MEMORANDUM OPINION AND ORDER ON DEFENDANT’S PARTIAL MOTION FOR JUDGMENT AS A MATTER OF LAW OR IN THE ALTERNATIVE, MOTION FOR PARTIAL NEW TRIAL OR REMITTITUR OF PUNITIVE DAMAGES VERDICT AND JUDGMENT; PLAINTIFFS’ MOTION TO MAKE ADDITIONAL FINDINGS; AND PLAINTIFFS’ APPLICATION FOR ATTORNEY’S FEES
I. FACTUAL AND PROCEDURAL BACKGROUND.848
II. LEGAL ANALYSIS.852
A. Motion For Partial Judgment As A Matter of Law.852
1. Arguments of the Parties.852
2. Standards.853
a. Rule 50.853
b. Rule 51.858
3. Plain Error Review.859
a. Employer liability .860
b. Jury instructions .863
B. Motion For Partial New Trial or Remittitur .866
1. Standards.866
a. Rule 59.866
b. Constitutionally excessive verdict v. remittitur.867
2. New trial.868
3. Remittitur.!_870
4. Constitutionality.870
a. Standard.870
b. Analysis under the Gore guideposts.871
i. Reprehensibility .872
ii. Proportionality.873
Hi. Comparable civil or criminal penalties.875
iv. Resolution.876
C. Plaintiffs’ Motion to Make Additional Findings.876
D. Plaintiffs ’ Application For Attorney’s Fees.880
1. Applicable Standards.881
2. Reasonable hourly rate.881
3. Hours reasonably expended.883
4. Recoverable costs and expenses .885
III. CONCLUSION.885
After a two-day jury trial in this racial discrimination in a public accommodation case at a local Sioux City restaurant, the jury returned a verdict in favor of the four individual plaintiffs. The jury awarded each plaintiff $1.00 in nominal damages and $12,500.00 in punitive damages. The jury apparently determined that the plaintiffs did not suffer any emotional distress damages resulting from the defendant’s unlawful conduct. A number of post-trial motions followed the jury’s disposition of this case. The defendant takes issue with the amount of punitive damages awarded, in relationship to the amount of compensatory damages awarded, and seeks judgment as a matter of law and/or a new trial on the issue of punitive damages, or alternatively that the court order a remittitur of the punitive damages. Predictably, the plaintiffs resist the defendant’s motion on all grounds. Also at issue are the plaintiffs’ application for attorney’s fees and costs and the plaintiffs’ motion requesting the court amend the judgment and order injunctive relief. Both of plaintiffs’ motions are resisted by the defendant.
I. FACTUAL AND PROCEDURAL BACKGROUND 1
This case stems from a single incident occurring at The Horizons Family Restau
Upon entering The Horizons Family Restaurant the plaintiffs were greeted by a host. The plaintiffs formed a single file line behind the host, and the host began to lead the plaintiffs over to a particular section of the restaurant to be seated. As the group, following the hostess, approached the section the waiter for that section stood up in front of the hostess, spread his arms out so as to block passage into the section, and told the hostess: “I told you about bringing all these niggers over here.” The host stepped back and asked the waiter to repeat himself, to which the waiter repeated what he had just said. The plaintiffs’ immediate responses to these comments were varied; Donald McNeal and Tonyell McNeal turned away and stood off to the side, while Kenneth Sherman and Ricky Warren held Armondo Barker back from attempting to physically harm the waiter. The waiter then made a comment to the effect of “that is what’s wrong with you people.” Those present to witness the incident included the host, the waiter, the shift supervisor and an off-duty police officer. Sioux City Police Officer David Mentzer, who was off-duty at the time but was contracted by The Horizons Family Restaurant to provide private security at the restaurant on the overnight shift on that night, testified that he overheard the waiter say the following to the plaintiffs: “we don’t serve your kind here.” The host proceeded to seat the plaintiffs in another section of the restaurant. Tonyell McNeal, visibly upset by what had transpired, left almost immediately after the group was seated. The plaintiffs then witnessed the host go back over and approach the waiter about his actions — the two apparently got in a mild shoving match over the issue. The plaintiffs testified that the host was upset, and questioned why the waiter called the plaintiffs ‘niggers.’ Officer Mentzer broke up the scuffle.
6
Officer
Apparently, after the plaintiffs were seated and approached by Officer Mentzer, word of the incident had spread to other restaurant employees working that night. The plaintiff Donald McNeal testified that the host’s wife, who was working in the kitchen, came out from the kitchen and started yelling and screaming at the supervisor — she was apparently upset because this particular waiter had previously made racially derogatory comments to her, her husband, and others working in the kitchen and she was wondering how long the supervisor would just sit by and let it continue to happen. Donald McNeal also testified that a cook, who was also African American, came out of the kitchen and started speaking to the supervisor about how everyone in the restaurant knew that the waiter was inclined to make racially derogatory remarks, and wondered if the fact that the waiter had now used them towards customers would spur some response on the part of management. The supervisor told both the cook and the host’s wife to go back to what they were doing.
The supervisor then approached the plaintiffs’ table and explained that the waiter’s conduct was unacceptable, that the waiter would be fired and that he would take care of it that instant. The supervisor then gave the plaintiffs each a menu and informed them that their meals would be free. However, despite the promises of the supervisor, the plaintiffs never saw the supervisor approach the offending waiter — in fact, the offending waiter continued to work in his section for the duration of the time that the plaintiffs remained at The Horizons Family Restaurant that morning.
Each of the plaintiffs testified that at the time they arrived at the restaurant both sections of the restaurant, the section manned by the offending waiter and the section they were actually seated in, had seating available to accommodate their party of five. After the plaintiffs were seated they noticed a segregated seating arrangement being implemented. Specifically, the plaintiffs noted that Mexican customers and an interracial couple were all seated in the same area as the plaintiffs, while four Caucasian patrons were seated in the section worked by the offending waiter. When these other patrons were seated there, again, was ample room in either section to seat them.
Each of the plaintiffs ordered something, though not many of them ate any substantial amount. The remaining group — Donald McNeal, Armondo Barker and Kenneth Sherman — stayed at the restaurant for approximately 30-45 minutes before leaving. After leaving the restaurant, Donald McNeal, Armondo Barker and Kenneth Sherman went over to Donald McNeal’s home to discuss what had just taken place. Tonyell McNeal joined the other three plaintiffs at Donald McNeal’s house at a later time. None of the plaintiffs ever filed an official complaint with the police department.
Nick Kasotakis, the owner of The Horizons Family Restaurant, was not present at the time of this incident on the morning of June 23, 2001.
Five or six months after the incident occurred, Donald McNeal returned to The Horizons Family Restaurant to see if the offending waiter was still working there— to see if the supervisor had fired him like he claimed he would. Donald McNeal entered the restaurant, observed the offending waiter working, and left.
In June 2002, after obtaining a right to sue letter from the Iowa Civil Rights
On March 1, 2004, the defendant filed its Partial Motion for Judgment as a Matter of Law or in the Alternative, Motion for Partial New Trial or Remittitur or Punitive Damages Verdict and Judgment (Doc. No. 26) — in which the defendant takes issue with the punitive damages award asserting that it was not supported by substantial evidence, and that it is grossly excessive and a constitutional violation of the Fourteenth Amendment. 11 To remedy these alleged maladies the defendant requests either judgment as a matter of law, a partial new trial on the issue of punitive damages, or a remittitur. The plaintiffs filed a resistance wholly resisting the defendant’s motion on March 11, 2004. (Doc. No. 31). Additionally, the plaintiffs filed a Motion to Make Additiional 12 Findings, which requests the court, in light of the jury verdict in the plaintiffs’ favor, to order injunctive relief and require the defendant to provide proof that it trains all of its employees not to provide substandard service to patrons of minority races, or subject patrons of minority races to derogatory remarks. (Doc. No. 27). The defendant filed a resistance to the plaintiffs motion on March 17, 2004. (Doc. No. 33). Finally, the plaintiffs filed a Motion for Attorneys Fees on March 12, 2004, which requests the court order the defendant pay the plaintiffs’ attorney’s fees and costs pursuant to 42 U.S.C. § 1988. (Doc. No. 32). On March 29, 2004, Mr. Jay Denne of Munger, Reinschmidt & Denne, L.L.P., in Sioux City, Iowa, entered an appearance as co-counsel on behalf of the defendant. (Doc. No. 35). Also on March 29, 2004, the defendant filed a resistance to the plaintiffs’ application for attorney’s fees. (Doc. No. 36).
