doc. 61 at 3; cf. Tohari, 582 So. 2d at 104-05. Based on the prior
invoice and Mr. DeYoung’s sworn statement, the Court recommends that $500.00 per
hour is a reasonable rate for both Mr. Helinger and Mr. DeYoung. Based on the
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adjusted number of hours reasonably incurred and the reduced hourly rate, the Court
recommends an award of $126,495.00 in attorneys’ fees.
3. Statutory Factors
The Court has considered all the statutory factors set forth in § 73.092(2) and
recommends that they support a finding that an award of $126,495.00 in attorneys’
fees is reasonable. Although claims of unjust enrichment and conspiracy to commit
fraud are not inherently novel or difficult, the procedural posture of this case makes
it unique. It is undisputed that Mr. Helinger and Mr. DeYoung are highly regarded,
experienced attorneys who specialize in eminent domain and property rights. Doc.
56-2 at 2-3; Doc. 57 at 3-4 (“Mr. DeYoung and Mr. Helinger both deservedly enjoy
reputations as outstanding advocates in the field of eminent domain and prevailed
by dispositive motion in the case at bar against Collier County, who was represented
by an outstanding business litigation advocate.”). The amount of money involved in
the action was substantial: “Collier County sought to recoup . . . severance damages
of $3,100,000.00, attorneys’ fees of $599,880.00, and costs.” See Doc. 57 at 4.
The Court has recommended reducing the billed time to reflect the attorneys’
time and labor reasonably required to adequately represent RTG, taking into account
that RTG benefitted from its attorneys’ successful motion to dismiss. As discussed
above, the hourly rate of $500.00 is in line with rates customarily charged by
attorneys in southwest Florida, and there is no reason to believe it is unreasonable
for attorneys who practice eminent domain and property rights law specifically to
charge an hourly rate of $500.00. The Court also notes the recommended fee award
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does not exceed any fee agreement reached between RTG and its counsel because
there is no fee agreement in this case. See Doc. 61 at 1, 3; see also Tohari, 582 So.
2d at 104-05. Therefore, the Court recommends RTG be awarded $126,495.00 in
attorneys’ fees incurred at the district court level.11
b. Motion for Fees Incurred at Appellate Level (Doc. 59)
i. Entitlement to Fees
Appellate attorneys’ fees in eminent domain cases are assessed separately
from fees incurred at the trial level. State, Dep’t of Transp. v. Skinners Wholesale
Nursery, Inc., 736 So. 2d 3, 6 (Fla. 1st DCA 1998). Section 73.131 requires the
petitioner seeking condemnation of private land to “pay all reasonable costs of the
proceedings in the appellate court, including a reasonable attorney’s fee to be
assessed by that court, except upon an appeal taken by a defendant in which the
judgment of the lower court shall be affirmed.” Fla. Stat. § 73.131(2). Thus, where
the condemning authority takes the appeal, it will owe the property owner’s appellate
attorneys’ fees regardless of the appeal’s outcome. Skinners Wholesale Nursery,
Inc., 736 So. 2d at 7. Further, as stated above, “[a]ttorney’s fees incurred in
proceedings in the trial court and on appeal that arise out of and are ancillary to the
original proceeding in condemnation are . . . payable by the state pursuant to sections
11 Both parties seem to agree that RTG is entitled to prejudgment interest on the
award of attorneys’ fees, but they disagree as to when it would begin to accrue. See Doc. 55
at 16; Doc. 57 at 6. As of January 1, 2000, however, § 73.091 prohibits prejudgment interest
on costs or attorneys’ fees. See Fla. Stat. § 73.091(1); see also 1999 Fla. Sess. Law Serv. Ch.
99-385 (West) (“amending s. 73.091, F.S.; providing that no prejudgment interest shall be
paid on costs or attorney’s fees in eminent domain[.]”). Thus, the Court recommends against
awarding any prejudgment interest.
