CALIFORNIA ATTORNEY'S FEES

Family Law: $7,500 Needs-Based And 217 Sanctions Awards To Ex-Husband Affirmed On Appeal

Lack Of Fee Hearing Reporters’ Transcripts Sealed The Correctness Of The Orders.

            The Third District, in Marriage of Samorano, Case Nos. C084143/C086540 (3d Dist. February 5, 2019) (unpublished), affirmed $7,500 in fees and sanctions awards in favor of ex-husband and against ex-wife under Family Code sections 2032 (needs-based provision) and 271 (sanctions provision). The main reason was that she did not provide any reporter transcripts of the fee hearings, so the orders were presumed correct. An inadequate appellate record sealed the deal.

Family Law: Needs-Based Analysis Similar To That Under Family Code Section 2032 Used To Review Denial Of Fees To Mother Under Family Code Section 7605

Section 7605 Deals With Proceedings Involving Child Custody/Visitation.

            In Darab N. v. Olivera, Case No. B282972 (2d Dist., Div. 1 February 4, 2019) (published), child’s mother appealed denial of her request for $100,000 in attorney’s fees under Family Code section 7605 relating to her efforts to defend against motions to quash brought by father (which were granted). Section 7605 is a fee shifting provision in child custody/visitation proceedings. The appellate court decided that much of the analysis of Family Code section 2032, the needs-based statute, applies to section 7605, with the lower court properly looking at the requesting party’s litigation tactics and whether claimed fees truly related to the appropriate proceedings. Section 6344 did allow fee shifting to a successful party in a DVRO proceeding, but mother lost in that phase. With respect to other fees, the lower court properly concluded that they were not reasonably incurred due to mother’s unreasonable litigation tactics and her failure to apportion them to potentially compensable work.

Family Law: Family Code Section 3111(b) Justified $50,000 Sanctions Against Attorney, But Not Client, For Disclosing Confidential Child Custody Evaluation Report

2/6 DCA Remembers That Attorneys Are Both Zealous Advocates And Officers Of The Court.

            Presiding Justice Gilbert, in Marriage of Anka & Yeager, Case No. B281760 (2d Dist., Div. 6 February 4, 2019) (published), reminds licensed attorneys that we are both zealous advocates and officers of the court. The appellate court affirmed a trial judge’s imposition of $50,000 in sanctions against an attorney for disclosing information in a confidential child custody evaluation report. Family Code section 3111(b) does allow the family law court authority to impose such sanctions for a violation of section 3025.5. However, because nothing showed that the client directed the disclosure, the joint and several award against client was reversed.

Family Law: Wife’s Request For Section 271 Sanctions In Her Responsive Declarations To A Dissolution Modification Request Was Not Affirmative Relief Under Family Code Section 213 Requiring A Separate 271 Motion

Also, Hearing The 271 Sanctions Request At The Same Time Saved Court Resources.

            The Second District, Division 2, in Perow v. Uzelac, Case No. B283457 (2d Dist., Div. 2 Jan. 31, 2019) (published), decided that a wife’s request for Family Code section 271 sanctions in her responsive declarations in a dissolution modification proceeding was not “affirmative relief” under Family Code section 213 requiring that the request be brought through a separate motion. As colorfully put by the panel, “A party seeking attorney fees under section 271 is not seeking affirmative relief within the meaning of section 213 because the request for such fees is an attack on the messenger, not his message.” Also, hearing the sanctions request with the modification request avoided duplicative proceedings and conserved judicial resources.

Family Law: Pont v. Pont Now Published

Appellate Court Recognized Spin-Off Litigation Under Stipulated Settlement With A Fees Clause Could Give Rise To Fee Recovery Even Though Dissolution Case Venued Elsewhere.

            In our December 22, 2018 post, we discussed Pont v. Pont, Case No. B284064, which was a 2/1 DCA decision which was unpublished at the time. The opinion upheld an attorney’s fees award to a husband who prevailed in Orange County spin-off litigation involving a stipulated dissolution settlement even though the dissolution case was venued in Los Angeles County. We can now report that the opinion was certified for publication on January 16, 2019.

Family Law: Ex-Husband Siphoning Off Equity In House Properly Assessed With Fiduciary Breach, 271, And Financial Disclosure Failure Sanctions

No Abuse of Discretion Shown, With Appellate Court Reminding Practitioners That Fiduciary Breach Fee Sanctions Are Mandatory In Nature.

            Ex-husband in Marriage of Tsatryan, Case Nos. B270784/B276299 (2d Dist., Div. 7 Jan. 14, 2019) (unpublished) was not happy with being hit with $65,000 in attorney’s fees sanctions under Family Code sections 1101(g) [for breach of fiduciary duty with regard to community assets], 271 [failure to promote settlement/hold down the costs of a dissolution case] and 2107(c) [failure to make required disclosures in declaration of financial disclosure]. However, the sanctions award was hardly an abuse of discretion when the record showed that ex-husband had siphoned off equity in the ex-couple’s house to the tune of $650,000 in encumbrances—making the sanctions award only 10% of the transfers (with section 1101(g) allowing a base award of 50% of any transferred asset). The appellate court also reminded everyone that the section 1101(g) award of fees for a spouse’s breach of fiduciary duty is mandatory. (In re Marriage of Fossum, 192 Cal.App.4^th 336, 348 (2011).)

Family Law: Wife Properly Awarded $87,500 In Needs-Based Fees And $46,000 In 271 Sanctions

Husband And Wife Had Litigated Themselves Into Financial Ruin, Trial Court Observed.

            In Thacher v. Thacher, Case No. B279985 (2d Dist., Div. 2 Jan. 3, 2019) (unpublished), the trial judge observed that husband and wife had litigated themselves into financial ruin in the dissolution case. After all, they had engaged in a 38-day trial on dueling domestic violence protective petitions, followed by a 6-day bench trial on dissolution issues and several hours on fees/sanctions requests. Wife had spent $1.2 million on the case, while husband had expended $603,000 (using three attorneys, including mother—who was a family law specialist representing him free at some later phases of the case). Eventually, husband was ordered to pay needs-based fees to wife in the sum of $87,500 and also ordered to pay $46,000 in 271 sanctions to wife. He appealed aspects of the prior dissolution order as well as the fees/sanctions orders.

            The 2/2 DCA affirmed. The prior dissolution judgment was independently appealable even though issues such as spousal support and fees had not been adjudicated; husband’s failure to appeal the dissolution judgment prevented any challenges to it. With respect to fees and sanctions, husband could show no abuse of discretion in the orders. He had three times the base annual salary as compared to wife’s salary, and he had money to pay the orders based upon his half of sales proceeds from a sale of the family house and funds leftover in trust accounts for his girls’ counsel. The record did show that 271 sanctionable conduct did take place, not to mention that wife was sanctioned for some conduct (with that amount offsetting to arrive at the net aggregate award).

