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  • 270 West End Tenants Corp. v. 266 Weave, Llc, Todd Wider Real Property - Other (Declaratory/Inj. Relief) document preview
  • 270 West End Tenants Corp. v. 266 Weave, Llc, Todd Wider Real Property - Other (Declaratory/Inj. Relief) document preview
  • 270 West End Tenants Corp. v. 266 Weave, Llc, Todd Wider Real Property - Other (Declaratory/Inj. Relief) document preview
  • 270 West End Tenants Corp. v. 266 Weave, Llc, Todd Wider Real Property - Other (Declaratory/Inj. Relief) document preview
						
                                

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FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF NEW YORK ------------------------------------------------------------------X 270 WEST END TENANTS CORP., Index No.: 150228/2017 Motion Seq. No. 3 Plaintiff, Special Referee Lancelot Hewitt -against- 266 WEAVE, LLC, and TODD WIDER, Defendants. ------------------------------------------------------------------X DEFENDANTS’ POST-HEARING MEMORANDUM OF LAW IN FURTHER SUPPORT OF THEIR APPLICATION FOR REIMBURSEMENT OF PROFESSIONAL ENGINEERING AND ATTORNEYS’ FEES AND RELATED COSTS STEWART OCCHIPINTI LLP Frank S. Occhipinti Erik T. Sorensen Lauren A. Valle One Exchange Plaza 55 Broadway, Suite 1501 New York, New York 10006 (212) 239-5500 focchipinti@somlaw.com Attorneys for Defendants 1 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 TABLE OF CONTENTS PRELIMINARY STATEMENT ...............................................................................................................1 ARGUMENT ..............................................................................................................................................11 I. THE PROFESSIONAL FEES AND RELATED COSTS INCURRED BY DEFENDANTS ARE INDISPUTABLY REASONABLE AND NECESSARY ...........................................................11 II. 270 WEST END FAILED TO OFFER ANY CONTRADICTORY EVIDENCE AT THE FEE HEARING ......................................................................................................................................13 III. DEFENDANTS ARE ENTITLED TO REIMBURSEMENT OF THEIR PROFESSIONAL ENGINEERING AND ATTORNEYS UNDER THE INDEMNITY PROVISIONS OF THE 2017 INTERIM ORDER .............................................................................15 IV. DEFENDANTS ARE ALSO ENTITLED TO THEIR ENGINEERING AND ATTORNEYS’ FEES UNDER RPAPL SECTION 881 .....................................................................16 V. THE COURT HAS INHERENT AND STATUTORY AUTHORITY TO AWARD DEFENDANTS THEIR ENGINEERING AND ATTORNEYS FEES ............................................18 CONCLUSION ..........................................................................................................................................20 2 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 TABLE OF AUTHORITIES Cases 22 NYCCR 130-1.1(a) ................................................................................................................................ 19 437 West 16th Street, LLC v. 17th & 19th Assoc., LLC, 27 Misc. 3d 1230(A), 1230(A), 911 N.Y.S.2d 392, 692 (Sup. Ct. New York Cnty. 2010) ..................................................................................................... 15 Arbor Hill, 369 F.3d at 97-98 ..................................................................................................................... 12 Banc of Am. Credit Prods., Inc., v. Guidance Enhanced Green Terrain, LLC, 2017 N.Y. Misc. LEXIS 3401 *36-37, 2017 NY Slip Op 31910(U)(Sup. Ct. New York Cnty. 2017).......................................... 16 Bergerson v. New York State Office of Mental Health, 652 F.3d 277, 289 (2d Cir. 2011) ......................... 11 Crossroads ABL LLC v. Canaras Capital Mgt., LLC, 105 A.D.3d 645, 645-46, 963 N.Y.S.2d 645 (1st Dept. 2013) ............................................................................................................................................. 16 DDG Warren LLC v. Assouline Ritz 1, LLC, 138 A.D.3d 539, 540, 30 N.Y.S.3d 52 (1st Dep’t 2016) ...... 18 Grayson v. New York City Dept. of Parks & Recreation, 99 A.D.3d 418, 952 N.Y.S.2d 8 (1st Dept. 2012) ................................................................................................................................................................ 