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First 100, Llc v. Tgc/Farkas Funding, Llc
83177
| Nev. | Mar 17, 2022
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*1 I N T H E S U P R E M E C OU R T O F T H E S T A TE O F N E VADA N o . 83177

F I R S T 100 , LL C , A N E VADA L I M I TE D L I A B I L I T Y C O M P ANY ; AND 1 S T ON E F I LE D HUND R E D HO L D I NG S , LL C , A N E VADA L I M I TE D L I A B I L I T Y C O M P ANY ,

M AR 1 7 2022 A pp e ll a n t s , v s . T G C / F A R KA S F UND I NG , LL C , R e s • ond e n t .

O R D ER AFF I R M I N G I N PAR T , REVER S I N G I N PAR T A N D RE M A N D I N G , A N D D I S M I SS I N G I N PAR T T h i s i s a n a pp ea l fr o m a po s t - j udg m e n t a w a r d o f a tt o r n e y f ee s a nd c o s t s a s a c i v il c on t e m p t s a n c ti on . E i gh t h J ud i c i a l D i s t r i c t C ou r t , C l a r k C oun t y

; M a r k R . D e n t on , J udg e . '

O n A p r il 7 , 2021 , t h e d i s t r i c t c ou r t h e l d a pp e ll a n t s a nd nonp a r t y J a y B l oo m i n c i v il c on t e m p t . 2 T h e o r d e r i nd i ca t e d t h a t , a s a s a n c ti on , t h e c ou r t w ou l d a w a r d r e s pond e n t t h e a tt o r n e y f ee s a nd c o s t s t h a t r e s pond e n t i n c u rr e d i n liti g a ti ng v a r i ou s m a tt e r s ( h e r ea f t e r " t h e r e l e v a n t m a tt e r e ) . T h e r ea f t e r , r e s pond e n t r e qu e s t e d r ough l y $157 , 000 i n f ee s a nd r ough l y $5 , 000 i n c o s t s . O v e r a pp e ll a n t s oppo s iti on , t h e d i s t r i c t c ou r t e n t e r e d a n o r d e r r e f l e c t i n g t h a t it h a d c o n s i d e r e d t h e B r u n z e ll f ac t o r s 3 a nd

' P u r s u a n t t o N R A P 34 (f)( 1 ) , w e h a v e d e t e r m i n e d t h a t o r a l a r gu m e n t i s no t w a rr a n t e d i n t h i s a pp ea l . [2] C on t e m po r a n e ou s w it h t h e d i s po s iti on o f t h i s a pp ea l , w e h a v e a ff i r m e d t h e d i s t r i c t c ou r e s A p r il 7 , 2021 , o r d e r i n a r e l a t e d a pp ea l ( D o c k e t N o . 82794 ) . [3] B r u n z e 1 l v . G o l d e n G a t e N a ti on a l B a n k , 85 N e v . 345 , 349 , 455 P . 2d 31 , 33 ( 1969 ) *2 a w a r d e d r e s pond e n t r ough l y $147 , 000 i n f ee s a nd t h e f u ll a m oun t o f r e qu e s t e d c o s t s . 4 A s p a r t o f t h e c on t e m p t s a n c ti on , t h e d i s t r i c t c ou r t a l s o h e l d B l oo m p e r s on a ll y li a b l e f o r t h e a w a r d .

O n a pp ea l , a pp e ll a n t s c on t e nd ( 1 ) t h e a m oun t o f f ee s a w a r d e d w a s un r ea s on a b l y h i gh , a nd ( 2 ) t h e d i s t r i c t c ou r t e rr e d i n ho l d i ng nonp a r t y B l oo m p e r s on a ll y li a b l e f o r t h e a w a r d .