Fee Clause Interpretation, Family Law: Husband’s Fees In Defeating Wife’s Orange County Action, Although Stipulated Judgment Entered In Los Angeles Family Law Court, Was Allowable Under Wording Of Stipulated Judgment Fees Clause

“Court Intervention” Language Not Limited To Just One Court, 2/1 DCA Concludes.

            In Pont v. Pont, Case No. B284064 (2d Dist., Div. 1 Dec. 20, 2018) (unpublished), ex-husband was awarded $90,000 in attorney’s fees and costs for defeating ex-wife’s claim that he siphoned off community assets in an Orange County action, after the parties had entered into a stipulated judgment with a fees clause in Los Angeles County family law court. The fees clause covered a prevailing party involved in a “court intervention . . . in connection [with the stipulated judgment].” Both the trial and appellate court had no difficulty concluding that husband’s Orange County victory qualified him as the prevailing party, not just limited to the Los Angeles County family law court producing the entry of the stipulated judgment. Husband obtained a dismissal at the demurrer stage, so that this certainly was a prevailing “win.” Finally, hourly rates ranging from $120-800 per hour for his attorneys was sustained as reasonable given this was a family law matter (although the lower court did note that the $800 mark was at the high range of fees for this type of matter).

Discovery, Family Law: Family Law Judges, On Discovery Matters Rather Than OSC Matters, Can Issue Sanctions Based On Declaration Testimony

No Oral Testimony Required Under The Circumstances.

            We found Marriage of Clarke and Akel, Case No. A151888 (1^st Dist., Div. 5 Dec. 11, 2018) (unpublished) to be an interesting case given that it involved an intersection between family law and civil discovery procedures.

            The essence of the matter was a discovery dispute between parties to a marital dissolution proceeding. Eventually, ex-wife was ordered to pay to ex-husband $15,000 on a discovery motion to compel under CCP §§ 2023.030(a), 2031.310(h). The principal challenge was that the family law judge erred in deciding the discovery dispute based on declarations, rather than admitting oral testimony.

            The appellate court affirmed. Nothing exempts family law cases from application of discovery principles, which routinely allow these disputes to be resolved through declaration testimony. This is contrasted with substantive order to show cause matters, which usually require oral testimony unless the parties stipulate otherwise. Beyond that, ex-wife did not object to the declarations such that any argument otherwise was waived.

Family Law: Third District Affirms Discretionary Family Law Fees And Spousal Support Awards Because No Reporter’s Transcript Provided

Trial Judge Is Presumed To Follow The Law In Lines With His/Her Official Duties.

            We have posted many times that it would be a good (if not mandatory) idea to have a reporter present for discretionary fee award proceedings. The Third District, in line with other sister court courts (especially the Second District, Division 5), recently followed authority that error on discretionary rulings cannot be presumed where a reporter’s transcript is not provided on fee and pendente lite spousal support rulings. We refer you to Marriage of Asefirad & Rakhshandeh, Case No. C085720 (3d Dist. Dec. 5, 2018) (unpublished) to show another affirmance based on the lack of a RT, because judges are presumed to follow the law and error must be affirmatively demonstrated. Without a RT, these presumptions could not be overcome.

Family Law: Family Law Judge’s Family Code Section 271 Sanctions Reversed And Remanded Based On “Double Dips,” Due Process Grounds, And Client Not Being Liable For Them

Opinion Demonstrates That Fees Must Be Specifically Targeted To Independent Conduct Not Previously Sanctioned And To Conduct For Which Due Process Concerns Are Honored.

            In Marriage of Bentley, Case No. H043593 (6^th Dist. Nov. 13, 2018) (unpublished), the family law judge imposed various Family Code section 271 sanctions against ex-wife. Some of them were reversed and remanded for determination. First up, a$10,000 sanctions award was too much because it included the amount of a prior discovery violation sanctions order (put another way, a “double dip”). Second, ex-wife could not be sanctioned for not showing up at an ex parte hearing because she had no notice she could be subject to sanctions. Third, she could not be sanctioned for failing to show up at scheduling conferences because she was not ordered to be present and she appeared through an attorney.

Family Law: $10,000 Sanctions Award Reversed Because Not Tethered Into Any Specific Fees Or Costs

Gotta Have Causation, Family Law Practitioners!

            Okay, we have posted before on sanctions awarded against litigants in a family law dissolution or related matter under Family Code section 271, which is aimed at dissuading conduct which is frivolous or not targeted at resolving the matter. The facts in Marriage of Karuppiah and Thurairajah, Case No. D071601 (4^th Dist., Div. 1 Oct. 31, 2018) (unpublished) are not important because a $10,000 section 271 sanctions award was vacated. The problem was that the winning litigant must “tether” the request to attorney’s fees and costs actually incurred—a causation principle. Because that was not done in this case, the $10,000 award was invalid.

Family Law: $75,000 Pendente Lite Attorney’s Fee Award To Ex-Wife Was No Abuse Of Discretion

There Was A Disparity In Assets/Cash Flow So As To Justify The Award.

            The appellate court in Marriage of Azmoon, Case No. B277654 (2d Dist., Div. 7 Oct. 23, 2018) (unpublished) affirmed a $75,000 pendente lite attorney’s fees award to ex-wife under Family Code sections 2030/2032/4320. It was made payable $5,000 per month and the record showed that wife’s monthly expenses outstripped her income, ex-husband had much more income and assets upon which to draw, and ex-wife was the primary caregiver for their daughter. Beyond that, ex-husband did not file an opposition such that there was no great basis for a continuance to allow for a future submission of opposing papers. The amount of the fee award was sustained because the court can use its own observations as to how much is needed given the conduct of the parties in the litigation.

Family Law: Denials Of Contempt Proceeding For Alleged Visitation Order Disobedience And Needs-Based Fees Request, Adverse To Ex-Husband, Were Proper

Trial Judge Denied Fees Request Without Prejudice, So It Could Be Renewed.

            In Jordan v. Binford, Case No. F075265 (5^th Dist. Oct. 5, 2018) (unpublished), ex-husband lost a contempt proceeding in which he alleged that ex-wife willfully disobeyed a custody and visitation order. Ex-husband also sought to recover attorney’s fees from his ex-wife. The lower court observed that usually a successful party in a contempt proceeding could obtain fee recovery (Code Civ. Proc., § 1218(a), but that situation was not present. However, the lower court asked ex-husband if he was seeking a needs-based award, to which he affirmatively responded.   But ex-wife objected because no income and expense declaration had been filed. The lower court denied the needs-based fees request without prejudice, indicating it could be refiled complete with an income and expense declaration. Ex-husband appealed.

