Baird v. Boies, Schiller & Flexner Llp

Page 510

219 F.Supp.2d 510

Rachel M. BAIRD and Bonnie Porter, Plaintiffs, v. BOIES, SCHILLER & FLEXNER LLP, David Boies, Robert Silver and Philip Korologos, Defendants.

No. 02 Civ. 345(DC).

United States District Court, S.D. New York.

August 28, 2002.

COPYRIGHT MATERIAL OMITTED

Brune & Richard LLP by Hillary Richard, Laurie Edelstein, New York City, for Plaintiffs.

Epstein, Becker & Green, P.C. by Ronald M. Green, New York City, for Boies, Schiller & Flexner LLP.

David Boies, Armonk, NY, Defendant pro se.

Boies & McInnis LLP by Mary Boies, Bedford, New York, for Defendants Silver and Korologos.

OPINION

CHIN, District Judge.

In this employment discrimination case, plaintiffs Rachel M. Baird and Bonnie Porter alleged that their former employer, Boies, Schiller & Flexner LLP (the "Firm"), discriminated against them because of their gender. Plaintiffs alleged that they were relegated to the Firm's "non-partnership track" — which they have described as a "female ghetto" — while the more prestigious, higher-paying "partnership track" was reserved almost exclusively for men.

The case was launched with great fanfare, and received extensive media coverage when it was filed in January 2002. Just four months later, however, the case concluded with a whimper. The Firm made offers of judgment pursuant to Rule 68 of the Federal Rules of Civil Procedure to each plaintiff in the amount of $37,500, plus reasonable attorneys' fees and costs to be set by the Court. As a consequence, plaintiffs were faced with the prospect of having to pay defendants' litigation costs if they rejected the offers and thereafter failed to obtain a more favorable judgment. Although plaintiffs had initially calculated their combined damages as approximating $1.25 million, plaintiffs accepted the offers of judgment.

This application for attorneys' fees and costs followed. The application is granted, for plaintiffs are "prevailing parties" entitled to reasonable fees and costs. The requested fees must be substantially reduced, however, because plaintiffs achieved only limited success. As discussed more fully below, although plaintiffs seek total fees of $191,048.33, I award only $54,723.93. Costs are allowed in the amount of $7,506.23.

BACKGROUND

The facts are drawn from the pleadings, the extensive evidentiary materials submitted to the Court, and the prior proceedings in this case. In addition, the Court conducted a hearing on June 12, 2002; the parties presented argument but declined the opportunity to present further evidence. The following constitute my findings of fact.¹

A. Plaintiffs

Baird graduated from Yale Law School in 1992. (Compl.¶ 20). After graduation, she worked as an Assistant Attorney General in the Attorney General's Office for the State of Connecticut for two years. (Id.). Thereafter, Baird worked for five years as an Assistant State's Attorney in the Connecticut Division of Criminal Justice. (Id.).

Porter graduated from Boston College School of Law in 1998 magna cum laude. (Id. ¶ 24). After graduation, she clerked for Magistrate Judge Robert W. Lovegreen in the United States District Court for the District of Rhode Island. (Id.). Thereafter, Porter worked as an associate in the litigation department of the New York law firm Rosenman & Colin LLP.

B. Plaintiffs Are Hired By the Firm

Baird and Porter applied for associate positions at the Firm in late 1999 and early 2000, respectively. (Id. at ¶¶ 21, 25). Before they were interviewed, the Firm informed both that they would be placed on the non-partnership track if they were hired. (Id. at ¶¶ 22, 26-27). The Firm made offers of employment to both for the non-partnership track, and both accepted. (Id. ¶ 28). Both women claim that once their employment began, they realized that the non-partnership track was comprised exclusively of women. In contrast, they contend, all male associates were hired onto the partnership track. (Id. ¶ 30).

C. The Alleged Discrimination

Baird and Porter maintain that they were at least as qualified as their male counterparts on the partnership track. (Id. ¶ 44). They claim that they performed essentially the same work as their male counterparts, and were billed out at comparable or higher rates. (Id. ¶¶ 53, 55). Yet, Baird and Porter contend that they received substantially less pay and smaller bonuses. (Id. ¶ 56, 65). They contend that other women at the Firm shared their experience, as they were consigned to the non-partnership track and were paid substantially less than their male peers for essentially the same work. (Id. ¶ 67).

Baird and Porter describe the Firm's "discriminatory policies and practices" of creating and maintaining a segregated class of lower paid and lower status female employees as demoralizing and degrading. (Id. ¶ 5, 73). They claim their working conditions became so intolerable they were compelled to resign to save their careers. (Id. ¶ 75). Baird left the Firm on January 12, 2001, and Porter left on February 15, 2001. (Id. ¶ 79).

