Opinion

Betancourt v. Buggy Technologies Inc

Court
District Court, S.D. Florida
Filed
Dec 9, 2024
Cited by
0 cases
Authority
More cited than 33.2%

The opinion

United States District Court

for the

Southern District of Florida

David Betancourt, Plaintiff, )

)

v. )

Civil Action No. 23-21184-Civ-Scola

)

Buggy Technologies Inc and Isabel )

Berney, Defendants. )

Omnibus Order

Previously, the Court referred Plaintiff David Betancourt’s two motions

for default judgment (Pl.’s Mots., ECF Nos. 15, 30) to United States Magistrate

Judge Jonathan Goodman for a report and recommendations. (Court’s Ref.,

ECF Nos. 16, 31.) Judge Goodman issued a report, recommending that the

Court deny Betancourt’s first motion, without prejudice (1st Rep. & Rec., ECF

No. 18), which the Court adopted, after no objections were filed. (ECF No. 19.)

In adopting that report and its recommendations, the Court ordered

Betancourt to file an amended complaint, to address the deficiencies Judge

Goodman identified. (Id.) Following that order, Betancourt amended his

complaint and then moved for default judgment again. (Am. Compl., ECF No.

21; Pl.’s 2nd Mot. for Def. J., ECF No. 30.) Judge Goodman has reviewed that

motion and recommends that it also be denied, without prejudice, based on

various defects. (2nd Rep. & Rec., ECF No. 32.) In the meantime, Betancourt

has filed yet another motion for default judgment (his third attempt). (Pl.’s Am.

Mot. for Def. J., ECF No. 33.) No objections have been lodged against Judge

Goodman’s second report nor has any opposition been filed to Betancourt’s

amended motion for default judgment and the time to do either has passed.

After review, the Court adopts Judge Goodman’s second report and

recommendation (ECF No. 32), thus denying, without prejudice,

Betancourt’s second motion for default judgment (ECF No. 30). At the same

time, the Court grants in large part and denies in small part Betancourt’s

third motion for default judgment (ECF No. 33).*

Despite the lack of objections, the Court has nonetheless made a de novo

review of Judge Goodman’s recommendations. After careful consideration of his

report, the record, and the relevant legal authorities, the Court agrees with the

entirety of Judge Goodman’s findings and conclusions: although Betancourt

succeeded in establishing the Defendants’ liability, he failed to supply adequate

* Both Defendants have defaulted and so there is no possibility of inconsistent liability between

the Defendants in this case.

support for the Court to determine the amount of damages he is entitled to.

The Court therefore affirms and adopts Judge Goodman report and

recommendation that Betancourt’s second motion for default judgment be

denied without prejudice.

In response to the deficiencies identified by Judge Goodman, Betancourt

has since filed an amended motion for default judgment. (Pl.’s Am. Mot., ECF

No. 33.) Having previously established the Defendants’ liability under the Fair

Labor Standards Act and the Florida Minimum Wage Act, Betancourt has now

adequately supported his entitlement to statutory and liquidated damages as

well as some of his claimed attorney’s fees and costs.

1. Damages

“Once a plaintiff has established a sufficient basis for liability,” where the

Defendants have defaulted, “the [c]ourt must conduct an inquiry to determine

the appropriate damages.” Gov’t Emps. Ins. Co. v. Compass Med. Ctrs. Inc., No.

21-CV-23623, 2022 WL 17653816, at *2 (S.D. Fla. Nov. 10, 2022) (Damian,

Mag. J.), rep. & recs. adopted, No. 21-23623-CIV, 2022 WL 17602650 (S.D. Fla.

Dec. 13, 2022) (Gayles, J.). “[W]here the record adequately supports an award

of damages, an evidentiary hearing is not required.” Id. An employer who

violates the FLSA is liable to the employee affected in the amount of his unpaid

wages “and in an additional equal amount as liquidated damages.” 29 U.S.C. §

216(b). The FLSA additionally authorizes an award of attorney’s fees to the

prevailing plaintiff in a proceeding to enforce its wage provisions. Id.