            The Fifth District affirmed. The contempt order appeal had to be dismissed because the contempt ruling could only be reviewed by a writ of habeas corpus, given that the proceeding is quasi-criminal in nature. With respect to the fee order, there was no abuse of discretion because no financial evidence was presented so that the lower court could properly rule on the needs-based fees request and the lower court did not foreclose ex-husband from renewing the request with proper financial data. No costs were awarded on appeal, given that ex-wife did not even file a respondent’s brief.

Family Law: Family Law Commissioner Did Not Err In Denying Most Of Ex-Wife’s 2030/271 Fee Or Sanctions Request Based On DissoMaster Showing Equal Net Spendable Income And Both Sides’ “Grossly Over-Litigated” Stances

No Abuse Of Discretion Shown.

            In Marriage of Elgin and Yenyk, Case No. B285857 (2d Dist., Div. 1 Oct. 2, 2018) (unpublished), the family law commissioner—except for one missed appearance by ex-husband’s attorney—did not award anywhere close to the needs-based fees or Family Code section 271 sanctions to ex-wife as she requested. The commissioner used the DissoMaster to show that each party had roughly the same net spendable income and observed that the case had been “grossly over-litigated” with “fault in both directions.”

            Ex-wife’s challenges on appeal could not overcome the abuse of discretion standard, given she had the burden of proof on both the fee and sanctions grounds. The DissoMaster showing was good enough alone, but ex-wife’s “trial tactics” could not go ignored—even though both parties were at fault in over-litigating the matter.

Family Law: Family Code Section 2030(a) Requires Explicit Needs-Based Findings And A Mandatory Fee Recovery If The Findings Show Disparity In Financial Resources/Ability To Pay

Here, Appellate Court Determined Record Showed Financial Gulf Such That Fee Recovery Was Mandatory, Remanding To Determine Amount Of Fees To Be Awarded To Ex-Wife.

            In Marriage of Morton, Case Nos. F073689/F074243 (5^th Dist. Sept. 26, 2018; reposted for corrected version on Oct. 1, 2018) (partially published; fee discussion published), the Fifth District concluded that amendments to Family Code section 2030, the “needs-based” fee provision, require lower court to make explicit findings on the need factors set forth in section 2030(a)(2) and then require a mandatory fee recovery if those factors show a financial disparity or inability to pay by the moving dissolution litigant. The findings can be in writing or made orally on the record. In this instance, the findings were not made, so that left the remedy on appeal—either a remand to make the findings or remand to determine the amount of fees to be awarded to ex-wife. The Court of Appeal concluded that the record clearly showed disparity/lack of an ability to pay, so that the remand was made to determine the amount of fees to ex-wife plus any fees for winning the appeal as determined in the discretion of the lower court.

Family Law: Trial Judge Properly Denied Ex-Husband’s Request That Ex-Wife Pay $35,000 Of His Fees Under “Needs-Based” Family Code Section 2030

Neither Side Enjoyed A Substantial Financial Advantage Over The Other, Plus Ex-Husband’s Emails Showing He Intended To Make The Case “A Battle Of Attrition,” Justified Denial Of The Fee Request.

             Family Code section 2030 is a needs-based fee shifting provision which allows a family law judge to “level the playing field” by ordering one side to pay the other side’s attorney’s fees where the circumstances show a financial advantage by one side and other circumstances justify such a shifting of fees.

             Ex-husband, in Marriage of Papageorges, Case No. G054776 (4^th Dist., Div. 3 Sept. 24, 2018) (unpublished), brought a 2030 request for ex-wife to pay $35,000 out of $58,000 in attorney’s fees which he incurred. Ex-husband also criticized the work of one of his former divorce attorneys. Ex-wife had incurred about $25,000 in fees, with ex-husband sending some improvident emails indicating he was going to make the dissolution matter a “very long, long battle of attrition,” threatening to involve the media, and observing that he was going to “start the meter and spend her money.” The trial judge denied the fee request, finding that discrepancy on what was spent was inexplicable and that ex-husband had driven up the costs based on his “battle of attrition” mentality.

             The Fourth District, Division 3, in an opinion authored by Justice Goethals, affirmed. No abuse of discretion was shown in denying fees, given that (1) ex-husband provided no justification for the substantial difference in fees he incurred versus what his ex-wife incurred, (2) neither party enjoyed a substantial financial advantage over the other as far as assets and marital income, and (3) ex-husband’s emails showed that his own conduct had contributed to the fees for which he requested 2030 fee shifting. We definitely believe that ex-husband’s emails hurt his cause before both the lower and appellate courts, which signals to litigants that they need to be careful about what they say in emails—they can and will be used against you!

Family Law: Lower Court Erred In Failing To Award Needs-Based Fees To Ex-Wife After She Prevailed On Appeal

Family Law Judge Did Not Consider Husband’s Ability to Pay, And Wife Was Not Required To Make A Separate Request For Fees On Appeal When She Had Already Requested Them.

            Marriage of McCallon, Case No. G054567 (4^th Dist., Div. 3 Aug. 20, 2018) (unpublished) is an interesting case in which an ex-wife gets a remand opportunity to recoup fees for winning a previous appeal on other proceedings.  A number of procedural and substantive issues were decided in this one, so strap up for the “judicial ride.”

            What happened, boiled down, was this: wife prevailed on appeal from an order terminating spousal support, then seeking fees under a marital settlement agreement, Family Code section 271 (sanctions), and Family Code sections 2030/2032 (needs-based fees statute). The lower court denied fees on any of these bases, prompting an appeal. Wife did get relief in the form of a remand to determine fees under the needs-based fees statutes.

            Appealability was the first issue. The interim order being appealed from was not a final order such that it was not appealable. It also did not qualify as a collateral final order given that wife was not directed to pay any money to husband.

            The lower court did get it right as to no fee entitlement under the marital settlement agreement and section 271. With respect to the MSA, the language was not a prevailing party clause but simply reserved the right to apply for future fees under sections 271 or 2030/2032—this reservation language was not akin to a fees entitlement clause on a stand-alone basis. The section 271 sanctions request was correctly denied because ex-husband’s modification request was not frivolous and simply did not confer fee entitlement because it was reversed on appeal.

            That took the appellate court to the critical needs-based fees request, which took ex-wife to the promised land as far as a reversal was concerned. The main problem is that the lower court denied fees without recognizing that the appellate court’s earlier reversal was one for the entire post-judgment order inclusive of the decision on attorney’s fees. Ex-wife was entitled to fees on remand for successful appellate work. Ex-wife also did not have to request fees somehow again until an appeal was concluded to be entitled to them—after all, a litigant like wife does not have to be clairvoyant in predicting whether an appeal would be won. Finally, on the merits, the trial court failed to consider husband’s ability to pay versus just basing a fees denial based on wife’s ability to pay. So, both parties’ relative circumstances had to considered on remand as it related to all of the germane fee motions denied below.

