HomeMy WebLinkAboutItem 10e - Special Legal Services
DATE: October 6, 2020
TO: Honorable Mayor and City Council
FROM: Stephen P. Deitsch, City Attorney
By: Michael Bruckner, Deputy City Manager
SUBJECT: AGREEMENT FOR SPECIAL LEGAL SERVICES WITH COLLINS
COLLINS MUIR & STEWART, LLP
Recommendation: Approve
SUMMARY
In 2017, the law firm of Collin Collins Muir & Stewart was interviewed and selected by
the Legal Affairs Subcommittee, the City Manager, and the City Attorney to be on an
approved panel of tort and other litigation defense outside counsel, to be available if
needed from time to time. Their 2017 agreement has now been revised to include their
proposed fee increase as negotiated with the City. Therefore, it is recommended that
the City Council approve the Letter Agreement with Collins Collins Muir & Stewart, LLP.
DISCUSSION
The law firm of Collins Collins Muir & Stewart (“CCMS”) and the City of Arcadia entered
into a Letter Agreement (“Agreement”) for legal services in 2017. This was part of a
concerted effort by the Legal Affairs Subcommittee (“Subcommittee”) to retain a panel
of firms with varying expertise to assist the City in special litigation matters. The 2017
Agreement has since been revised to reflect the new hourly rates offered by the firm in
2020. The table below provides a summary of the new rates:
Service 2017 Rates 2020 Rates % Change
Partner $200 $230 15%
Associate $180 $210 17%
Paralegal $100 $120 20%
The City Attorney has reviewed the currents rates and believes that they are fair,
reasonable, and competitive for similar firms with comparable expertise. Below is a
table of all the current rates for other contracted firms with the City:
Agreement with Collins Collins Muir & Stewart
October 6, 2020
Page 2 of 2
Firm Partner Associate Paralegal
Best Best & Krieger $258 - $269 n/a n/a
Freeman Mathis & Gary $240 $220 $120
Atkinson Andelson Loya Rudd & Romo $300 - $350 $225 - $275 $165 - $185
Liebert Cassidy Whitmore $200 - $350 $195 - $230 $75 - $160
Carpenter Rothans Dumont $195 $195 n/a
FISCAL IMPACT
There is no impact to the General Fund by entering into this Agreement.
ENVIRONMENTAL ANALYSIS
The proposed actions do not constitute a project under the California Environmental
Quality Act (“CEQA”), based on Section 15061(b)(3) of the CEQA Guidelines, as it can
be seen with certainty that they will have no impact on the environment. Thus, these
matters are exempt under CEQA.
RECOMMENDATION
It is recommended that the City Council determine that this project is exempt under the
California Environmental Quality Act (“CEQA”); and approve the Letter Agreement for
Special Legal Services with Collins Collins Muir & Stewart, LLP.
Attachment: Letter Agreement with Collins Collins Muir & Stewart
BRIAN K. STEWART
Los Angeles County Office
1100 El Centro Street
South Pasadena, CA 91030
T 626-243-1100
F 626-243-1111
bstewart@ccmslaw.com
Los Angeles County
Orange County
San Diego County
Northern California
Inland Empire
www.ccmslaw.com
September 18, 2020
VIA ELECTRONIC MAIL
stephen.deitsch@bbklaw.com
City Attorney
CITY OF ARCADIA
240 W. Huntington Drive
Arcadia, CA 91007
Re: Representation of the City of Arcadia
Dear Mr. Deitsch:
The purpose of this letter is to set forth the terms under which we will revise our attorney-client
relationship with the City of Arcadia following our conversations of September 8 and 9, 2020. This
letter, once executed and returned by you will act as our Attorney-Client Agreement
(“AGREEMENT”) and it is being entered into as required under California law between, the City of
Arcadia (“CLIENT”) and Collins Collins Muir + Stewart LLP (“CCM+S”). It will replace the
agreement from 2017 but, as we discussed, other than the rates and some cost items, the terms are
generally the same. I have attached a copy of the old agreement per our call to my email so you can
compare if you desire to do so. You did indicate that you needed to discuss this with the City Manager
and it would be subject to approval by the City Council. The terms of engagement of CCM+S are as
follows:
1. CONDITIONS. This AGREEMENT will not take effect and CCM+S will have no obligation
to provide legal services until CLIENT returns the signed original of this AGREEMENT.
