Global Commodities Trading Group, Inc. et al v. Beneficio De Arroz Choloma, S.A. et al

Filing 114

ORDER signed by District Judge Troy L. Nunley on 9/28/17 ORDERING for the reasons stated above, the Court declines to award costs for printing/copies, written interpretations, courier fees, travel expenses, legal research and expert witnesses who did not appear in court. Accordingly, Plaintiffs objections (ECF No. 1 12 ) are hereby SUSTAINED. Defendants are permitted costs for the filing fee in the amount of $400.00. (Becknal, R)

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UNITED STATES DISTRICT COURT

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EASTERN DISTRICT OF CALIFORNIA

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GLOBAL COMMODITIES TRADING
GROUP, INC., and INSURANCE
COMPANY OF THE STATE OF
PENNSYLVANIA, PHILADELPHIA,

No. 2:16-cv-01045-TLN-CKD

ORDER
Plaintiffs,

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v.

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BENEFICIO DE ARROZ CHOLOMA,
S.A, a Honduran Company, SANDY
FARID ANDONIE REYES, an individual,
and JOYCE MARY JARUFE DOX, aka
JOYCE JARUFE DE ANDONIE, an
individual,
Defendants.

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This matter is before the Court pursuant to Objections filed by Plaintiff Global

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Commodities Trading Group, Inc. (“Global”) (ECF No. 112) in response to the Bill of Costs

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(ECF No. 110) filed by Defendants Beneficio de Arroz Choloma S.A., Sandy Farid Andonie

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Reyes, and Joyce Mary Jarufe Dox (collectively “Defendants”). The Court has carefully

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reviewed the bill of costs and Global’s objections thereto. For the reasons set forth below,

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Global’s Objections (ECF No. 112) are hereby SUSTAINED.

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I.

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On August 17, 2017, this Court entered an Order resolving Defendants’ motion to dismiss

BACKGROUND

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for lack of jurisdiction. (ECF No. 108.) In that Order, the Court granted Defendants motion to

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dismiss finding the Court lacked personal jurisdiction over Defendants. On August 31, 2017,

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Defendants submitted their bill of costs requesting $25,032.49. (ECF No. 110 at 5.) Defendants

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attribute that amount to Clerks fees, fees for exemplification and copies or papers necessarily

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obtained for use in the action, compensation for interpreters, and other items allowed by the Court

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in the interest of justice. (ECF No. 110 at 2 (citing L.R. 292(f)).) Global objects to Defendants

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bill of costs, arguing that only the $400 filing fee is a permissible cost under 28 U.S.C. § 1920.

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(ECF No. 112 at 1–2.)

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II.

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Under Rule 54(d)(1) of the Federal Rules of Civil Procedure, the prevailing party in a

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lawsuit may recover its costs, other than attorney’s fees, “[u]nless a federal statute, [the civil

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rules], or a court order provides otherwise.” Fed. R. Civ. P. 54(d)(1). “By its terms, the rule

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creates a presumption in favor of awarding costs to a prevailing party, but vests in the [Court]

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discretion to refuse to award costs.” Ass'n of Mexican–Am. Educators v. State of Cal., 231 F.3d

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572, 591 (9th Cir. 2000). If the Court declines to award costs to the prevailing party, the Court

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must “specify reasons” for denying costs. Id. However, the Court need not “specify reasons for

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its decision to abide [by] the presumption and tax costs to the losing party.” Save Our Valley v.

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Sound Transit, 335 F.3d 932, 945 (9th Cir. 2003).

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STANDARD OF LAW

A prevailing party’s ability to recover costs under Rule 54(d)(1) is limited by 28 U.S.C.

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§ 1920 and, in this District, by Local Rule 292. 28 U.S.C. § 1920; L.R. 292(f). See also Crane-

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McNab v. Cty. of Merced, No. 1:08-cv-1218-WBS-SMS, 2011 WL 794284, at *1 (E.D. Cal. Mar.

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1, 2011) (“Rule 54(d)(1) of the Federal Rules of Civil Procedure and Local Rule 292 govern the

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taxation of costs to losing parties, which are generally subject to limits set under 28 U.S.C. §

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1920.”). 28 U.S.C. § 1920 enumerates which fees and expenses the Court may tax as costs.

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Local Rule 292(a) prescribes that “[c]osts shall be taxed in conformity with the provisions of 28

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U.S.C. § 1920” and Local Rule 292(f) provides a list of specific fees and expenses that are
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taxable as costs. L.R. 292(a), (f).