19 Hooper Associates, Ltd.v. AGS Computers, Inc, 74 N.Y.2d 487, 548 N.E.2d 903 (1989) ......................... 16 J.S. Nicol, Inc. v. Peking Handicraft, Inc., 2008 WL 4613752, at *18 (S.D.N.Y. Oct. 17, 2008) ............. 12 Levy v. Carol Mgt. Corp., 260 A.D.2d 27, 33-34, 698 N.Y.S.2d 226 (1st Dept. 1999) .............................. 19 Marmara, Inc. v. Pantoja, 2018 N.Y. Misc. LEXIS 1764 *12, 2018 NY Slip Op 30906(U) (Sup. Ct. New York Cnty. 2018) .................................................................................................................................... 19 Matter of North 7-8 Investors, LLC v. Newgarden, 43 Misc.3d 623,632, 982 N.Y.S.2d 704 (Sup. Ct. Kings Cnty. 2014) ................................................................................................................................... 18 Matter of North 7-8 Invs., LLC v. Newgarden, 43 Misc. 3d 623, 628, 982 N.Y.S.2d 704 (Sup. Ct. Kings Cnty. 2014) ............................................................................................................................................. 18 Matter of Rosma Dev. LLC v. South, 5 Misc. 3d 1014(A), 798 N.Y.S.2d 713 (Sup. Ct. Kings Cnty. 2004) ................................................................................................................................................................ 17 Matter of Van Dorn Holdings, LLC v. 152 W. 58th Owners Corp, 149 A.D.3d 518, 518-19, 52 N.Y.S. 3d 316, 318 (1st Dep’t 2017) ........................................................................................................................ 18 Nestor v. Britt, 16 Misc. 3d 368 (N.Y. Civ. Ct. 2007) ................................................................................ 12 NYCRR § 130-1.1 ...................................................................................................................................... 19 PB 151 Grand LLC v. 9 Crosby, LLC, 2018 N.Y. Misc. LEXIS 385, 2018 NY Slip Op 50163(U) (Sup. Ct. New York Cnty. 2018) ............................................................................................................................ 18 Ponito Residence LLC v. 12th St. Apt. Corp., 38 Misc. 3d 604, 612, 959 N.Y.S.2d 376, 382-383 (Sup. Ct. New York Cnty. 2012) ............................................................................................................................ 17 RPAPL 881 ................................................................................................................................................. 16 Sagittarius Broadcasting Corp. v. Evergreen Media Corp., 243 A.D.2d 325, 326, 663 N.Y.S.2d 160 (1st Dept. 1997) ............................................................................................................................................. 16 Van Dorn Holdings, LLC v. 152 W. 58th Owners Corp., 2016 N.Y. Misc. LEXIS 3077, 2016 NY Slip Op 31598(U) (Sup. Ct. New York Cnty. 2016) ............................................................................................ 17 Other 22 NYCCR Section 130-1 .......................................................................................................................... 19 RPAPL Section 881 .................................................................................................................................... 16 3 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 PRELIMINARY STATEMENT Following an evidentiary hearing before Special Referee Lancelot Hewitt on July 15, 2019 (the “Fee Hearing”), this memorandum of law is submitted in further support of Defendants Todd Wider and 266 WEAVE LLC’s (“Defendants”) request for reimbursement of the full $142,188.29 in engineering and attorneys’ fees and related costs incurred through April 8, 2019 as a direct result of Plaintiff 270 West End Avenue’s (“270 West End”) negligent construction, maintenance, proposed modifications, removal and reconstruction of the protective Sidewalk Shed that is at issue in this case. Since Plaintiffs did not rebut Defendants’ proofs, call any witness or submit any evidence at the Fee Hearing, Defendants should be awarded the full amount of engineering and attorneys’ fees and related costs sought in this application. As is evident from Justice Freed’s April 8, 2019 Interim