On October 14, 2015, the California Second District Court of Appeal held in Sharif v. Mehusa, Inc.  that both the employee and the employer can be deemed “prevailing party” for purposes of recovering attorneys’ fees under the Labor Code.  Plaintiff, Mahta Sharif, brought an action against her former employer, Mehusa, Inc., for unpaid overtime (Lab. Code, § 1194), unpaid wages (Lab. Code, § 201), and violation of California’s Equal Pay Act (Lab. Code, § 1197.5).  She prevailed on her Equal Pay Act claim with the jury awarding her $26,300. Mehusa prevailed on Plaintiff’s overtime and wage claims.  Plaintiff filed a cost memorandum and was awarded her costs. She also filed a motion for attorney fees in the amount of $280,432 under Labor Code section 1197.5(g) as the prevailing party on her Equal Pay Act claim. Plaintiff’s attorney fees request consisted of a lodestar amount of $140,216 and a multiplier of two.  Mehusa filed a motion for attorney fees and costs under Labor Code section 218.5 in the amount of $36,982.24 as the prevailing party on Plaintiff’s wage claims.  Mehusa estimated that 75% of defense counsel’s time was spent defending against Plaintiff’s unsuccessful wage claims.
Continue Reading There Can Be Two “Prevailing Parties” in a Single Wage & Hour and Equal Pay Act Lawsuit

By:       Brendan J. Begley

A federal appellate court this week upheld an attorney-fee award of nearly $700,000 to a California employee who won less than $28,000 in damages in a lawsuit alleging wrongful demotion.  According to the Ninth U.S. Circuit Court of Appeals in Muniz v. United Parcel Service, Inc., Case No. 11-17282, the trial court was not required to reduce the large disparity between the damages and the fees. Continue Reading Attorney Fees Continue to be the 800-Pound Gorilla in Employment Cases