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73.091 and 73.131.” Schick, 586 So. 2d at 454 (emphasis added) (awarding property
owner with attorneys’ fees under § 73.131(2) for fees incurred during appeal of
mandamus action that was ancillary to original eminent domain action). As
discussed above, this case—and by extension, its appeal—arise out of the original
condemnation proceeding. Therefore, the Court recommends RTG is entitled to
reasonable attorneys’ fees under § 73.131(2).
ii. Reasonableness of Fees
As discussed above, a reasonable attorney fee is calculated by multiplying the
number of hours reasonably expended by the reasonable hourly rate for the relevant
type of litigation. See Hensley, 461 U.S. at 433; see also Skinners Wholesale
Nursery, Inc., 736 So. 2d at 7 (holding the lodestar approach should be used in
calculating reasonable appellate fees under § 73.131(2)). Again, the Court will
conduct an hour-by-hour analysis and exclude hours that were not reasonably
expended or are redundant, excessive, or otherwise unnecessary. Hensley, 461 U.S.
at 434; Bivins v. Wrap It Up, Inc., 548 F.3d 1348, 1350 (11th Cir. 2008). If the
documentation in support of the request is inadequate, the court will reduce the
award accordingly. Hensley, 461 U.S. at 434.
In support of its request for attorneys’ fees, RTG filed a declaration by
appellate counsel Laurie Webb Daniel (LWD), a declaration by Mr. DeYoung, invoices
containing timesheets for all attorneys involved in the appeal, and declarations by
Kimberly Ashby, Esq. of Orlando, Florida and John Chandler, Esq. of Atlanta,
Georgia. Doc. 59 at 24-93. RTG seeks fees incurred by attorneys Ms. Daniel,
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Matthew D. Friedlander, Mr. Johnson, Min K. Cho (MKC), Robin M. Nauman (RMN)
and Mr. DeYoung as well as paralegal Denise Lobodinski. See id. at 13-15. Collier
County did not file any opposition. See n.3, supra. The Court nevertheless
recommends reducing the requested fees as discussed below.
1. Reasonable Hours
Having conducted a thorough review of the invoices containing GRC’s counsel’s
time sheets, the Court recommends several categories of reductions are necessary.
Except as noted below, the Court recommends the remainder of the billed hours
requested to be reasonable.
(a) Multiple Attorneys
There are several billing entries indicating RTG’s appellate attorneys did
duplicative work without making any apparent independent contribution. Mr. Cho
and Ms. Nauman reviewed correspondence with opposing counsel about attorneys’
fees, but only Ms. Nauman analyzed it. See Doc. 59 at 38. Ms. Daniel reviewed
emails and a response regarding a “jurisdictional issue,” which Mr. Cho, Ms. Nauman
and Mr. Friedlander also reviewed and worked on. See id. at 38-39. Ms. Nauman
reviewed emails regarding an extension of time and mediation scheduling, but Mr.
Cho otherwise handled both. Id. at 39, 42. Finally, Mr. DeYoung billed time for
reviewing a motion for extension and a notice of waiver of right to file reply brief, but
Ms. Nauman also reviewed both and corresponded about the extension. Id. at 49-
50, 80. Because counsel for RTG did not demonstrate independent contribution by
each attorney for such entries, the Court recommends eliminating Mr. Cho’s June 15,
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2017 entry about attorneys’ fees, Ms. Daniel’s June 21, 2017 entry, Ms. Nauman’s
June 23, 2017 entries, and Mr. DeYoung’s September 26, 2017 and October 10, 2017
entries. Id. at 38-39, 80. These adjustments amount to reductions of 0.20 from Mr.
Cho’s hours, 0.20 from Ms. Daniel’s hours, 0.40 from Ms. Nauman’s hours, and 0.50
from Mr. DeYoung’s hours.