Oral argument on these matters was held on April 8, 2004. At oral argument, plaintiffs Kenneth Sherman, Donald MeNeal and Armondo Barker were represented by Shelley A. Horak, of Horak and Associates in Sioux City, Iowa. Plaintiff Tonyell MeNeal was represented by Robert Tiefenthaler, of Tiefenthaler Law Office, P.C., in Sioux City, Iowa. The defendant was represented by Brian Vakulskas, of Vakulskas & Hoffmeyer, in Sioux City, Iowa, and Jay Denne of Munger, Reinsch-midt & Denne in Sioux City, Iowa. The matter is now fully submitted and ready for determination by this court.
II. LEGAL ANALYSIS
A. Motion For Partial Judgment As A Matter of Law
1. Arguments of the Parties
The defendant contends that there was insufficient evidence presented at trial to support the award of punitive damages in the amount of $12,500.00 for each plaintiff, and therefore it is entitled to judgment as a matter of law with regard to the issue of punitive damages. Specifically, the defendant asserts that the law imposes more stringent requirements for assessing punitive damages against a principal for the acts of its agent than the general law imposing liability upon an employer or principal. Defendant cites the United States Supreme Court case of
Kolstad v. ADA
The plaintiffs counter the defendant’s position by stating that agency principles do not restrict the punitive damages awarded in this case. Specifically, the plaintiffs point out that there is no authority for the defendant’s position that
Kol-stad,
a Title VII employment discrimination case, should be applied with equal force to a public accommodations case under 42 U.S.C. § 1981. To the contrary, the plaintiffs assert that the courts have applied a different standard to consumer cases — and that the final jury instruction on punitive damages, to which the defendant
did not object,
is a correct statement of the law. The plaintiff points to the case of
Arguello v. Conoco, Inc.,
2. Standards
a. Rule 50
Rule 50 of the Federal Rules of Civil Procedure outlines the standards for a mo
(a) Judgment as a Matter of Law.
(1) If during the trial by jury a party has been fully heard on an issue and there is no legally sufficient evidentiary basis for a reasonable jury to find for that party on that issue, the court may determine the issue against that party and may grant a motion for judgment as a matter of law against that party with respect to a claim or defense that cannot under the controlling law be maintained or defeated without a favorable finding on that issue.
(2) Motions for judgment as a matter of law may be made at any time before the submission of the case to the jury. Such a motion shall specify the judgment sought and the law and the facts on which the moving party is entitled to the judgment.
(b) Renewing Motion for Judgment After Trial; Alternative Motion for New Trial. If, for any reason, the court does not grant a motion for judgment as a matter of law made at the close of all the evidence, the court is considered to have submitted the action to jury subject to the court’s later deciding the legal questions raised by the motion. The movant may renew its request for judgment as a matter of law by filing a motion no later than 10 days after entry of judgment — and may alternatively request a new trial or join a motion for a new trial under Rule 59. In ruling on a renewed motion, the court may:
(1) if a verdict was returned:
(A) allow the judgment to stand,
(B) order a new trial, or
(C) direct entry of judgment as a matter of law; or
(2) if no verdict was returned;
(A) order a new trial, or
(B) direct entry of judgment as a matter of law.
Fed. R. Civ. P. 50(a)-(b) (2004).
In reviewing a motion for judgment as a matter of law the court is required to:
consider the evidence in the light most favorable to the prevailing party, assume that the jury resolved all conflicts of evidence in favor of that party, assume as true all facts which the prevailing party’s evidence tended to prove, give the prevailing party the benefit of all favorable inferences which may reasonably be drawn from the facts, and deny the motion, if in light of the foregoing, reasonable jurors could differ as to the conclusion that could be drawn from the evidence.
Minneapolis Community Development Agency v. Lake Calhoun Associates,
While the court would normally apply the above recited standards to the defendant’s Rule 50 motion without further ado, the court must first address a matter raised by neither party: the fact that the defendant failed to comply with the requirements of Rule 50. At the end of the plaintiffs’ case, the defendant moved for what the defendant called a ‘motion to dismiss’ in which the defendant requested dismissal of the case on the grounds that the plaintiffs had made no showing of intentional discrimination on the part of Mr. Kasotakis d/b/a The Horizons Family Restaurant, and further that the plaintiffs presented no evidence of any damages they suffered as a result of the defendant’s acts. The court considered this argument and denied the defendant’s motion. Assuming that the defendant’s so styled oral ‘motion to dismiss’ constitutes adherence to Rule 50’s requirements, the fact remains that the defendant never renewed its motion before the submission of the case to the jury as required by Rule 50(b). See Fed. R. Civ. P. 50(b) (allowing post-trial motion for judgment as a matter of law where “the court does not grant a motion for judgment as a matter of law made at the close of all the evidence”).
The Eighth Circuit Court of Appeals has remained adamant in holding that judgment as a matter of law is unavailable to a party that fails to renew its motion:
It is well established that judgment as a matter of law following a jury verdict cannot be had by a party who fails to renew its motion, pursuant to rule 50(b), at the close of all the evidence. Interpretation of Rule 50(b) is set out by the Advisory Committee. See Fed. R. Civ. P. 50(b) advisory committee’s note (1963 Amendment) (“A motion for judgment notwithstanding the verdict will not lie unless it was preceded by a motion for a directed verdict made at the close of all the evidence.”); Fed. R. Civ. P. 50(b) advisory committee’s note (1991 Amendment) (“This provisions retains the concept of the former rule that the post-verdict motion is a renewal of an earlier motion made at the close of the evidence.”). This interpretation is cited by recognized authorities on federal practice and procedure. See 9 James Wm. Moore, et al., Moore’s Federal Practice §§ 50.20[3], 50.40[1], 50.91[1] (3d ed.2001). It is unanimously approved by the courts, including this circuit. See, e.g., Jackson v. City of St. Louis,220 F.3d 894 , 896 (8th Cir.2000); Duckworth v. Ford,83 F.3d 999 , 1001 (8th Cir.1996); Pulla v. Amoco Oil Co.,72 F.3d 648 , 655 (8th Cir.1995).
Mathieu v. Gopher News Co.,
“[T]he purpose of requiring the moving party to articulate the ground on which JMOL is sought ‘is to give the otherparty an opportunity to cure the defects in proof that might otherwise preclude him from taking the case to the jury.’ ” Galdieri-Ambrosini [v. Nat’l Realty & Dev. Corp.], 136 F.3d [276], 286 [(2d Cir.1998)] (citations omitted). If specificity is lacking, judgment as a matter of law may neither be granted by the district'court nor upheld on appeal unless that result is “required to prevent manifest injustice.” Cruz v. Local Union No. 3 of the Int'l Bhd. of Elec. Workers, 34. F.3d 1148, 1155 (2d Cir.1994). “ ‘[Technical precision is not necessary in stating grounds for the motion so long as the trial court is aware of the mov-ant’s position.’ ” Rockport Pharm., Inc. v. Digital Simplistics, Inc., 53 F.3d 195 , 197-98 (8th Cir.1995) (quoting Cortez v. Life Ins. Co. of N. Am,.,408 F.2d 500 , 503 (8th Cir.1969)). If colloquy between counsel and the trial court fleshes out the motion, it may provide the opposing party with the requisite notice. Galdi-eri-Ambrosini,136 F.3d at 287 . However, post-trial motion for judgment “may not advance additional grounds that were not raised in the pre-verdict motion.” Rockport Pharm.,53 F.3d at 197 .
