Hendricks v. Starkist Co
4:13-cv-00729
N.D. Cal.May 25, 2017Background
- Plaintiff Hendricks settled a class action with Starkist for $12 million ($8M cash, $4M vouchers); court approved $3,445,012.35 in attorneys’ fees, $155,779.96 in expenses, and $5,000 service award; final approval and judgment entered Sept. 29, 2016.
- The court previously awarded objectors Moore and Gore $154,987.65, deducted from class counsel’s fee award.
- Objector Eric Lindberg moved after judgment for $102,000 in attorneys’ fees (Florida and California counsel), $2,845.30 in costs, and a $1,000 incentive award, asking these be paid from the common fund and deducted from class counsel’s fee award.
- Plaintiff and Defendant opposed Lindberg’s motion; Lindberg filed a reply. Several parties (including Lindberg and Plaintiff) filed notices of appeal from the final approval order and/or judgment while the fee motion was pending.
- The court denied Lindberg’s motion on two independent grounds: (1) it was effectively a motion for reconsideration in violation of Local Rule 7-9, and (2) the court lacked jurisdiction because the final approval order was on appeal and the requested relief would alter that order.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Lindberg’s post-judgment fee motion was procedurally proper | Motion was permissible to reallocate fees from common fund | Motion is a disguised motion for reconsideration and violated Local Rule 7-9 | Denied: motion was effectively for reconsideration, filed without required leave and after judgment; final order not interlocutory |
| Whether the court had jurisdiction to grant the motion after notices of appeal | Granting fees is collateral and district court retains jurisdiction | Appeal divests district court where relief would alter appealed final approval order | Denied: appeals divested district court because granting relief would amend the order on appeal |
| Whether an attorneys’ fees request here is collateral to the merits | Fees are collateral and can be decided post-judgment | Fees would alter allocation decided in the appealed final approval order | Denied: fees request was not collateral because it sought to augment the order on appeal |
| Whether the court should exercise discretion to deny relief while appeal pending | Motion merits separate consideration despite appeal | Court may deny relief when appeal divests jurisdiction | Denied: court exercised discretion to refuse relief under these circumstances |
Key Cases Cited
- Griggs v. Provident Consumer Disc. Co., 459 U.S. 56 (appeal divests district court of control over matters involved in the appeal)
- Budinich v. Becton Dickinson & Co., 486 U.S. 196 (distinguishing when fee determinations are collateral versus part of the merits)