W it h r e s p ec t t o a pp e ll a n t s f i r s t a r gu m e n t , t h e y g e n e r a ll y c on t e nd t h a t t h e d i s t r i c t c ou r t a bu s e d it s d i s c r e ti on by a w a r d i ng a n un r ea s on a b l y h i gh a m oun t o f f ee s w it hou t a d e qu a t e l y a r ti c u l a ti ng it s B r un ze ll -f ac t o r a n a l y s i s . C f . L ogan v . A b e , 131 N e v . 260 , 266 , 350 P . 3d 1139 , 1143 ( 2015 ) (r ec ogn i z i ng t h a t t h i s c ou r t r e v i e w s a n a tt o r n e y f ee a w a r d f o r a n a bu s e o f d i s c r e ti on a nd t h a t , w h il e it i s p r e f e r a b l e f o r a d i s t r i c t c ou r t t o p r ov i d e a n e xp r e ss a n a l y s i s o f t h e B r un z e ll f ac t o r s , s u c h f i nd i ng s a r e no t n ece ss a r y i f it i s e v i d e n t t h a t t h e d i s t r i c t c ou r t c on s i d e r e d t ho s e f ac t o r s ) . M o r e p a r ti c u l a r l y , a pp e ll a n t s c on t e nd t h a t t h e f ee a w a r d w a s un r ea s on a b l y h i gh b eca u s e ( 1 ) r e s pond e n t ' s c oun s e l s ' b illi ng r a t e s f o r t h e a pp li ca b l e y ea r ( 2021 ) w e r e i n e xp li c a b l y h i gh e r t h a n t h e i r r a t e s f o r t h e p r e v i ou s y e a r ( 2020 ) ; ( 2 ) t h e b illi ng r a t e f o r c oun s e l s ' p a r a l e g a l w a s t oo h i gh ; ( 3 ) c oun s e l doub l e - b ill e d f o r s o m e o f t h e w o r k p e rf o r m e d by v i r t u e o f h a v i ng t w o a tt o r n e y s a tt e nd d e po s iti on s ; ( 4 ) c oun s e l b ill e d f o r a p a r a l e g a l t o a tt e nd a n e v i d e n ti a r y h ea r i ng ; ( 5 ) c oun s e l b ill e d t oo m a ny hou r s f o r d r a f ti ng t h e d i s t r i c t c ou r t ' s A p r il 7 , 2021 , o r d e r ; ( 6 ) c oun s e l b ill e d $3 , 825 . 50 f o r d r a f ti ng do c u m e n t s t h a t w e r e un r e l a t e d t o t h e r e l e v a n t m a tt e r s ; ( 7 ) c oun s e l b ill e d $1 , 193 f o r ti m e s p e n t i nqu i r i ng a bou t N RC P v i o l a ti on s , non e o f w h i c h w e r e [4] A s r e f l ec t e d i n t h e m i nu t e s , t h e d i s t r i c t c ou r t ' s r ough l y $10 , 000 r e du c t i on i n t h e f e e a w a r d r e f l e c t e d f e e s t h a t r e s p ond e n t ' s c oun s e l i n a dv e r t e n t l y b i ll e d f o r a n un r e l a t e d m a tt e r . *3 f ound by t h e d i s t r i c t c ou r t; a nd ( 8 ) c oun s e l b ill e d $1 , 232 f o r p r e p a r i ng a no t h e r m o ti on t h a t w a s un r e l a t e d t o t h e r e l e v a n t m a tt e r s . 5