2. SCOPE AND DUTIES. CLIENT hires CCM+S to provide general legal services, advice,
consultation, and representation on an as-needed basis relating to legal issues that might arise from
time to time related to CLIENT’S business including, but not limited to, defending the CLIENT in
DOMINIC LAZZARETTO
September 18, 2020
Page 2
various tort claim litigation and personnel related matters on an as-needed basis, as well as other legal
issues that might confront CLIENT in the future (collectively “REPRESENTATION”).
3. LEGAL SERVICES SPECIFICALLY EXCLUDED. The legal services that are not to be
provided by CCM+S under this AGREEMENT specifically include, but are not limited to, the
following: (a) representation of CLIENT or advice in relation to any litigated, arbitrated, or
administrative proceeding, or matter not assigned to CCM+S (“Other Matters”); (b) representation of
CLIENT or advice in relation to any insurance, tax, or financial matters in relation to this or Other
Matters; (c) any advice in relation to statutes of limitations or repose for any Other Matters; (d) any
matter that is not specifically and contemporaneously memorialized in writing and agreed to by the
parties. CCM+S hereby advises CLIENT to consult its own accountant, broker, or tax attorney
regarding insurance, tax, or financial matters or any Other Matters.
If CLIENT wishes that CCM+S provide any legal services beyond the limited scope of this
AGREEMENT, or specifically excluded above, a separate written agreement between CCM+S and
CLIENT will be required.
4. CLIENTS’ DUTIES. CLIENT agrees to be forthright with CCM+S, to cooperate with
CCM+S, to keep CCM+S informed of developments, to abide by this AGREEMENT, to pay CCM+S’
bills on time and to keep CCM+S advised of CLIENT’S contact information.
5. RETAINER. CCM+S does not require a retainer from CLIENT.
6. LEGAL FEES. CLIENT agrees to pay CCM+S $230 per hour for partners, $210 per hour for
associate-level attorneys; and $120 per hour for paralegals and/or law clerks, and CCM+S agrees to
bill CLIENT in increments of 1/10ths of an hour for work performed on the REPRESENTATION. All
time expended is billed, including but not limited to: research, consultation, telephone discussions,
conferences, analysis, drafting correspondence or court documents, reviewing correspondence or
communications or materials provided by CLIENT or others related to the REPRESENTATION,
travel time, and all time spent for any court, administrative hearings, arbitration hearings, mediations,
or depositions. CCM+S reserves the right to review the rates being charged under this AGREEMENT
no more frequently than once every other calendar year and to adjust them to reflect the fees
customarily being charged by CCM+S upon mutual agreement with the CLIENT.
7. COSTS AND EXPENSES. In addition to paying legal fees, CLIENTS shall reimburse
CCM+S for all costs and expenses incurred by CCM+S, including, but not limited to, process server
fees, fees fixed by law or assessed by the California Secretary of State’s office, other State and Federal
governmental agencies or courts, court reporters’ fees, messenger and other delivery charges, postage,
in-office photocopying at $0.30 per page, $1.00 per page for color copies, out-of-office photocopying
at the actual charge, facsimile charges at $0.50 per page, parking, mileage at rates allowed by the U.S.
Internal Revenue Service on the date the mileage is traveled, secretarial and/or paralegal overtime,
investigation expenses, consultants’ fees, expert witness fees and other similar items. CCM+S reserves
the right to amend the costs charged pursuant to this section on a basis no more frequent than every
six months to reflect the normal and customary charges CCM+S is charging for these items at that
DOMINIC LAZZARETTO
September 18, 2020
Page 3
time. Nothing herein shall require CCM+S to advance such costs. CLIENT authorizes CCM+S to incur
all reasonable costs and to hire any investigators, consultants, or expert witnesses reasonably
necessary, upon consultation with CLIENT. CCM+S agrees to contact CLIENT in advance of any
expense exceeding $250.00, and CCM+S will not incur such expense without the CLIENT’S express
authorization. At any time, should CLIENT’S account be more than thirty (30) days past due, no costs
will be advanced by CCM+S and CCM+S reserves the right to immediately withdraw from the
representation of CLIENT.