Order (NYSCEF Doc. No. 161), in which the Court referred this matter for a determination of the total amount to be reimbursed to Defendants and further ordered 270 West End Avenue to make an interim partial payment in the amount of $50,000.00 a legal basis exists to support Defendants’ request for reimbursement. Against this backdrop, Plaintiff, which fully briefed its objections to the Court before the referral, should not now be permitted to reargue the legal basis for such an award in its post- hearing brief. Rather, by further Interim Order dated April 12, 2019 (NYSCEF Doc. No. 162), Justice Freed limited her referral to “the calculation of the total amount of engineering and attorneys’ fees and related costs” due to Defendants (emphasis supplied). For the reasons set forth below, the Special Referee should conclude that Defendants are entitled to reimbursement of all outstanding professional engineering and attorneys’ fees and related costs they have incurred through April 8, 2019 in the amount of $92,188.29. 1 4 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 SUMMARY OF FACTS The total amount sought through April 8, 2019, the date established by the Court for the purposes of this application, is $142,188.29. Plaintiff has already paid $50,000.00 of that sum, leaving $92,188.29 due. There are two components of the total – legal fees and costs, and engineering fees and costs. Reasonable attorneys’ fees and costs in the amount of $88,323.12 were incurred by Defendants solely to ensure that 270 West End (a) satisfies its obligation to install and maintain a safe and code compliant Sidewalk Shed that protects the public and Defendants’ property from injury or damage caused by the unsafe conditions on 270 West End’s south façade; (b) provides Defendants with customary and appropriate indemnity and insurance protections; and (c) fully complies with the terms of this Court’s Orders. Similarly, the professional engineering fees and related costs in the amount of $53,865.17 were incurred to (a) study and comment upon multiple voluminous sets of engineering and architectural plans and drawings prepared by engineers hired by 270 West End, almost none of which met Building Code requirements, to modify, build additional scaffolding upon, and ultimately remove and replace the illegal and unsafe Sidewalk Shed; (b) evaluate and comment upon 270 West End’s request to perform a “rope inspection” and remediation work on 270 West End’s south façade and (c) observe and monitor the work conducted by 270 West End’s contractors during the removal and replacement of the unsafe and illegal Sidewalk Shed. FEES INCURRED BETWEEN JANUARY 2017 AND JUNE 2017 Before this action was commenced in January 2017, Defendants engaged in extensive discussions with 270 West End concerning 270 West End’s request for consent to construct a Sidewalk Shed in front of Dr. Wider’s home. (Tr. 13:4-21). 1 Dr. Wider was ready to provide 1 “Tr.” and “Ex.” refer to the Transcript and Exhibits received into evidence at the July 15, 2019 Fee Hearing. 2 5 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 consent to construction of the proposed Sidewalk Shed subject to 270 West End providing appropriate indemnity and insurance protections and reasonable compensation. (Tr. 101:4-15). Despite Dr. Wider and 266 WEAVE’s good faith attempts to reach an agreement, 270 West End commenced this action in January 2017 by Order to Show Cause. After hearing from the parties, by Interim Order dated January 26, 2017 (the “ 2017 Interim Order”) (NYSCEF Doc. No. 41), 270 West End was permitted to construct and maintain a Sidewalk Shed directly over the stoop and in front of Defendants’ property subject to specific terms and conditions, including insurance and indemnity rights and protections for Defendants, as set forth in the Interim Order. Fees Incurred as a Result of 270 West End’s Immediate Violation of the Interim Order Pursuant to the 2017 Interim Order, Plaintiff and its contractors were not permitted to touch or come into contact with Defendants’ property during the installation of the Sidewalk Shed. Nonetheless, while installing the Sidewalk Shed, and in direct contravention of the Interim Order, workers employed by 270 West End’s contractor walked all over the limestone cap on the front stoop of 266 West End, leaving dirty and rusty