We Don't Need No Stinkin' Lodestar...

Laffitte v. Robert Half Int’l, No. S222996 (Cal. Aug. 11, 2016)

A long time ago, in Serrano v. Priest, 20 Cal. 3d 25 (1977)—Serrano III, the first two Serranos being about equal educational opportunity in public schools—the California Supreme Court ruled that the lodestar method (hours times reasonable rate) is the proper means of calculating an attorney fee award under the private attorney general doctrine. What happens when the award is not based on the private attorney general statute, but instead under the “common fund” doctrine—where one party obtains a pool of recovery to the collective benefit of a group of potential plaintiffs? Is the plaintiffs’ attorney stuck with a lodestar, or can he argue instead that he is entitled to a percentage of the overall recovery, even if that significantly exceeds the lodestar.