STATE OF FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION DIVISION OF FLORIDA CONDOMINIUMS, TIMESHARES AND MOBILE HOMES IN RE: PETITION FOR ARBITRATION BOCA TEECA CONDOMINIUM NO. 4., INC., Petitioner, Fee Case No. 2016-00-4357 v. Rel. Case No. 2015-04-0793 HENRYKA GALADYNA, Respondent. / FINAL ORDER ON MOTION FOR ATTORNEY S FEES AND COSTS On September 15, 2015, Petitioner, Boca Teeca Condominium No. 4., Inc., (Association) filed a petition for mandatory non-binding arbitration against Respondent, Henryka Galadyna. The issue presented in the petition was whether Respondent had violated Section 718.111(5)(a), Florida Statutes, and Article VI, Section 1, of the Association s bylaws, by refusing to allow the Association to have access to her Unit to inspect for damage related to a water leak that had occurred in another unit, to perform exterminating services and other necessary maintenance, and by refusing to provide the Association with a key to her unit so that the Association can gain access to the Unit in the event of an emergency. The condominium is located in Palm Beach County, Florida. As relief, the Association requested an order requiring Respondent to provide the Association and its agents with access to Respondent s Unit to perform an inspection of any damage to the Unit or the Common Elements related to the water leak that occurred from the neighboring unit; provide access to Respondent s Unit on a monthly Page 1 of 6
basis to perform exterminating services; provide access for such other reasons as the Association may notify Respondent of in the future and provide the Association with a working key to Respondent s Unit. The relief was granted in a final order on default entered on January 12, 2016. The Association filed a motion for attorney s fees and costs on January 19, 2016, seeking $1,147.50 in combined attorney s fees and paralegal fees and $69.25 in costs. On January 27, 2016, the arbitrator entered an order permitting a response to the motion. As of the date of entry of this Final Order on Motion for Attorney s Fees and Costs, Respondent has not filed a response to the Association s motion. This order is entered accordingly. 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 (Fla. 1992). In the final order on default, the Association was granted the relief it sought in the petition; therefore, the Association is the prevailing party in this case. Consequently, the Association will be awarded its reasonable fees and costs pursuant to the statute and Rule 61B-45.048, Florida Administrative Code. The only remaining issue to be decided by the arbitrator is the reasonableness of the attorney s fees and costs claimed by the Association. Page 2 of 6
Attorney s Fees and Costs 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 the 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 considered. See Rowe, 472 So. 2d at 1150-51. In determining the reasonableness of the attorney s fees, the criteria set forth in R. Regulating Fla. Bar 4-1.5, [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(7), Florida Administrative Code. Hourly Rate: The Association has provided the affidavit of its attorney that explains the amount of attorney s fees and costs sought. The Association seeks compensation for the services of Steven R. Braten, Esq., at the rate of $250.00 per hour for 1.2 hours. Attorney Braten had been licensed to practice law in the State of Florida for approximately twenty-one (21) years at the time his services were rendered in this case. 1 After considering the above factors, the undersigned finds that $250.00 per hour is a reasonable rate for an attorney with twenty-one years of experience in the practice of law and who specializes in community association law. See, e.g., Turner v. Butler 1 The Florida Bar s website shows that Attorney Braten was admitted in Florida on September 27, 1994. Page 3 of 6
Farms Homeowners Ass n, Inc., Arb. Fee Case No. 2015-05-3427, Amended Final Order on Petitioner s Motion for Attorney s Fees and Costs (January 19, 2016). Number of Hours: The Affidavit of Arbitration Attorney s Fees and Costs is signed by Attorney Steven R. Braten, and the billing statement appended to the affidavit shows that 1.2 hours were expended by Attorney Braten on this case. These hours are reasonable and will be awarded at the rate of $250.00 per hour, for a total of $300.00. Paralegal Fees: The Association seeks reimbursement in the amount of $175.00 per hour for 4.7 hours of services performed by multiple unidentified paralegals. Legal assistant/paralegal services may be compensable as part of an attorney's charges when it is demonstrated that the paralegal performed non-clerical, meaningful legal work, and reduced billable time of attorneys, and the rate for the paralegal services is demonstrated to be reasonable. Fiore at The Gardens Condo. v. Andersson, Arb. Case Nos. 2011-05-9622 and 2011-06-0722, Final Order on Attorney s Fees and Costs (March 15, 2012)(citing Estes v. Lido of Pinellas Condo. Ass n., Inc., Arb. Fee Case No. 95-0421F, Final Order on Attorney's Fees (May 31, 1995)). However, the Association did not identify the paralegals by name and provided no information about their training, or other credentials in order to justify the hourly rate of $175.00 other than to state that they have in excess of ten years of legal experience. Therefore, the Association will not be awarded paralegal time. See, e.g., Aaronian, III v. Coral Ridge East Condo. Ass n, Inc., Arb. Fee Case No. 2014-01-9939, Final Order on Motion for Attorney s Fees and Costs (July 8, 2014); The Tradewinds of Volusia, Inc. v. Page 4 of 6
Oropeza Holdings, Inc., Arb. Fee Case No. 2013-00-3285, Final Order on Motion for Attorney's Fees and Costs (March 7, 2013). Costs: Additionally, the Association seeks costs of $69.25 as follows: $50.00 for the arbitration filing fee and $19.25 for postage charges. The filing fee is appropriate and will be awarded. Costs for postage and messenger services are not recoverable, as they are routine overhead expenses that should be incorporated into the attorney's hourly rate. See Barrera, individually and Bleau Fontaine Condo. No. Two, Inc. v. Bleau Fontaine Community Ass'n., Inc., Arb. Case No. 01-2223, Final Order on Attorney's Fees (Jan 26, 2001); Mitchell v. Osceola Farms Co., 574 So. 2d 1162 (Fla 4th DCA 1991); Griffith v. Griffith, 941 So. 2d 1285 (Fla 4th DCA 2006). Thus, Petitioner will not be awarded postage costs. Therefore, based on the foregoing, it is ORDERED: Respondent Henryka Galadyna shall, within 30 days of the date of this Order, pay to Boca Teeca Condominium No. 4., Inc., the total amount of $350.00, which represents reimbursement for $300.00 in attorney s fees and $50.00 in costs. Florida. DONE AND ORDERED this 25 th day of May, 2016, at Tallahassee, Leon County, Leslie O. Anderson-Adams, Arbitrator Department of Business and Professional Regulation Arbitration Section Suite 16 1940 North Monroe Street Tallahassee, Florida 32399-1030 Section Telephone: 850-414-6867 Section Facsimile: 850-487-0870 Page 5 of 6
Trial de novo This decision shall be binding on the parties unless a complaint for trial de novo is filed in accordance with section 718.1255, Florida Statutes. Certificate of Service I hereby certify that a true and correct copy of the foregoing final order has been sent by U.S. Mail to the following persons on this 25 th day of May, 2016: Steven R. Braten, Esq. Goede, Adamczyk, DeBoest & Cross, P.A. 500 Gulfstream Blvd., Ste. 104 Delray Beach, FL 33483 Attorney for Petitioner Ms. Henryka Galadyna P.O. Box 121 Boca Raton, FL 33429-1021 Respondent Leslie O. Anderson-Adams, Arbitrator Page 6 of 6