United States of America for the use and benefit of Porges Electrical Group, Inc., a California Corporation v. Travelers Casualty and Surety Company of America, No. 1:2015cv00024 - Document 332 (D. Guam 2022)

Court Description: Order denying 316 Defendant's Motion for Attorney Fees, Costs and Prejudgment Interest; granting 317 Plaintiff's Motion to be Determined as the Prevailing Party and for an Award of Attorney Fees and Non-Taxable Costs; granting 315 Plaintiff's Motion for Bill of Costs; granting 314 Plaintiff's Motion for an Award of Prejudgment Interest. Signed by Judge Consuelo Bland Marshall on 4/13/2022. (fad, )

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United States of America for the use and benefit of Porges E...asualty and Surety Company of America Doc. 332 1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 TERRITORY OF GUAM 10 UNITED STATES OF AMERICA for WKH XVH DQG EHQH¿W RI PORGES ELECTRICAL GROUP, INC., 11 12 3ODLQWL 13 v. 14 TRAVELERS CASUALTY AND SURETY COMPANY OF AMERICA and PATRICIA I. ROMERO, INC., doing business as PACIFIC WEST BUILDERS, 15 16 17 Defendants. 18 Case No.: CV 15-00024 ORDER RE: 1) DEFENDANT’S MOTION FOR ATTORNEYS’ FEES, COSTS AND PREJUDGMENT INTEREST; 2) PLAINTIFF’S MOTION TO BE DETERMINED TO BE THE PREVAILING PARTY AND FOR AN AWARD OF ATTORNEYS’ FEES AND NON-TAXABLE COSTS; 3) PLAINTIFF’S BILL OF COSTS; AND 4) PLAINTIFF’S MOTION FOR AN AWARD OF PREJUDGMENT INTEREST 19 H PDWWHUV EHIRUH WKH &RXUW DUH 'HIHQGDQW 3DWULFLD , 5RPHUR ,QF GED 20 21 3DFL¿F :HVW %XLOGHUV¶ ³'HIHQGDQW¶V´ 0RWLRQ IRU $WWRUQH\V¶ )HHV &RVWV DQG 22 3UHMXGJPHQW ,QWHUHVW 3ODLQWL 3RUJHV (OHFWULFDO *URXS ,QF ¶V ³3ODLQWL ¶V´ RU 23 ³3(*¶V´ RU ³3RUJHV¶´ 0RWLRQ 7R %H 'HWHUPLQHG 7R %H WKH 3UHYDLOLQJ 3DUW\ DQG 24 IRU DQ $ZDUG RI $WWRUQH\V¶ )HHV DQG 1RQ-7D[DEOH &RVWV 3ODLQWL ¶V %LOO RI 25 Costs 1 DQG 3ODLQWL ¶V 0RWLRQ IRU DQ $ZDUG RI 3UHMXGJPHQW ,QWHUHVW. (Dkt. 