footmarks and damage to the limestone. (Tr.15:1-16:6). Moreover, in constructing the Sidewalk Shed, 270 West End’s contractor used oxidized structural elements that caused rust particles and rusty water from rain and melting snow to fall on to and further damage the porous limestone located directly underneath the Sidewalk Shed. (Tr.15:1-9). Likewise, the Sidewalk Shed, as constructed, intrudes onto 266 West End and impedes Defendants’ use and enjoyment of the property as it extends completely across the entire property, shrouds the front entrance in darkness and shadows, blocks the second-floor windows, and obstructs sunlight and air. (Tr.13:7-13; 73:19- 25; Ex. K) 2. As a result of these conditions, Defendants’ were compelled in February 2017 to 2 Photos of the original Shed can be found in the appendix to Exhibit K, Photos 1-4. 3 6 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 file a motion to require that 270 West End name Defendants as additional insureds on 270 West End’s insurance policies, relief which this Court subsequently granted (Tr. 99:14-23), and requiring that 270 West End take reasonable measures to protect Defendants’ property from further damage. (Tr. 14:15-15:9; 16:12-17:17). Thus, as established at the Fee Hearing, between January 2017 and June 2017, Defendants incurred reasonable attorneys’ fees and costs of $18,693.16 solely to ensure that 270 West End satisfied its obligations under the terms of the Interim Order, and NYC Building Code. EES INCURRED BETWEEN JULY 2017 AND APRIL 2018 Fees Incurred as a Result of 270 West End’s Flawed and Non-Compliant July 2017 Proposal for Additional Scaffolding on the Sidewalk Shed In July 2017, six months after this action was commenced, 270 West End submitted to Defendants a proposed plan to, among other things, construct scaffolding on top of the Sidewalk Shed to be used to perform repair and maintenance work on the south façade of 270 West End (the “Supplemental Plan”). (Tr.19:11-21:13; 110:13-112:6; Ex. B). Defendants retained Thornton Tomasetti, a structural engineering firm, to review and respond to the Supplemental Plan. (Tr.21:22-23:12). Upon completing this review, in a report submitted to 270 West End in January 2018, Thornton Tomasetti raised numerous safety concerns and engineering objections to the proposed Supplemental Plan, including, but not limited to, the failure of the Supplemental Plan to consider the load-bearing capacity and characteristics of the 266 West End roof and other proposed supporting structural elements. (Tr.23:13-26:3; Ex. C). In short, Thornton Tomasetti concluded that the Supplemental Plan was not viable, and, would likely cause substantial damage to 266 West End and risk injury to workers, building occupants, and others. (Tr.112:23-113:12). In light of the issues and objections raised in the Thornton Tomasetti report, 270 West End advised Defendants and the Court in June 2018, more than five months after it received the 4 7 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 Thornton Tomasetti report, that it was abandoning the Supplemental Plan. (Tr.26:17-24, 114:17- 22). Moreover, as set forth more fully below, as a direct result of Defendants’ own efforts, 270 West End subsequently admitted that the Sidewalk Shed to be incorporated into the Supplemental Plan never had been in compliance with the Building Code and that this illegal and unsafe Sidewalk Shed had to be replaced in its entirety. The Thornton Tomasetti invoices submitted at the Fee Hearing reflect the services performed and fees charged by Thornton Tomasetti between June 2017 and January 2018, in the amount of $9,336.12, to review and respond to the Supplemental Plan and prepare the January 2018 report. (Tr.145:17-146:1; Ex. Q). Similarly, Defendants are entitled to reimbursement of their related attorneys’ fees incurred in connection with Thornton Tomasetti’s review and comments upon the Supplemental Plan and preparation of its January 2018 report. As set forth in the Stewart Occhipinti invoices, the attorneys’ fees and costs in the amount of $6,405.91 incurred by Defendants in this matter between July 2017 and April 2018 consist almost entirely of fees related to Thornton Tomasetti’s review and response to the Supplemental Plan. (Tr.27:10-28:1; Ex. A). FEES INCURRED BETWEEN MAY 2018 AND APRIL 2019 Fees Related to