Walsh v. Nat'l Computer Sys., Inc.,
Despite the Eighth Circuit’s reluctance to adopt exceptions to the requirements of Rule 50, it has recognized two exceptions. The first exception allows litigants to challenge a jury verdict without moving for judgment as a matter of law at the close of the evidence if: (1) their earlier Rule 50 motion closely preceded the close of all of the evidence; and (2) the court somehow indicated that the movant need not renew its motion in order to preserve its right to challenge the verdict.
BE & K Constr. Co. v. United Bhd. of Carpenters and Joiners of Am., AFL-CIO,
b. Rule 51
Alternatively, the defendant’s argument that agency law precludes the imposition of punitive damages on The Horizons Family Restaurant could also be viewed as an attack on the court’s instruction to the jury regarding punitive damages — which is how the plaintiffs viewed the defendant’s argument in their response to the defendant’s partial motion for judgment as a matter of law. Before looking at the relevant law, the court will establish the facts surrounding the issuance of jury instructions in this matter. On February 5, 2004, the parties jointly submitted proposed preliminary and final instructions — captioned “Parties Unified Proposed Preliminary and Final Instructions to the Jury.” (Doc. No. 11). Upon review, the court noted that the parties’ proposed instructions were cast in terms of 42 U.S.C. § 2000a — which was problematic to the court as Section 2000a only provides for injunctive relief, even though the plaintiffs sought compensatory and punitive damages. As the parties apparently agreed that all three claims boiled down to race discrimination in a public accommodation, and all of the claims involved essentially the same elements, the court recast the instructions in terms of Section 1981 and filed and submitted new Proposed Preliminary and Final Instructions to the parties along with a letter detailing the legal reasoning behind the court’s changes. (Doc. No. 15). The court, in its letter to counsel, addressed the ‘preliminary matter’ of the basis for an employer’s liability under § 1981 as follows:
Another “preliminary matter” is an issue mentioned in the parties’ proffers, but never explained, which is the basis for an employer’s liability under § 1981 for discriminatory conduct by employees. It appears from the parties’ submissions and briefs that they do not dispute that Mr. Kasotakis will be liable for discriminatory conduct of his employees on the basis that the employees were acting within the scope of their employment. See Arguello [v. Conoco, Inc.], 207 F.3d [803,] 803 [ (5th Cir.2000) ] (discussing employer liability under § 1981 for conduct of employees based on “agency” and “scope of employment” and inter alia, rejecting application of the El-leHh/Faragher affirmative defense to § 1981 claims in the “public accommodation” context, because the supervisory status of the discriminating employee is much less relevant than it is in the context of employment discrimination).
Court’s Letter to Counsel Regarding the Court’s Proposed Statement of the Case and Proposed Jury Instructions in
Sherman v. Kasotakis,
Case No. C 02-4047-MWB (N.D.Iowa) (02/13/04 VERSION), Doc. No. 15-2, at 3. The accompanying order gave the parties until 5:00 p.m. on Monday, February 16, 2004, to file any objections to the court’s proposed instructions or any different or additional instructions. (Doc. No. 15-1). Neither party filed any objections, or requests for additional or different instructions. On the morning of trial, before the trial commenced, the court gave both parties the opportunity, on the record, to make any objections they might have to the court’s proposed preliminary and final instructions — neither party objected and the preliminary instructions as drafted by the court were read to the jury. The court again gave the parties the opportunity to object, on the record, to the instructions after the submission of all the evidence but before the final instructions were read to the jury — again, there were no objections by either party and the final jury instruc
Federal Rule of Civil Procedure 51 governs jury instructions in a federal civil case. Under Rule 51, objections to jury instructions must be made on the record, state the matter objected to, and give the specific grounds upon which the objection is based.
See Dupre v. Fru-Con Eng’g, Inc.,
3. Plain Error Review
The defendant’s failure to comply with the requirements of Rule 50 and Rule 51 has caused the defendant to forfeit review under the normal standards prescribed by those rules, and has instead relegated the issues raised by the defendant in its partial motion for judgment as a matter of law to review only for plain error. “ ‘Plain error review is narrow and confined to the exceptional case where error has seriously affected the fairness, integrity, or public reputation of the judicial proceedings. The verdict should be reversed only if the error prejudices the substantial rights of a party and would result in a miscarriage of justice if left uncorrected.’ ”
BBSerCo, Inc. v. Metrix Co.,
a. Employer liability
The court turns first to a plain error review of the defendant’s motion for partial judgment as a matter of law. Because the defendant’s argument that agency principles preclude imposition of liability for the acts of its employee is based on the holding of
Kolstad,
that is where the court shall begin its plain error analysis. In
Kolstad
the United States Supreme Court looked to agency principles for assistance in determining when, in a Title VII case, punitive damages could be imputed to the employer for the misconduct of an employee.
Kolstad,
(a) the principal authorized the doing and the manner of the act, or
(b) the agent was unfit and the principal was reckless in employing him, or
(c) the agent was employed in a managerial capacity and was acting in the scope of employment, or
(d) the principal or a managerial agent of the principal ratified or approved the act.
Id.
at 542-43,
The court believes that the plaintiffs have a valid contention — that the standards for imposing liability against an employer for the acts of an employee differ depending on the context of the case. This case is a
consumer case
not an employment discrimination case. The court agrees with the logic employed by the Fifth Circuit Court of Appeals in
Arguello v. Conoco, Inc.,
In a public accommodation case such as this, the supervisory status of the discriminating employee is much less relevant than it is in an employment discrimination case....
Also, in a public accommodation case under § 1981, a rule that only actions by supervisors are imputed to the employer would result, in most cases, in a no liability rule. Unlike the employment context it is rare that in a public accommodation settings (sic) a consumer will be mistreated by a manager or supervisor. Most consumer encounters are between consumers and clerks who are non-supervisory employees.
Arguello,
The court is unable to find any case which sets forth the correct standards to use in determining whether
punitive damages
can be imposed against an employer for the intentional acts of a non-supervisory employee in a § 1981
consumer
case. It is understood that principles of agency govern the imposition of liability on a employer for the acts of an employee in a § 1981 case.
See Gen. Bldg. Contractors Ass’n, Inc. v. Pennsylvania,
However, the court need not delineate a dispositive set of factors for determining when an employer should be vicariously liable for punitive damages for the torts of a non-managerial employee at this juncture. The court submits that, viewing the facts in the light most favorable to the plaintiffs, the evidence supports the imposition of punitive damages against the defendant for its non-supervisory employee’s intentional conduct under Restatement (Second) of Agenoy § 217C without modification. Particularly the last option which allows for the imposition of punitive damages where “the principal or the managerial agent of the principal ratified or approved of the act.” Restatement (Second) of Agency § 2170(d);
see
Restatement (First) of Toets § 909(d) (1939) (allowing punitive damages against an employer where the employer or manager of the employer ratified or approved of the act). The defendant asserts that liability in the form of punitive damages cannot be levied against it under this alternative because “there was no evidence whatsoever that Mr. Kasotakis ratified the actions of his employee in any way.” Brief in Support of Defendant’s Partial Motion for Judgment as a Matter of Law or in the Alternative, Motion for Partial New Trial or Remittitur of Punitive Damages Verdict and Judgment (“Def.’s Brief’), Doc. No. 26, at 5. The court disagrees. First, according to
Although there is no fault on the part of a corporation or other employer, where a person acting in a managerial capacity either does an outrageous act or approves of such an act by a subordinate, the imposition of punitive damages upon the employer serves as a deterrent to the employment of unfit persons for important positions ....
