Christine A. CUMMINGS; Janet Taylor Darvas; Richard K. Dehart; Christopher Garbani; Patricia A. McCumsey; Daniel Nowalis; Claudia Stewart, Plaintiffs-Appellants, and
Mona Yassa, Plaintiff,
v.
Kathleen CONNELL, Controller, State of California; Marty Morgenstern, Director California Department of Personnel Administration; California
State Employees Association, Local 1000; Local 1000 Service Employees International Union, AFL-CIO-CLC, Defendants-Appellees.
Christine A. Cummings; Janet Taylor Darvas; Richard K. Dehart; Christopher Garbani; Patricia A. McCumsey; Daniel Nowalis; Claudia Stewart; Mona Yassa, Plaintiffs-Appellees,
v.
Kathleen Connell, Controller, State of California; Marty Morgenstern, Director California Department of Personnel Administration, Defendants, and
California State Employees Association, Local 1000; Local 1000 Service Employees International Union, AFL-CIO-CLC, Defendants-Appellants.
Christine A. Cummings; Janet Taylor Darvas; Richard K. Dehart; Christopher Garbani; Patricia A. McCumsey; Daniel Nowalis; Claudia Stewart, Plaintiffs-Appellants, and
Mona Yassa, Plaintiff,
v.
Kathleen Connell, Controller, State of California; Marty Morgenstern, Director California Department of Personnel Administration; California State Employees Association, Local 1000; Local 1000 Service Employees International Union, AFL-CIO-CLC, Defendants-Appellees.
No. 03-17095.
No. 04-15154.
No. 04-15186.
United States Court of Appeals, Ninth Circuit.
Argued and Submitted February 14, 2005.
Filed March 29, 2005.
COPYRIGHT MATERIAL OMITTED COPYRIGHT MATERIAL OMITTED Jeffrey B. Demain and Eileen B. Goldsmith, Altshuler, Berzon, Nussbaum, Rubin & Demain, San Francisco, CA, for the defendant-appellee/appellant/cross-appellee.
W. James Young, National Right to Work Legal Defense Foundation, Inc., Springfield, VA, for the plaintiffs-appellants/appellees/cross-appellants.
Appeal from the United States District Court for the Eastern District of California William B. Shubb, Chief Judge, Presiding. D.C. No. CV-99-02176-WBS.
Before: ALARCON, SILER,* and SILVERMAN, Circuit Judges.
SILVERMAN, Circuit Judge.
We hold today that when nominal damages are awarded in a civil rights class action, every member of the class whose constitutional rights were violated is entitled to nominal damages. An award of nominal damages to only the named class representatives fails to appreciate the difference between a class action and a conventional lawsuit.
We also hold that, pursuant to Ninth Circuit Rule 39-1.6, a request for attorney's fees incurred on appeal must be made to us, not to the district court. The district court is not authorized to award attorney's fees for an appeal unless we transfer the fee request to the district court for consideration.
I. Facts
This is the second time this case has been on appeal. A detailed description of the facts underlying this case is set out in Cummings v. Connell,
In Cummings I, we affirmed the district court's certification of the class. We also affirmed the court's ruling that the Union's first Hudson notice was defective for failing to include verifications of the withholding calculations. However, we reversed as over-broad the award of restitution of the nonchargeable portion of the fee to all class members, including to those who did not object to any of the notices. We said:
We agree with the Union, however, that the district court went too far in ordering partial restitution to all class members. Ordinarily, if there is a proper Hudson notice, the employee has the burden to object to paying the full nonmember fee, and only then is entitled to a refund of the nonchargeable portion of the fee.
* * *
In this case, the nonmembers all eventually received notices with sufficient information under Hudson, and a renewed opportunity to object and receive their money back with interest. We fail to see how plaintiffs suffered any compensable harm (aside from nominal damages) from the initial defective notice.
* * *
On remand, the district court should reconsider the issue of attorneys' fees and costs to determine whether further reduction is appropriate in light of our decision regarding the proper remedy for the Hudson violation.
On remand, the district court made two rulings that are now before us on appeal. The first one concerned the award of nominal damages. The court ruled that in light of our opinion in Cummings I"the issue of whether plaintiffs suffered an injury entitling them to nominal damages is not a matter of dispute."
The second one concerned attorney's fees. Following the entry of the amended judgment, plaintiffs renewed their request for attorneys' fees and costs, seeking roughly $194,237. After taking into consideration plaintiffs' limited success on appeal and deducting all fees associated with the unsuccessful chargeability cause of action, the court awarded a total of $94,369.42. This figure represented approximately $65,052 for attorneys' fees and costs incurred in the district court for the pre- and post-appeal phases of the case. Of particular significance, it also included approximately $29,318 for fees and expenses incurred on appeal. The parties cross-appeal the fees and costs order.