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Park *XDP *XDP $SU see also Guam Mem’l 5 Hosp. Auth. v. Civil Serv. Comm’n, 2015 GuDP *XDP -XQH 6 ³*HQHUDOO\ WKH SUHYDLOLQJ SDUW\ WR D VXLW IRU SXUSRVHV RI HQWLWOHPHQW WR UHFRYHU\ 7 RI FRVWV LQ D FRQWHVWHG FDVH RUGLQDULO\ PHDQV WKH SDUW\ DFKLHYLQJ D IDYRUDEOH 8 MXGJPHQW ´ *XDP FRXUWV KDYH UHMHFWHG WKH ³QHW MXGJPHQW´ rule as the “sole 9 FULWHULRQ IRU GHWHUPLQLQJ SUHYDLOLQJ SDUW\ IRU WKH SXUSRVH RI DZDUGLQJ DWWRUQH\ 10 IHHV´ DQG LQVWHDG ³ORRNHG DW WKH ODZVXLW DV D ZKROH WR GHWHUPLQH ZKLFK SDUW\ LI 11 DQ\ SUHYDLOHG ´ Rahmani *XDP XV XQGHU *XDP ODZ ³UHFRYHU\ 12 RI D QHW MXGJPHQW LV EXW RQH RI VHYHUDO IDFWRUV IRU WKH WULDO FRXUW WR FRQVLGHU RWKHUV 13 EHLQJ ZKHWKHU WKH SDUW\ SUHYDLOHG RQ DQ\ VLJQL¿FDQW LVVXH LQ OLWLJDWLRQ DQG WKH 14 SURSRUWLRQ EHWZHHQ ZKDW ZDV VRXJKW E\ WKH SDUW\ DQG ZKDW ZDV DFWXDOO\ 15 UHFRYHUHG ´ Id. see also Camacho Fam. P’ship, 2018 WL 1413174, at *4 (“where 16 WKH MXU\ KDV UHWXUQHG D VSOLW YHUGLFW WKH WULDO FRXUW PXVW QRW PHUHO\ FRQVLGHU ZKLFK 17 SDUW\ ZDV WKH QHW-MXGJPHQW ZLQQHU EXW PXVW µORRN DW WKH ODZVXLW DV D ZKROH WR 18 GHWHUPLQH ZKLFK SDUW\ LI DQ\ SUHYDLOHG ¶´ ,W LV ZLWKLQ WKH GLVFUHWLRQ RI WKH WULDO 19 FRXUW WR GHWHUPLQH ZKHWKHU D VLQJOH SDUW\ SUHYDLOHG ERWK SDUWLHV SUHYDLOHG DQG DUH 20 HQWLWOHG WR UHFRYHU DWWRUQH\ IHHV IURP the other or should bear their own fees, or 21 WKDW QHLWKHU SDUW\ SUHYDLOHG DQG WKXV QHLWKHU SDUW\ LV HQWLWOHG WR D IHH DZDUG Id. 22 +HUH, aOWKRXJK 'HIHQGDQW 3:% SUHYDLOHG RQ LWV UHDVRQDEOH YDOXH FODLPV 23 3ODLQWL SUHYDLOHG RQ LWV EUHDFK RI FRQWUDFW DQG 0LOODU $FW FODLPV. 3ODLQWL WKXV 24 SUHYDLOHG RQ VLJQL¿FDQW issues in this litigation DQG DFKLHYHG LWV PDLQ OLWLJDWLRQ 25 goals. See Rahmani *XDP 0RUHRYHU MXGJPHQW ZDV HQWHUHG LQ 26 IDYRU RI 3ODLQWL IRU D WRWDO DPRXQW RI TKH -RLQW 6WDWHPHQW RI WKH 27 &DVH VXEPLWWHG E\ 3ODLQWL DQG Defendants stated “Porges sued PWB for 28 DSSUR[LPDWHO\ ´ 'NW 1R - HUHIRUH 3ODLQWL UHFRYHUHG D 5 1 VLJQL¿FDQW SRUWLRQ RI WKH DPRXQW LW VRXJKW WR UHFRYHU Rahmani *XDP 2 64. 