8. STATEMENTS. CCM+S shall send to CLIENT periodic statements for fees and costs
incurred. CLIENT shall pay CCM+S’ statements within thirty (30) days of the mailing of each
statement. All amounts delinquent for thirty (30) days or more shall bear a service charge, not an
interest charge, at the rate of 1.5 percent per month and CLIENT expressly acknowledges this
obligation and duty to promptly pay all statements.
9. DISCHARGE AND WITHDRAWAL. CLIENT may discharge CCM+S at any time. CCM+S
may withdraw with CLIENT’S consent or for good cause. Good cause shall be deemed to specifically
include, but is not limited to, CLIENT’S failure to pay statements, CLIENT’S breach of this
AGREEMENT, CLIENT’S refusal to cooperate with CCM+S or to follow CCM+S’ advice on a
material matter or any other fact or circumstance that would render CCM+S’ continuing representation
unlawful, unethical, or difficult.
10. CONCLUSION OF SERVICES. When services of CCM+S conclude, all unpaid charges shall
become immediately due and payable. After CCM+S’ services conclude, CCM+S will, in conformity
with the rules governing the practice of law, and upon CLIENT’S request, deliver CLIENT’S file to
CLIENT, along with any CLIENT funds or property in the possession of CCM+S.
11. DISCLAIMER OF GUARANTEE. Nothing in this AGREEMENT and nothing in CCM+S’
statements or communications to CLIENT will be construed as a promise or guarantee about the
outcome of CLIENT’S matter or the interpretation of any contract provision. CCM+S makes no such
promises or guarantees.
12. ARBITRATION/MEDIATION. In the event of a dispute between CCM+S and CLIENT
concerning the fees charged or the services provided to the CLIENT, the parties hereto agree that any
such dispute may be placed into binding arbitration pursuant to state law. The parties agree that an
express condition precedent to instituting arbitration or other legal proceeding shall be attending a
mediation before a mutually agreed-to mediator and the parties agree to make a reasonable and good
faith attempt to resolve any dispute. The mediation shall take place within one month after written
request unless such time is extended by mutual agreement of both parties.
13. ATTORNEYS’ FEES. Except as otherwise provided herein, if a dispute should arise between
the parties, the prevailing party shall be reimbursed for all reasonable expenses, including attorneys’
fees (including pre and post judgment attorneys’ fees), costs, consultants/experts’ fees, time expended
by the parties billed at their normal and customary rate, and all other reasonable expenses incurred in
resolving such dispute.
DOMINIC LAZZARETTO
September 18, 2020
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14. EFFECTIVE DATE. This AGREEMENT will take effect when CLIENT has performed the
conditions stated in Paragraph 1, but its effective date will be retroactive to the date CCM+S first
provided services. The date at the beginning of this AGREEMENT is for reference only. If for any
reason this AGREEMENT does not take effect, CLIENT will be obligated to pay CCM+S the
reasonable value of any services CCM+S may have performed for CLIENT.
15. ERRORS AND OMISSIONS INSURANCE. CCM+S maintains errors and omissions
insurance coverage applicable to the services that it renders.
16. MUTUAL NEGOTIATION. The terms and conditions of this agreement have been
negotiated between CCM+S and CLIENT and are hereby expressly agreed to by CLIENT.
17. VENUE. This AGREEMENT is deemed entered into at South Pasadena, California.
18. METHOD AND MANNER OF COMMUNICATION. By executing this AGREEMENT,
CLIENT acknowledges and authorizes CCM+S to communicate with CLIENT by means including,
but not limited to, electronic mail (e-mail), file transfer protocol (FTP), links to documents, or other
cloud-based internet services. CLIENT authorizes CCM+S to transmit and/or receive documents or
other communications to and/or from CLIENT or others by such means. CCM+S will not undertake
any steps to encrypt such documents or communications when delivered by electronic means.
