NORMAN A. MORDUE, Senior District Judge.
This civil rights action under 42 U.S.C. § 1983 is trial-ready. The trial date has been adjourned to enable settlement negotiations to take place and for resolution of the issue of attorney's fees for plaintiffs' former counsel Tatiana Neroni. On November 18, 2015, Tatiana Neroni was suspended from the practice of law before this Court by Order of Chief United States District Judge Glenn T. Suddaby, dated November 18, 2015. The suspension runs concurrently with her two-year suspension from the practice of law before the Courts of the State of New York, which commenced on November 13, 2015. On January 4, 2016, Woodruff Lee Carroll, Esq., appeared in this case as counsel for plaintiffs.
On January 13, 2016, Attorney Carroll moved (Dkt. No. 95) to determine Tatiana Neroni's attorney's fees in this case. In support of the motion, Attorney Carroll affirms that "the fees need to be fixed to settle the case." Under New York State regulations, a suspended attorney "may be compensated on a quantum meruit basis for legal services rendered and disbursements incurred by him prior to the effective date of the . . . suspension order[.]" 22 N.Y.C.R.R. § 603.13(b). The amount and manner of payment of such compensation and recoverable disbursements are to be fixed by the court on the application of either the suspended attorney or the new attorney. Id. The attorney's right to such compensation gives rise to a charging lien attaching to the client's recovery in the same case. See N.Y. Judicary Law § 475.
In opposition to the motion, Tatiana Neroni submitted an affirmation (Dkt. No. 101) to the effect that Attorney Carroll has no authority to apply for attorney's fees on her behalf; that she refuses to state the basis of her fee arrangement with plaintiffs; that she asserts no charging lien on any recovery and does not intend to do so; and that she does not want the Court to determine her attorney's fees. She submitted no evidence of the nature and extent of the services rendered or the time spent in representing plaintiffs prior to her suspension.
Upon referral by this Court, United States Magistrate Judge David E. Peebles issued a Report and Recommendation (Dkt. No. 105) recommending that this Court exercise its discretion to limit the extent of Tatiana Neroni's charging lien to $15,000. Plaintiff's attorney objects (Dkt. No. 106). The Court adopts Magistrate Judge Peebles' summary of the facts and applicable law, and does not repeat them here.
Upon de novo review, this Court holds that no quantum meruit valuation of Tatiana Neroni's legal services should be made and no charging lien imposed. Rather, under all the circumstances, Tatiana Neroni should be permitted to forego any right to a charging lien on plaintiffs' recovery, if any, from trial or settlement. This is what she wishes to do, as she makes clear in her 46-page opposition to the motion. In any event, by failing to submit a fee application addressing the relevant factors, she has prevented the Court from fashioning an award. The Court appreciates the efforts of Magistrate Judge Peebles to resolve this issue and facilitate settlement. Nevertheless, under all the circumstances, the Court concludes that Tatiana Neroni has purposefully waived any charging lien in this case and relinquished any right to seek an award of attorney's fees as a portion of any award recovered by plaintiffs in a trial or settlement of this action. This ruling does not affect any right by any party to seek an award of attorney's fees under 42 U.S.C. § 1988(b).
The Court will set a new trial date and due date for pretrial papers. There will be no further adjournments; if the case it not settled, it will go to trial. It is therefore
ORDERED that the Report and Recommendation (Dkt. No. 105) is rejected; and it is further
ORDERED that the motion (Dkt. No. 95) to fix Tatiana Neroni's attorney's fees is denied; and it is further
ORDERED that no charging lien exists in favor of Tatiana Neroni, and she has waived any right to recover attorney's fees as a portion of any award recovered by plaintiffs in a trial or settlement of this action; and it is further
ORDERED that the Court will notify the parties of the new trial date and due date for pretrial papers.
IT IS SO ORDERED.
(5) the qualifications of counsel; (6) the amount at issue; and (7) the result obtained (to the extent known)." Sequa Corp. v. GBJ Corp., 156 F.3d 136, 148 (2d Cir. 1998).