Defendants’ Discovery of 270 West End’s Unlicensed Architect and Engineer Beginning around May 2018, as a result of Defendants’ unilateral efforts and at Defendants’ own cost and expense, Defendants discovered further evidence of 270 West End’s pattern of misrepresentations, negligence, and inaction. For example, Defendants first advised the Court at a June 2018 Status Conference that both the architect and engineer hired by 270 West End to submit and certify the plans to obtain the DOB permit required to construct the Sidewalk Shed, as well as the Supplemental Plan to build further scaffolding on the Sidewalk Shed, both had their professional licenses revoked or suspended. (Tr.33:16-21). 5 8 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 Specifically, the engineer who certified the Sidewalk Shed plans was suspended by DOB for falsely certifying applications for non-code compliant projects submitted to DOB. Moreover, the architectural firm that prepared the original Sidewalk Shed plans and Supplemental Plans was no longer in business. (Id.). 270 West End had not brought any of these relevant issues to the attention of the Court or Defendants. Immediately thereafter, Defendants also undertook to determine the status of the DOB permit for the Sidewalk Shed, since 270 West End had plainly failed to keep Defendants and the Court properly informed. Accessing public information on the DOB website, Defendants learned that the permit for the Sidewalk Shed was in fact revoked by DOB in February 2018. (Tr.43:11-25). As a result of 270 West End’s inexcusable negligence and inaction, 270 West End was ordered to immediately retain a licensed engineer to determine whether the Sidewalk Shed complied with all NYC Building Code requirements and to report back to the Court and Defendants. (Tr.34:5-8). Fees Related to 270 West End’s Admission that the Sidewalk Shed Was Unsafe and Illegal In a June 22, 2018 submission to the Court, 270 West End reluctantly admitted that the Sidewalk Shed was not and never had been in compliance with the Building Code. (Tr.35:23- 36:23; Ex. E). In particular, 270 West End’s own newly hired engineer, Plan B Engineering, admitted that the Sidewalk Shed as designed and as built did not meet the 300 pounds per square foot (“psf”) load requirements of the Building Code. (Ex. E). In fact, a number of critical structural elements of the Shed were found to have load capacities as low as 50 psf. (Id.). Fees Related to 270 West End Avenue’s Submission of Further Non-Compliant Shed Plans Even after its own engineer admitted that the Sidewalk Shed was illegal and must be modified or replaced, 270 West End continued its pattern of delay, inaction and negligence. Recognizing that the illegal and unsafe Sidewalk Shed needed to be modified or replaced 6 9 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 immediately, Judge Freed ordered 270 West End to provide to Defendants certified plans to bring the structure into compliance with the Building Code. (Tr.34:5-8). Defendants retained Thornton Tomasetti to review and comment on the July 30 Replacement Shed plans prepared by 270 West End’s new engineers. (Tr.37:3-38:7; 117:17- 118:7). Upon reviewing the Replacement Shed plans, Thornton Tomasetti concluded in an August 6 report that these plans, like the original Shed plans submitted in January 2017, and the Supplemental Plan submitted in July 2017, also failed to satisfy the requirements of the Building Code. (Tr.38:16-40:6; Ex. F). In fact, many of the structural and other elements of the proposed Replacement Shed, like the existing Shed, did not meet the load bearing and wind load capacities required by the Building Code and thus did not provide sufficient protection to the public and Defendants’ property. (Tr.118:8-119:12; Ex. F). As part of this review, Thornton Tomasetti also determined that the existing Sidewalk Shed was not built according to the plans submitted by 270 West End to DOB and this Court in January 2017. (Tr.40:1-6; 115:20-116:2). This is work that 270 West End should have, but failed, to do. As a result of the flaws raised in the August 6 Thornton Tomasetti report and recognizing that the July 30 Replacement Shed Plans failed to satisfy Building Code requirements, 270 West End hired yet another engineering firm to prepare a new set of plans (Tr.45:1-21). On