Summary
awarding compensatory damages upon default judgment but declining to award punitive damages because party "failed to provide adequate justification"
Summary of this case from Halliburton Energy Servs., Inc. v. SynderOpinion
Civil Action No. 2:07-CV-0435.
July 22, 2010
ORDER
This matter is before the Court on Plaintiff, Stephen J. Turchan's ("Turchan") Brief in Support of Damages Award. (Doc. 67.) On March 17, 2010, this Court issued an Order granting Turchan's Motion for Default Judgment Against Defendant Joseph Garrity ("Garrity"). (Doc. 66.) In that Order, this Court held that the issue of damages in this case would be determined by written submission, and set forth the deadlines for Turchan and Garrity to submit briefs on the issue of damages. On March 23, 2010, Turchan filed a Brief in Support of Damages Award, asking that the Court award him compensatory damages totaling $31,754.24, legal fees and costs totaling $15,493.75, and punitive damages of $100,000. (Doc. 67.) On April 12, 2010, Turchan filed a Notice of Defendant's Failure to File Brief in Opposition to Plaintiff's Brief in Support of Damages Award. (Doc. 69.) On April 21, 2010, the Court ordered Turchan to provide the Court with a detailed accounting for the compensatory damages, legal fees and costs, and punitive damages he seeks. (Doc. 71.) On May 21, 2010, Turchan submitted his Supplemental Filing in Support of Plaintiff's Damages ("Supplemental Filing"), asking that the Court award him compensatory damages totaling $39,488.35, legal fees and costs totaling $17,893.75, and punitive damages of $50,000.00. (Doc. 73.) On July 1, 2010, the Court ordered Turchan to submit a more detailed record of legal fees and costs. (Doc. 75.) Turchan filed a second record of legal fees and costs on July 6, 2010. (Doc. 76.) The Court now orders Garrity to pay Turchan $54,264.45 in damages pursuant to the Default Judgment entered against Garrity on March 17, 2010.
I. AWARD OF COMPENSATORY DAMAGES AND INTEREST
As a result of the fraud perpetrated by Garrity, the amount Turchan owed on the mortgage of his property, located at 7362 Hampsted Square North, New Albany, Ohio, 43054, increased from $300,025.82 on July 7, 2005 to $335,093.68 on August 19, 2009, a total of $35,067.86. (Doc. 73-1.) In Turchan's Supplemental Filing, he included documentation from his mortgage lender confirming this amount. Turchan, however, only seeks to recover his losses against Garrity through October 2007, which total $31,754.24. (Doc. 73.) Thus, the Court awards him compensatory damages of $31,754.24 on the Default Judgment against Garrity.
Additionally, the Court awards Turchan interest on the compensatory damages dating back to July 7, 2005, when Garrity's false representations caused Turchan to convert his fixed rate mortgage to a variable rate mortgage. In the five years since the initial fraud occurred, at a 5% annual interest rate, the interest on $31,754.24 totals $7,935.21.
Therefore, the total amount of compensatory damages plus interest awarded to Turchan on the Default Judgment against Garrity is $39,689.45.
II. AWARD OF LEGAL FEES AND COSTS
In order for Turchan to recover his losses resulting from Garrity's fraud, he incurred legal fees and costs beginning on September 28, 2006. (Doc. 73-2.) On July 6, 2010, Turchan provided the Court with documentation detailing the legal fees and costs resulting from the case against Garrity. (Doc. 75.) The legal fees and costs total $14,575.00. The Court finds that the amount of legal fees is reasonable in light of the time, effort, and expertise expended on this case to date. Therefore, the total amount of legal fees and costs awarded to Turchan on the Default Judgment against Garrity is $14,575.00.
III. NO AWARD OF PUNITIVE DAMAGES
Although Turchan sought an additional award of punitive damages against Garrity, he failed to provide adequate justification for punitive damages. Therefore, the Court does not award punitive damages to Turchan on the Default Judgment against Garrity.
IV. CONCLUSION
Upon the Default Judgment against Garrity and in light of Plaintiff's Brief in Support of Damages Award it is HEREBY ORDERED that judgment shall be entered against the Defendant, Joseph Garrity, in the sum of $54,264.45. Said sum represents $39,689.45 in compensatory damages plus interest to Plaintiff and $14,575.00 in legal fees and costs incurred.
IT IS SO ORDERED.