19. WAIVER OF CALIFORNIA BUSINESS AND PROFESSIONS CODE SECTION 6148:
To the extent that the terms of this AGREEMENT may be deemed not to comply with the provisions
of section 6148 of the California Business and Professions Code on legal fees and other charges,
CLIENT hereby expressly agree to waive the requirements of that section. The full text of section 6148
can be found attached to this letter.
20. EXECUTION OF THIS AGREEMENT: By executing this AGREEMENT, CLIENT agrees
that CLIENT has had sufficient time to review this AGREEMENT. Further, CLIENT has sought the
advice of independent counsel, or agrees that CLIENT has had the opportunity to seek such advice.
CLIENT understands and agrees that this AGREEMENT was entered into at arm’s length between
(Continued on next page.)
DOMINIC LAZZARETTO
September 18, 2020
Page 5
parties of equal bargaining strength and CLIENT has freely determined, without any duress, to sign
and agree to the terms of this AGREEMENT.
Please sign, date, and return the AGREEMENT if you find it acceptable. Feel free to call if you have
any questions.
Very truly yours,
COLLINS COLLINS MUIR + STEWART LLP
BKS/erd
I HAVE READ AND AGREE TO THE TERMS OF THIS RETAINER.
DATED: _________________, 2020 CITY OF ARCADIA
By: _________________________________
Dominic Lazzaretto
City Manager
APPROVED AS TO FORM:
DATED: _________________, 2020
By: _________________________________
Stephen Deitsch, Esq.
City Attorney
DOMINIC LAZZARETTO
September 18, 2020
Page 6
Attachment as referenced in paragraph 19 of retainer:
Cal Bus & Prof Code § 6148
Fee for service contracts; Bills for services rendered
(a) In any case not coming within Section 6147 in which it is reasonably foreseeable that total
expense to a client, including attorney fees, will exceed one thousand dollars ($1,000), the contract
for services in the case shall be in writing. At the time the contract is entered into, the attorney shall
provide a duplicate copy of the contract signed by both the attorney and the client, or the client’s
guardian or representative, to the client or to the client’s guardian or representative. The written
contract shall contain all of the following:
(1) Any basis of compensation including, but not limited to, hourly rates, statutory fees or flat
fees, and other standard rates, fees, and charges applicable to the case.
(2) The general nature of the legal services to be provided to the client.
(3) The respective responsibilities of the attorney and the client as to the performance of the
contract.
(b) All bills rendered by an attorney to a client shall clearly state the basis thereof. Bills for the
fee portion of the bill shall include the amount, rate, basis for calculation, or other method of
determination of the attorney’s fees and costs. Bills for the cost and expense portion of the bill shall
clearly identify the costs and expenses incurred and the amount of the costs and expenses. Upon
request by the client, the attorney shall provide a bill to the client no later than 10 days following the
request unless the attorney has provided a bill to the client within 31 days prior to the request, in
which case the attorney may provide a bill to the client no later than 31 days following the date the
most recent bill was provided. The client is entitled to make similar requests at intervals of no less
than 30 days following the initial request. In providing responses to client requests for billing
information, the attorney may use billing data that is currently effective on the date of the request,
or, if any fees or costs to that date cannot be accurately determined, they shall be described and
estimated.
(c) Failure to comply with any provision of this section renders the agreement voidable at the
option of the client, and the attorney shall, upon the agreement being voided, be entitled to collect a
reasonable fee.
(d) This section shall not apply to any of the following:
(1) Services rendered in an emergency to avoid foreseeable prejudice to the rights or interests of
the client or where a writing is otherwise impractical.
(2) An arrangement as to the fee implied by the fact that the attorney’s services are of the same
general kind as previously rendered to and paid for by the client.
(3) If the client knowingly states in writing, after full disclosure of this section, that a writing
concerning fees is not required.
(4) If the client is a corporation.
(e) This section applies prospectively only to fee agreements following its operative date.
(f) This section shall become operative on January 1, 2000.