12 Fla. L. Weekly Supp. 77a
Attorney’s fees — Insurance — Personal injury protection — Contingency risk multiplier — Where medical provider’s counsel undertook representation in PIP suit pursuant to pure contingency fee agreement, market requires multiplier to obtain competent counsel, and provider’s chance of success at outset was unlikely, multiplier of 2.0 is applicable — Where counsel undertook representation in related declaratory judgment action on pure contingency basis, market requires multiplier to obtain competent counsel, and success at outset was more likely than not, multiplier of 1.25 is applicable — Expert witness fee, costs, and prejudgment interest awarded
PHYSICAL MEDICINE GROUP, as assignee of Vivian Nieves, Plaintiff, v. ALLSTATE INSURANCE COMPANY, Defendant. County Court, 9th Judicial Circuit in and for Orange County. Case Nos. CCO-02-10707 and CCO-02-14858. October 7, 2004. C. Jeffery Arnold, Judge. Counsel: Rutledge M. Bradford, Orlando, for Plaintiff. Julian Gonzalez, Cameron, Hodges, Coleman, LaPointe, Wright, P.A., Orlando.
FINAL JUDGMENT AWARDING ATTORNEYS’ FEES AND COSTS
THIS CAUSE came to be heard on May 17, 2004, upon the Plaintiff’s Motion to Tax Attorneys’ Fees and Costs Pursuant to Section 627.428, Florida Statutes, and the Court having heard testimony, argument and examined the Court file, the Court makes the following findings:
1. This case involved a claim for PIP benefits arising out of an automobile accident. The insured, Vivian Nieves, was alleged to have sustained injuries arising out of the accident, and sought treatment from the Plaintiff, PHYSICAL MEDICINE GROUP, as assignee of Vivian Nieves. The insured assigned her PIP insurance benefits to the Plaintiff. The Plaintiff billed the Defendant, ALLSTATE INSURANCE COMPANY, for medical treatment rendered. The Defendant did not pay the bill in full. Thereafter, Plaintiff filed this suit alleging that the Defendant improperly reduced its medical billings, seeking to recover the amounts due, together with interest. Subsequent to the filing of the first suit, a second suit for Declaratory relief was filed, alleging that the Defendant had failed to comply with the Plaintiff’s proper request for a PIP log and policy/declarations information. Following the filing of suit and substantial discovery, the Plaintiff prevailed on a summary judgment on the Declaratory Judgment action and the Defendant agreed to pay the benefits due, together with interest on the breach of contract action. The two matters were consolidated for purposes of the fee hearing. The Defendant has stipulated that the Plaintiff is entitled to the award of its reasonable attorneys’ fees and costs.
2. The Court has based its decision on and applied the factors contained in Standard Guaranty Ins. Co. v. Quanstrom, 555 So. 2d 828 (Fla. 1990)); Florida Patient’s Compensation Fund v. Rowe, 472 So.2d 1145 (Fla. 1985); and Bell v. U.S.B. Acquisition Company, Inc., 734 So.2d 403 (Fla. 1999).
3. NUMBER OF HOURS: The court finds that Plaintiff’s counsel, Rutledge M. Bradford, Esquire, reasonably expended 23.5 hours in representing the Plaintiff in this cause; Plaintiff’s counsel Juan Lopez Palmer reasonably expended 11.7 hours in representing the Plaintiff in this matter; and paralegal Sid Roman reasonably expended 8.9 hours in representing the Plaintiff in this matter.
4. HOURLY RATE: The Court finds a reasonable hourly rate for Rutledge M. Bradford in this case is $300.00; for Juan Lopez Palmer, $275.00; and for paralegal Sid Roman $75.00.
5. CONTINGENCY RISK FACTOR: The Court has considered all of the factors and criteria set forth in Standard Guaranty Ins. Co. v. Quanstrom, 555 So. 2d 828 (Fla. 1990); Florida Patient’s Compensation Fund v. Rowe, 472 So.2d 1145 (Fla. 1985); and Bell v. U.S.B. Acquisition Company, Inc., 734 So.2d 403 (Fla. 1999), and evidence adduced thereon, as they relate to the application of a contingency risk multiplier to the Plaintiff’s attorneys’ fees in this case. The Court specifically finds that:
with respect to Rutledge M. Bradford, Esquire:
a. Plaintiff’s counsel undertook the representation of the Plaintiff pursuant to a pure contingency fee agreement as defined in State Farm v. Palma, 555 So.2d 836 (Fla. 1990).
