Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-1_08-cv-00177/USCOURTS-caed-1_08-cv-00177-8/pdf.json

Nature of Suit Code: 443
Nature of Suit: Civil Rights Accommodations
Cause of Action: 42:405 Fair Housing Act

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UNITED STATES DISTRICT COURT

EASTERN DISTRICT OF CALIFORNIA

TIFFANY PACK, et al., )

)

Plaintiffs, )

)

v. )

)

FORT WASHINGTON II, et al., )

al. )

Defendants. )

)

____________________________________)

1:08cv0177 DLB

ORDER GRANTING MOTION FOR

APPROVAL OF MINORS’ COMPROMISE

(Document 79)

Plaintiff/Petitioner Tiffany Pack-Lo filed the instant motion for approval of minors’

compromise on January 19, 2010. The motion was heard on February 19, 2010, before the

Honorable Dennis L. Beck, United States Magistrate Judge. Stuart Fagan appeared on behalf of

Plaintiff/Petitioner Tiffany Pack-Lo. Plaintiff Chengkou Lo and the two minor Plaintiffs were also

present. Defendants did not appear.

BACKGROUND

There are two minors involved in this action: (1) Cameron Pack-Lo, female, age 7,

through her Guardian ad Litem, Plaintiff Tiffany Pack-Lo; and (2) Charlie Pack-Lo, male, age 5,

through his Guardian ad Litem, Plaintiff Tiffany Pack-Lo.

This action arises out the alleged discriminatory housing practices of Defendants Fort

Washington II, dba Fort Washington II Apartments, and David S. Siegel & Company, Inc. 

Specifically, Plaintiffs Tiffany Pack-Lo, Chengkou Lo and the two minor Plaintiffs allege that they

were discriminated against as a family with children during their 2004-2005 tenancy at Fort

Washington II Apartments. Plaintiffs filed this action under the Fair Housing Act (“FHA”) on

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February 1, 2008. Pursuant to the First Amended Complaint filed on May 14, 2008, Plaintiffs

alleged causes of action for (1) violation of the FHA; (2) violation of the California Fair

Employment and Housing Act; (3) violation of the California Unruh Civil Rights Act; (4) unfair

business practices under California Business and Professions Code section 17200; (5) negligence

and (6) retaliatory eviction.

On December 30, 2009, the Court granted in part and denied in part Plaintiffs’ motion for

summary judgment. The Court found that certain rules and regulations implemented by

Defendants discriminated against families with children.

Petitioner/Plaintiff Tiffany Pack-Lo filed the instant motion for approval of minors’

compromise on January 19, 2010. Defendants filed a notice of non-opposition on February 2,

2010.

Petitioner seeks approval for a settlement payment of $100,000. Of that amount, $32,000

would be divided equally amongst the four family members. Each minor would therefore receive

$8,000. The remaining $68,000 would be paid as attorneys’ fees to Mr. Fagan. Declaration of

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Tiffany Pack-Lo (“Pack-Lo Dec.”), ¶¶ 3,4.

DISCUSSION

This Court’s Local Rule 202 addresses settlements for minors and provides in pertinent

part:

(b) Settlement. No claim by or against a minor or incompetent person may

be settled or compromised absent an order by the Court approving the settlement

or compromise.

. . .

(2) . . . The application shall disclose, among other things, the age

and sex of the minor or incompetent, the nature of the causes of action to be

settled or compromised, the facts and circumstances out of which the causes of

action arose, including the time, place and persons involved, the manner in which

the compromise amount or other consideration was determined, including such

additional information as may be required to enable the Court to determine the

fairness of the settlement or compromise, and, if a personal injury claim, the nature

and extent of the injury with sufficient particularity to inform the Court whether

the injury is temporary or permanent. If reports of physicians or other similar

experts have been prepared, such reports shall be provided to the Court. The

Court may also require the filing of experts’ reports when none have previously

Mr. Fagan agreed to reduce his fees by $67,647.23 to $68,000. Declaration of Stuart E. Fagan (“Fagan

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Dec.”), ¶ 35.

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been prepared or additional experts’ reports if appropriate under the

circumstances. Reports protected by an evidentiary privilege may be submitted in

a sealed condition to be reviewed only by the Court in camera, with notice of such

submission to all parties.

