DeVary v. National Securities Corporation
1:21-cv-07869
| S.D.N.Y. | Dec 4, 2024Background
- Plaintiff James DeVary was a Senior Vice President at Forte Capital Group, a registered branch of National Securities Corporation, working as a financial advisor on commission.
- National Securities terminated DeVary's services on March 2, 2021; DeVary then sued for over $300,000 in unpaid commissions, among other claims.
- The parties had an arbitration agreement; the court stayed proceedings pending FINRA arbitration.
- A FINRA arbitration panel awarded DeVary statutory damages, attorney’s fees, and reimbursement costs.
- Forte moved to vacate the award; DeVary opposed and cross-moved to confirm. The court confirmed the award, denied the vacatur, and DeVary then moved for attorney’s fees and post-judgment interest.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Entitlement to attorney’s fees under NYLL § 198(1-a) | Fees are recoverable for work in opposing motion to vacate under wage claim statute | Motion to vacate does not qualify as 'wage claim'; fees not available | Court held fees are available under NYLL |
| Reasonableness of requested attorney’s fees | 66.9 hours at $600/hr reasonable for opposition and cross-motion practice | 66.9 hours excessive for a routine motion; $400/hr more reasonable | Reduced rate to $450/hr; 66.9 hours reasonable |
| Calculation of post-judgment interest | Sought 9% per annum on full award from June 15, 2023 | (No specific argument detailed on the rate) | Interest at federal statutory rate per § 1961(a) |
| Duplicative request for attorney’s fees | Prior requests preserved right to seek specifics later | Prior (addressed) request was implicitly denied | Not previously denied; motion timely considered |
Key Cases Cited
- Millea v. Metro-N. R.R. Co., 658 F.3d 154 (2d Cir. 2011) (articulates lodestar standard for attorney’s fee calculation)
- Arbor Hill Concerned Citizens Neighborhood Ass’n v. Cnty. of Albany, 522 F.3d 182 (2d Cir. 2008) (sets out factors for reasonable hourly attorney rates)
- Hensley v. Eckerhart, 461 U.S. 424 (1983) (sets out standards for reasonable attorney’s fee hours)
- Odeon Capital Group LLC v. Ackerman, 864 F.3d 191 (2d Cir. 2017) (NYLL § 198(1-a) fee-shifting applies to actions to confirm arbitration awards)
- Lewis v. Whelan, 99 F.3d 542 (2d Cir. 1996) (post-judgment interest is mandatory as of judgment entry date)