Feb 8th, 2016

Arbitrator awards less than firm’s client’s pre-lawsuit offer

A property owner sued the firm’s property management company client, contending it breached the management contract in several regards for which it should be disgorged of all earned management fees, pay money damages, and contended the manager’s action constituted Elder Abuse justifying the awarding of trebled damages, pre-judgment interest, attorney fees, and actions against the manager’s license. Pre-lawsuit the firm’s client offered $1,500 to resolve the matter. Plaintiffs never moved off of the prayer. At hearing shareholder Chris Drotzmann proposed the arbitrator consider awarding damages of $1,394. The arbitrator agreed. Because plaintiffs failed to beat the manager’s pre-lawsuit offer, the arbitrator denied plaintiffs’ $13,000-plus attorney fee petition.