DL v. Dist. of Columbia, Corp.
924 F.3d 585
D.C. Cir.2019Background
- Plaintiffs (parents of DC children) won a complex, long-running IDEA class-action against the District of Columbia; the district court awarded attorneys’ fees and the District appealed only the hourly-rate determination.
- Fee awards under IDEA must be based on “rates prevailing in the community . . . for the kind and quality of services furnished,” 20 U.S.C. § 1415(i)(3)(C); the lodestar is hours × reasonable hourly rate.
- D.C. practice commonly uses the Laffey matrix (original 1983 and a 1989 update) as a starting point for rates for complex federal litigation, with various inflation updates (e.g., Legal Services Index).
- The USAO created a new matrix from ALM’s 2011 Survey of Law Firm Economics for the broader Washington, D.C. metro area (all practice areas), producing substantially lower average rates.
- The district court accepted the USAO matrix over plaintiffs’ LSI-updated Laffey matrix and reduced the fee award from about $9.76M to $6.96M; plaintiffs appealed the rate choice.
- The D.C. Circuit vacated and remanded, holding the USAO matrix is not a proper benchmark because it surveys the wrong types of lawyers and the wrong geographic community (metro area outside D.C.).
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether plaintiffs met initial burden to justify Laffey (LSI) rates | Laffey (LSI-updated) evidence suffices to justify rates; burden shifts to District | Plaintiffs failed to show specific market rates | Court: Plaintiffs met the burden (Salazar precedent); burden shifted to District |
| Whether the USAO matrix rebuts plaintiffs’ showing | N/A | USAO matrix is superior because newer, larger sample, narrower experience bands | Court: USAO matrix fails—data include non-litigators and a broad metro area outside D.C., so it does not measure rates for the relevant community/type of services |
| Appropriate community and comparator lawyers for IDEA class complex federal litigation | Use rates for complex federal litigators in District of Columbia (LSI Laffey) | Use broader metro-area, all-practice survey (USAO matrix) | Court: Rates must reflect lawyers doing the same type/quality of complex federal litigation in the community where the action arose (D.C.); USAO matrix does not satisfy that statutory requirement |
| Whether Cyrus Mehri is entitled to his usual private billing rate | Mehri claims a higher private billing rate | District used same methodology as for other counsel | Court: No basis to depart; compensating Mehri at same market-based method as co-counsel was not an abuse of discretion |
Key Cases Cited
- National Association of Concerned Veterans v. Secretary of Defense, 675 F.2d 1319 (D.C. Cir. 1982) (earlier direction on proving market rates)
- Hensley v. Eckerhart, 461 U.S. 424 (1983) (avoid turning fee calculation into second major litigation)
- Blum v. Stenson, 465 U.S. 886 (1984) (reasonable fees = rates prevailing in the community for similar services)
- Laffey v. Northwest Airlines, Inc., 572 F. Supp. 354 (D.D.C. 1983) (origin of the Laffey matrix for complex federal litigation)
- Save Our Cumberland Mountains, Inc. v. Hodel, 857 F.2d 1516 (D.C. Cir. 1988) (commending Laffey matrix use and updates)
- Covington v. District of Columbia, 57 F.3d 1101 (D.C. Cir. 1995) (burden-shifting framework; matrices as starting points)
- Eley v. District of Columbia, 793 F.3d 97 (D.C. Cir. 2015) (focus on comparators doing the same type of litigation)
- Salazar v. District of Columbia, 809 F.3d 58 (D.C. Cir. 2015) (LSI-adjusted Laffey supported by record; burden-shifting application)
- Reed v. District of Columbia, 843 F.3d 517 (D.C. Cir. 2016) (distinguishing individual administrative IDEA cases from complex federal litigation)
- Kattan ex rel. Thomas v. District of Columbia, 995 F.2d 274 (D.C. Cir. 1993) (reversal standard for fee-rate findings)
- Anderson v. Bessemer City, 470 U.S. 564 (1985) (Rule 52(a) clear-error standard for factual findings)