D. Plaintiffs Threaten Suit

After Baird and Porter left the Firm, their attorney, Hillary Richard, contacted the Firm. (Richard Aff. ¶ 24 & Ex. A). By letter dated February 7, 2001, Richard advised the Firm of Baird and Porter's "claims ... arising out of their employment with [the Firm]" and enclosed a draft discrimination charge they intended to file with the Equal Employment Opportunity Commission (the "EEOC"). (Id. Ex. A). Richard requested a response if defendants wished to try to resolve the claims before her clients filed charges. (Id.). Counsel for the Firm responded, and on February 28, 2001, Baird and Porter accompanied their lawyers to a meeting with counsel for the Firm. (Richard Aff. ¶ 25).

At the meeting, Richard outlined her clients' prospective claims under the Equal Pay Act, Title VII, and New York State's equal pay and human rights laws. (Id.). She also stated that her clients together could potentially recover $1.25 million in damages if successful on all their claims. (6/12/02 Hr'g at 17:5-10). Richard also explained that her clients sought specific changes in the Firm's allegedly discriminatory practices, such as increases in pay and status for women attorneys employed by the Firm, to mirror the conditions enjoyed by the men. (Id.).

The same day, counsel for the Firm wrote a letter to Richard memorializing the substance of their meeting. (Id. Ex. B). The letter confirmed Richard's estimation of $1.25 million as the total damages her clients could recover. (Id.). It also set forth the Firm's counsel's preliminary assessment of the viability of Baird and Porter's proposed claims. (Id.). The letter closed with a suggestion that the parties meet to further discuss the issues, and to engage in mediation if an agreement could not be reached. (Id.).

Both sides agreed to try mediation and the Firm agreed to discuss settlement only through mediation. (Id. ¶ 27). The parties disagreed, however, on the issues subject to mediation and the payment of the mediator's fee, plaintiffs' attorneys' fees, and costs. Attempts at mediation were thereafter abandoned. (Id. ¶¶ 28-31).

E. Plaintiffs File EEOC Charges

Baird and Porter filed charges of discrimination with the EEOC on April 2, 2001 against the Firm and two of its partners, David Boies and Robert Silver, alleging discrimination "with respect to their compensation, terms, conditions, and privileges of employment because of their gender in violation of" Title VII, the Equal Pay Act, and New York State's Equal Pay and Human Rights Laws. (Id. Exs. G & H; Defs. Opp'n Fees at 3). In response, the Firm, Boies, and Silver filed a detailed position statement with the EEOC dated June 1, 2001, and on August 24, 2001, Baird and Porter submitted a reply thereto. (Richard Aff. ¶ 34 & Exs. I-J).

By letter dated October 12, 2001, before filing the complaint in this action, Richard informed counsel for the Firm of her clients' intent to file a complaint on their Equal Pay Act claims. The Firm did not respond. (Richard Aff. ¶ 36 & Ex. K).

F. Plaintiffs File This Case

Baird and Porter filed the complaint in this action on January 15, 2002, alleging that defendants intentionally discriminated against them because of their gender in their employment with the Firm by maintaining separate tracks for male and female associate attorneys in the Firm's Armonk office. Baird and Porter claimed that defendants segregated all women, except one, onto a "non-partnership track" that was exclusively female. By contrast, they claimed, the "partnership track," with one exception, was exclusively male. (Compl.¶ 2). The complaint asserted claims for wage discrimination in violation of the federal Equal Pay Act and New York State's Equal Pay Law, and disparate treatment and constructive discharge in violation of the New York State Human Rights Law. The complaint also noted the charges of discrimination pending before the EEOC, as well as plaintiffs' intent to amend the complaint to add claims under Title VII upon receipt of a notice of right to sue letter. (Compl.¶ 12). The complaint sought legal and equitable relief including back pay, future earnings, and lost benefits; as well as compensatory damages for emotional injury, and attorneys' fees and costs. It did not include a specific monetary demand.

G. Defendants Answer Plaintiffs' Allegations

The Firm filed its answer on February 28, 2002, and defendants Boies, Silver, and Philip Korologos, another member of the Firm, filed their answers on March 20, 2002. In their answers, defendants denied that they ever engaged in discrimination, and sought to refute the allegations of the complaint, in detail.

Defendants assert that since the Firm was founded in 1997, four new partners have been added at the Armonk office — two men and two women. (Answer of the Firm ¶ 3). Of these four, two — one man and one woman — made partner based on their experiences prior to joining the Firm. The remaining two attorneys...