WILLIAM T. MOORE, JR., District Judge.
Before the Court is Plaintiffs' Motion for Attorneys' Fees and Costs (Doc. 151) and Defendants' Motion to Enforce Settlement (Doc. 152). For the following reasons, Plaintiffs' motion (Doc. 151) is
On February 22, 2016, Plaintiff Belinda Maley filed this action seeking to recover for the wrongful death of her son, Matthew Loflin. (Doc. 1.) Loflin's father, Gene Loflin, was later added as a plaintiff in this action. (Doc. 92.) Plaintiffs sought to recover under 42 U.S.C. § 1983 against Defendant Corizon Health, Inc. ("Corizon") and Defendant Dr. Scott Kennedy for the alleged deliberate indifference to Loflin's medical condition. (Doc. 1.) Plaintiffs' amended complaint also requested that "the Court require Defendant Corizon to pay the legal costs and expenses herein including reasonable attorney's fees...." (Doc. 92 at 20.) Plaintiffs included a similar request regarding Defendant Kennedy. (
The trial on this case was set to begin on July 15, 2019 in Savannah, Georgia. (Doc. 151 at 2.) However, on July 12, 2019, following a telephone conference with the Court, Plaintiffs accepted a settlement offer from Defendants for $850,000 in an e-mail.
On July 16, 2019, Defendants' counsel emailed the Confidential Settlement Agreement and Release (Doc. 153, Attach. 5) to Plaintiffs' counsel, but Plaintiffs' counsel responded by informing Defendants that he does not "typically enter into any release especially when, as here, the statutes of limitation and repose have run. Upon receipt of the settlement proceeds, I will file a dismissal with prejudice." (Doc. 152, Attach. 4.) Plaintiffs' counsel sent another e-mail on July 18, 2019 objecting to certain confidentiality provisions of the Confidential Settlement Agreement and Release. (Doc. 155, Attach. 4.) Following Plaintiffs' counsel's instructions, Defendants remitted the settlement proceeds to Plaintiffs on July 26, 2019, with a letter stating that the payment "represents full and final settlement of all claims asserted by Ms. Maley against Corizon Health, Inc. and Dr. Scott Kennedy." (Doc. 155, Attach. 5.) The check was made payable to Plaintiffs and their counsel. (Doc. 155, Attach. 5.)
On August 29, 2019, over a month after receiving the settlement proceeds, Plaintiffs filed their Motion for Attorneys' Fees and Costs. (Doc. 151.) Subsequently, on September 10, 2019, Defendants filed their Motion to Enforce Settlement (Doc. 152) and Brief in Opposition to Plaintiffs' Motion for Attorneys' Fees and Costs (Doc. 153). On September 23, 2019, Plaintiffs filed their Reply to Defendants' Response to Plaintiffs' Motion for Attorneys' Fees and Costs (Doc. 155) and their Response in Opposition to Defendants' Motion to Enforce Settlement (Doc. 156). On October 3, 2019, Defendants filed replies to both of Plaintiffs' previously mentioned documents. (Doc. 159; Doc. 160.) As of the date of this order, Plaintiffs have not signed the settlement agreement or filed a notice of dismissal.
In their Motion to Enforce Settlement, Defendants argue that the parties have a valid, enforceable agreement because "correspondence between the parties demonstrates mutual assent to the terms of the settlement agreement...." (Doc. 152 at 7.) Specifically, Defendants assert that Plaintiffs' behavior indicates that the remittance of settlement proceeds was for "full settlement of all claims" against Defendants. (Doc. 152 at 8.) Defendants contend that "Plaintiffs' acceptance was unequivocal and did not carve out any exceptions or conditions.... Thereafter, all parties acted consistently with a complete compromise of the case." (Doc. 152 at 7.)
In response, Plaintiffs concede that the case was "settled for a total of $850,000" (Doc. 151 at 3) and "agree that the parties reached a full and final resolution of the underlying substantive § 1983 claims only." (Doc. 156 at 5.) Thus, Plaintiffs' only contention is that the settlement agreement does not include attorneys' fees under 42 U.S.C. § 1988 because they were never discussed. (Doc. 156.)
Federal courts "use the applicable state's contract law to construe and enforce settlement agreements."
"A settlement agreement is a contract, and it must meet the same requirements of formation and enforceability as other contracts."
As an initial matter, Plaintiffs do not oppose enforcement of this settlement, but assert that the settlement does not represent a full and final settlement of all claims against Defendants, only the § 1983 claims. (Doc. 155, at 5.) The Court finds this assertion inaccurate based on the circumstances surrounding the settlement and Plaintiffs' and Plaintiffs' counsel's conduct.