            Acting Justice Fybel authored the 3-0 panel decision in favor of ex-wife.

Family Law: Section 271 Sanctions Award Of $50,000 Against Ex-Husband Reversed On Due Process Grounds

None Of Ex-Wife’s Papers Before A Critical Hearing Specifically Referenced Section 271, Requiring A Reversal Without Prejudice.

            This next case, Marriage of Bauer, Case No. H041338 (6^th Dist. Aug. 10, 2018) (unpublished), teaches an important due process lesson in family law cases: if you are going after fees as Family Code section 271 sections (not being cooperative or trying to resolve the case), make sure your papers or briefs cite the section specifically.

            What basically happened was that ex-wife failed to cite section 271 in her latter requests for order or trial briefs, despite doing it in prior hearings at which the requests were denied for the time being. Ex-husband raised the argument he did have notice or opportunity to be heard, with the appellate court agreeing and reversing the trial judge’s $50,000 sanctions award without prejudice. The reason was ex-wife’s failure to comply with Parker v. Harbert, 212 Cal.App.4^th 1172, 1178 (2012), which holds that due process requires that a notice for section 271 sanctions must specify the authority relied upon and must advise of the specific grounds/conduct on which sanctions are to be based.

Family Law: Bulk of Attorney’s Fees Rulings Contested By Ex-Wife Affirmed, Although One Award Denying Fees For Child Support Modification Was Reversed

Large-Scale Dissolution Battle Was Involved, With Appellate Court Giving Great Explanation Of Abuse Of Discretion Standard Of Review—Likely a “Smell Test” At Best.

            In Marriage of Vinhas and Krognes, Case No. A144387 (1^st Dist., Div. 2 Aug. 9, 2018) (unpublished), a family law judge largely decided marital standard of living issues in favor of ex-husband where his earnings plunged to a quite modest level after a few years of large earnings before separation. This case involved a non-consummated Swiss divorce agreement and ex-wife moving to Paris to live with her boyfriend, and the couple finally signing a divorce agreement in San Francisco, among other interesting and diverse facts. Ex-wife wanted $71,700 per month in support, but the family law judge awarded closer to $12,000 per month after factoring in other transfers or retentions of substantial assets. The family law judge denied most of ex-wife’s request for late-in-the game attorney’s fees requests, including denial of fees relating to child and spousal support requests.

            Ex-wife appealed, with ex-husband mainly winning but with a remand to revisit an award of fees for ex-wife’s successful child modification request. However, as we note in our BLOG OBSERVATION below, the opinion maybe has the most lucid, pragmatic definition of the appellate abuse of discretion standard—although some of our readers might think it too trite (even though we actually think it has some commonsense appeal).

            In denying fees, the family law judge did observe that ex-wife incurred $472,107 in attorney’s and forensic accounting fees (yikes!); husband took the laboring oar with respect to a realistic financial analysis; and wife drove up the fees based on how she litigated and in not being candid in her financial disclosures. So, the appellate court found that her requests for additional prejudgment fees and appellate fees were properly denied given that she had substantial access to funds (she had received $3.1 million in separate property) and that she had received over $8,500 in monthly child/spousal support for a period of time—not to mention her request for relief was astronomical in nature. However, it was error to not award her some fees for modifying child support under the Family Code section 3652 fee-shifting provision. But, to the contrary, the family law judge did not err in denying fees for modification of spousal support request given that ex-wife purchased an $1.8 million house such that her plea of “liquid asset poverty” did not resonate with the reviewing court.

            BLOG OBSERVATION—As we promised, here is what the appellate court had to say on the abuse of discretion standard, which we truncate (but with the full discussion being even more enlightening): “[O]ne commentator colorfully described a reversal for abuse of discretion as ‘the noise made by an appellate court while delivering a figurative blow to the trial judge’s solar plexus. It is a way of saying to the trial judge, “This one’s on you.” The term has no meaning or idea content that I have ever been able to discern. It is just a way of recording the delivery of a punch to the judicial midriff.’ (Rosenberg, Professor of Law, Columbia University, address to Federal Appellate Judges Seminar (May 13–16, 1975) Appellate Review of Trial Court Discretion.)”

Family Law: $2.5K Needs-Based Fee Award Of Req. $42K Was Abuse Of Discretion As Ex-Wife Did Attach Sufficient Fin. Info., Notice Not Given That Blanks In Jud. Council Forms Would Result In Denial, And Judge Excluded Her Ltd. Appearance Counsel’s Fees

Appellate Court Found These Combined Errors To Require A “Relook” At the RFO.

            Family law is certainly a specialty, where a lot gets done through a Request for Order (RFO) for support, provisional attorney’s fees, visitation, and other matters in a dissolution action. A lot of activity is governed by Judicial Council forms, with civil detailed legal memorandum not seen very much unless there is a complex issue or maybe in a trial brief in a complicated case. The next illustrates how a family law judge was reversed for not giving a little more leeway under the RFO process.

            In Marriage of Bazar & Shorr, Case No. B275808 (2d Dist., Div. 7 July 31, 2018) (unpublished), ex-wife sought need-based Family Code section 2032 attorney’s fees and costs to have a limited appearance attorney defend her (she was mainly acting in pro per in the dissolution action) in ex-husband’s motion to declare her a vexatious litigant. The family law judge, after several hearings on RFOs from ex-wife, only awarded her $2,500 in fees out of a requested $42,341 in fees and costs. The appellate court reversed after ex-wife appealed.

            It found several errors.

            First, the family law judge incorrectly refused to consider one RFO because ex-wife did not attach Judicial Council FL-158 (“Supporting Declaration For Attorney’s Fee and Costs”) and FL-157 (”Spousal or Partner Support Declaration Attachment”). In doing so, it distinguished how the process goes: “We acknowledge it is preferable from the court’s perspective to have all necessary information relating to the requesting party’s needs and the responding party’s ability to pay the other side’s attorney fees in the moving papers. But as Bazar’s counsel emphasized at the hearing on the first request for fees, the court’s reasoning creates a Catch-22 for a self- represented litigant in family court where, as here, that party must respond under a deadline to a request for order filed by his or her former spouse: The self-represented party cannot request an order for pendente lite attorney fees without first conducting discovery about his or her former spouse’s current financial situation; but without first filing a request for order for fees, discovery regarding the former spouse’s financial situation is not authorized. Moreover, without an order awarding fees, the self- represented litigant generally cannot afford an attorney to conduct discovery, to respond to the request that triggered the new proceedings or even to seek to continue the substantive matters until the fee issues, as well as any discovery disputes, have been resolved.” (Slip Op., pp. 13-14.) The reviewing court also noted that there was no prejudice to ex-husband, because was able to provide a meaningful response to the RFO.