September 14, 2018, as directed by the Court, 270 West End submitted to Defendants a new set of plans for the Replacement Shed prepared by Plan B Engineering. (Id.; Ex. H). Upon reviewing the September 14 Replacement Shed plans, Thornton Tomasetti, in a report dated September 21, 2018, raised a number of questions concerning the structural integrity of the proposed Replacement Shed including the construction of the proposed parapet wall and the load bearing capacities of other structural elements of the proposed Replacement Shed. (Tr.119:13-121:6; Ex. 7 10 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 I). Plan B Engineering amended the plans to reflect Thornton Tomasetti’s comments and bring the revised plans into compliance with the Building Code. (Tr.121:13-25). Fees Related to 270 West End’s Proposed But Later Abandoned Façade Inspection At a July 2018 Status Conference, 270 West End, for the first time, also advised the Court and Defendants that it wanted to perform a further “inspection” of its south façade, directly above the 266 West End roof. At Defendants’ request, the Court directed 270 West End to provide Defendants with information detailing the scope of the proposed inspection. Despite the fact that this work would take place directly above the glass mansard panels and glass skylight on Defendants’ roof, 270 West End did not offer to provide any protection against damage to the roof, including these glass elements. (Tr.40:17-41:17). To identify the risks presented by the work that 270 West End proposed, Defendants retained Thornton Tomasetti to review and comment on the documents and information provided by 270 West End. (Tr. 136:13-140:20). As directed by the Court, the parties’ architects and engineers subsequently conferred by telephone to discuss the proposed terms and conditions of this proposed façade inspection. (Tr.42:5-9). Counsel for Defendants also engaged in negotiations with 270 West End’s counsel concerning the protections to be provided to Defendants. (Tr.42:10-16). For example, Defendants requested that 270 West End and the architect and rigger that would be conducting this work provide insurance and indemnity protection to Defendants. (Tr.42:17-43:3). However, the architect refused to provide any insurance or indemnity protections and the accompanying rigger refused to provide any indemnity protections. Despite forcing Defendants’ to incur these substantial engineering and legal fees relating to the proposed façade inspection, 270 West End abandoned these plans and never moved forward with the inspection. (Tr.43:4-09). 8 11 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 Fees Incurred In Connection with the Removal and Replacement of the Illegal Sidewalk Shed By Interim Order dated October 2, 2018, this Court ordered 270 West End to expeditiously remove and replace the illegal and unsafe Sidewalk Shed. (Tr.47:9-19)(NYSCEF Doc. No. 120). On December 4, 2018, more than 5 months after 270 West End admitted that the illegal and unsafe Shed must be replaced, 270 West End’s contractors finally began the work to replace the Shed. In light of 270 West End’s continuing failure to properly construct and maintain a code-compliant Shed, and as Defendants had advised the Court, Defendants retained Thornton Tomasetti to monitor and observe the work of 270 West End’s contractors during the removal and replacement of the Shed. (Tr.47:20-48:4; 123:3-22). While 270 West End represented to Defendants and the Court that the removal and replacement of the Shed would take two days, 270 West End’s contractors required seven days to complete the work. (Tr.124:2- 7). As set forth in their “Field Report,” Thornton Tomasetti identified numerous critical technical and safety issues during the removal and replacement of the Shed, a number of which were corrected solely as a consequence of Thornton Tomasetti’s presence at the site. (Tr.56:5- 57:13, 125:3-132:13; Ex. K). In stark contrast, and without explanation, 270 West End’s own structural engineer, Plan B, who prepared the Replacement Shed plans, was not on site at any time to observe and direct the removal and replacement work. (Tr.127:6-15). As set forth in their Field Report, the critical safety, structural, logistical and technical issues and problems identified by Thornton Tomasetti during the removal and replacement