(b) Vague Charges
The following charges are too vague for the Court to determine that they
reasonably were incurred in this action:
06/14/17 LWD Review email correspondence regarding appeal. 0.20
07/11/17 RMN Analyze issues [redaction] 0.60
07/19/17 RMN Analyze arguments [redaction] 0.40
08/03/17 MKC Review [redaction] 0.70
08/14/17 RMN Review [redaction] 0.30
08/23/17 RMN Research [redaction] 0.60
08/24/17 RMN Analyze [redaction] 0.50
10/10/17 RMN Correspondence regarding [redaction] 0.30
See Doc. 59 at 38, 42, 45-49, 49. Therefore, the Court recommends eliminating them.
These adjustments amount to reductions of 0.20 from Ms. Daniel’s hours, 2.70 from
Ms. Nauman’s hours, and 0.70 from Mr. Cho’s hours.
(c) Total Adjustments
Based on the foregoing, the Court recommends adjusting down Mr. Cho’s hours
by 0.90 hours, resulting in a reasonable total of 38.50 hours; Ms. Daniel’s hours by
0.40 hours, resulting in a reasonable total of 22.80 hours; Ms. Nauman’s hours by
3.10 hours, resulting in a reasonable total of 10.60 hours; and Mr. DeYoung’s hours
by 0.50 hours, resulting in a reasonable total of 10.75 hours for the appeal. See Doc.
59 at 51, 63, 68, 81.
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2. Reasonable Rate
Upon review of the timesheets and the declarations of Ms. Daniel, Mr.
DeYoung, Ms. Ashby and Mr. Chandler, the Court recommends the requested rates
should be reduced. RTG states the relevant legal community for determining
whether counsel’s hourly rates are reasonable is Atlanta, Georgia because that is
“where the appeal was based.” Doc. 59 at 28-29. RTG cites no case law to support
this contention. Generally, “the ‘relevant market’ for purposes of determining the
hourly rate for an attorney’s services is ‘the place where the case is filed,’” and fee
applicants seeking to recover rates for non-local attorneys must demonstrate a lack
of local attorneys capable of handling the case. See Barnes, 168 F.3d at 437. Thus,
it would appear that for RTG to recover non-local rates for attorneys who are not
located in southwest Florida, RTG would have to demonstrate that there is a lack of
attorneys practicing in southwest Florida who were willing and able to handle the
appeal. See id. RTG has made no such showing. Accordingly, although the
declarants state the hourly rates requested for each of the attorneys are reasonable
in their respective markets, the Court recommends that the relevant legal community
is Fort Myers, Florida, where the case was filed. See Doc. 59 at 28-33, 76-77, 88-93;
Barnes, 168 F.3d at 437.
Ms. Daniel’s declaration states she is a partner in Holland & Knight’s Atlanta
office. Doc. 59 at 29. Her customary hourly rate is $895.00, but she agreed to bill
this matter at $870.00. Id. She has been practicing law since 1982, and she is the
chair of her firm’s national Appellate Team and the leader of her firm’s Atlanta
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Litigation Practice Group. Id. She has appeared in appellate and trial courts
nationwide. Id. Mr. Friedlander is an attorney in Holland & Knight’s Atlanta
office. Id. at 30. His customary rate is $375.00, but his agreed rate in this case was
$325.00. Id. He has been licensed to practice law since 2011, and his practice
focuses on appellate advocacy in state and federal courts. Id. Ms. Lobodinksi is a
paralegal in Holland & Knight’s Atlanta office, and her customary hourly rate is
$275.00. Id. at 31.
Mr. Johnson is a partner at Holland & Knight’s Orlando office. Id. His
customary hourly rate is $650.00, but his agreed rate for this case was $625.00. Id.
He has been licensed to practice law since 1974, and his areas of focus include
eminent domain, condemnation, appellate litigation and real estate law. Id. He
chairs Holland & Knight’s Eminent Domain Practice Group, and he has over 40 years
of experience handling eminent domain matters. Id. at 31-32. Mr. Cho is a former
partner in Holland & Knight’s Orlando office. Id. at 32. His customary hourly rate
was $490.00. Id. He has been licensed to practice law since 2004, and his practice
focused on complex commercial and business litigation. Id. Robin Nauman is a
mid-level associate in Holland & Knight’s Orlando office. Id. at 33. Her customary
hourly rate is $335.00, and her agreed rate in this case was $300.00. Id. She has
been licensed to practice law since 2013, and she has experience with complex civil
litigation in state and federal courts. Id.