Restatement (First) of Torts § 909 cmt. a (emphasis added). Therefore, even if Mr. Kasotakis is completely innocent in the matter, the fact that the supervisor/night manager
16
acted in such a way to signal
b. Jury instructions
The court now turns to a plain error analysis of the defendant’s inferred motion for partial judgment as a matter of law insofar as it implicates the instructions given to the jury. With regard to instructing a jury, the Eighth Circuit Court of Appeals has stated:
The trial court has “broad discretion” in instructing the jury. Ryther v. RARE 11,108 F.3d 832 , 846 (8th Cir.1997) (en banc) (citing Hastings v. Boston Mut. Life Ins. Co.,975 F.2d 506 , 510 (8th Cir.1992)), cert. denied,521 U.S. 1119 ,117 S.Ct. 2510 ,138 L.Ed.2d 1013 (1997). Instructions do not need to be technically perfect or even a model of clarity. Id. Rather, “[i]n reviewing jury instructions, this court must ‘determine whether the instruction[s] fairly and adequately state[ ] the applicable law when reading the instructions as a whole.’ ” Stockmen’s Livestock Mkt., Inc.,135 F.3d at 1245-46 (quoting First Dakota Nat’l Bank v. St. Paul Fire & Marine Ins. Co.,2 F.3d 801 , 813 (8th Cir.1993)); Dupre v. Fru-Con Eng’g, Inc.,112 F.3d 329 , 335 (8th Cir.1997) (‘“[Wjhen reviewing a claim of instructional error, we consider the instructions in their entirety and determine whether, when read as a whole, the charge fairly and adequately submits the issues to the jury,’ ” quoting Laubach v. Otis Elevator Co.,37 F.3d 427 , 429 (8th Cir.1994)); Slathar v. Sather Trucking Corp.,78 F.3d 415 , 418 (8th Cir.) (stating this standard of review), ce rt. denied,519 U.S. 867 ,117 S.Ct. 179 ,136 L.Ed.2d 118 (1996). Furthermore, before an appellant is entitled to any relief on the ground that the trial court erred in giving or not giving an instruction, the error must be prejudicial. Id.; Dupre,112 F.3d at 336 ; Walker v. AT & T Techs.,995 F.2d 846 , 849 (8th Cir.1993).
Cross,
At trial, Final Jury Instruction No. 2 instructed the jury on the elements of the plaintiffs’ claims:
Each of the plaintiffs contends that his treatment at The Horizons Family Restaurant on or about June 23, 2001, violated federal law, because it deprived him of the same right to contract for the services of the restaurant as is enjoyed by white citizens. To win his claim of “racial discrimination in services of a public restaurant,” each plaintiff must prove the following elements by the greater weight of the evidence:
One, the plaintiff is a member of a “protected class.”
The statute upon which each plaintiff bases his claim provides that all customers of a restaurant are entitled to the same treatment as “white citizens.” Therefore, to establish his claim, the plaintiff must be a member of a “protected class,” such as a nonwhite racial group. In this case, the parties do not dispute that the plaintiffs, all of whom are African Americans, are members of a “protected class” within the meaning of the statute.
Two, on or about June 23, 2001, the plaintiff sought the services of The Horizons Family Restaurant.
The parties do not dispute that each of the plaintiffs was present at The Horizons Family Restaurant on the date in question.
Three, the plaintiff did not receive the full benefits and services that a reasonable person would expect in that restaurant.
The “right to contract,” within the meaning of the statute upon which the plaintiffs base their claims, includes the right to “the enjoyment of benefits, privileges, terms, and conditions of the contractual relationship.” More specifically, it includes the right of all customers of a restaurant to receive more than just food. Thus, it includes the right to the same treatment in seating and services, the right to be free from hostile treatment based on race, and the right to be served in an atmosphere that a reasonable person would expect in the chosen place. For example, a plaintiff was deprived of the full benefits and services of the restaurant if, in view of all of the circumstances surrounding the incident, a reasonable person would have believed that he was required to sit in a certain section of the restaurant, while white customers were not.
Four, the plaintiff was intentionally deprived of the full benefits and services of the restaurant because of the plaintiffs race.
Each plaintiff must prove that he was subjected to intentional discrimination “because of race.” The plaintiffs race need not have been the only reason that he was deprived of the full benefits and services of the restaurant. Rather, his race must have played a part or played a role in the defendant’s employees’ decision to deprive the plaintiff of the full benefits and services of the restaurant.
You may find that the wrongful treatment of the plaintiff was “because of race” if you find, by the greater weight of the evidence, in light of all of the circumstances, including what was said or done by those present, that a reasonable person would conclude that wrongful treatment was because of the plaintiffs race. You may also find that wrongful treatment was “because of race” if you find, by the greater weight of the evidence, that a legitimate, non-discriminatory reason offered by the defendant for the treatment of the plaintiff is not the true reason, but is instead a pretext to hide discrimination because of the plaintiffs race.
However, you cannot find that the wrongful treatment was “because of race” simply because you find that the conduct of the defendant’s employees was poor business practice. Instead, the plaintiff must prove that a reason for the plaintiffs wrongful treatment was the plaintiffs race.
Unless a particular plaintiff proves all of these elements by the greater weight of the evidence, your verdict must be for the defendant on that plaintiffs claim. However, if you find that a particular plaintiff has proved all of these elements by the greater weight of the evidence, then that plaintiff is entitled to damages in some amount on his claim of racial discrimination in services of a public restaurant.
Preliminary and Final Jury Instructions, Doc. No. 20, at 21-23. Final Jury Instruc
In addition to the “compensatory” or “nominal” damages, described in Final Jury Instruction No. 5 and Final Jury Instruction No. 6, respectively, the law permits the jury, under certain circumstances, to award “punitive damages” in order to punish the defendant for some extraordinary misconduct and to serve as an example or warning to others not to engage in such conduct. Therefore, if you find that a plaintiff has proved his claim of racial discrimination in services of a public restaurant, then you must consider what, if any, punitive damages you should award. Whether or not to award punitive damages, and the amount of such punitive damages, are for you to decide.
You may award punitive damages to a particular plaintiff only if you find that plaintiff has proved the following by the greater weight of the evidence:
One, the defendant was callously and recklessly indifferent to the plaintiffs right not to be discriminated against in services of a public restaurant because of his race.
The defendant was callously and recklessly indifferent if the plaintiff proves by the greater weight of the evidence that the defendant knew that his employees’ conduct violated the law prohibiting racial discrimination in a public restaurant, but took no reasonable steps to prevent such conduct, or acted with reckless disregard of that law.
Two, it is appropriate to punish the defendant or to deter the defendant and others from permitting like conduct by his employees in the future.
In determining the amount of punitive damages, if any, to award, you should consider how offensive the defendant’s employees’ conduct was; whether the amount of punitive damages bears a reasonably relationship to the actual damages awarded on a particular plaintiffs claim; what sum is sufficient to deter other similar persons from similar wrongful conduct in the future; any circumstances of mitigation; and what amount is needed, considering the defendant’s financial condition, to punish the defendant for his employees’ wrongful conduct in the future, although the wealth of the defendant cannot justify an award that is not reasonably related to the offensiveness of the defendant’s employees’ conduct or out of reasonable proportion to the actual damages awarded to a particular plaintiff. Again, whether or not to award punitive damages, and the amount of such punitive damages, are for you to decide.
You may assess punitive damages in favor or one, some, or all of the plaintiffs, in the same or different amounts, or you may refuse to impose any punitive damages at all, based upon the evidence presented.
Preliminary and Final Jury Instructions, Doc. No. 20, at 28-29.
The instructions fairly and accurately stated the substantive law on the issues in conformity with the Eighth Circuit Model Jury Instructions in civil cases.
See
Eighth CiRCüit MAnual of Model Jury InstructioNS: Civil § 5.21 (2001) (requiring showing that defendant took some action against the plaintiff, and that plaintiffs race was a motivating factor in the decision to take such action, for the imposition of liability under § 1981);
Id.
§ 5.24 (allowing imposition of punitive damages where jury has found that defendant intentionally discriminated against plaintiff based on race or defendant was callously indifferent to the plaintiffs rights — further, stating that whether or not to award punitive damages is in sound discretion of
As there was no plain error in assessing punitive damages against the defendant for the acts of his agent, nor did plain error exist in the manner in which the jury was instructed, the defendant’s motion for partial judgment as a matter of law is denied.
B. Motion For Partial New Trial or Remittitur
1. Standards
a. Rule 59
Federal Rule of Civil Procedure 59, entitled “New Trials; Amendment of Judgments,” states, in relevant part, as follows:
(a) Grounds. A new trial may be granted to all or any of the parties and on all or part of the issues (1) in an action in which there has been a trial by jury, for any of the reasons for which new trials have heretofore been granted in actions at law in the courts in the United States....