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Bridgeport Fin., Inc., 523 20 F.3d 973, 979 (9th Cir. 2008 PLCM Grp., 22 Cal. 4th at 1095 (“The reasonable 21 KRXUO\ UDWH LV WKDW SUHYDLOLQJ LQ WKH FRPPXQLW\ IRU VLPLODU ZRUN ´ 22 3ODLQWL DOVR VHHNV IHHV LQFXUUHG E\ OHDG FRXQVHO )7% ORFDWHG LQ 6DQ 'LHJR 23 3ODLQWL VXEPLWV HYLGHQFH GHPRQVWUDWLQJ )7% VSHFLDOL]HV LQ FRQVWUXFWLRQ ODZ WKH 24 TXDOL¿FDWLRQV DQG H[SHULHQFH RI WKH )7% DWWRUQH\V ZKR ZRUNHG RQ WKLV PDWWHU 25 LQFOXGLQJ H[SHULHQFH LQ FRQVWUXFWLRQ GLVSXWHV DQG WKH UDWHV FKDUJHG E\ )7% DUH 26 FRPSDUDEOH WR RU OHVV WKDQ UDWHV FKDUJHG E\ RWKHU DWWRUQH\V VSHFLDOL]LQJ LQ 27 FRQVWUXFWLRQ ODZ LQ 6RXWKHUQ &DOLIRUQLD *DXWKLHU 'HFO *RVVDJH 'HFO 28 1LFKRODV 'HFO HUHIRUH WKH &RXUW ¿QGV WKH KRXUO\ UDWHV FKDUJHG E\ 10 1 &DPDFKR DUH UHDsonable. See Aguero, 2016 WL 1050251, at *3. 2 3. 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P’ship :/ DW ¿QGLQJ ³WKH SD\PHQWV 10 RZHG WR >WKH SODLQWL @ IRU 1RYHPEHU WKURXJK 'HFHPEHU VKRXOG KDYH EHHQ 11 PDGH ZLWKLQ VHYHQ ZRUNLQJ GD\V RI WKH 1DY\ SD\LQJ 3:% RQ 'HFHPEHU DQG 12 ´ DQG WKH SODLQWL ³VKDOO EH HQWLWOHG WR SUHMXGJPHQW interest FRQVLVWHQW ZLWK 13 WKLV GHWHUPLQDWLRQ ´ ZKHUH WKH SDUWLHV¶ VXEFRQWUDFW SURYLGHG WKDW 3:% ³KDG WR 14 PDNH WKH SURJUHVV SD\PHQWV >WR WKH SODLQWL @ ZLWKLQ VHYHQ ZRUNLQJ GD\V RI UHFHLSW 15 RI SD\PHQW IURP WKH 8QLWHG 6WDWHV 1DY\´ . d. 16 Rate of Interest 8QGHU *XDP ODZ WKH SUHMXGJPHQW LQWHUHVW UDWH LV XQOHVV WKH SDUWLHV KDYH 17 18 DJUHHG WR D GL HUHQW UDWH RI LQWHUHVW LQ D ZULWWHQ FRQWUDFW 18 G.C.A. § 47106. 19 3ODLQWL DUJXHV WKDW WKH SDUWLHV¶ VXEFRQWUDFWV SURYLGH IRU D SUHMXGJPHQW 20 LQWHUHVW UDWH UHO\LQJ RQ SDUDJUDSK RI WKH VXEFRQWUDFWV +RZHYHU SDUDJUDSK 21 RI WKH VXEFRQWUDFWV SURYLGHV ³6XEFRQWUDFWRU VKDOO SD\ WR &RQWUDFWRU LQWHUHVW DW WKH 22 UDWH RI SHU DQQXP IURP WKH WLPH VDLG PRQH\ LV H[SHQGHG RU VDLG FRVWV RU 23 H[SHQVHV DUH LQFXUUHG XQWLO WKRVH DPRXQWV DUH UHSDLG WR &RQWUDFWRU E\ 24 6XEFRQWUDFWRU ´ ([ ([ 3ODLQWL ZDV WKH VXEFRQWUDFWRU DQG 25 26 27 28 3ODLQWL VHHNV SUHMXGJPHQW LQWHUHVW RQ WKH XQSDLG EDODQFH IRU WKH 5HG +RUVH VXEFRQWUDFW VWDUWLQJ RQ $XJXVW — GD\V DIWHU WKH ¿QDO LQYRLFH IRU WKH 5HG +RUVH SURMHFW ZDV LVVXHG RQ -XO\ +RZHYHU WKH LQYRLFH GRHV QRW VWDWH