II. Discussion
A. Nominal Damages Award
(1) Award of Nominal Damages to Class Representatives v. All Class Members
The district court declined to award each class member $1.00 because the total award against the Union would be $37,000, which the court found to be substantial.4 As already mentioned, the court awarded a total of $7.00, $1.00 to each of the class representatives. Plaintiffs contend that each member of the plaintiff class had been subjected to a constitutional violation, and thus each member should receive nominal damages; to do otherwise, fails to vindicate the rights of the other class members and disregards the purpose of class action litigation. The Union counters that where, as here, the plaintiff class is large, awarding even a $1.00 to each class member offends the purpose underlying nominal damages.
Under § 1983, damages for violations of constitutional rights are determined according to principles derived from the common law of torts. See, e.g., Memphis Cmty. Sch. Dist. v. Stachura,
Common-law courts traditionally have vindicated deprivations of certain "absolute" rights that are not shown to have caused actual injury through the award of a nominal sum of money. By making the deprivation of such rights actionable for nominal damages without proof of actual injury, the law recognizes the importance to organized society that those rights be scrupulously observed; but at the same time, it remains true to the principle that substantial damages should be awarded only to compensate actual injury or, in the case of exemplary or punitive damages, to deter or punish malicious deprivations of right.
Carey,
Cummings I established that only nominal damages should have been awarded. However, on remand, the question remained "nominal damages awarded to whom?" Each class member? Or just the seven named class representatives?
In Harrington v. City of Albuquerque,
In Hohe v. Casey,
On the other hand, there are cases where the court granted the damages award to "the class," as opposed to each class member, as if "the class" existed as a distinct entity like a corporation or partnership. In Norwood v. Bain,
Finally, adding to the mix, is the apparently atypical position taken by the court in Callahan v. Sanders,
We agree with the approach taken by the courts that have recognized that each class member whose constitutional rights were violated is entitled to nominal damages. Once a class has been certified, there is no justification for awarding nominal damages to only the named class representatives. Class action litigation is a procedural mechanism designed to join multiple parties with similar or identical claims, so that they may seek redress in an efficient and expeditious manner. Eyak Native Village v. Exxon Corp.,
One of the goals of class action litigation is to save the resources of both the courts and the parties "by permitting an issue potentially affecting every [class member] to be litigated in an economical fashion under Rule 23." Califano v. Yamasaki,
Where a plaintiff proves a violation of constitutional rights, nominal damages must be awarded as a matter of law. Schneider v. County of San Diego,
We are unpersuaded by the Union's assertion that the class representative's function is to act as the symbol of the entire class, and in such a capacity, is appropriately awarded the symbolic $1.00 on behalf of the entire class. Awarding nominal damages to only the named class representatives results in a divergence of interests between the class representatives and the absent class members. This is in direct contravention of Rule 23.
Finally, and perhaps most importantly, the Union's assertion that only the class representatives should receive the damage award fails to appreciate the significance attached to the fact that a class was certified. The purpose of a class action is to obviate the need for all similarly situated persons to file separate lawsuits when impractical to do so. This purpose is defeated if only the named individuals recover nominal damages. It would also create the anomalous situation in which class members would be bound by a judgment if they lose, but can receive no individual vindication if they win.
Balancing the goals of class action litigation to make multi-party litigation expeditious and economic with the purpose underlying nominal damages to vindicate injury not resulting in actual harm, we conclude the district court erred by awarding damages to only the class representatives to the exclusion of the absent class members.
(2) Discrete Acts v. General Nominal Damages Award
Plaintiffs also take issue with the district court's refusal to award separate nominal damages of $1.00 for each of the seventeen acts that resulted in a constitutional violation of the nonmembers' rights. Plaintiffs maintain that it was the involuntary taking of the nonmembers' wages that resulted in a violation of the employees' constitutional rights, and accordingly, each separate seizure must be remedied by a separate award of nominal damages — in this case totaling not $1.00, but $17.00 per person.
In Redding v. Fairman,
Nominal damages are not compensation for loss or injury, but rather recognition of a violation of rights. Nominal damages do not measure anything. The plaintiff's argument must be rejected; we will not disturb the district court's decision to award only $1 nominal damages.
Id. This reasoning is persuasive. An award of nominal damages is intended to serve as a symbol that defendant's conduct resulted in a technical, as opposed to injurious, violation of plaintiff's rights. Carey,
Nominal damages exist as a purely "symbolic vindication of [a] constitutional right." Schneider,
B. Attorneys' Fees and Costs
Pursuant to the Civil Rights Attorney's Fees Awards Act of 1976, 42 U.S.C. § 1988, a district court has the authority to award reasonable attorney's fees to the prevailing party in a § 1983 case. City of Riverside v. Rivera,
Following entry of the nominal damages award on remand, plaintiffs filed a request for attorneys' fees and cost for work performed during: (1) the pre-appeal district court proceedings, (2) the appeal before this Court in Cummings I, and (3) all post-appeal proceedings. Plaintiffs requested a total amount of $194,236.69. The Union objected, and suggested that $6,753 was reasonable. The district court ultimately granted plaintiffs a total award of $94,369.42, after taking into consideration plaintiffs' limited success on appeal, and deducting all fees associated with the chargeability claim. Both parties oppose the court's award on a handful of grounds.