Fed. R. Civ. P. 59(a). Regarding motions for new trial under Federal Rule of Civil Procedure 59, the Eighth Circuit Court of Appeals in
White v. Pence,
With respect to motions for new trial on the question of whether the verdict is against the weight of the evidence, we have stated: “In determining whether a verdict is against the weight of the evidence, the trial court can rely on its own reading of the evidence — it can ‘weigh the evidence, disbelieve witnesses, and grant a new trial even where there is substántial evidence to sustain a verdict.’ ” Ryan v. McDonough Power Equip.,734 F.2d 385 , 387 (8th Cir.1984) (citation omitted). Similar language appears in Brown [ex rel. Brown v. Syntex Labs., Inc.], 755 F.2d [668,] 671-73 [ (8th Cir.1985)]; Station [v. Martin K. Eby Constr. Co.], 506 F.2d [505], 508 n. 4 [(8th Cir.1974), cert. denied,421 U.S. 931 ,95 S.Ct. 1657 ,44 L.Ed.2d 88 (1975)]; Bates [v. Hensley], 414 F.2d [1006], 1011 [ (8th Cir.1969)], and early authority cited in Bates. See also Leichihman v. Pickwick Int’l,814 F.2d 1263 , 1266 (8th Cir.), cert. denied, 484 U.S.855, 108 S.Ct. 161 ,98 L.Ed.2d 116 (1987). These cases establish the fundamental process or methodology to be applied by the district court in considering new trial motions and are in contrast to those procedures governing motions for j.rno.v.
Id.
at 780. Thus, the court in
Pence
concluded the district court may grant a new trial on the basis that the verdict is against the weight of the evidence, if the first trial results in a miscarriage of justice.
Id.; see also Ogden v. Wax Works, Inc.,
Though the defendant’s motion for a partial new trial argues
only
that the punitive damages award was excessive as a matter of law, and does not seek a new trial on the grounds that the jury’s findings were against the great weight of the evidence, “[district courts must undertake an independent review of the evidence to determine whether it supports punitive damages.”
Gorman v. Easley,
b. Constitutionally excessive verdict v. remittitur
Before analyzing the issues at hand, the court would like to take a moment to clarify the differences between two of the remedies requested by the defendant: a reduction in the punitive damages award to comport with due process and a remittitur. As the Eleventh Circuit Court of Appeals has aptly explained:
A constitutionally reduced verdict ... is really not a remittitur at all. A remitti-tur is a substitution of the court’s judgment for that of the jury regarding the appropriate award of damages. The court orders a remittitur when it believes the jury’s award is unreasonable on the facts. A constitutional reduction, on the other hand, is a determination that the law does not permit the award. Unlike a remittitur, which is discretionary with the court ... a court has a mandatory duty to correct an unconstitutionally excessive verdict so that it conforms to the requirements of the due process clause.
Johansen v. Combustion Eng’g, Inc.,
A district court has a mandatory duty to correct unconstitutionally excessive verdicts to conform with the requirements of the due process clause.
Ross v. Kansas City Power & Light Co.,
In contrast, a remittitur is ordered “only when the verdict is so grossly excessive as to shock the conscience of the court.”
Ouachita Nat’l Bank v. Tosco Corp.,
With these concepts in mind, the court turns to each of the three matters to be considered: (1) Was the verdict, with regard to punitive damages, against the greater weight of the evidence?; (2) Should a remittitur be ordered?; and (3) Is the punitive damages award unconstitutionally excessive?
2. New trial
“When considering whether to grant or deny a motion for new trial, a district court must consider whether the verdict is against the weight of the evidence and if allowing it to stand would result in a miscarriage of justice.”
Adzick v. UNUM
After reviewing the matter the court finds that the jury’s verdict of punitive damages in the amount of $12,500.00 per plaintiff was not against the great weight of the evidence — nor does the award result in a miscarriage of justice. There was evidence presented at trial that would support a finding that the defendant acted with callousness, or reckless indifference, to the plaintiffs’ federally protected right not to be discriminated against in seeking the services of a public accommodation. The plaintiffs testified that after they were seated in the “minority” section of the restaurant two employees went up to the night manager/supervisor and asked him how much longer he was going to tolerate this discriminatory behavior on the part of the offending waiter. Further, the plaintiffs testified that although the supervisor said he would immediately ‘take care’ of the matter by firing the waiter on the spot — the supervisor never approached the waiter, and in fact, the waiter continued to work throughout the plaintiffs’ stay at the restaurant. As discussed
supra
II. A.3.a this acceptance or ratification on the part of an employee vested with managerial or supervisory capacity can be imputed to the defendant. There was also evidence that the defendant knew of the waiter’s discriminatory proclivity — Mr. Kasotakis himself testified that he ‘assumed,’ when he heard there was an incident involving four African American customers, that the incident was racial in nature. Mr. Kaso-takis also could give no clear reason as to his motivation for asking if the waiter had called the customers “niggers” or used racially insensitive language, in light of his assertion that no one had told him the incident involved the plaintiffs’ race. When asked sensitive or difficult questions on the stand, Mr. Kasotakis became hostile, defensive, and at one point argumentative — the posture of this testimony could reasonably have led the jury to question Mr. Kasotakis’s credibility, and disbelieve his explanation of events. Further, the amount of the punitive damages award is not so high that the court would conclude that it was the result of passion and prejudice.
See Parsons,
3. Remittitur
Second, the defendant argues that even if its motion for partial judgment as a matter of law and partial motion for new trial are not granted, it is still entitled to a remittitur of the punitive damages award. The defendant relies on all the arguments previously discussed herein as support for this request.
The Eighth Circuit Court of Appeals has recently discussed when it is appropriate for a district court to order a remittitur:
In this circuit, a district court should order remittitur “only when the verdict is so grossly excessive as to shock the conscience of the court.” Ouachita Nat’l Bank v. Tosco Corp.,716 F.2d 485 , 488 (8th Cir.1983). A verdict is not considered excessive unless there is “plain injustice” or a “monstrous” or “shocking” result. Jenkins v. McLean Hotels, Inc.,859 F.2d 598 , 600 (8th Cir.1988).
Eich v. Bd. of Regents for Cent. Missouri State Univ.,
As discussed above, there is sufficient evidence to support the imposition of punitive damages in this case. The amount the jury awarded, $12,500.00 per plaintiff, is only half of the amount of punitive damages requested by the plaintiffs. The amount the jury awarded does not “shock the conscience” of this court, nor is it “monstrous” or “shocking.”
See Eich,
4. Constitutionality
a. Standard
The crux of the defendant’s argument to eliminate the punitive damages award centers on the assertion that the award is grossly excessive and violates the defendant’s substantive due process rights.
18
b. Analysis under the Gore guideposts
Gore
instructs courts to review punitive damages awards under the following three guideposts: “(1) the degree of reprehensibility of the defendant’s misconduct; (2) the disparity between the actual or potential harm suffered by the plaintiff and the punitive damages award; and (3) the difference between the civil penalties authorized or imposed in comparable cases.”
State Farm,
i.
Reprehensibility.
“[T]he most important indicium of reasonableness of a punitive damages award is the degree of reprehensibility of the defendant’s conduct.”
Gore,
the harm caused was physical as opposed to economic; the tortious conduct evinced an indifference to or a reckless disregard of the health or safety of others; the target of the conduct had financial vulnerability; the conduct involved repeated actions or was an- isolated incident; and the harm was the result of intentional malice, trickery or deceit or mere accident.
State Farm,
The defendant argues that its conduct does not fit any of the ‘aggravating factors’ the Supreme Court has instructed courts to consider in determining the reprehensibility of a defendant’s conduct. Specifically, the defendant contends that: (1) there was no evidence of economic harm to the plaintiffs that was proximately caused by the defendant’s conduct; (2) the defendant’s conduct could not be classified as indifferent, or in reckless disregard, for the health or safety of others—the defendant conducted a satisfactory investigation following the alleged incident and did not discover the incident was racially related until the filing of the Civil Rights Complaint by the plaintiffs, by which time the offending employee was no longer employed by the defendant; (3) there was no evidence that the plaintiffs were financially vulnerable; (4) there was no evidence that the harm caused was the result of affirmative misconduct or purposeful false statements; and (5) the plaintiffs did not introduce any evidence of repeated misconduct by the defendant.