(c) Disclosure of Attorney’s Interest. When the minor or incompetent is

represented by an attorney, it shall be disclosed to the Court by whom and the terms under

which the attorney was employed; whether the attorney became involved in the application

at the instance of the party against whom the causes of action are asserted, directly or

indirectly; whether the attorney stands in any relationship to that party; and whether the

attorney has received or expects to receive any compensation, from whom, and the

amount.

. . .

(e) Payment of Judgment. Whenever money or property is recovered on behalf of

a

minor or incompetent person, the money or property will be (1) disbursed to

representative pursuant to state law upon a showing that the representative is duly

qualified under state law, (2) disbursed otherwise pursuant to state law, or (3) disbursed

pursuant to such other order as the Court deems proper for the protection of the minor

incompetent person.

Federal Rule of Civil Procedure 17(c) empowers a district court to make an “appropriate

order” to protect a minor. “Federal courts generally require that claims by minors . . . be settled

in accordance with applicable state law. California law requires court approval of the fairness and

terms of the settlement.” Schwarzer, Tashima & Wagstaffe, California Practice Guide, Federal

Civil Procedure Before Trial, § 15:138 (2009). A settlement for a minor and attorney fees to

represent a minor must be approved by the court. Cal. Prob. Code § 3601; Cal. Fam. Code §

6602. Reasonable expenses and court costs to be paid out of the settlement also must be

approved by the court. Cal. Prob. Code § 3601.

The present petition includes the information required by this Court’s Local Rule

202(b)(2) and (c) to address the details of the proposed compromise. Petitioner represents that

she has made a careful investigation as to the responsibility for and the nature and extent of the

minors’ damages. Petitioner understands that compromise will forever bar and prevent the minors

from seeking further recovery of compensation from the Defendants.

Petitioner explains that neither minor child required any medical or psychiatric treatment

for the injuries they sustained. They show no signs of ongoing stress and are normal, young

children. Although the children did not necessarily comprehend that they had been victims of

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housing discrimination, the family was forced to move during the 2005 holiday season. This was

stressful for the entire family. Pack-Lo Dec., ¶ 4.

Petitioner believes that this is a fair, reasonable settlement that is in the best interests of the

minor Plaintiffs. Pack-Lo Dec., ¶ 6.

Mr. Fagan also believes that this is a very reasonable settlement based on other settlements

and verdicts in fair housing cases and the perceived strengths and weaknesses of the witnesses’

anticipated testimony. Fagan Dec., ¶ 37.

Plaintiffs are represented by Mr. Fagan of the Law Offices of Stuart E. Fagan. Mr. Fagan

has not received any attorneys’ fees or other compensation for services provided in this matter.

Pack-Lo Dec., ¶ 8; Fagan Dec., ¶ 6.

Mr. Fagan expects to receive attorneys’ fees in the amount of $68,000. Mr. Fagan states

that he is a sole practitioner and has spent 368.5 hours on this matter since March 2006. Fagan

Dec., ¶ 6. He is in his 19th year of litigation and his hourly rate, through January 2010, was $350

per hour. His current rate is $375 per hour. Fagan Dec., ¶ 4. Pursuant to the representation

agreement, Mr. Fagan agreed to pursue this action on a contingency basis based on his ability to

recover attorneys’ fees under various federal and state statutes. Pack-Lo Dec., ¶ 9; Fagan Dec., ¶

6. Mr. Fagan has also advanced $6,095.87 in costs. After the reduction of $67,647.23 in fees

and costs, his net hourly rate would be $167.98. The Court finds the request for attorneys’ fees

to be reasonable. 

Pursuant to Petitioner’s request, the settlement proceeds shall be deposited into an

interest-bearing FDIC or NCUA insured account, held in the name of said minor, until said minor

reaches the age of majority. All withdrawals will require Court approval.

ORDER

Based on the foregoing, the Court GRANTS the Request for Approval of Minors’

Compromise. The funds SHALL be distributed as outlined above.

IT IS SO ORDERED.

Dated: February 22, 2010 /s/ Dennis L. Beck

3b142a UNITED STATES MAGISTRATE JUDGE

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