(1) Attorneys' Fees and Expenses Incurred Before the District Court
A plaintiff requesting attorney's fees pursuant to § 1988 must demonstrate that it is the "prevailing party" to support such a request. The Supreme Court has clarified that "a plaintiff who wins nominal damages is a prevailing party under § 1988." Farrar v. Hobby,
In Farrar, the Supreme Court addressed the reasonableness of fees awarded pursuant to § 1988 in a case where plaintiffs sought $17 million in compensatory damages and received only one dollar in nominal damages. The Court held that "[w]hen a plaintiff recovers only nominal damages because of his failure to prove an essential element of his claim for monetary relief, the only reasonable fee is usually no fee at all." Farrar,
Where the district court properly has weighed the foregoing factors, the resulting award is not an abuse of its discretion. Cf. Norris v. Sysco Corp.,
The district court expressly premised its award of attorneys' fees on plaintiffs' recovery of only $7.00. In light of our holding on the nominal damages issue, we remand for recalculation of the portions of the fee award that are related to pre-trial and post-remand work performed before the district court.
(2) Attorneys' Fees and Expenses Incurred On Appeal
The Union contends that the district court's award of attorneys' fees and expenses for services rendered in the previous appeal, Cummings I, should be reversed because plaintiffs failed to file their request with the court of appeals as required by Ninth Circuit Rule 39-1.6. We agree.
Ninth Circuit Rule 39-1.6 states that
a request for attorneys fees ... shall be filed with the Clerk... within 14 days from the expiration of the period within which a petition for rehearing or suggestion for rehearing en banc may be filed, unless a timely petition for rehearing or suggestion for rehearing en banc is filed.
Plaintiffs' application for attorneys' fees and expenses incurred on appeal in Cummings I should have been filed with the Clerk of the Ninth Circuit. Ninth Circuit Rule 39-1.85 authorizes us to transfer a timely-filed fees-on-appeal request to the district court for consideration, but the decision to permit the district court to handle the matter rests with the court of appeals. In the absence of such a transfer, the district court was not authorized to rule on the request for appellate attorney's fees. Cf. Martin v. Nickels & Dimes, Inc.,
III. Conclusion
We reverse the district court's award of nominal damages and remand for the court to issue a new nominal damages award consistent with this opinion. In addition, we reverse the district court's award of attorneys' fees and costs incurred during the first appeal. Finally, we reverse the award of attorneys' fees and costs incurred during the district court portion of the proceedings, and remand for redetermination in light of the new nominal damages award.
The parties shall bear their own fees, expenses and costs incurred in this appeal.
REVERSED and REMANDED.
Notes:
Notes
The Honorable Eugene E. Siler, Jr., Senior United States Circuit Judge for the Sixth Circuit, sitting by designation
Because all employees benefit from a union's representation during the collective bargaining process, the Supreme Court has held that nonunion members constitutionally may be compelled to contribute their pro rata share of the costs incurred in obtaining the benefits of representationSee Abood v. Detroit Bd. of Educ.,
Both federal and California law entitle nonunion members to a refund, upon request, of that portion of the fair share fee that is not related to the union's representational activitiesSee Hudson,
The court certified the class as constituting "All former, current, and future State of California employees employed in Bargaining Units 1, 3, 4, 11, 14, 15, 17, 20, and 21 who are, have been, or will be represented exclusively for purposes of collective bargaining by CSEA, but who are not, were not, or will not be members of CSEA, and were (after 2 March 1999), are, and/or will be nevertheless required to pay agency fees to CSEA as a condition of continued State employment."
The court additionally "considered and rejected the idea of awarding nominal damages of something less than $1.00 to each class member. E.g. an award of 1 cent per class member would result in a total award of only $370. However, it would cost defendants as much to cut 37,000 checks for $.01 each as it would to cut 37,000 checks for $1.00 each, and the court believes that an award of one penny would more trivialize plaintiffs' constitutional rights than vindicate them."
Ninth Circuit Rule 39-1.8 states:
Any party who is or may be eligible for attorneys fees on appeal to this Court may, within the time permitted in Circuit Rule 39-1.6, file a motion to transfer consideration of attorneys fees on appeal to the district court or administrative agency from which the appeal was taken.
We also note that plaintiffs' request was filed way out of time — nine months after time for filing a petition for rehearing or suggestion for rehearing en banc had expiredSee Ninth Cir. Rule 39-1.6.
