Stephen Wayne Williams v. Traylor-Massman-Weeks, LLC
2:10-cv-02309
E.D. La.Mar 20, 2013Background
- Shaw was retained by the U.S. Army Corps of Engineers to oversee the Inner Harbor Navigational Project and contracted with Eustis and TMW as subcontractors.
- Shaw and Eustis entered a Work Agreement on July 12, 2008 that required Eustis to defend, indemnify, and hold Shaw harmless and release Shaw from most liabilities.
- Plaintiff Stephen Williams, an Eustis employee, was injured on the Project and sued Shaw, TMW, and Eustis.
- Shaw moved for summary judgment against Williams, arguing Shaw bore no liability for independent contractors; the court granted this motion on July 19, 2011.
- Shaw then moved for Eustis to defend and indemnify Shaw; the court granted this motion on July 20, 2011, and issued a Rule 54(b) final judgment against Eustis on October 19, 2011.
- Shaw seeks attorney’s fees and costs from Eustis totaling $87,745.15 to defend and indemnify Shaw; the court granted the motion as timely and referred the fee scope and reasonableness to a magistrate judge.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Shaw’s attorney’s fees motion was timely. | Williams maintains the fees were timely under contract and related to indemnity. | Eustis argues the fee request was untimely. | Timely as to contractual entitlement to fees. |
| Scope and reasonableness of the requested attorney’s fees. | Shaw seeks full defense costs and fees under the indemnity provision. | Fees should be limited to reasonable amounts under the contract and applicable law. | Referral to Magistrate Judge for determination of scope and reasonableness. |
Key Cases Cited
- Corbitt v. Diamond M. Drilling Co., 654 F.2d 329 (5th Cir. 1981) (indemnity includes costs and attorney fees within contemplation of parties)
- Lirette v. Popich Bros. Water Transp., Inc., 699 F.2d 725 (5th Cir. 1983) (duty to indemnify includes defense costs and attorney fees)
- Signal Oil & Gas Co. v. Barge W-701, 654 F.2d 1164 (5th Cir. 1981) (indemnity covers costs and attorney fees in defense)
- Engel v. Teleprompter Corp., 732 F.2d 1238 (2d Cir. 1984) (fee awards allowed when contract provides for fees despite deadlines)