W e c on c l ud e t h a t t h e d i s t r i c t c ou r t w a s w it h i n it s d i s c r e ti on i n a w a r d i ng t h e a m oun t s c on t e s t e d i n a r gu m e n t s 1 t h r ough 5 . W it h r e s p ec t t o a r gu m e n t s 1 a nd 2 , r e s pond e n t s ub m itt e d a d ec l a r a ti on i nd i ca ti ng t h a t c oun s e l s b illi ng r a t e s a nd t h e p a r a l e g a r s b illi ng r a t e w e r e c o mm e n s u r a t e w it h r a t e s f o r t ho s e w it h s i m il a r e xp e r i e n ce . W it h r e s p ec t t o a r gu m e n t s 3 t h r ough 5 , w e a r e un a b l e t o c on c l ud e t h a t t h e d i s t r i c t c ou r t a bu s e d it s d i s c r e ti on i n f i nd i ng t h a t c oun s e l s ' d ec i s i on s w e r e r ea s on a b l e i n t e r m s o f t h e ti m e a nd r e s ou r ce s t h e y c ho s e t o d e vo t e t o t h e r e l e v a n t m a tt e r s . C f . B r un z e ll , 85 N e v . a t 349 , 455 P . 2d a t 33 ( li s ti ng t h e " d i ff i c u lt ? ' o f t h e w o r k p e rf o r m e d , t h e " i m po r t a n ce , ti m e a nd s k ill r e qu i r e d " o f t h e w o r k p e rf o r m e d , a nd " t h e s k ill , ti m e a nd a tt e n ti on g i v e n t o t h e w o r k " a s r e l e v a n t f ac t o r s t o c on s i d e r) . W it h r e s p ec t t o a r gu m e n t s 6 t h r ough 8 , ho w e v e r , w e a g r ee w it h a pp e ll a n t s t h a t t h e d i s t r i c t c ou r t i m p r op e r l y a w a r d e d f ee s f o r t ho s e a m oun t s . I n p a r ti c u l a r , a pp e ll a n t s ' c on t e n ti on t h a t t ho s e a m oun t s h a v e no r e l a ti on t o t h e r e l e v a n t m a tt e r s a pp ea r s acc u r a t e a nd i s no t c on t e s t e d by r e s pond e n t on a pp ea l . S e e O z a w a v . V i s i on A i r li n e s , I n c ., 125 N e v . 556 , 563 , 216 P . 3d 788 , 793 ( 2009 ) (r ec ogn i z i ng t h a t f a il u r e t o r e s pond t o a n a r gu m e n t ca n b e t r ea t e d a s a c on f e ss i on o f e rr o r) .

A cc o r d i ng l y , a nd on l y i n s o f a r a s t h e d i s t r i c t c ou r t a w a r d e d f ee s r e l a ti ng t o a r gu m e n t s 6 t h r ough 8 , w e r e v e r s e t h e a w a r d o f f ee s i n t h a t [5] T o t h e e x t e n t t h a t a pp e l l a n t s r a i s e a dd i ti on a l a r gu m e n t s , w e a r e no t p e r s u a d e d t h a t t ho s e a r gu m e n t s w a rr a n t s p ec i f i c d i s c u s s i on . *4 r e s p ec t . 6 W e a ff i r m t h e r e m a i n i ng po r ti on o f t h e d i s t r i c t c ou rf s f ee a w a r d a nd t h e e n ti r e t y o f it s c o s t a w a r d .