of the Shed included the following: • 270 West End’s contractors, working directly above Defendants’ property, were not using life safety measures or safety harnesses required by OSHA regulations. (Tr.125:3- 25; Ex. K) 9 12 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 • 270 West End’s contractors improperly attempted to conduct work at night, including the installation of the largest support beams, without any lighting to illuminate the work site (Tr. 127:16-128:6; Ex. K). • Beam spacing, the beam-to-column connections, and the alignment of welded beam stiffeners the contractors were using for the framing of the structure were not consistent with the approved plans. (Tr. 128:7-130:11; Ex. K). • 270 West End’s contractors attempted to use corroded metal kickers to support the parapet, while the approved plans required timber kickers. (Tr. 131:11-132:3; Ex. K). • Additional elements of the Replacement Shed that were not in compliance with the DOB approved drawings including the absence of bridging plates between the largest structural beams, the use of clamps instead of weld and bolt connections on the support columns, the absence of welded connections between other structural elements, and the use of non- conforming material under the Shed columns. (Tr. 129:2-136:12; Ex.K). As these facts make clear, in the absence of Thornton Tomasetti’s continuous presence at the site, 270 West End’s contractors would have continued to disregard critical safety requirements and practices mandated by the DOB. Once, again, Defendants’ professionals lead the way and insured compliance with safety and legal requirements. Put differently, Defendants should not have to finance or underwrite Plaintiff’s safety and legal obligations. As detailed above, and as set forth in the engineering and attorneys’ invoices submitted into evidence, Defendants incurred engineering fees and costs in the amount of $44,529.05 and attorneys’ fees and costs in the amount of $63,224.05 between May 2018 and April 8, 2019 all as a direct result of the pattern of inexcusable delays, negligence, misrepresentations and inaction of 270 West End installation, maintenance, and replacement of the Sidewalk Shed 10 13 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 ARGUMENT I. THE PROFESSIONAL FEES AND RELATED COSTS INCURRED BY DEFENDANTS ARE INDISPUTABLY REASONABLE AND NECESSARY The specific professional engineering and attorneys’ fees and costs for which Defendants are entitled to reimbursement from 270 West End are indisputably reasonable. 3 As a general rule, “attorneys’ fees are awarded by determining a presumptively reasonable fee, reached by multiplying a reasonable hourly rate by the number of reasonably expended hours.” Bergerson v. New York State Office of Mental Health, 652 F.3d 277, 289 (2d Cir. 2011); see also, McIntyre v. Manhattan Ford, 176 Misc.2d 325,328, 672 N.Y.S.2d 230,232 (Sup. Ct. New York Cnty. 1997). Consistent with this general rule, it is well established that a reasonable hourly rate is “the rate a paying client would be willing to pay.” Arbor Hill Concerned Citizens Neighborhood Ass’n v. County of Albany, 522 F.3d 182, 190 (2d Cir. 2007). 4 As the undisputed facts established at the Fee Hearing make clear, the attorneys’ fees incurred by Defendants since this action was commenced by 270 West End, the services, including attendance at numerous court appearances and preparing court filings detailing 270 West End’s inaction and negligence, were incurred solely to successfully compel 270 West End to satisfy its obligations under this Court’ Interim Orders and the New York City Building Code. 270 West End, its engineers, contractors and counsel have consistently demonstrated their inability to do so, requiring active policing and regular involvement by counsel for Defendants. As the attorney invoices and corresponding testimony demonstrate, Defendants’ attorneys, Stewart Occhipinti LLP, consistently used the lowest billing attorney where 3 As 270 West End insisted that Defendants file a formal motion, Plaintiff should also be required to reimburse Defendants for the fees incurred to file the motion that resulted in this referral. Square Mile Structured Debt LLC v. Swig, 2013 N.Y. Misc. LEXIS 3346, *12, 2013 NY Slip Op. 31803(U) (Sup. Ct. New York Cnty. 2013). 