Munguia-Brown et al v. Equity Residential et al

Filing 547

ORDER RE INJUNCTIVE RELIEF, FINAL DAMAGES AMOUNT, AND ENTRY OF JUDGMENT. Signed by Judge Jeffrey S. White on 4/8/2024. Plaintiff Brief or Stipulation due by 5/3/2024. Response due by 5/24/2024. Reply due by 6/7/2024. (kkp, COURT STAFF) (Filed on 4/8/2024)

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UNITED STATES DISTRICT COURT

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NORTHERN DISTRICT OF CALIFORNIA

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JAVANNI MUNGUIA-BROWN, et al.,
Plaintiffs,

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United States District Court
Northern District of California

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Case No. 16-cv-01225-JSW
ORDER RE INJUNCTIVE RELIEF,
FINAL DAMAGES AMOUNT, AND
ENTRY OF JUDGMENT

v.
EQUITY RESIDENTIAL, et al.,
Defendants.

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By entry of its Findings of Fact and Conclusions of Law (“Findings”), the Court has

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determined that the Standard Late Fee provision in Equity’s residential lease in California is null

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and void. Before the Court enters final judgment, however, the parties must further brief, or

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stipulate to, a couple of issues. The Court ORDERS Plaintiffs to brief or stipulate to the issues

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that follow, by no later than May 3, 2024. Equity may file a response by no later than May 24,

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2024, taking into account the findings of fact and conclusions of law made in the Court’s

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Findings. Plaintiffs’ reply shall be due no later than June 7, 2024.

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First, the Plaintiffs seek an injunctive relief that (1) permanently precludes Equity from

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charging or collecting the Standard Late Fee; (2) permanently precludes Equity from including the

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Standard Late Fee or any percentage-based late fee in any future leases; and (3) for three years

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following judgment limits the amount of any late fee that Equity may charge during this period to

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a reasonable amounts based on this Court’s findings regarding Equity’s actual damages

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proximately caused by late rent, based on the evidence presented at trial.

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Before the Court may issue a permanent injunction, Plaintiffs must demonstrate “(1) that

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[they] have suffered an irreparable injury; (2) that remedies available at law, such as monetary

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damages, are inadequate to compensate for that injury; (3) that, considering the balance of

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hardships between the plaintiff and defendant, a remedy in equity is warranted; and (4) that the

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public interest would not be disserved by a permanent injunction.” eBay Inc. v. MercExchange,

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LLC, 547 U.S. 388, 391 (2006).

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The Court finds that the factors for issuance of an injunction have not been fully briefed,

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including the amount that Equity may charge instead of the $50 or 5 percent of the outstanding

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rent.

United States District Court
Northern District of California

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Second, the Court requires that Plaintiff proffer the final judgment amount. This number

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shall not include the late-added $815,000 or prejudgment interest. This number must be updated

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to include post-trial numbers. In performing these calculations, the parties must use Mr.

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Breshears’ methods for calculating total late fee charges and payments. In calculating Equity’s

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offset damages, the parties are instructed that this number is limited to a portion of their claimed
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employee costs, as determined utilizing Mr. Schwarz’s multiple regression analysis, and Equity’s
lost use of funds figures must be determined utilizing Mr. Breshears’ methodology.

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IT IS SO ORDERED.
Dated: April 8, 2024
______________________________________
JEFFREY S. WHITE
United States District Judge

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