            Second, the family law judge erroneously failed to consider ex-wife’s Income and Expense Declaration (FL-150) because she left certain items blank rather than putting zeroes in the form, which was in derogation of a Los Angeles County Superior Court Local Rule. The appellate court viewed the refusal to consider as tantamount to a terminating sanctions order, which was not justified given ex-wife’s substantial compliance and the fact that an OSC notice of not considering the Declaration due to these defects should have been given to her.

            Third, in light of the previous flaws, the family law judge erred in not considering the fees and costs that ex-wife paid to her limited appearance attorney when adjudicating her RFO.

            The $2,500 award was reversed for a remand “relook.”

Family Law: Court-Appointed Expert Award Against Ex-Husband Reversed Because No Hearing Held To Determine If Request Was Reasonable

Evidence Code Section 730 Makes Reasonableness A Requirement.

            In Marriage of Aresh, Case No. G054062 (4^th Dist., Div. 3 July 25, 2018) (unpublished), an ex-husband was saddled with a $179,561 award to a court-appointed forensic accountant in a dissolution matter. He appealed and was awarded by doing so. The problem was that Evidence Code section 730 determines that such an award must be reasonable in nature, and the lower court held no hearing to determine if that was the case. So, it was reversed and remanded for an evidentiary hearing. Justice Aronson authored the 3-0 opinion.

Family Law: In Fletcher Jones, Jr. Dissolution, $5.8M Fee Award Of Requested $9.5M To Ex-Wife For CA Litigation Not Abuse Of Discretion, But Remanded To See If Ex-Wife Entitled To More Than $375K For NV Litigation Where She Failed To Invalidate Agrmnts.

Remand Necessary In Nevada Litigation Because California Family Law Judge Improperly Took Judicial Notice Of Factual Finding By Nevada Court In Denying A Request For A Reimbursement Of Additional Fees.

       

        Admittedly, the Fletcher (Ted) Jones, Jr. dissolution case was going to be messy—after all, the couple lived a lavish lifestyle based on lucrative luxury car dealerships/ leasing businesses. The dissolution took on litigation in both California and Nevada, with California dealing with standard issues (status, parenting schedules, and child/spousal support) while Nevada dealt with the issue of whether the three prenuptial/postmarital agreements were valid/enforceable.

        The family law judge ordered Ted to pay Kimberly $375,000 in attorney’s fees so that she could do war in the Nevada litigation. After a 23-day trial in California, the family law judge ordered Ted to pay Kimberly $120,000 per month in child support for three children, $245,000 per month in spousal support, and $5.8 million in attorney’s fees (just for the California litigation). What he refused to do was order Ted to pay another $3.7 million in fees requested by Kimberly, which would have totaled about $9.5 million in fees altogether.

       Kimberly did not do well in Nevada. After a 31-day trial, she lost the attempts to invalidate the three agreements, with the Nevada court ordering her to reimburse Ted $4 million for his attorney’s fees and costs.

        Kimberly requested the California judge to award her more than the $375,000 in fees for Nevada work, but he refused after taking judicial notice of the Nevada judgment and factual findings associated therewith.

        Kimberly appealed, partially losing but gaining a shot again at the Nevada fee reimbursement request (although one wonders how successful this will be), in an unpublished opinion authored by Justice Moore in Marriage of Jones, Case No. G053394 (4^th Dist., Div. 3 July 18, 2018) (unpublished).

        The appellate court agreed that the $5.8 million California fee award was no abuse of discretion. It found that the California litigation involved standard issues and was over-litigated on Kimberly’s side.

        However, it did find that the trial court incorrectly determined that it was legally precluded from ordering Ted to reimburse Kimberly for fees related to the Nevada litigation, given an earlier appellate decision finding that “related” proceedings could allow a California judge discretion to award for work in them. (See our post of May 14, 2015 on the earlier decision.) The family law judge decided he had no fee adjudication powers with respect to the Nevada action, with exclusive jurisdiction being in that court such that the judgment there was binding under res judicata/collateral estoppel principles. The 4/3 DCA panel disagreed because the Nevada action involved the three agreements versus the more standard issues which were germane in California. However, the appellate court was uncertain that Kimberly was prejudiced, but gave her the benefit of the doubt given the California family judge took judicial notice of “toxic findings” in the Nevada judgment about her Nevada-based litigation behavior—which might have tainted things. So, the matter goes back for a remand on the Nevada fee issue.

        BLOG OBSERVATION—The California appellate court awarded Ted his costs on appeal. While we do not know the fees spent on this appeal (or the additional fees being expended in Nevada by the parties), we can tell you that the ex-couple at a minimum likely spent $10 million apiece, if not more, between the California and Nevada cases if our math is anywhere close to correct by the time this decision was issued.

 

      

Family Law: Section 271 Sanctions For Attempted Sale Of Property, Even Though No Attorney’s Fees Incurred, Had To Be Reversed

Sixth District Follows First District’s Lead As Far As Section 271 Sanctions Limitations.

            In Marriage of Henley & Jackson, Case No. H043753 (6^th Dist. June 29, 2018) (unpublished), a family law judge imposed Family Code section 271 sanctions of $25,000 against husband for his efforts to sell a community asset without notice to wife, even though she incurred no attorney’s fees and costs in the process. That, among other issues, were reversed and remanded on appeal, by husband. The Sixth District adopted the reasoning of the First District in Sagonowsky v. Kekoa, 6 Cal.App.5^th 1142, 1144, 1157 (2016), which held that misconduct over beyond fees/costs actually incurred was not within the reach of section 271.

Family Code: $114,522.50 In Section 270 Sanctions Against Husband In Contentious Dissolution Affirmed On Appeal

Attorneys Did Seek Sanctions On Behalf Of Wife And Failure To Include Income/Expense Declaration On Appeal Failed To Support Husband’s Financial Burden Argument.

            In Marriage of Sokol & Avidor, Case No. B280783 (2d Dist., Div. 5 June 20, 2018) (unpublished), husband was ordered to pay a total of $114,522.50 in Family Code section 270 based on failing to cooperate and driving up expenses during the course of a dissolution proceeding. Of that, $14,552.50 was awarded to one of wife’s former attorneys, and $100,000 went to wife’s then-current attorney based on five instances of sanctionable conduct. (By the way, husband did not have to pay needs-based fees to wife.)

            The 2/5 DCA affirmed the sanctions awards.

