An Orange County Superior Court Judge is demanding an explanation from a class action attorney who has admitted to exaggerating billable hours.
“Time theft is a big threat to our profession,” said attorney Nicole Kuklok-Waldman. “As far as I'm concerned, time theft is stealing and it really hurts the reputation of lawyers because people are trusting you and paying you to be honest with them and give them good counsel.”
After reviewing a Motion for Final Approval and supporting documents, Judge Kirk H. Nakamura wrote in his May 6 Order to Show Cause that Jason Rothman, counsel for the plaintiff in Miguel Haro Lopez v. TW Services, apparently violated Business and Professions Code § 6068 and Rules of Professional Conduct 5-200 when he stated in a declaration, “I actually worked 185.38 so the above hours are exaggerated to help us meet the lodestar but not seeming too far out of line.”
Lodestar is the way in which the court determines attorney fees by multiplying a reasonable number of hours and hourly rate.
“I think he was talking to somebody else and he forgot,” Waldman said of Rothman’s error. “Somebody pointed it out and he backed it into Lodestar but you can't do that. It’s stealing. You work the hours you worked.”
Attorney David Yeremian, managing attorney and president of the David Yeremian & Associates law firm, assigned Rothman as the responsible attorney for the day-to-day prosecution of the class-wide and PAGA claims against defendant TW Services, according to Yeremian’s June 4 pleading.
“The Yeremian firm should have processes in place and do what it can internally to make sure this never happens again,” said Waldman who also teaches classes at the University of Southern California. “The firm should apologize. That's all they can do and take the consequences appropriately. You accept responsibility for your actions. Admit your mistake and make an amend.”
In his response to Judge Nakamura’s Order to Show Cause, Yeremian further stated, “I spent several hours finalizing my time summary and finalized my declaration and the motion with the lodestar figures. However, I neglected to review the time summary Mr. Rothman prepared. I typically meet with the associate who prepares any significant motion and supporting documents prior to filing to review for accuracy and discuss any potential issues.”
Judge Nakamura also stated in his Order that before the court will approve the award of any attorney fees, it will require detailed billing records for each attorney.
“Because they've proven to be untrustworthy,” Waldman said. “You better believe they're going to go through those records with a fine-tooth comb.
Rothman has since left the David Yeremian & Associates law firm but Waldman said that he will likely still face consequences especially if the plaintiff, Miguel Haro Lopez, files a complaint with the State Bar but whether Rothman’s law license is suspended would be determined by the bar.
“We are all members of the Bar and we each have ethical obligations to the Bar,” she said. “When you do something like this, there should be consequences. Unless there's a reason you have to explain it, there should be consequences.”