Based on their experience and expertise, the Court recommends an hourly rate
of $550.00—representing a slight upward adjustment to the top of the range in the
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survey of southwest Florida attorneys referenced by Mr. Kelly—would be reasonable
for Ms. Daniel and Mr. Johnson. See Doc. 57 at 16. Based on the same survey, the
Court recommends an hourly rate of $350.00 would be reasonable for Mr. Cho. See
id. Because at least one court in this division found an hourly rate of $225.00
objectively reasonable for experienced associates in 2015, the Court recommends an
hourly rate of $250.00 for Mr. Friedlander and Ms. Nauman, adjusted upward
slightly to account for the three years that have passed since then. See, e.g.,
Breaking Glass Pictures, LLC v. Devora, No. No. 2:13-cv-331-FtM-38DNF, 2015 WL
1020343, at *4 (M.D. Fla. Mar. 9, 2015). The Court recommends $95.00 is a
reasonable hourly rate for Ms. Lobodinski because it aligns with paralegal rates other
courts in this district have found reasonable. See, e.g., Kennedy v. Three J’s LLP,
No. 2:16-cv-214-FtM-38MRM, 2018 WL 1036989, at *4-5 (M.D. Fla. Feb. 6, 2018).
As discussed above, the Court recommends $500.00 is a reasonable fee for Mr.
DeYoung. Accordingly, the Court recommends RTG be awarded $36,007.50 in
attorneys’ fees incurred at the appellate court level.
III. Conclusion
In conclusion, the Court recommends awarding RTG attorneys’ fees incurred
by Mr. Helinger and Mr. DeYoung at the district court based on the following
adjustments:
Requested
Hours
Recommended
Reduction
Attorney
and Rate
Remaining Hours Total
177.75 16.76 Mr. DeYoung @
$500/hour
160.99 $80,495.00
96.75 4.75 Mr. Helinger @
$500/hour
92.00 $46,000.00
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Thus, the Court recommends a fee award of $126,495.00 for the fees incurred
at the district court level.
The Court recommends awarding RTG attorneys’ fees incurred by Ms. Daniel,
Mr. Friedlander, Ms. Lobodinski, Mr. Johnson, Mr. Cho, Ms. Nauman and Mr.
DeYoung at the appellate level based on the following adjustments:
Requested
Hours
Recommended
Reduction
Attorney
and Rate
Remaining Hours Total
23.20 0.40 Ms. Daniel @
$550/hour
22.80 $12,540.00
5.70 0.00 Mr. Friedlander
@ $250/hour
5.70 $1,425.00
0.50 0.00 Ms. Lobodinski
@ $95/hour
0.50 $47.50
0.90 0.00 Mr. Johnson @
$550/hour
0.90 $495.00
39.40 0.90 Mr. Cho @
$350/hour
38.50 $13,475.00
13.70 3.10 Ms. Nauman @
$250/hour
10.60 $2,650.00
11.25 0.50 Mr. DeYoung @
$500/hour
10.75 $5,375.00
Thus, the Court recommends a fee award of $36,007.50 for the fees incurred on
appeal.
ACCORDINGLY, it is respectfully
RECOMMENDED:
1. Defendant, RTG LLC’s, Motion for Attorneys’ Fees (Doc. 55) be
GRANTED in part and DENIED in part and RTG be awarded $126,495.00 in
attorneys’ fees.
2. Appellee RTG, LLC’s Motion for Attorneys’ Fees (Doc. 59) be GRANTED
in part and DENIED in part and RTG be awarded $36,007.50 in attorneys’ fees.
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DONE and ENTERED in Fort Myers, Florida on this 10th day of October,
2018.
Copies:
Counsel of record
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