            Husband argued that the family law judge erred by ordering him to pay wife’s attorneys directly, in contravention of Webb v. Webb, 12 Cal.App.5^th 876, 883 (2017) [which held that section 270 “contemplates that only a party may move for an award of sanctions”]. The reviewing court found Webb distinguishable because the record indicated that the sanctions were imposed for wife’s benefit, not just the attorneys’ benefit such that they would be credited to her fee obligations. With respect to the argument that the awards were financially crushing for husband, he failed to include a filed copy of an income/expense declaration with the appellate record (despite being submitted before the lower court), such that the appellate court presumed that the declaration supported the court’s conclusion that sanctions would not impose an unreasonable financial burden.  

Discovery, Family Law, Sanctions: $5,500 Discovery Sanctions Award Against Ex-Client Attorney Reversed Where Attorney Not Given Notice She Was A “Sanctions Target”

Due Process Violation Was Reason For Reversal.

             In Marriage of Mehta & Grover, Case No. A146919 (1^st Dist., Div. 4 June 19, 2018) (unpublished), a $5,500 discovery sanction against an ex-attorney for wife was reversed on due process grounds. What happened was that before the discovery sanctions motion was decided, attorney was relieved as wife’s attorney, with nothing in the papers indicating she was the target of a discovery sanctions request (with only her client wife indicated as a target). The subsequent $5,500 sanctions order against ex-attorney was reversed on due process grounds, given the attorney had no notice that she was personally the subject of the sanctions request. Here is what the appellate court had to say on a broader basis with respect to sanctions request in moving or opposing papers: “To interpret [Code of Civil Procedure] section 2023.040 as imposing a notice obligation only on those who elect to include a sanctions motion in moving papers (i.e., in a discovery motion or in a separate sanctions motion), and not on those who include a sanctions motion in opposition papers, would defeat the obvious purpose of the statute and would lead to absurd consequences.” (Slip Op., p. 9.)

Appealability, Family Law: Litigant’s Failures To Specify Fee Order As Subject Of Notice Of Appeal And As Appeal Subject In Civil Information Statement Were Fatal In Nature

Although Notices Of Appeal Are Construed Liberally, The Order Under Appeal Still Must Be Specified With Some Precision.

            Marriage of Schoenfeld, Case No. B281835 (2d Dist., Div. 7 June 18, 2018) (unpublished) is a reminder to appellants that some precision must be made in both the notice of appeal and the appellate civil information statement in order to demonstrate that a particular order is truly the subject of review. (For litigants unaware of this last requirement, a civil information statement must be filed with California appellate courts within 15 days of notification by the clerk about the appeal being filed. It requests pointed questions about the orders being appealed from, their dates, and the bases for the appeal.)

            In this one, the litigant did not specify that it was appealing from a pendente lite fee order, although such an order is appealable. (In re Marriage of Tharp, 188 Cal.App.4^th 1295, 1311 (2010).) Appellant compounded his problems by not mentioning the fee order in the civil information statement filed with the Court of Appeal. The result was that the appellate court dismissed the appeal, given that appellant did not specify he was challenging the fee order.

Family Law: Section 271 Sanctions Award Against Ex-Wife And Section 2030/2032 Denial Of Needs-Based Award To Ex-Wife Both Reversed On Appeal

Both Sides Had Paid Or Owed A Cumulative $1.841 Million In Dissolution Proceedings.

            We are not sure that the appellate court was happy with any of the parties in this case that we now report on.   After all, in the dissolution saga, ex-husband had paid attorneys $900,000, still owing $70,000, while ex-wife had paid $241,000, but owed her current attorney about $530,000. However, given this tremendous expenditure of about $1.841 million if our math is correct, looks like the appellate court kept its objectivity intact.

            In Marriage of Stupp & Schilders, Case Nos. A146301/A148051 and A148382 (1^st Dist., Div. 2 May 30, 2018) (all unpublished), the appellate court principally was reviewing discovery sanctions and Family Code section 271 sanctions against ex-wife and the denial of Family Code section 2030/2032 needs-based fee request by ex-wife. (The discovery sanctions against ex-wife totaled $8,971 [either in favor of ex-husband or his attorney] and $2,500 section 271 sanctions in favor of ex-husband). On the separate needs-based request, ex-wife sought $370,000 in fees from ex-husband, but the trial judge denied the request finding the parties were essentially in the same financial position.

            The section 271 sanctions and denial of needs-based fees, with respect to ex-wife, were both reversed on appeal.

            Section 271 sanctions. The discovery sanctions did get affirmed against ex-wife. However, the section 271 sanctions were overturned because the appellate court believed that this was a “double dip” award which was unfair given that the pain already was inflicted and ameliorated through the discovery sanctions award.

            Needs-Based request by ex-wife. This one got reversed based on the record showing that the disposable monthly income was not “close” in nature. Ex-husband did have much more resources, such that he had much more of a “war chest” such that a restudy by the family judge law was required, although the appellate court astutely did not pass on what should be awarded—if anything—on remand.

Family Law: Ex-Husband Receives Full $138,000 Of Fee Request Against Ex-Wife For Modifying Support Order And Ex-Wife Only Received $10,627 In Fees Out Of Requested $159,783 Fee Request Against Ex-Husband Under Family Code Section 271 Sanctions Provision.

Ex-Husband Obtained A Lopsided Win, With Both Parties Expending $1 Million In Litigation Costs Since Separation.

           Attorney’s fees awards in family law setting are extremely discretionary and the end rest of litigation costs for both parties along the way, even with some reimbursement awards allowed, can certainly make destitute or bankrupt any party. This is well illustrated by what occurred in Marriage of Turnbaugh, Case Nos. A1496157/A1510805 (1^st Dist., Div. 1 May 24, 2018) (unpublished).

            In this situation, both sides had expended $1 million in litigation costs since separation. (Yep, this is no typo.) Ex-husband sought $138,000 from ex-wife under Family Code section 3652, which allows the court to award fees and costs to a prevailing party for obtaining an order modifying, terminating, or setting side a prior support order. He did obtain a reduction in support and did not have to pay private school tuition for his two boys based on a declining financial condition. That fee request was granted in full.   Ex-wife obtained $10,627 out of a requested $159,783 in fees under Family Code section 271’s provision against ex-husband.

            Ex-wife appealed the Family Code section 3652 award to ex-husband.

            The appellate court affirmed. Although there is no definition of “prevailing party” in section 3652, courts in other situations use a practical approach, which was adopted as the standard by the reviewing panel in this cause. Here, the outcome was lopsided in ex-husband’s favor such that no abuse of discretion occurred in granting the “full boat” fee request.

Family Law: $20,000 Section 271 Sanctions Award And $5,000 Breach of Fiduciary Duty Sanctions Award Affirmed By 4/3 DCA Against Ex-Wife

But No Appellate Fees Awarded To Ex-Husband.