The plaintiffs assert that the defendant’s conduct “was an assault against human dignity so reprehensible that federal statutes were enacted to expressly prohibit it.” Plaintiffs’ Resistance to Defendant’s Partial Motion for Judgment as a Matter of Law or Motion for Partial New Trial or Remittitur of Punitive Damages Judgment, Doc. No. 31, at 6. Further, plaintiff contends that this type of conduct results in both individual harm, as well as societal harm.
A substantial gulf exists between the reprehensibility of the corporate defendants’ actions in
Gore
and
State Farm,
and the reprehensibility of the defendant’s conduct here. Both
Gore
and
State Farm
involved fraudulent business practices.
See State Farm,
There can be no question of the importance of our society’s interest in combating discrimination; this nation fought the bloodiest war in its history in part to advance the goal of racial equality, adding several amendments to the Constitution to cement the battlefield victory. See U.S. CONST, amends. XVII, XIV, XV. Freedom from discrimination on the basis of race or ethnicity is a fundamental human right recognized in international instruments to which the UnitedStates is a party, see, e.g., International Convention on the Elimination of All Forms of Racial Discrimination, adopted by the U.N. General Assembly Dec. 21, 1965, 660 U.N.T.S. 195 (entered into force for the United States Nov. 20, 1994), and the intentional deprivation of that freedom is highly reprehensible conduct.
Id. Further, the derogatory word at issue here — ‘nigger’—“ranks as perhaps the most offensive and inflammatory racial slur in English.” MerRiam Webster’s Collegiate DiCtionary 784 (10th ed.1995).
President Kennedy, in submitting to Congress the public accommodations provisions of the proposed Civil Rights Act, emphasized that “no action is more contrary to the spirit of our democracy and Constitution — or more rightfully resented by a Negro citizen who seeks only equal treatment — than the barring of that citizen from restaurants, hotels, theatres, recreational areas and other public accommodations and facilities.”
Daniel v. Paul,
ii.
Proportionality.
“The second and perhaps most commonly cited indicium of an unreasonable or excessive punitive
Despite requiring the disparity between the punitive and actual monetary awards to be reasonable, the Supreme Court has declined to impose a “bright-line ratio which a punitive damages award cannot exceed,” and continues to rebuke the imposition of any rigid mathematical formula in determining the reasonableness of a punitive to compensatory damages ratio.
State Farm,
In regard to this guidepost, the Court has recognized that:
low awards of compensatory damages may properly support a higher ratio than high compensatory awards, if, for example, a particularly egregious act has resulted in only a small amount of economic damages. A higher ratio may also be justified in cases in which the injury is hard to detect or the monetary value of noneconomic harm might have been difficult to determine.
Gore,
It is likely that many civil rights violations will fall into this category of cases in which it is difficult to assess a monetary
To apply the proportionality rule to a nominal damages award would invalidate most punitive damages awards because only very low punitive damages award could be said to bear a reasonable relationship to the amount of a nominal damages award. Consequently, in those cases where the trial court has awarded nominal damages and punitive damages, we rely and give great deference to the trial court’s discretion as to the amount of the punitive damages award it has permitted to stand.
Edwards v. Jewish Hosp. of St. Louis,
This is one such civil rights case where the “ ‘injury is hard to detect [and] the monetary value of noneconomic harm ... is difficult to determine,’ ” thereby justifying a higher ratio.
Hampton,
iii. Comparable civil or criminal penalties.
The third indicium of excessiveness is exposed through a comparison between the punitive damages award and “the civil or criminal penalties that could be imposed for comparable misconduct.”
Gore,
iv. Resolution. In light of the foregoing analysis of the punitive damages award under the Gore guideposts — on balance, the court has concluded that the punitive damages award of $12,500.00 per plaintiff is reasonable and does not violate the defendant’s due process rights. Further, as the award is not unconstitutionally excessive, the court will not reduce the punitive damages award on this ground.
C. Plaintiffs’ Motion to Make Additional Findings
The court now turns to the plaintiffs’ Motion to Make Additional Findings filed March 1, 2004. (Doc. No. 27). In light of the verdict for the plaintiffs, and the fact that 42 U.S.C. § 2000a is enforceable only by injunctive relief, the plaintiffs’ motion requests that the court: (1) amend the judgment to enjoin the defendant from racially discriminating in providing services in the future; (2) require the defendant to treat all patrons equally regardless of their race; (3) order the defendant to train all of its employees to seat and serve all patrons equally regardless of their race; and (4) require the defendant to provide proof that all employees have completed such training. The defendant re
The plaintiff asserts that the court has authority under Federal Rule of Civil Procedure 52(b) to make additional findings and amend the judgment as requested by the plaintiffs. Federal Rule of Civil Procedure 52(b) provides in relevant part:
(b) Amendment. On a party’s motion filed no later than 10 days after entry of judgment, the court may amend its findings—or make additional findings—and may amend the judgment accordingly....
Fed. R. Civ. P. 52(b) (2004). Rule 52(b) is “intended to permit a party to move the trial court to clarify or supplement fact-findings to enable the appellate court to understand the factual issues determined at trial.”
Clark v. Nix,
However, the crux of the plaintiffs’ motion appears to revolve around the correctness, or completeness, of the judgment entered rather than a plea to the court to make additional findings. This leads the court to believe that the plaintiffs’ motion is, in fact, an improperly styled Rule 59(e) motion. See
Norman v. Arkansas Dept. of Educ.,
§ 2000a ... empowers the Court to enjoin future discrimination or segregation in places of public accommodation. Adickes v. S. H. Kress & Co.,398 U.S. 144 , 150-51,90 S.Ct. 1598 , 1604-05,26 L.Ed.2d 142 (1970). As the Supreme Court noted, “[if a plaintiff] obtains an injunction, he does so not for himself alone but also as a ‘private attorney general’.” Newman v. Piggie Park Enterprises,390 U.S. 400 , 402,88 S.Ct. 964 , 966,19 L.Ed.2d 1263 (1968); see 42 U.S.C. § 2000a-3. To succeed, plaintiffs must present sufficient evidence to constitute a prima facie case of racial discrimination. Dean v. Ashling,409 F.2d 754 , 756 (5th Cir.1969).
Jackson v. Tyler’s Dad’s Place, Inc.,
“District court’s have broad discretion to issue an injunction once discrimination has been established .... ”
Briscoe v. Fred’s Dollar Store,
In order to establish a violation of 42 U.S.C. § 2000a the plaintiffs had to show that, because of their race, they were denied “full and equal enjoyment of the goods, services, facilities, privileges, advantages, and accommodations of any place of public accommodation.” 42 U.S.C. § 2000a(a). After considering all of the evidence, the jury found for each of the plaintiffs—thus solidifying the plaintiffs’ allegations of racial discrimination- in a public accommodation into a legal reality.
D. Plaintiffs’ Application For Attorney’s Fees
In their application, the plaintiffs seek an award of attorney’s fees in the amount of $20,170.00 pursuant to 42 U.S.C. § 1988 as well as $281.46 for expenses incurred during the course of litigation. These figures are current through March 12, 2004, and represent a combined total for the work of attorneys Shelley A. Horak, Robert Tiefenthaler, and Jacquelyn Johnson. The defendant argues that the plaintiffs’ fee application should be reduced because: (1) the hourly rates of the plaintiffs’ attorneys are excessive and are not supported by the required affidavits; (2) the number of hours claimed by the. plaintiffs are excessive; and (3) assuming the defendant’s post-trial motion is successful, the fee should be reduced due to limited success.
Title 42 U.S.C. § 1988(b) provides: “In any action or proceeding to enforce a provision of sections 1981, 1981a, 1982, 1983, 1985, and 1986 of this title ... the court, in its discretion, may allow the prevailing party, other than the United States, a reasonable attorney’s fee as part of the costs.... ” 42 U.S.C.§ 1988(b).