The e-mails between Plaintiffs' counsel and Defendants' counsel indicate there was a meeting of the minds to settle all claims against Defendants. In their July 12, 2019 e-mail, Plaintiffs explicitly and unconditionally accepted Defendants offer to settle the case for $850,000. (Doc. 152, Attach. 1.) On the same day, Plaintiffs' counsel provided Defendants with Plaintiffs' W-9 form and instructions to address the check to "Belinda Maley, Estate of Matthew Loflin, Gene Loflin and Jones, Osteen & Jones." (Doc. 153, Attach. 2.) Although Plaintiffs' counsel did indicate that he would "hold the check in trust pending agreement on the language of the release," these e-mails indicate Plaintiffs' assent to a settlement of all claims against Defendants. (Doc. 153, Attach. 2.) Plaintiffs' counsel even thanked Defendants' counsel for their efforts "to get this case resolved" in his July 13, 2019 e-mail. (Doc. 153, Attach. 3.) In another e-mail on July 17, 2019, Plaintiffs' counsel represented that all claims against Defendants were within the scope of the settlement when he assured the Defendants that "[u]pon receipt of the settlement proceeds, I will file a dismissal with prejudice." (Doc. 153, Attach. 4.)
Although Plaintiffs' counsel gave numerous assurances that the case had been fully resolved, Plaintiffs did not sign the Confidential Settlement Agreement and Release (Doc. 153, Attach. 5) sent by Defendants. However, the lack of a signature on a formal agreement does not negate that the parties had a meeting of the minds as to the resolution of this case.
In their Motion for Attorneys' Fees and Costs, Plaintiffs admit that their "deliberate indifference claims against [Defendants] were settled for a total of $850,000 which sum the defendants have paid." (Doc. 151 at 10.) However, Plaintiffs contend that because their original complaint sought relief for the § 1983 claims and the settlement proceeds acted as damages for their claims, Plaintiffs' receipt of the settlement proceeds makes them the prevailing party. (Doc. 151 at 10.) Plaintiffs request that the Court "enter a final order of dismissal" memorializing the settlement of the § 1983 claims and granting Plaintiffs $235,866.83 in attorneys' fees and $26,281.72 in litigation costs as the prevailing parties. (Doc. 151 at 11.) Finally, Plaintiffs assert that they did not waive § 1988 attorneys' fees because their complaint and proposed jury charges were silent on Plaintiffs' § 1988 claims and, therefore, Defendants should have known those claims were not included in the settlement. (Doc. 155 at 9-11.)
Defendants oppose the motion on three grounds. First, Defendants argue that "no final judgment has been entered in this case" and, therefore, Plaintiffs cannot be prevailing parties. (Doc. 153 at 2.) Second, Defendants assert that "Plaintiffs agreed to release all claims against Defendants pursuant to the [s]ettlement which ... included attorneys' fees and costs." (Doc. 153 at 2.) Lastly, Defendants contend that even if Plaintiffs' request for attorneys' fees and costs is appropriate, the requested amount is unreasonable.
In civil rights cases brought pursuant to 42 U.S.C. § 1983, the award of attorneys' fees is governed by 42 U.S.C. § 1988. Under § 1988, "the court, in its discretion, may allow the prevailing party, other than the United States, a reasonable attorney's fee as part of the costs...." 42 U.S.C. § 1988(b). Even where a plaintiff has entered a private settlement agreement, he can be considered a prevailing party when the agreement has been adopted in a formal consent decree, the terms of the settlement have been incorporated into the final order of dismissal, or the district court has retained jurisdiction to enforce the terms of the settlement.
In this case, Plaintiffs have not reached prevailing party status. The agreement between the parties has not been adopted in a formal consent decree, the terms have not been incorporated into an order or dismissal, and this Court has not retained jurisdiction to enforce the settlement. However, even assuming that by granting Defendants' Motion to Enforce settlement Plaintiffs could arguably be considered prevailing parties, an award of § 1988 attorneys' fees to Plaintiffs would be unjust.
Generally, a prevailing party is entitled to reasonable attorneys' fees "`unless special circumstances would render such an award unjust.'"
Plaintiffs continuously cite to
The Fifth Circuit Court of Appeals addressed facts much like the present case in
36 F.3d at 450;
The present case is analogous to
Additionally, Plaintiffs' original complaint (Doc. 1) and amended complaint (Doc. 92) sought reasonable attorneys' fees and costs as relief for the § 1983 claims against Defendants. As a result, Defendants could reasonably assume that any claims for attorneys' fees fell within the scope of the settlement of the § 1983 claims. Moreover, Plaintiffs' request for attorneys' fees in their complaint makes this case materially different from
Even if Plaintiffs' requests for attorneys' fees in their complaint could be considered independent from their request for § 1988 attorneys' fees, Plaintiffs did not notify Defendants of their intention to seek § 1988 fees. Unlike the parties in
For the foregoing reasons, the Court finds that Defendants' Motion for Enforcement of Settlement is
SO ORDERED.