            In Marriage of Reed, Case No. G050666 (4^th Dist., Div. 3 May 15, 2018) (unpublished), ex-wife was assessed with $20,000 in sanctions under Family Code section 271 and another $5,000 in sanctions for breach of fiduciary duty for failure to disclose the existence of a community property pension, both in favor of ex-husband. Wife’s appeal failed to surmount the deferential abuse of discretion standard. The many continuances, delays, and no-shows by ex-wife meant that ex-husband had to repeatedly submit income and expense declarations and his counsel had to go to court unnecessarily, justifying the section 271 sanctions. Three Family Code provisions—section 1101(g), section 2107(c), and section 271(a)—collectively give the court authority to order sanctions and pay attorney’s fees for breach of a party’s fiduciary duty of disclosure, which would encompass failure to disclose the existence of ex-wife’s retirement plan and with the appellate court observing that the lower court was lenient in only imposing $5,000 in sanctions. Ex-husband asked for an award of fees on appeal, but that was denied because ex-husband failed to provide any financial information of ex-wife so as to justify an award under Family Code section 2030 and because the reviewing court on its own raised the key jurisdictional issue such that section 271 appellate sanctions were unwarranted.

            Justice Fybel authored this 3-0 panel opinion.

Family Law: $30,000 271 Sanctions Against Ex-Husband Not Reviewable For Lack Of Adequate Record Including Family Hearings Which Led To The Sanctions Order

Also, Disentitlement Doctrine Might Prevent Further Appeals By Ex-Husband.

            Ex-husband in Marriage of Volovik & Parchin, Case No. B280980 (2d Dist., Div. 5 Apr. 18, 2018) (unpublished) was disgruntled when the lower court imposed a Family Code section 271 sanction award of $30,000 against him, although the result could have been worse given the 271 request for $70,964.  The sanctions order was affirmed because ex-husband failed to provide an adequate record in the form of reporter’s transcripts of family law hearings which would have allowed the appellate court to see if there was a true abuse of discretion.

            The appellate court, in a footnote, also indicated that it might not entertain future appeals by ex-husband under the disentitlement doctrine.   It was alleged that ex-husband only paid $197 of the $30,000 sanctions award, such that the reviewing court can dismiss an appeal for a litigant’s failure to comply with trial court orders, in this case the $30,000 sanctions order which was sustained after this particular appeal.

Family Law/Record: Ex-Wife’s 271 Sanctions Request Properly Denied

Failure to Include Reporter’s Transcript Of Fee Proceedings Was Fatal On Appeal.

            In a growing trend among California intermediate appellate courts, the 4/3 DCA in Marriage of Watts, Case No. G053304 (4^th Dist., Div. 3 Apr. 11, 2018) (unpublished), affirmed the denial of Family Code section 217 sanctions to the tune of $37,000 as requested by ex-wife based on a failure to provide a reporter’s transcript of a hearing on appeal.   Given that the lower court’s ruling was governed by an abuse of discretion standard, the appellate court found that the appellant’s failure to provide a reporter’s transcript of the fee proceeding cemented the presumption that adequate evidence and argument was presented to support the lower court’s decision to deny 271 sanctions.  Acting Presiding Justice Bedsworth authored this 3-0 panel decision.

Appeal Sanctions/Family Law: $25,000 Family Code Section 271 Sanction Affirmed On Appeal

Appeal By Ex-Wife Found Frivolous, Which Carried $10,000 More In Sanctions.

            Marriage of Wintermute and Soltan, Case No. G052397 (4^th Dist., Div. 3 Apr. 9, 2018) (unpublished) was a situation where ex-wife appealed a Family Code section 271 sanction of $25,000 after an earlier appellate opinion disagreed with a critical assertion of ex-wife that a settlement was not global in nature, a ruling which became law of the case.  The section 271 sanction was for ex-wife’s failure to do a tardy dismissal as was promised to be done.  (The lower court actually disallowed $4,000 of the original sanctions request because the other side failed to file acceptable declarations during a few prior go-arounds.)  The appellate court affirmed the sanctions award based on the abuse of discretion standard, finding that ex-wife “was lucky to get away with the modesty penalty of $25,000.”  The other side moved to recoup fees for a frivolous appeal, with the 4/3 DCA panel—in an opinion authored by Acting Presiding Justice Bedsworth—ordering ex-wife and her counsel to pay $5,000 to the other side and to pay $5,000 to the clerk of the court for some of the expenses for internal court time in working up the appeal. 

Family Law Post: Family Code Section 271 Sanctions Can Be Deducted From The Variable Component Of A Spousal Support Order

Spousal Support Is Income For Purposes Of Interpreting Section 271.

            In Marriage of Pearson, Case No. D070360 (4^th Dist., Div. 1 Mar. 12, 2018 partially published; fee discussion published; other parts of opinion modified Mar. 27, 2018), the 4/1 DCA decided that a trial judge did not err in ordering that Family Code section 271 sanctions against an ex-wife could be paid for by ex-husband’s deduction of the sanctions from the variable component of his spousal support obligations (in this case, future bonus payments). 

Family Law: Ex-Wife’s Appeal Of “Needs Fees” Denial Was Not Successful

Family Law Judge Basically Found Both Parties Could Bear Expenses And Ex-Wife Overlitigated The Case.

            Marriage of Vu and Fearn, Case No. G054234 (4^th Dist., Div. 3 Feb. 8, 2018) (unpublished) was a situation where the family law judge awarded $15,000 in Family Code section 271 sanctions against both former spouses but also denied ex-wife’s request for $50,000 in “needs-based” fees under Family Code sections 2030/2032.   Ex-wife was confounded, choosing to appeal—but to no avail on the “needs-based” issue.  The record below showed no abuse of discretion given the financial situation of each party (including gifts, use of credit card by a friend, and fee rent by parents) and given ex-wife’s “over litigation” of the case through multiple attorneys. 

            Justice Fybel authored the 3-0 panel decision. 

Family Law: Court Of Appeal Affirms 2030/2032 Attorney Fee Award Of $60,000 To Ex-Wife And 271 Sanctions Award Of $3,000 Against Ex-Wife

Husband Had Sought $37,000 Sanctions Award.

            Ex-husband, who had spent $165,000 in fees on his own dissolution attorney and had paid ex-wife $119,650 through previous pendent lite attorney’s fees, was frustrated when the trial judge ordered him to pay yet an additional $60,000 in 2030/2032 fees to wife and only sanctioned her $3,000 under section 271 for three instances of misconduct (rather than the $37,000 he requested).