b. the market in this jurisdiction requires a contingency risk multiplier to obtain competent counsel in cases like the instant case.
c. taking into consideration the evidence, as well as the above law, the Court finds that the Plaintiff’s chances of success at the outset or onset of this case were:
more likely than not (x 1.0-1.5)
approximately even (x 1.5-2.0)
X unlikely (x2.0-2.5)
Accordingly, a contingency risk multiplier of 2.0 is appropriate and applicable.
with respect to Juan Lopez Palmer, Esquire:
a. Plaintiff’s counsel undertook the representation of the Plaintiff pursuant to a pure contingency fee agreement as defined in State Farm v. Palma, 555 So.2d 836 (Fla. 1990).
b. the market in this jurisdiction requires a contingency risk multiplier to obtain competent counsel in cases like the instant case.
c. taking into consideration the evidence, as well as the above law, the Court finds that the Plaintiff’s chances of success at the outset or onset of this case were:
X more likely than not (x 1.0-1.5)
X approximately even (x 1.5-2.0)
unlikely (x2.0-2.5)
Accordingly, a contingency risk multiplier of 1.25 is appropriate and applicable.
6. That based upon this Court’s determination, the total attorneys’ fees that the Plaintiff is entitled to recover from the Defendant for the services of its attorneys, Rutledge M. Bradford is 23.5 hours x $300.00 (hourly rate) x 2.0 contingency risk multiplier and for Juan Lopez Palmer before this Court is 11.7 hours x $275.00 (hourly rate) x 1.25 (contingency risk multiplier) and Paralegal Sid Roman 8.9 hours x 75.00 (hourly rate) x 1.0 (contingency risk multiplier) for a total of $18,789.37.
7. The Court finds that the Plaintiff’s counsel incurred reasonable costs in the amount of $345.00 during her representation of the Plaintiff in this case.
8. That prejudgment interest is due to Plaintiff’s counsel on the attorneys’ fees and costs from February 24, 2004, (the date of settlement of the underlying claim), until the entry of this final judgment. Quality Engineered Installation, Inc. v. Higley South, Inc., 670 So.2d 929 (Fla. 1996); and Boulis v. Florida Department of Transportation, 733 So.2d 959 (Fla. 1999).
9. Plaintiff’s expert witness on attorneys’ fees, Kevin Weiss, Esquire, is entitled to be compensated for the time expended in preparing to testify and testifying in this case. Mr. Weiss reasonably expended 5.5 hours in this case, and a reasonable hourly rate for Mr. Weiss is $300.00 per hour, for a total expert fee of $1,650.00. See Travieso v. Travieso, 474 So.2d 1184 (Fla. 1985); Stokus v. Phillips, 651 So.2d 1244 (Fla. 2d DCA 1995); and, Mangel v. Bob Dance Dodge, Inc., 739 So.2d 720 (Fla. 5th DCA 1999).
WHEREFORE, it is hereby ORDERED AND ADJUDGED:
1. Plaintiff’s Motion to Tax Attorneys’ Fees and Costs of Rutledge M. Bradford, Esquire and Juan Lopez Palmer, Esquire is hereby GRANTED.
2. Plaintiff’s counsel, Rutledge M. Bradford, Esquire and Juan Lopez Palmer shall have and recover from the Defendant, ALLSTATE INSURANCE COMPANY, a reasonable attorneys’ fee in the amount of $18,789.37, costs in the amount of $345.00 and prejudgment interest on both the attorneys’ fee and costs at the rate of Seven Percent (7%) per annum from February 24, 2004 through October 7, 2004, in the amount of $814.37, for the total sum of $19,948.74, that shall bear interest at the rate of Seven Percent (7%) per annum until payment in full of the judgment, for which let execution issue.
3. Plaintiff’s expert witness on attorney’s fees, Kevin Weiss, Esquire, shall have and recover from the Defendant, ALLSTATE INSURANCE COMPANY, fees in the amount of $1,650.00 for expert time expended in this case, for which let execution issue.
4. Plaintiff shall take from Defendant the TOTAL SUM of $19,134.37 as attorney’s fees and costs for prosecution of this claim for which let the execution issue.
Attorney’s Fees $18,789.37
Costs $345.00
Interest on attorney’s fees $814.37
Expert Witness Fees $1,650.00
TOTAL SUM $21,598.74
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