Romish Holdings, LLC v. Inclusion, Inc. et al

Filing 38

MEMORANDUM DECISION AND ORDER Defendants' Motion for Attorney Fees (Dkt. 33 ) is GRANTED. Plaintiff shall pay Defendants $23,732.50 in fees. Signed by Judge B. Lynn Winmill. (caused to be mailed to non Registered Participants at the addresses listed on the Notice of Electronic Filing (NEF) by (jp)

UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF IDAHO
ROMISH HOLDINGS, LLC,
Case No. 1:15-cv-00126-BLW
Plaintiff,

MEMORANDUM DECISION AND
ORDER

v.
INCLUSION, INC., & JANNA
MILLER,
Defendants.

The Court has before it Defendants’ Motion for Attorney Fees (Dkt. 33). Plaintiff
did not respond to the motion.
Idaho law governs the award of attorney fees in this matter because federal courts
must follow state law as to attorney fees in diversity actions. Interform Co. v. Mitchell,
575 F.2d 1270, 1280 (9th Cir.1978) (applying Idaho law). Defendants request attorney
fees pursuant to Idaho Code § 12–120(3). Idaho Code § 12–120(3) provides that the
prevailing party “shall be allowed” an award of reasonable attorney fees in any civil
action to recover on ... “any commercial transaction.” The statute defines the term
“commercial transaction” to mean “all transactions except transactions for personal or
household purposes.” I.C. § 12–120(3) (1998). “Under Idaho Code § 12–120(3), an
award of attorney fees is appropriate where ‘the commercial transaction is integral to the
claim, and constitutes the basis upon which the party is attempting to recover.’” Blimka v.

MEMORANDUM DECISION AND ORDER - 1

My Web Wholesaler, LLC, 152 P.3d 594 (Idaho 2007) (citing Brower v. E.I. DuPont De
Nemours and Co., 792 P.2d 345, 349 (Idaho 1990)).
Here, there is no question that Defendants are the prevailing party – the Court
entered default judgment in favor of Defendants against Plaintiff on its two breach of
contract claims. Likewise, there is no dispute that the claims arose out of a commercial
transaction that was the basis upon Defendants obtained a recovery – Defendants
prevailed on a foreclosure claim for breach of a mortgage contract. The Court also
entered default judgment on Defendants’ counterclaim for fraud, but that claim was tied
to the breach of contract claims. Accordingly, Danish Acres is entitled to its reasonable
costs and fees.
The Court also finds that the attorney fees and costs identified in counsel's
affidavit in support of the motion for fees and costs are reasonable. “The starting point for
determining a reasonable fee is the ‘lodestar’ figure, which is the number of hours
reasonably expended multiplied by a reasonable hourly rate.” Gates v. Deukmejian, 987
F.2d 1392, 1397 (9th Cir.1992). In determining a reasonable hourly rate, the Court
considers the “experience, skill and reputation of the attorney requesting fees,” Trevino v.
Gates, 99 F.3d 911, 924 (9th Cir.1996), as well as “the prevailing market rates in the
relevant community,” Blum v. Stenson, 465 U.S. 886, 895 (1984).
Once the lodestar amount is determined, the Court “then assesses whether it is
necessary to adjust the presumptively reasonable lodestar figure on the basis of the Kerr
factors that are not already subsumed in the initial lodestar calculation.” Morales v. City

MEMORANDUM DECISION AND ORDER - 2

of San Rafael, 96 F.3d 359, 363–64 (9th Cir.1996) (footnote omitted). “There is a strong
presumption that the lodestar figure represents a reasonable fee. Only in rare instances
should the lodestar figure be adjusted on the basis of other considerations.” Id. at 363 n.
8. (internal quotation marks and citation omitted).
Here, Defendants seek attorney fees in the amount of $23,732.50 for 86.3 hours of
work completed by attorney Dennis Charney, who charged $275.00 per hour. The hourly
rate charged by Mr. Charney is comparable to the reasonable hourly rate for attorneys of
similar experience and similar work in the District of Idaho. Moreover, the total number
of hours billed was within reasonable limits. Moreover, the Court notes that Plaintiff has
not opposed the motion. Accordingly, the Court will grant the motion for costs and fees
in the amount of $23,732.50.
ORDER
IT IS ORDERED
1. Defendants’ Motion for Attorney Fees (Dkt. 33) is GRANTED. Plaintiff
shall pay Defendants $23,732.50 in fees.

DATED: June 1, 2016
_________________________
B. Lynn Winmill
Chief Judge
United States District Court

MEMORANDUM DECISION AND ORDER - 3