            In his subsequent appeal in Marriage of Blas and Rivera, Case No. D066720 (4^th Dist., Div. 2 Jan. 25, 2018) (unpublished), he was unable to obtain a reversal based on not being able to surmount the deferential abuse of discretion standard of review.  Ex-wife certainly had more limited resources from a financial perspective, and the lower court believed that even the $3,000 sanctions award would be a stretch for her given that she only had $3,000 cash in the bank.

            The 3-0 opinion was authored by Justice Richard T. Fields, who was confirmed to the 4/2 DCA in February 2017.

Family Law: $20,000 271 Sanctions Award Affirmed On Appeal

No Abuse Of Discretion Demonstrated.

            In re Marriage of Rafipoor, Case Nos. G053243/G053665 (4^th Dist., Div. 3 Jan. 18, 2018) (unpublished) involved a situation where ex-husband was assessed with Family Code section 271 sanctions in the amount of $20,000.  Among other things, the record suggested that husband made a motion with his finger across his throat while certain witnesses were testifying in court.  The appellate court agreed that harassment of witnesses is bad faith conduct hampering cooperation between parties and attorneys for section 271 sanctions purposes.  271 sanctions award was affirmed here based on failure to show the award was an abuse of discretion.  Presiding Justice O’Leary authored the 3-0 panel decision.

Family Law: $2,000 Needs-Based Fees Award To Ex-Wife Sustained On Appeal

Record Did Show Disparity In Income Between Spouses.

            In Marriage of Cueva, Case No. D071913 (4^th Dist., Div. 1 Jan. 9, 2018) (unpublished), the family law judge awarded ex-wife Family Code section 2030 needs-based fees of $2,000 after a 9 ½ year marriage involving five children.  Father’s challenges to the award were unavailing on appeal.  Mother was a “stay at home” mom, father made much more income as a truck driver (even after an interim unsuccessful stint as an insurance agent/financial advisor), and mother had to pay for basic living expenses.  Not to mention, the award only had to paid off at $50 per month. 

Family Law, Lien For Attorney Fees, Probate: Wife Had Authority Under Family Law Equal Management Principles To Engage Attorney For Personal Injuries Incurred By Incapacitated Husband

Also, In Contested Probate Proceedings, An Evidentiary Hearing Is Required Unless Parties Stipulate To Using Affidavits Or Declarations.

            Maldonado v. Giblin, Case No. H041417 (6^th Dist. Dec. 27, 2017) (unpublished) is a prime example showing how appellate jurists are attuned to gender equality issues and legislative changes aimed at promoting such equality in the family law/probate context.

            What happened in this case was that husband became incapacitated following a personal injury accident, leading wife to engage an initial attorney to represent husband and with the retainer agreement containing an attorney’s lien provision.  Initial attorney did some work and obtained a preliminary settlement offer from the tortfeasor defendant’s  insurance carrier.  Later, wife retained discharged first attorney and engaged a second attorney filing litigation which resulted in a $1 million settlement with the insurance carrier.  However, in a contested probate proceeding arising out of wife’s appointment as temporary co-conservator with husband’s son, the lower court approved the settlement (including fees to the second attorney) but denied first attorney’s request for fees based on the attorney’s lien and quantum meruit recovery.  The primary basis for rejecting first attorney’s claims was that the wife did not have agency authority for husband to enter into a retainer agreement with first attorney.

            The trial court’s conclusions were reversed on appeal so that first attorney gets another shot at compensation for his prior services.

            First attorney did have a reasonable expectation of compensation because wife, just like husband, had equal management powers when another spouse becomes incapacitated as far as entering into a client-attorney relationship to redress personal injuries to the other spouse.  It found that 1975 family legislative amendments gave husband and wives equal management abilities, such that older cases only recognizing male supremacy were antiquated in nature, establishing the basis for an attorney’s lien by first attorney.

            There also was a procedural issue addressed by the appellate court in order to provide assistance on remand.  First of all, the attorney’s lien dispute could be raised in the probate proceeding (unlike the situation where a separate action is necessary in a civil litigation context) because of the lower court’s unique position to approve a settlement entered into by a guardian or a conservator (the situation here).  Next, it was error for the lower court to decide the contested probate dispute on the basis of just declarations, without an evidentiary hearing under Probate Code section 1022 unless the parties stipulate otherwise. 

Homeowners Association, Family Law, Prevailing Party: Appellate Courts Deal With Trifecta Of Fees Issues In Unpublished November 9 Opinions

Homeowners Association—Anaheim Hills Planned Community Assn. v. Chen, Case No. G053128 (4^th Dist., Div. 3 Nov. 9, 2017) (Unpublished).

            In this first one, homeowner appealed a trial court’s award of appellate fees to HOA in a CC&R dispute under both a prior settlement agreement and the Davis-Stirling Act.  The appellate fee award of $36,830.50 was affirmed.   An action to enforce a settlement agreement does permit a fee award under the Davis-Stirling Act.  (Rancho Mirage Country Club Homeowners Assn. v. Hazelbaker, 2 Cal.App.5^th 252, 259-260 (2016).)  HOA also did prevail, given that it forced the homeowner to remedy the CC&R violations—its primary litigation objective.  Justice Moore authored the decision on behalf of a 3-0 panel.

Family Law—Marriage of Aubry, Case No. E066624 (4^th Dist., Div. 2 Nov. 9, 2017) (Unpublished).

            The second one involved an ex-wife’s appeal of a needs-based $10,000 fees award to ex-husband under Family Code sections 2030 and 2032.  The award was reversed because the trial judge was unaware of a capped $6,000 fee arrangement between ex-wife and her counsel, it was unclear if consideration was given to any net income received by husband from assets, and it was unclear if the trial court considered wife’s monthly income.  These vagaries required a reverse and re-do by the court below.

Prevailing Party—Law Offices of Mark B. Plummer PC v. Bayuk, Case No. G053836 (4^th Dist., Div. 3 Nov. 9, 2017) (Unpublished).

            The last opinion in the trifecta reviewed here involved a battle between attorneys representing a client in various proceedings, with the appellant suing for more compensation before finally admitting at trial that he basically received what was owed, leading the trial judge to enter judgment in favor of the opposing attorneys.  Opposing attorneys were granted fees under a contractual fees clause in an operative settlement agreement between some of the parties (although the provision could encompass even another non-party attorney to the settlement agreement).  The trial judge’s entry of an actual judgment precluded appellant’s argument that it really voluntarily the dismissed the matter so as to rise to the Santisas bar to fee recovery.  Appellant argued that attorneys represented themselves in defense, but the record showed that one co-defendant represented another defendant attorney and that another attorney had independent representation (both completely proper), dashing hopes that a Trope v. Katz defense would apply.  Justice Moore also authored this one on behalf of the 4/3 panel.