NO ACCOUNTING FOR EXTRAVAGANCE

In 325 East 83 Realty, LLC v. Fleming, the parties had been involved in a holdover proceeding in which the owner alleged "excessive noise" emanated from the tenants' unit.

After trial, the New York County Housing Court found that the disturbances were the result of the building's faulty construction and, since they prevailed, the tenants were thus entitled to an award of their legal fees.

When a hearing was held, the landlord challenged the propriety of the charges incurred and contended that tenants' attorney billed for "unrelated matters, unnecessary work, or excessive work."

Using the "lodestar method" -- which multiplies counsel's reasonable time by a reasonable hourly rate -- the Civil Court concluded that the amount of fees sought by the tenants' attorney required downward adjustment. While the attorney's' hourly rates were reasonable -- given his experience and the customary rate for similar services in Manhattan -- the court found the amount of time expended on the case to be "disproportionate, unreasonable," "duplicative, unnecessary and excessive."

The court noted this was a "simple holdover claim" that was litigated over two days, and even though counsel was informed that a post-trial brief wasn't required, the tenant's attorney spent 21 hours preparing one.

After examining the work performed, the court reduced the fee request from $51,141.11 to $21,451.02, and emphasized that while the counsel had performed the work and "did it well," the landlord wasn't required to "pay for the extravagantly excessive time devoted to this case."

Now that's some haircut!

To download a copy of the Civil Court's decision, please use this link: 325 East 83 Realty, LLC v. Fleming