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III.

ANALYSIS

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Global objects to eight out of nine “costs” requested by Defendants. (ECF No. 112.)

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Global argues Defendants are not permitted to recover $1,757.25 for printing copies because they

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have not demonstrated the need for more copies over the 200 which are arguably attributable to

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the motion to dismiss. (ECF No. 112 at 3.) Next, Global asserts the Supreme Court made clear

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interpreter fees for written translations are not available as costs. (ECF No. 112 at 4.) As to

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Courier fees, Travel Expenses, and Legal Research, Global argues Local Rule 292 (f)(11) cannot

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expand the costs permitted under 28 U.S.C. § 1920 and therefore are not recoverable. (ECF No.

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112 at 4.) Finally, Global contends Expert Fees are not recoverable because the witnesses did not

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appear in court as is required. (ECF No. 112 at 4–5.) The Court addresses each argument in turn.

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A. Printing and Copies

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Global argues Defendants are not entitled to $1,757.25 for printing costs under 28 U.S.C.

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§ 1920 because Defendants appear to have made 200 or fewer copies based on the docket. (ECF

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No. 112 at 3.) Global argues the amount requested amounts to 15,000 or more copies and that

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Defendants fail to establish they are entitled to recovery costs for those copies. (ECF No. 112 at

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3.)

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Section 1920(3) permits costs for “disbursements for printing.” 28 U.S.C. § 1920(3).

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Courts have drawn a distinction between photocopying expenses necessary to the action and those

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intended for the convenience of trial. See Robinson v. Kia Motors American, Inc., 2016 WL

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4474505, at *4 (E.D. Cal. Aug. 25, 2016) (collecting cases). The court in Robinson awarded no

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costs for copies because it found the defendant had not demonstrated which costs from a

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spreadsheet of copies should be awarded. Id. at *5. Here, Defendants have not provided any

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material for the Court to review. The attached exhibit which supposedly details the copies

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includes four pages each labeled for a different type of copy — scan, laser, other, and

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photocopies. (ECF No. 110-3 at 2–5.) However, none of the pages details what was copied or

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for what purpose. The pages merely include lines for costs and total.

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In their bill of costs, Defendants include the following justification for the expenses:
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“[c]opies of documents, case law, and additional items for research, drafting of filings, and

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hearing preparation.” (ECF No. 110 at 2.) This justification does not explain whether the costs

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were necessary for court filings or were for counsel’s convenience. Accordingly, Defendants fail

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to show which expenses for copies should be awarded and this Court awards none.

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B. Interpreter Fees
Defendants seek $5,247.49 for “[c]ompensation for interpreters for court filings (including

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expert witness declarations) and discovery responses.” (ECF No. 110 at 2–3.) Defendants

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describe the tasks as “[t]ranslations between Spanish and English of (1) Defendants’ declarations

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as to several motions, (2) declarations of expert witnesses and Honduran counsel as to multiple

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motions, and (3) discovery responses.” (ECF No. 110 at 2–3.) Global argues recent Supreme

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Court precedent makes clear that written translations are not included in interpreter fees

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considered under Sections 1920(6). (ECF No. 112 at 4.) In Taniguchi v. Kan Pacific Saipan,

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Ltd., 566 U.S. 560, 132 S. Ct. 1997, 2007 (2012), the Supreme Court expressly held the term

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“interpreter” in Section 1920(6) means someone “who translates orally from one language to

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another,” and therefore “the category ‘compensation of interpreters’ in § 1920(6) does not include

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costs for document translation.” Id. Accordingly, the written translations are not covered by

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Section 1920(6) and Defendants may not recover the costs of such translations.

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C. Costs pursuant to Local Rule 292(f)(11)
Defendants seek six separate costs under Local Rule 292 (f)(11): (1) $470.30 for

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“[d]ocument retrieval from Superior Court of Placer County;” (2) $779.40 for “Defendants’

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Counsel’s travel from Los Angeles to Sacramento for November 16, 2016 hearing;”(3) $8,877.64

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for Legal Research; (4) $83.73 for “Federal Express deliveries from (1) Santucci Justice Center

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(Placer County Superior Court) for removal to this Court, and (2) Plaintiffs’ counsel’s office;” (5)

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$4,795.60 for “Defendants’ counsel’s travel to meet with clients in Honduras regarding facts of

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case, to review documents, and analyze defense strategies;” and (6) $2,621.08 for

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“[c]ompensation for expert opinions as to Honduran law that were used in relation to motions to

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dismiss and anti-suit injunction request.” (ECF No. 110 at 3–5.) Plaintiffs assert Defendants may

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not recover for any of the above mentioned costs because they are not provided for under Section
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1920. (ECF No. 112 at 4–6.) Plaintiffs argue the Supreme Court specifically held that costs are

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limited to items enumerated in Section 1920. (ECF No. 112 at 2.)