The court has discussed the standards by which fees are awarded in its prior decisions, including, for example,
Baker v. John Morrell & Co.,
Fees are usually calculated according to the “lodestar” method, which multiplies hours reasonably expended by a reasonable hourly rate.
Schultz,
2. Reasonable hourly rate
“As a general rule, a reasonable hourly rate is the prevailing market rate, that is, ‘the ordinary rate for similar work in the community where the case has been litigated.’ ”
Moysis v. DTG Datanet,
In addition, the district court may consider other factors, such as the attorney’s regular hourly rates, skill of representation, difficulty of work performed, and counsel’s experience and reputation.
See Blum v. Stenson,
In this matter the plaintiffs’ attorneys, Ms. Horak and Mr. Tiefenthaler, request an hourly rate of $200. Ms. Horak and Mr. Tiefenthaler assert that this rate is reasonable in light of their experience with civil rights cases and their years of practice. The defendant believes that neither Ms. Horak nor Mr. Tiefenthaler
22
are entitled to charge a fee in excess of $175/ hour. The defendant supports his argument by pointing out the following: (1) in the case of
Murray v. City of Onawa,
No. CV00-4103-DEO, a case arising under § 1983 that was tried on September 18, 2000, Ms. Horak requested a fee of only $140 per hour; (2) plaintiffs’ counsels’ experience is far more equivalent to that of defendant’s counsel, Mr. Jay Denne, whom recently was awarded a fee of $175 per hour in
Baker v. John Morrell,
As the defendant points out, the plaintiffs have not submitted
any
affidavits supporting their position that $200 per hour is a reasonable rate. The only materials submitted to the court were the plaintiffs’ application for attorneys fees, and the billing sheets of both attorneys to their respective clients.
23
The billing sheets state that the rate for both Ms. Horak and Mr. Tiefenthaler is $200 per hour—however, these “bills” were likely prepared solely for the purposes of this motion, as the plaintiffs’ attorneys undertook this litigation on a contingency basis. As the court stated above, the party seeking attorney’s
3. Hours reasonably expended
The defendant next challenges the number of hours that the plaintiffs claim were expended. Ms. Horak and Mr. Tiefenthaler assert that a total of 104.6 24 hours were expended. The defendant takes issue with this figure for a number of reasons: (1) the billing statement attached to the plaintiffs’ fee application is not itemized as required by Local Rule 54.2(a), and therefore provides limited information; (2) this case did not involve extensive discovery or pretrial summary judgment motions; (3) the trial lasted only one and one-half days; and (4) defendant’s counsel through the completion of the trial, Mr. Vakulskas, expended only 41.75 hours on this matter— less than half of the time claimed by the plaintiffs’ two attorneys. The defendant asserts that the plaintiffs’ attorneys’ application does not illustrate why the additional hours (above those expended by Mr. Vakulskas) were necessary — therefore the number of hours should be reduced. Further, the defendant argues that an additional reduction is warranted for excessive and/or duplicative hours claimed.
This court has repeatedly held that attorney fees may be reduced for inadequate documentation or poor record-keeping. See,
e.g., Rural Water Sys.
#
1,
The claimed amount must be supported by an itemization that includes a detailed listing of the time claimed for each specific task and the hourly rate claimed. The itemization also must include a separate summary indicating the total time spent performing each of the following major categories of work:
1. Drafting pleadings, motions, and briefs;
2. Legal research;
3. Investigation;
4. Interviewing;
5. Trial preparation; and
6. Trial.
L.R. 54.2(a).
Only a brief review of the plaintiffs’ fee application is necessary for one to realize that the plaintiffs’ submission wholly fails to comply with Local Rule 54.2(a). However, the attached billing statements do provide detailed descriptions of the activity undertaken for each increment of time claimed, as well as which billing increments are attributable to either Ms. Horak or Mr. Tiefenthaler. The billing statements are complete enough for the court to ascertain that the time billed for the activities listed is reasonable. Therefore, the court will not reduce the reasonable hourly rate on the basis of poor-record keeping. Further, the court is convinced that the submissions adequately demonstrate why Ms. Horak and Mr. Tiefenthaler would have collectively expended more hours on this matter than Mr. Vakulskas. This is not the traditional situation where there are two attorneys representing the plaintiffs — one lead counsel, and the other non-lead counsel. In this matter, Ms. Ho-rak functioned as counsel for three of the plaintiffs, while Mr. Tiefenthaler represented the fourth plaintiff. Though each attorney took the steps necessary to represent their individual clients, it was imperative, in order to present a unified front at trial, for communication to take place between Ms. Horak and Mr. Tiefenthaler. In fact, when each individual attorneys’ hours are compared it is obvious that Ms. Horak and Mr. Tiefenthaler did not spend much more time than Mr. Vakulskas on the matter: Ms. Horak = 54; Mr. Tiefen-thaler = 43.1; Mr. Vakulskas = 41.75. Due to the fact that dual representation was necessary, most likely due to the fact that two of the plaintiffs were brothers, it is not unreasonable to the court that Ms. Horak’s and Mr. Tiefenthaler’s combined hours were approximately double those spent by defense counsel. However, after reviewing the submissions the court finds that some reduction in hours is necessary — particularly for those time increments which are described as conferences with counsel that are not reflected on that counsel’s bill — for example, the court is speaking of the situation in which Ms. Horak’s billing statement assigns an increment of time for a telephone conference with Mr. Tiefenthaler and Mr. Tiefenthaler’s billing statement does not corroborate that conference, or vice versa. The ‘uncorroborated’ conferences amount to a total reduction of 0.1 hours
25
for Ms. Horak and 0.5 hours
26
for Mr. Tiefenthaler. This
4. Recoverable costs and expenses
Federal Rule of Civil Procedure 54(d)(1) provides for the award of costs, other than attorney’s fees, to the prevailing party. Rule 54(d) works in tandem with 28 U.S.C. § 1920. The taxable costs which may be recovered as specified in 28 U.S.C. § 1920 include: (1) fees of the clerk; (2) fees for transcripts; (3) fees for printing and witnesses; (4) fees for copies of papers “necessarily” used in the case; (5) docketing fees; and (6) compensation of court-appointed experts and interpreters. 28 U.S.C. § 1920. However, 28 U.S.C. § 1920 is not the court’s sole source of authority in determining which costs and expenses are recoverable by a prevailing party. Some “costs” that are not available under 28 U.S.C. § 1920 are recoverable as “reasonable out-of-pocket expenses of the kind normally charged to clients by attorneys, and thus should [be] included as part of the reasonable attorney’s fees awarded” under 42 U.S.C. § 1988.
See, e.g., Pink-ham v. Camex, Inc.,
As part of their fee request, the plaintiffs seek an award of costs and expenses in this case in the amount of $281.46. The costs claimed consist of photocopies, postage, faxes, and the service of a subpoena. The defendant does not object to the expenses claimed by the plaintiffs. From examination of the documentation provided, the court finds that all of the expenditures reported by the plaintiffs are recoverable as costs under 28 U.S.C. § 1920 and as allowable expenses under 42 U.S.C. § 1988(b).
III. CONCLUSION
The court has considered each of the grounds raised in the defendant’s Partial Motion for Judgment as a Matter of Law or in the Alternative, Motion for Partial New Trial or Remittitur of Punitive Damages Verdict and Judgment, and concludes that the motion must be denied.
Additionally, the plaintiffs’ Motion to Make Additional Findings is granted. The court finds that injunctive relief should be ordered against the defendant for two years from the date of this order to restrain future violations of the anti-discrimination in a public accommodation provisions of 42 U.S.C. § 1981, 42 U.S.C. § 2000a and Iowa Code § 216.7 based on the evidence adduced at trial.