W it h r e s p ec t t o a pp e ll a n t s s ec ond a r gu m e n t , r e s pond e n t c on t e nd s t h a t t h i s c ou r t l ac k s j u r i s d i c ti on b eca u s e B l oo m , w ho i s t h e on l y p e r s on a gg r i e v e d by t h e d i s t r i c t c ou r t ho l d i ng h i m p e r s on a ll y li a b l e , w a s no t a p a r t y t o t h e und e r l y i ng p r o cee d i ng s a nd d i d no t f il e a w r it p e titi on c h a ll e ng i ng t h e d i s t r i c t c ou rf s o r d e r . C f . M ona v . E i gh t h J ud i c i a l D i s t . C ou r t , 132 N e v . 719 , 724 - 25 , 380 P . 3d 836 , 840 ( 2016 ) ([ W ] h e r e t h e s a n c ti on e d p a r t y w a s no t a p a r t y t o t h e liti g a ti on b e l o w , h e o r s h e h a s no s t a nd i ng t o a pp ea l . " ) ; D e t w il e r v . E i gh t h J ud i c i a l D i s t . C ou r t , 137 N e v ., A dv . O p . 18 , 486 P . 3d 710 , 715 ( 2021 ) ( " W h e r e no r u l e o r s t a t u t e p r ov i d e s f o r a n a pp ea l o f a c on t e m p t o r d e r , t h e o r d e r m a y p r op e r l y b e r e v i e w e d by w r it p e titi on . " ) . A pp e ll a n t s do no t m ea n i ng f u ll y r e f u t e r e s pond e n t ' s c on t e n ti on bu t i n s t ea d a r gu e t h a t t h e y a r e c h a l l e ng i ng t h e d i s t r i c t c ou r V s o r d e r i n s o f a r a s it h e l d t h e m li a b l e f o r t h e a w a r d . W e d ec li n e t o c on s i d e r t h i s a r g u m e n t b eca u s e a pp e ll a n t s ' op e n i ng b r i e f d i d no t a ll ud e t o a ny s u c h a r gu m e n t . S ee F r an c i s v . W y nn L a s V e ga s , LL C , 127 N e v . 657 , 671 n . 7 , 262 P . 3d 705 , 715 n . 7 ( 2011 ) ( ob s e r v i ng t h a t t h i s c ou r t g e n e r a ll y d ec li n e s t o c on s i d e r a r gu m e n t s r a i s e d f o r t h e f i r s t ti m e i n a r e p l y b r i e f) . A cc o r d i ng l y , w e a g r ee w it h r e s pond e n t t h a t w e l ac k j u r i s d i c ti o n i n t h e c o n t e x t o f t h i s a pp ea l t o c on s i d e r w h e t h e r t h e d i s t r i c t c ou r t a pp r op r i a t e l y h e l d nonp a r t y B l oo m p e r s on a ll y li a b l e f o r t h e f ee a nd c o s t a w a r d .

C on s i s t e n t w it h t h e f o r e go i ng , w e a ff i r m i n p a r t a nd r e v e r s e i n p a r t t h e d i s t r i c t c ou r t ' s a w a r d o f f ee s a nd c o s t s , a nd w e r e m a nd t h i s m a tt e r [6] 0u r ca l c u l a t i on r e f l ec t s t h i s t o b e a t o t a l o f $6 , 250 . 50 . T o t h e e x t e n t t h e p a r t i e s d i s a g r e e w i t h t h i s f i gu r e , t h e y m a y p r e s e n t a ny s u c h d i s a g r ee m e n t t o t h e d i s t r i c t c o u r t o n r e m a n d *5 f o r p r o cee d i ng s c on s i s t e n t w it h t h i s o r d e r . W e a l s o d i s m i ss t h i s a pp ea l i n s o f a r a s it c h a ll e ng e s t h e d i s t r i c t c ou r t ' s d ec i s i on t o ho l d B l oo m p e r s on a ll y li a b l e f o r t h e f ee a nd c o s t a w a r d .

I t i s s o O R D E R E D . 7 a rr a gu i rr e , S r . J . J . o n s S ti g li c h cc : H on . M a r k R . D e n t on , D i s t r i c t J udg e

P e r s i J . M i s h e l , S e ttl e m e n t J udg e M a i e r G u ti e rr ez & A ss o c i a t e s G a r m a n T u r n e r G o r don E i gh t h D i s t r i c t C ou r t C l e r k [7] T h e H ono r a b l e M a r k G i bbon s , S e n i o r J u s ti ce , p a r ti c i p a t e d i n t h e

d ec i s i on o f t h i s m a tt e r und e r a g e n e r a l o r d e r o f a s s i gn m e n t

Case Details

Case Name: First 100, Llc v. Tgc/Farkas Funding, Llc
Court Name: Nevada Supreme Court
Date Published: Mar 17, 2022
Docket Number: 83177
Court Abbreviation: Nev.
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