As to Betancourt’s claims for minimum-wage and overtime damages, he

has set forth, through his amended motion and its accompanying revised

sworn declaration (Pl.’s Decl., ECF No. 33-1), a “legitimate basis” from which

the Court can infer “a reasonable estimate of damages.” Hornady v. Outokumpu

Stainless USA, LLC, 118 F.4th 1367, 1385–86 (11th Cir. 2024). Betancourt

worked for the Defendants, as a driver, from about August 22 to December 9,

2022. (Pl.’s Am. Mot. at 9; Pl.’s Decl. ¶ 3.) During the first six weeks of his

employment (until about September 30, 2022), the Defendants paid Betancourt

$700 per work week. (Pl.’s Am. Mot. at 9; Pl.’s Decl. ¶ 6.) Then, although his

hours remained the same, Betancourt’s weekly salary was reduced to $600

from October 1 through November 20, 2022. (Pl.’s Am. Mot. at 9; Pl.’s Decl. ¶

7.) After November 20, however, until his last day, on December 9, Betancourt

says he was not compensated at all. (Pl.’s Am. Mot. at 9; Pl.’s Decl. ¶ 8.b.)

While Betancourt recounts his compensation with precision, he is less

exact as to the hours he worked. On the one hand, he describes “regularly

work[ing] up to . . . 65[] hours per workweek” but then also says he “regularly

worked 13-hour days, Monday through Friday.” (Pl.’s Decl. ¶ 5 (emphasis

added).) While providing he worked “up to” 65 hours a week is not particularly

helpful, recounting that he regularly worked thirteen hours, five days a week, is

more informative. The Court finds this sufficient, in this case, to establish,

though barely, that Betancourt worked 65 hours a week for the Defendants.

Schmitt v. Courtesy Prof. Sec., Inc., No. 618CV493ORL37TBS, 2018 WL

5268755, at *2 n. 2 (M.D. Fla. Aug. 22, 2018), rep. & recs. adopted, No.

618CV493ORL37TBS, 2018 WL 5263458 (M.D. Fla. Oct. 23, 2018) (“Plaintiff[’s]

use of estimates to arrive at his damage calculation is acceptable in the FLSA

context where the employer does not maintain or produce accurate time

records, as alleged here.”). Based on that figure, the Court agrees with

Betancourt’s calculations as follows.

As for Betancourt’s minimum-wage claims, during the time he was

compensated only $600 a week, he was not paid at least the minimum wage of

$11 an hour ($600 divided by 65 hours = $9.23). Accordingly, for that period,

of eight weeks, the Defendants owe him an additional $1.77 an hour for each

hour he worked ($11 minus $9.23 = $1.77). This amounts to $940.20 ($1.77

multiplied by 65 hours multiplied by 8 weeks). Additionally, the Defendants

failed to compensate Betancourt at all for the eleven days he worked between

November 21 and December 9, 2022. Accordingly, he is owed an additional

minimum wage compensation of $1,573 for that period ($11 multiplied by 13

hours multiplied by 11 days = $1573). In sum, the total the Defendants owe

Betancourt for his unpaid minimum wages is $2,493.40.

Turning to Betancourt’s overtime-wage claims, Betancourt was not paid

the time and a half he was due for the twenty-five hours he worked in excess of

forty hours each week. For the six weeks during which the Defendants paid

Betancourt $700 per week, this amounts to $807 (half of $10.76/hour

multiplied by 25 hours multiplied by six weeks = $807.) For the remaining ten

weeks, this amounts to $1,375 (half of $11.00/hour multiplied by 25 hours

multiplied by ten weeks = $1375). In sum, then, the Defendants owe

Betancourt $2,182.00 for unpaid overtime. This amounts to a total award of

$4,675.40 in wage damages.

As already found by Judge Goodman, due to the Defendants’ default and

consequent failure to make a showing of good faith, the Court must also award

Betancourt liquidated damages, in an amount equal to the total wage awards

calculated above: $4,675.40 ($2,493.40 in unpaid minimum wages plus

$2,182.00 in unpaid overtime = $4,675.40).