WKDW SD\PHQW LV GXH ZLWKLQ GD\V RI WKH LQYRLFH HUHIRUH 3ODLQWL ¶V right WR UHFRYHU IRU WKH XQSDLG 5HG +RUVH FRQWUDFW EDODQFH YHVWHG VHYHQ ZRUNLQJ GD\V after PWB UHFHLYHG SD\PHQW IRU WKH 5HG +RUVH SURMHFW 16 19 1 3:% ZDV WKH &RQWUDFWRU EXW SDUDJUDSK ¶V SHU DQQXP LQWHUHVW UDWH DSSOLHV 2 WR LQWHUHVW RQ PRQH\ RZHG E\ WKH VXEFRQWUDFWRU WR WKH FRQWUDFWRU $FFRUGLQJO\, 3 SDUDJUDSK RI WKH SDUWLHV¶ VXEFRQWUDFWV GRHV QRW DSSO\ WR DQ\ SUHMXGJPHQW 4 LQWHUHVW DZDUG WR 3ODLQWL DQG WKH VWDWXWRU\ LQWHUHVW UDWH DSSOLHV ZLWK UHVSHFW to 5 SUHMXGJPHQW LQWHUHVW IRU WKH XQSDLG EDODQFH of WKH 5HG +RUVH VXEFRQWUDFW See 18 6 G.C.A. § 47106. HUHIRUH 3ODLQWL LV HQWLWOHG WR SUHMXGJPHQW LQWHUHVW DW WKH UDWH 7 RI IRU WKH XQSDLG EDODQFH RI WKH 5HG +RUVH SURMHFW UXQQLQJ IURP VHYHQ 8 ZRUNLQJ GD\V DIWHU 0D\ IV. CONCLUSION 9 10 11 $FFRUGLQJO\ WKH &RXUW 1. 3UHMXGJPHQW ,QWHUHVW 12 13 DENIES 'HIHQGDQW¶V 0RWLRQ IRU $WWRUQH\V¶ )HHV &RVWV DQG 2. GRANTS 3ODLQWL ¶V 0RWLRQ 7R %H 'HWHUPLQHG 7R %H WKH 14 3UHYDLOLQJ 3DUW\ DQG IRU DQ $ZDUG RI $WWRUQH\V¶ )HHV DQG Non- 15 7D[DEOH &RVWV 16 3. GRANTS 3ODLQWL ¶V %LOO RI &RVWV DQG 17 4. GRANTS 3ODLQWL ¶V 0RWLRQ IRU 3UHMXGJPHQW ,QWHUHVW. 18 19 3ODLQWL LV therefore awarded the following against GHIHQGDQWV 3DWULFLD , 20 5RPHUR ,QF GED 3DFLILF :HVW %XLOGHUV ³3:%´ DQG 7UDYHOHUV &DVXDOW\ DQG 21 6XUHW\ &RPSDQ\ RI $PHULFD ³7UDYHOHUV´ : 22 1. RUQWRQ %DLUG //& 23 24 2. 3. LQ QRQ-taxDEOH FRVWV LQFXUUHG E\ )LQFK RUQWRQ Baird, LLC 27 28 LQ DWWRUQH\V¶ IHHV IRU IHHV LQFXUUHG E\ WKH &DPDFKR &DOYR /DZ *URXS //& 25 26 LQ DWWRUQH\V¶ IHHV IRU IHHV LQFXUUHG E\ )LQFK 4. LQ QRQ-WD[DEOH FRVWV LQFXUUHG E\ WKH &DPDFKR &DOYR 20 /DZ *URXS //& 1 2 5. LQ WD[DEOH FRVWV and 3 6. SUHMXGJPHQW LQWHUHVW DW WKH UDWH RI IRU WKH XQSDLG EDODQFH RI 4 WKH 5HG +RUVH SURMHFW UXQQLQJ IURP VHYHQ ZRUNLQJ GD\V DIWHU 5 0D\ 6 7 IT IS SO ORDERED. 8 9 10 DATED: $SULO 2022. ___________________________________ &2168(/2 % 0$56+$// UNITED STATES DISTRICT JUDGE 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 21

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