STATE OF FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION DIVISION OF FLORIDA LAND SALES, CONDOMINIUMS, AND MOBILE HOMES IN RE: PETITION FOR ARBITRATION FOUNTAINS CONDOMINIUM ASSOCIATION, INC., Petitioner, Fee Case No. 2013-00-7745 v. Rel. Case No. 2012-02-5647 KARL NANDWANI, MOHINI NANDWANI and VASHI NANDWANI, Respondents. / FINAL ORDER ON ATTORNEY'S FEES AND COSTS On June 4, 2012, Fountains Condominium Association, Inc., (the Association) filed a petition for non-binding arbitration against Respondents regarding the reinstallation of their satellite dish on the roof of their unit. On January 24, 2013, a Summary Final Order was entered and on February 25, 2013, the Association filed a Motion for Attorney's Fees and Costs. The Association is seeking $2,513.00 in attorney's fees and costs in the amount of $79.58. The Association is located in Seminole County. Relevant Procedural History On February 28, 2013, an Order Permitting a Response to the motion for fees was issued to Respondents but as of the date of this order no response in opposition to the motion has been filed.
On April 2, 2013, the Association was ordered to amend its motion for fees and costs to conform to the requirements of Rule 61B-45.08, Florida Administrative Code, which it did on April 17, 2013. CONCLUSIONS OF LAW Prevailing Party Pursuant to section 718.1255(4)(k), Florida Statutes, the prevailing party in an arbitration proceeding shall be awarded the costs of the arbitration and reasonable attorney s fees in an amount determined by the arbitrator. A party is a prevailing party if it succeeds on a significant issue in the arbitration and achieves some of the benefit sought in bringing the action. See Moritz v. Hoyt Enterprises, Inc., 604 So. 2d 807, 809 (Fla. 1992) (citing Hensley v. Eckerhart, 461 U.S. 424, 433 (1983)). On January 24, 2013, a Summary Final Order was issued granting the relief the Association sought therefore, the Association is the prevailing party. Attorney s Fees and Costs The next issue to be decided is the reasonableness of the attorney s fees and costs claimed by the Association. In Florida Patient s Compensation Fund v. Rowe, 472 So. 2d 1145, 1150 (Fla. 1985), the Supreme Court adopted the federal lodestar approach as the foundation for setting reasonable fee awards. This approach requires the trial court to determine a lodestar figure by multiplying the number of hours reasonably expended on the litigation by a reasonable hourly rate for the services of the prevailing party s attorney. Fashion Tile & Marble v. Alpha One Construction, 532 So. 2d 1306 (Fla. 2d DCA 1988). In undertaking this analysis, the reasonableness of the hourly rate and the number of hours reasonably expended must be separately 2
considered. See Rowe, 472 So. 2d at 1150-51. In determining the reasonableness of attorney s fees, the criteria set forth in Rule 4-1.5, Rules Regulating the Florida Bar, Rules of Professional Conduct [then Disciplinary Rule 2-106(b) of the Florida Bar Code of Professional Responsibility] should be applied. Id. at 1150. The factors for determining a reasonable attorney s fee set forth in Rule 4-1.5 are basically the same as the factors set forth in Rule 61B-45.048, Florida Administrative Code. Hourly Rate for Attorneys The Association seeks compensation for legal services for Attorney Paul Hinckley at a rate of $175.00 an hour. According to Mr. Hinckley's affidavit, he has been a practicing attorney in the State of Florida for 5 years. The rate of $175.00 per hour is reasonable for attorneys with comparable experience in the area of community association law in the county where Mr. Hinckley is practicing. The Association is also requesting reimbursement for time expended by Attorney Beth Lanham-Petrie at the rate of $200.00 per hour, but no affidavit from Ms. Lanham- Petrie was included with the motion so no award will be made for her services. Rule 61B-45.048, Florida Administrative Code. Paralegal Reimbursement is sought for the services of Sarah Gammon who in separate documents is described as Esq. and as a paralegal. A check of the Florida Bar website shows Ms. Gammon is an attorney admitted to the practice of law in October, 2011. As an attorney, Ms. Gammon is certainly qualified to work as a paralegal and assist Mr. Hinckley in the representation of the Association. The request for reimbursement for Ms. Gammon is for 4.8 hours of service at $85.00 an hour and 3.0 hours at $75.00 per hour. 3
However, $85.00 an hour is excessive and a more reasonable rate is $75.00 per hour which falls within the range of fees charged in the locality for similar paralegal services. See Wimbledon Park-Orlando No. 1, Inc. v Herrera, F. Case No. 2012-02-7781, Final Order on Attorney's Fees and Costs. Time Entries for Mr. Hinckley The Association is seeking reimbursement for Mr. Hinckley's services at the rate of $175.00 per hour for 6.8 hours and $178.57 per hour for 0.7 hours of work which totals $1,190.00. This includes 1.0 hour of time expended drafting the motion for attorney's fees and costs. This will be awarded as reasonable even though it is not clear why the $3.57 difference in the hourly work rate is requested. However, an additional amount of time of 3.0 hours is being requested for future work Mr. Hinckley must perform which the Association claims is necessary to bring this case to a final disposition. These 3 hours will not be awarded. The association will not be reimbursed for the time spent after entry of the final order, except for time spent preparing the motion for attorney s fees. Jade Residences At Brickell Bay Condominium Association, Inc., v. Espejo, F. Case No. 2010-00-1659 Final Order on Motion for Attorney s Fees and Costs (March 12, 2010). Paralegal Hours The Association will be compensated for the expenditure of time by the paralegal, Ms. Gammon. 1 The Association is seeking reimbursement for 7.8 hours of paralegal time of which four hours were spent prior to the preparation and filing of the petition. These were not fees incurred in the arbitration proceeding and are therefore 4
not being awarded. Duernberger v. East Lake Villas Homeowners Association, Arb Fee Case. 2012-03-2254, Final Motion on Motion for Attorney s Fees and Costs (August 30, 2012). Ms. Gammon's service to the Association after the filing of the petition, 3.8 hours is reasonable and will be compensated at the rate of $75.00 per hour for a total of $285.00. Costs The Association will not be reimbursed for photocopies made by counsel and for postage as these are routine overhead expenses that should be incorporated into the attorney's hourly rate. Barrera, individually and Bleau Fontaine Condo. Number Two, Inc. v. Bleau Fontaine Community Assoc., Inc., Arb. Case No. 01-2223, Final Order on Attorney's Fees (January 26, 2001). However, the filing fee of $50.00 is a recoverable cost and will be awarded. Based on the foregoing, it is ORDERED: That Respondents pay to the Association within 30 days of this order, $50.00 in costs and $1,475.00 for attorney's and paralegal fees for a total of $1,525.00. DONE AND ORDERED this 23 rd day of April, 2013, at Tallahassee, Leon County, Florida. Leah A. Simms, Arbitrator Department of Business and Professional Regulation Arbitration Section 1940 North Monroe Street Tallahassee, Florida 32399-1029 1 It would have been appropriate to include in the motion any identification of training and experience Ms. Gammon has had as a paralegal and the Association is urged to include same in future motions for fees and costs. 5
Copies furnished by mail to: Paul T. Hinckley, Esq. Taylor & Carls, P.A. 150 N. Westmonte Drive Altamonte Springs, FL. 32714 Attorney for Petitioner Vashi Nandwani Karl Nandwani Mohini nandwani c/o 4434 Middlebrook Road Orlando, Fl. 32811 Respondents 6