Abp Pearl Highlands Llc V Tigo Energy

Key Facts

Transaction Type

Issues

• The Court assessed the reasonableness of attorneys' fees by applying the lodestar calculation, considering hourly rates ($505–$150) and hours worked (totaling 134.6 hours) by counsel and paralegals. It also evaluated compliance with Local Rule 54.2 for detailed time entries and found the fees (adjusted to $28,546.06 after tax) and costs ($825.49) reasonable and within 25% of the judgment.
• The Court determined Plaintiff is the prevailing party because default judgment was entered in its favor on all claims, including breach of warranty. This aligns with Hawaii law, which identifies the prevailing party as the one who succeeds on the 'disputed main issue,' which here was the warranty breach and associated damages.
• The Court evaluated whether the action qualifies as in the nature of assumpsit under HRS Section 607-14, concluding that breach of warranty claims (Counts IV, V, VI) were central to the litigation, even though tort claims (negligence, product liability) were also present. The analysis focused on the 'substance' of the claims and the plaintiff's primary objective of seeking monetary relief for warranty breaches.

Holdings

• The total recommended award of attorneys' fees and costs is $29,371.55, which does not exceed 25% of the judgment as required by HRS Section 607-14.
• The court determined apportionment of attorneys' fees between assumpsit and non-assumpsit claims is impracticable because the claims are inextricably linked to the breach of warranty issues.
• Plaintiff was recognized as the prevailing party due to the default judgment entered in its favor on all claims, including breach of warranty claims, which were the principal disputed issues.
• The court recommended granting $825.49 in non-taxable costs for expenses including FedEx, PACER, filing fees, service of process, and document copies, as the request was reasonable and unopposed.
• The court found that the action is in the nature of assumpsit under HRS Section 607-14, as the breach of warranty claims were central to the dispute and the tort claims required resolution of warranty issues.
• The court approved reasonable attorneys' fees of $28,546.06, calculated based on hourly rates ($505 for Harvey J. Lung, $240 for David A. Imanaka, $190 for Ivana P. Tran, $150 for Amy S. Groves and Chad A. Wago) and verified hours expended (total 133.6 hours).

Remedies

• The court recommends granting an award of attorneys' fees in the amount of $28,546.06, which includes fees for multiple attorneys and a general excise tax. This amount does not exceed 25% of the judgment awarded to the plaintiff.
• The court recommends granting non-taxable costs in the amount of $825.49, covering expenses such as FedEx, PACER, filing fees, service of process, and copies.

Legal Principles

• The court determined that the action is in the nature of assumpsit (contract-based) despite tort language in the pleadings, focusing on the substance of the claims (breach of warranties) rather than their formal classification.
• The court applied Hawai'i's attorneys' fee statute (HRS § 607-14), calculating reasonable fees using the lodestar method and awarding costs for FedEx, PACER, filing fees, and other litigation expenses, recommending a total award of $29,371.55.

Precedent Name

• Gates v. Duekmejian
• BlueEarth Biofuels, LLC v. Hawaiian Elec. Co.
• Ko Olina Dev., LLC v. Centex Homes
• In re Hoopai
• Bruser v. Bank of Haw.
• Sheehan v. Centex Homes
• Fischer v. SJB-P.D., Inc.
• Camacho v. Bridgeport Fin., Inc.
• Kona Enterprises, Inc. v. Est. of Bishop
• Food Pantry, Ltd. v. Waikiki Bus. Plaza, Inc.
• Tirona v. State Farm Mut. Auto. Ins. Co.
• Roberts v. City of Honolulu
• MFD Partners v. Murphy
• Ingram v. Oroudjian

Key Disputed Contract Clauses

• The Court analyzed the breach of the implied warranty of merchantability (Count IV) as a central contract claim, determining it was integral to the litigation. The plaintiff alleged that the RSDs failed to meet standard quality expectations, causing system failure and safety risks.
• The Court examined the breach of the implied warranty of fitness for a particular purpose (Count V), where the plaintiff claimed the RSDs were unsuitable for their intended use in the photovoltaic system, leading to critical failures and system shutdown.
• The Court evaluated the breach of express warranty (Count VI), with the plaintiff asserting that the RSDs did not conform to Defendant's specific assurances about their performance, resulting in thermal/fire damage and operational risks.

Cited Statute

• Hawaii Revised Statutes Section 607-14
• Federal Rules of Civil Procedure Rule 54(d)(1)

Judge Name

Passage Text

• The Court FINDS that this action is in the nature of assumpsit for purposes of HRS Section 607-14.
• The Court FINDS that Plaintiff is the prevailing party because default judgment was entered in favor of Plaintiff on all claims.
• the Court FINDS that Plaintiff has established it is entitled to an award of reasonable attorneys' fees in the amount of $28,546.06.

Damages / Relief Type

• Attorneys' Fees: $28,546.06
• Non-Taxable Costs: $825.49