2. Fees and Costs

Betancourt also seeks an award of his attorney’s fees and costs. The

FLSA mandates that in any action brought by an employee to enforce section

206 or 207 of the Act, the Court “shall, in addition to any judgment awarded to

the plaintiff or plaintiffs, allow a reasonable attorney’s fee to be paid by the

defendant, and costs of the action.” 29 U.S.C. 216(b). To determine the amount

of fees due, courts use the lodestar approach and multiply the number of

hours reasonably expended by a reasonable hourly rate. Hensley v. Eckerhart,

461 U.S. 424, 433-34 (1983). When considering what constitutes a reasonable

hourly rate, the court may consider the following factors: (1) the time and labor

required; (2) the novelty and difficulty of the questions; (3) the skill requisite to

perform the legal service properly; (4) the preclusion of other employment by

the attorney due to acceptance of the case; (5) the customary fee in the

community; (6) whether the fee is fixed or contingent; (7) time limitations

imposed by the client or the circumstances; (8) the amount involved and the

results obtained; (9) the experience, reputation, and the ability of the attorneys;

(10) the “undesirability” of the case; (11) the nature and length of the

professional relationship with the client; and (12) awards in similar cases.

Johnson v. Georgia Highway Express, 488 F.2d 714, 717-19 (5th Cir. 1974).

Betancourt seeks to apply a rate of $350 per hour for the work of his

counsel, Nathaly Saavedra, who has been a labor and employment attorney for,

he says, over eight years. Betancourt also proffers that Saavedra is “known in

the South Florida legal community for performing respectably in labor and

employment matters” and that she has been “approved for an hourly rate of

$350.” (Pl.’s Am. Mot. at 13.) While Betancourt does not specify, in his motion,

the number of hours Saavedra seeks compensation for, he says he seeks an

award of $4,761.50 in attorney’s fees. (Id.)

Since a movant “bears the burden of producing satisfactory evidence that

the requested rate is in line with prevailing market rates,” the Court ordinarily

expects counsel to do more than simply argue, in conclusory fashion, that their

rate and hours are reasonable. Norman v. Hous. Auth. of City of Montgomery,

836 F.2d 1292, 1299 (11th Cir. 1988). Here, Betancourt provides no evidence

regarding the prevailing market rate for lawyers of comparable skill, experience,

and reputation or any real information about Saavedra’s credentials. Nor is

there any information about who “approved” her $350 hourly rate. Based on

this scant information, the straightforward nature of this ordinary FLSA action,

the fact that the Defendants defaulted, and the Court’s own knowledge of the

hourly rates awarded for similar work, the Court finds the rate Saavedra seeks

somewhat excessive. Indeed, other Courts in this district have reached similar

conclusions, noting a general failure for this attorney to justify her hourly rate.

See, e.g., Porto-Lebron v. Peter's Plumbing, Inc., No. 22-20941-CIV, 2022 WL

16639052, at *4 (S.D. Fla. Oct. 19, 2022) (McAliley, Mag. J.) (concluding that

an hourly rate of $310 for Saavedra would be excessive and recommending a

$250 rate instead), rep. & recs. adopted, No. 22-CIV-20941, 2022 WL

16635819 (S.D. Fla. Nov. 2, 2022) (Williams, J.); see also Ramos v. Arba Constr.

Inc., No. 20-25192-CIV, 2021 WL 4482659, at *2 (S.D. Fla. Aug. 25, 2021)

(McAliley, Mag. J.) (same), rep. & recs. adopted, No. 20-25192-CV, 2021 WL

4480169 (S.D. Fla. Sept. 30, 2021) (Graham, J.). That said, the Court has

found at least one case, fortunately for Saavedra, where she was recently

awarded $325 an hour, in a default-judgment case, and so that previously

approved hourly rate will be adopted here. See Mikail v. 24/7 Glob. Sec., Inc.,

No. 1:22-CV-23450-KMM, 2024 WL 555142, at *2 (S.D. Fla. Jan. 24, 2024)

(Louis, Mag. J.), rep. & recs. adopted, No. 1:22-CV-23450-KMM, 2024 WL

552153 (S.D. Fla. Feb. 12, 2024) (Moore, J.).