IT IS HEREBY ORDERED AND ADJUDGED that the defendant, Mr. Nick Kasotakis d/b/a The Horizons Family Restaurant, its agents, managers, employees, attorneys, successors and assigns are here
The court also grants the plaintiffs’ Application for Attorney’s Fees and Costs, having concluded that the plaintiffs’ are entitled to attorney’s fees in the amount of $19,411.00 and expenses in the amount of $281.46. Thus, adding these amounts together, the total of the plaintiffs’ attorney’s fees and costs award is $19,692.46. This attorney’s fee represents counsels’ time and expenses through the date the fee application was filed, March 12, 2004. The court recognizes that additional service may have been provided by counsel to orally argue and defend against the defendant’s motion for partial judgment as a matter of law and/or new trial and/or re-mittitur, as well as to argue for the grant of their own motions. Therefore, the plaintiffs shall have to and including May 3, 2004, in which to file a supplemental fee application for fees and expenses incurred subsequent to the date of the fee application. The defendant shall then have to and including May 10, 2004, in which to file a response to the plaintiffs’ supplemental fee position.
IT IS SO ORDERED.
Notes
. As will be discussed more fully below, the court recites these facts in the light most favorable to the plaintiffs, according them the benefit of all reasonable inferences drawn from the evidence presented at trial.
See Minneapolis Cmty. Dev. Agency v. Lake Cal
. Tonyell McNeal is Donald McNeal’s younger brother.
. The former Club 712 was located at 414 West Seventh Street in Sioux City, Iowa. The establishment is now known as Shakers Restaurant.
. Donald McNeal worked as a bartender and assistant manager, Tonyell McNeal as a bouncer, and Armondo Barker as a deejay.
. The four named plaintiffs were accompanied by a fifth individual, Ricky Warren, who chose not to participate in this litigation. Ricky Warren is also an African American male.
. Officer Mentzer testified that there were words exchanged, but that there was not a physical scuffle between the host and the offending waiter.
. 42 U.S.C. § 2000a, also known as “Title II," states that “[a]ll persons shall be entitled to full and equal enjoyment of the goods, services, facilities, privileges, advantages, and accommodations of any place of public accommodation ... without discrimination or segregation on the grounds of race, color, religion, or national origin.”
. 42 U.S.C. § 1981 provides, in pertinent part, that "[a]ll persons within the jurisdiction of the United States shall have the same right in every State and Territory to make and enforce contracts, ... and to full and equal benefit of all laws ... as is enjoyed by white citizens.”
. Iowa Code § 216.7 provides in pertinent part:
1. It shall be an unfair or discriminatory practice for any owner, lessee, sublessee, proprietor, manager, or superintendent of any public accommodation or any agent or employee thereof:
a. To refuse or deny to any person because of race, creed, color, sex, national origin, religion or disability the accommodations, advantages, facilities, services, or privileges thereof, or otherwise to discriminate against any person because of race, creed, color, sex, national origin, religion or disability in the furnishing of such accommodations, advantages, facilities, services, or privileges.
Iowa Code § 216.7(l)(a).
.Donald McNeal testified that he was still affected by the incident in that he worried about this type of discrimination happening to his young children and that he gets worried whenever he goes to restaurants with his family. Tonyell McNeal testified that he was still affected by the incident, that he had mental counseling to deal with the incident, that he left his employment shortly after the incident because his coworkers made light of the situation, and that he now has trust issues and avoids talking to strangers. Armondo Barker testified that he was still upset about the incident and that ever since the incident he has not gone out to eat at a public restaurant out of fear of being treated badly. Kenneth Sherman testified that the incident still angered and upset him and, further, that it caused the temporary break-up of his marriage.
. Though the defendant argues that the punitive damages award is excessive in violation of the Due Process Clause of the Fourteenth Amendment, the argument is actually under the Due Process Clause of the Fifth Amendment. This is further discussed infra at footnote 18.
. This typographical error was contained in caption of the plaintiffs’ motion. Henceforth, when the court refers to this motion by name it will correct plaintiffs' typographical error and use additional’ rather than 'additiional.’
. The four exceptions cited in
Kolstad
are where: “(a) the principal authorized the doing and the manner of the act, or (b) the agent was unfit and the principal was reckless in employing him, or (c) the agent was employed in a managerial capacity and was acting in the scope of employment, or (d) the principal or a managerial agent of the principal ratified or approved the act.”
Kolstad,
. The
Arguello
court looked to the following factors to determine employer liability for the torts of a servant acting within the scope of their employment: "1) the time, place and purpose of the act; 2) its similarity to acts which the servant is authorized to perform; 3) whether the act is commonly performed by servants; 4) the extent of departure from normal methods; and 5) whether the master would reasonably expect such act would be performed.”
Arguello,
. Indeed, the only mention of punitive damages in the defendant's trial brief centers around how the defendant's actions did not rise to the requisite level required to support a finding of punitive damages:
The conduct of the Defendants was not intentional and reckless so as to allow for a finding of punitive damages.
The Defendants deny any employee of the Horizon Restaurant uttered any racially insensitive remarks to the Plaintiffs. Accordingly, any services of which the Plaintiffs were denied had nothing to do with the Plaintiffs' race, but was merely poor business practice. Nick Kasotakis, the owner of the Horizon Restaurant will testify he trains his employees to treat all paying customers alike. The Horizon Restaurant does not discriminate and seeks to serve as many customers daily as possible.
Defendant’s Trial Brief, Doc. No. 13, at 3-4.
. The court has no concerns with labeling the supervisor as a "manager” of the defendant as he was vested with the authority to authorize free meals, and purported to have the authority to fire the offending waiter.
. The analysis mandated by these two Supreme Court eases will be discussed in further detail below.
. The defendant contends that the punitive damages award violates the substantive due process rights bestowed by the Fourteenth Amendment — however, in this matter punitive damages were awarded under a
federal
statute (42 U.S.C. § 1981), so this characterization is not technically correct. The key cases of
State Farm Mutual Automobile Insurance Company v. Campbell,
. Equitable relief is also available under the plaintiffs' § 1981 claim.
Johnson v. Railway Express Agency, Inc.,
. In its resistance to the plaintiffs' motion, the defendant asserts that injunctive relief is not appropriate as there was no evidence of a pattern or practice of racial discrimination. A pattern of racial discrimination is
not required
for a private party to bring suit, or for liability to be found, under § 2000a — a pattern or practice of discrimination is only necessary where the Attorney General seeks to institute a civil action for injunctive relief under § 2000a. 42 U.S.C. § 2000a-5(a);
see Newman,
.The
Johnson
factors are: (1) the time and labor required; (2) the novelty and difficulty of the questions; (3) the skill requisite to perform the legal service properly; (4) the preclusion of employment by the attorney due to acceptance of the case; (5) the customary fee; (6) whether the fee is fixed or contingent; (7) time limitations imposed by the client or the circumstances; (8) the amount involved and the results obtained; (9) the experience, reputation, and ability of the attorneys; (10) the "undesirability” of the case; (11) the nature and length of the professional relationship with the client; and (12) awards in similar cases.
Johnson,
. Though the defendant's resistance to the fee application facially attacks the $200/hour award only as to Ms. Horak, the court assumes that the failure to include Mr. Tiefen-thaler in this argument was a mere oversight, and will consider the defendant’s attack on a $200/hour award as to both Ms. Horak and Mr. Tiefenthaler.
. In this matter the plaintiffs submitted a single, consolidated, application for attorney's fees for both Ms. Horak and Mr. Tiefenthaler.
. The plaintiffs' application states that they are claiming 104.45 hours, but adding up the hours on the billing statements attached as an exhibit to the plaintiffs' application yields a total of 104.6 hours.
. The uncorroborated time entry is: 8/17/2002 "Correspondence to Bob T re scheduling” = 0.1 hours.
. There are two uncorroborated time entries on Mr. Tiefenthaler’s billing statement: (1) 11/4/2003 "Telephone conference with Ho-rak” = 0.4 hours; and (2) the entry for 02/16/04 is reduced by 0.1 hours to account for the uncorroborated "telephone conference with Horak.”
. The defendant does not contest the number of hours claimed by Ms. Johnson. The court has reviewed the billing statement submitted by the plaintiffs and finds the number of hours claimed by Ms. Johnson to be reasonable and in proportion to the described activity-
