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California Appeals Court Upholds Fee Award Six Times Damages

September 13, 2013 | Posted in : Fee Award, Fee Award Factors, Fee Issues on Appeal

A recent Metropolitan News story, “C.A. Court Upholds Attorney Fee Award Six Times Damages,” reports that the Second District Court of Appeals in California—citing the “strong public policy” in favor of facilitating lawsuits based on sexual harassment—has upheld a $143,861 attorney fee award in favor of a woman who lost on most of her causes of action and garnered a judgment for only $22,625.  The decision, written by Division Eight Justice Elizabeth Grimes, affirmed the fee award by Los Angeles Superior Court Judge Charles F. Palmer in favor of Neenah Tran, a former employee of Beyond Blue, Inc.

In her 2006 complaint, Tran had sought economic damages “in excess of $150,000.”  Tran’s action has based on misconduct by Beyond Blue’s president Harry Haralambus, who was named as a defendant along with the company, and represent himself on appeal.  Tran’s lawyer, throughout the seven years of litigation, was Marina Del Rey attorney R. Jeffery Ward.

Tran won a cause of action under the Fair Employment and Housing Act (FEHA), which authorizes an award of attorney fees to a prevailing employee/plaintiff.  Under FEHA, an unlimited jurisdiction court, such as that Palmer presides over, may deny attorney fees where the award is less than the court’s jurisdiction minimum of $25,000.  The opinion quotes Palmer as explaining why he was granting fees:

“[T]he court finds that the strong public policy in favor of access to judicial remedies for employees seeking enforcement of rights created under FEHA, and with respect to sexual harassment in particular, and that the nature of conduct which the court found to have occurred in this case cause the court to exercise its own discretion to award attorney’s fees to plaintiff Neenah Tran.”  Grimes found no abuse of discretion.

The case is Tran v. Haralambus, B242575.