Next, the Court reviews the number of hours counsel claims to have

expended in this litigation. First, however, the Court notes a discrepancy. In

Betancourt’s motion he does not specify the number of hours Saavedra

expended and simply reports that the total fee award sought is $4,761.50. (Pl.’s

Am. Mot. at 13.) The subtotal listed for Saavedra’s fees within her timekeeper

report, in contrast, is only $4,686.50. (Inv., ECF No. 33-2, 2.) Since the lower

figure appears supported by the actual billing records, the Court assumes the

higher figure, relayed in the motion, was in error. Dividing this lower figure by

Saavedra’s billed rate of $350, it appears Saavedra seeks to be compensated for

about 13.4 hours of work in this case.

Next, the Court has reviewed Saavedra’s time records and finds a

handful of entries “excessive, redundant or otherwise unnecessary.” Norman,

836 F.2d at 1301. Among such entries are one hour spent reviewing a half-

page order reopening this case; time spent on an amended complaint to

address deficiencies in Betancourt’s initial complaint; and extra time entries

necessitated by counsel’s various default-motion drafting insufficiencies.

Norman, 836 F.2d at 1301. Based on these problematic entries, the Court

applies an across-the-board reduction of 20% to the total hours Saavedra seeks

compensation for. See Valdes v. Kendall Healthcare Group, Ltd., No. 1:22-CV-

22046-KMM, 2024 WL 4133869, at *7 (S.D. Fla. July 19, 2024) (Louis, Mag. J.)

(“When a request for attorney’s fees is unreasonably high, courts may conduct

an hour-by-hour analysis or may reduce the requested hours with an across-

the-board cut.”), rep. & recs. adopted, No. 1:22-CV-22046-KMM, 2024 WL

3811099 (S.D. Fla. Aug. 14, 2024) (Moore, J.).

Accordingly, on the record before it, the Court finds Betancourt entitled

to a fee award of $3,484 (13.4 hours reduced by 20% (which is 10.72 hours),

multiplied by a rate of $325 hours = $3,484).

Finally, as to the 28 U.S.C. § 1920 costs Betancourt seeks, he is entitled

to only $532 of the $901.45 he requests. The Court’s total is comprised of

$402 for the Clerk’s filing fee; and $130 for service of process on the two

Defendants by a private process server.

The $470 Betancourt seeks for service of the complaint on the two

Defendants impermissibly exceeds the cost of having a U.S. Marshal effect

service. See U.S. E.E.O.C. v. W&O, Inc., 213 F.3d 600, 624 (11th Cir. 2000) (“[A]

district court does not abuse its discretion in taxing private process server fees

that do not exceed the statutory fees authorized in § 1921.”). Since Betancourt

fails to supply any justification for the overage, the Court limits his

reimbursement to the $65 per hour, per Defendant, as allocated under 28

C.F.R. § 0.114(a)(3). Betancourt also includes a couple dozen entries that

reflect mailing costs. None of these costs, however, are recoverable under §

1920.

3. Conclusion

In sum, the Court adopts Judge Goodman’s second report and

recommendation (ECF No. 32), thus denying, without prejudice,

Betancourt’s second motion for default judgment (ECF No. 30). At the same

time, the Court grants in large part and denies in small part Betancourt’s

third motion for default judgment (ECF No. 33).

The Court grants final default judgment in Betancourt’s favor, awarding

him $4,675.40 in wage damages plus $4,675.40 in liquidated damages;

$3,484 in attorney’s fees; and; $532 in costs. A separate judgment will follow.

The Clerk is directed to close this case. Any other pending motions are

denied as moot.

The Court also directs the Clerk to mail a copy of this order to the

Defendants at the addresses indicated below.

Done and ordered in Miami, Florida, on December 6, 2024.

[oe N. Scola, Jr.

United States District Judge

Copies via U.S. mail to:

Buggy Technologies Inc.

c/o Isabel Berney, registered agent

64 SW 18 RD

Miami, FL 33130

Isabel Berney

64 SW 18 RD

Miami, FL 33130

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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