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In Crawford Fitting Co. v. J.T. Gibbons, Inc., 482 U.S. 437 (1987), the Supreme Court

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examined the interplay between Federal Rules of Civil Procedure 54(d), 28 U.S.C. § 1920, and 28

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U.S.C § 1821, and the extent to which each section provides the right to tax costs. The Supreme

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Court explained that the Court could not accept an interpretation of statutory language that would

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render other code sections completely without meaning. Id. at 442. Accordingly, the Court

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noted Rule 54(d) is not a power to evade congressional command from Section 1821, but is solely

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the power to decline to tax as costs “items enumerated in § 1920.” Id. The Supreme Court went

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on to hold “that absent explicit statutory or contractual authorization for the taxation of the

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expenses of a litigant’s witness as costs, federal courts are bound by the limitations set out in 28

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U.S.C. § 1821 and § 1920.” Id. at 445. The instant Court sees no reason this holding and

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analysis used — though specifically referring to litigant’s witnesses as costs — does not extend to

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all other enumerated subsections in Section 1920. Accordingly, Local Rule 292(f) does not

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extend the costs which this Court may award under Section 1920 and the aforementioned

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requested costs must fit within Section 1920.

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Defendants do not provide any statutory support for their requests for costs. Defendants

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claim costs for courier services, expert consultations, travel expenses, and legal research under

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Local Rule 292(f)(11). Local Rule 292(f)(11) provides that the Court may award costs for “all

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other items allowed by any statute or rule or by the Court in the interest of justice.” L.R.

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292(f)(11). However, there are no statutes or rules which support the imposition of these costs by

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the Court. Furthermore, other courts have specifically declined to award costs in situations

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similar to each group of requested costs. See Davis v. Hollins Law, No. CIV S–12–3107

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LKK/AC, 2014 WL 2875778, at *1 (E.D. Cal. June 24, 2014) (finding travel expenses were

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recoverable only insofar as the statute for attorney’s fees permits such costs); Alexander MFG.,

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Inc., Employee Stock Ownership and Trust v. Illinois Union Ins. Co., 688 F. Supp. 2d 1170,

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1176–77 (D. Or. 2010) (finding courier fees and computerized legal research were not

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recoverable under § 1920); In re Hurtado, No. 09–16160–A–13, 2015 WL 6164063, at *4
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(Bankr. E.D. Cal. Oct. 20, 2015) (explaining expert witness costs are not recoverable for experts

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who do not appear in court).

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Having cited no statute or rule in support of their requests, Defendants have failed to

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demonstrate that the Court is permitted to award such costs. Accordingly, the Court exercises its

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discretion under Rule 54(d) and declines to award Defendants costs for document retrieval from

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Superior Court of Placer County, “Defendants’ Counsel’s travel from Los Angeles to Sacramento

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for November 16, 2016 hearing,” Legal Research, “Federal Express deliveries from (1) Santucci

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Justice Center (Placer County Superior Court) for removal to this Court, and (2) Plaintiffs’

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counsel’s office,” “Defendants’ counsel’s travel to meet with clients in Honduras regarding facts

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of case, to review documents, and analyze defense strategies,” and “[c]ompensation for expert

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opinions as to Honduran law that were used in relation to motions to dismiss and anti-suit

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injunction request.” (ECF No. 112 at 3–5.)

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IV.

CONCLUSION

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For the reasons stated above, the Court declines to award costs for printing/copies, written

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interpretations, courier fees, travel expenses, legal research and expert witnesses who did not

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appear in court. Accordingly, Plaintiff’s objections (ECF No. 112) are hereby SUSTAINED.

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Defendants are permitted costs for the filing fee in the amount of $400.00.

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IT IS SO ORDERED.

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Dated: September 28, 2017

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Troy L. Nunley
United States District Judge

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