4 Where, as here, the party seeking a fee award has actually paid the fees, the fee is presumptively reasonable. Sub- Zero, Inc. v. Sub Zero NY Refrig. & Appl. Services, Inc. 2014 WL 1303434 (S.D.N.Y. Apr. 1, 2014). 11 14 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 appropriate. (Tr.7:23-9:3; Ex. A). Moreover, the rates charged by the principal attorneys working on this matter are indisputably reasonable. As established at the Fee Hearing, these rates are equivalent or comparable to the average prevailing rates charged by similarly experienced litigators at other comparable law firms practicing in New York City and regularly paid by clients of Stewart Occhipinti, LLP. (Tr.9:4-14: Ex. A). See also, Nestor v. Britt, 16 Misc. 3d 368 (N.Y. Civ. Ct. 2007) (finding that hourly rates of $520 and $365 for experienced attorneys in New York County are reasonable). Indeed, during the Fee Hearing, 270 West End did not offer any evidence to dispute the reasonableness of these rates. Likewise, the amount of related costs sought by Defendants is also reasonable. These include fees for postage, messenger and delivery services, duplicating, and electronic research. These costs are reasonable because they are identifiable “out-of-pocket expenses incurred by attorneys and ordinarily charged to their clients.” J.S. Nicol, Inc. v. Peking Handicraft, Inc., 2008 WL 4613752, at *18 (S.D.N.Y. Oct. 17, 2008); U.S. Football League v. Nat’l Football League, 887 F.2d 408, 416 (2d Cir. 1989; see also Arbor Hill, 369 F.3d at 97-98 (“If [plaintiff’s counsel] normally bills its paying clients for the cost of online research services, that expense should be included in the fee award.”). Like its silence regarding attorneys’ fees, during the Fee Hearing, 270 West End did not offer any evidence to dispute the reasonableness of these related costs. Finally, the engineering fees incurred by Defendants were similarly reasonable and necessary. Throughout this matter, Defendants have relied on Thornton Tomasetti, a respected engineering firm with a long-established presence in New York, to review and comment on numerous sets of engineering plans and drawings submitted by a series of unreliable professionals hired by 270 West End. As already noted, based solely on Thornton Tomasetti’s efforts, it was determined that numerous sets of plans and drawings prepared by 270 West End’s 12 15 of 23 FILED: NEW YORK COUNTY CLERK 09/13/2019 05:02 PM INDEX NO. 150228/2017 NYSCEF DOC. NO. 172 RECEIVED NYSCEF: 09/13/2019 professionals to modify and replace the Sidewalk Shed failed to comply with the Building Code and were otherwise unsafe and unfeasible. Thornton Tomasetti also determined that both the original Sidewalk Shed and Replacement Shed were not built according to the plans submitted by 270 West End to DOB. As a result of 270 West End’s history of negligence and inaction in this matter, Thornton Tomasetti was also required to be present at the site to during the recent removal and replacement of the Sidewalk Shed to monitor and observe the work being performed by 270 West End’s contractors. As detailed in the Thornton Tomasetti invoices, Jose Balbuena, a junior engineer, was at the site throughout the Shed removal and replacement process. (Tr.124:8-13; Ex. Q). Rahul Ratakonda, a more senior professional, was at the site on a more limited basis to observe critical aspects of the removal and replacement process and communicate with 270 West End’s contractors regarding numerous safety violations, improper construction procedures, and failures to construct the Replacement Shed in accordance with the plans approved by DOB. (Id.). Having installed and allowed an illegal and unsafe Sidewalk Shed to remain above and in front of Defendants’ property for almost two years in violation of the Building Code and the 2017 Interim Order, 270 West End cannot now assert that the engineering fees incurred by Defendants to review and comment on plans and drawings prepared by 270 West End’s professionals to modify the Sidewalk Shed and monitor 270 West End’s removal and replacement of the Shed were somehow either unnecessary or unreasonable. II. 270 WEST END FAILED TO OFFER ANY CONTRADICTORY EVIDENCE AT THE FEE HEARING During the Fee Hearing, Defendants provided extensive witness testimony and submitted into evidence voluminous supporting documents, including invoices for legal and e