Commercial Division Blog
Attorney Fees Application Denied For Lack of Substantiation
Posted: June 30, 2025 / Written by: Jeffrey M. Eilender, Thomas A. Kissane, Samuel L. Butt, Joshua Wurtzel, Channing J. Turner / Category Attorney Fees
Attorney Fees Application Denied For Lack of Substantiation
On May 15, 2025, Justice Joel M. Cohen denied a prevailing plaintiff’s application for attorney’s fees and costs, without prejudice, for lack of substantiation. The case is CLNC 2019-FL1 Funding, LLC v. Bennett, Index No. 651851/2023.
Justice Cohen’s earlier grant of summary judgment to Plaintiff under certain guarantees had held that Plaintiff was entitled to attorneys’ fees and costs. In its application for fees and costs, Plaintiff provided an attorney affirmation asserting in conclusory terms that the hours expended and fees charged were reasonable and necessary, but:
“failed to provide any basis for that conclusion. Specifically, Plaintiff failed to disclose the position of each attorney identified in each of the bills, the hourly rate of each person identified, and the description of any of the work performed by each person, and the prevailing hourly rate for similar legal work in the community . . .. Moreover, the invoices submitted by Plaintiff contain complete redactions of the ‘description’ of work performed.”
Slip op., p. 3.
That the guarantees did not contain a reasonableness requirement for fees and costs did not excuse Plaintiff from demonstrating them. “‘Before ordering one party to pay another party’s attorneys’ fees, the court always has the authority and responsibility to determine that the claim for fees is reasonable’”. Slip op., p. 2, citing Solow Mgt. Corp. v Tanger, 19 A.D.3d 225, 226(1st Dept 2005) (internal citation omitted).
Plaintiff’s application was therefore denied without prejudice:
“Plaintiff’s application for $975,620.76 (plus interest) requires, at a minimum, substantially more explanation than is provided in the submissions made thus far. . .. [¶] Rather than denying the fee application outright, which would prejudice Plaintiff, the Court will allow counsel an opportunity to cure the deficiencies noted above and to persuade the Court that the fee request is reasonable in the context of this case.
Slip op., p. 4.
Contact the Commercial Division Blog Committee at commercialdivisionblog@schlamstone.com if you or a client have questions concerning an application for or award of attorneys’ fees.