Rychlik v. Sodergren ( 2020 )


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  •                       NOTICE: NOT FOR OFFICIAL PUBLICATION.
    UNDER ARIZONA RULE OF THE SUPREME COURT 111(c), THIS DECISION IS NOT PRECEDENTIAL
    AND MAY BE CITED ONLY AS AUTHORIZED BY RULE.
    IN THE
    ARIZONA COURT OF APPEALS
    DIVISION ONE
    In re the Marriage of:
    DANIEL RYCHLIK, Petitioner/Appellant,
    v.
    GABRIELLE ANN SODERGREN, Respondent/Appellee.
    _____________________________
    PARKER SCHWARTZ, PLLC, Intervenor/Appellee.
    No. 1 CA-CV 15-0630 FC
    FILED 3-19-2020
    Appeal from the Superior Court in Maricopa County
    No. FC2011-090965
    The Honorable Joseph Sciarrotta, Judge (Retired)
    AFFIRMED
    COUNSEL
    Katz & Bloom, P.L.C., Phoenix
    By Jay R. Bloom
    Counsel for Petitioner/Appellant
    The Law Offices of Kyle A. Kinney, Scottsdale
    By Kyle A. Kinney
    Counsel for Respondent/Appellee
    Parker Schwartz, PLLC, Phoenix
    By Iva S. Hirsch and Lawrence D. Hirsch
    Counsel for Intervenor/Appellee
    MEMORANDUM DECISION
    Presiding Judge Maria Elena Cruz delivered the decision of the Court, in
    which Judge Kent E. Cattani and Chief Judge Peter B. Swann joined.
    C R U Z, Judge:
    Daniel Rychlik (“Father”) appeals from the superior court’s
    judgment for attorneys’ fees and costs entered on July 23, 2015.
    Additionally, Father seeks to impose sanctions on Gabrielle Ann Sodergren
    (“Mother”) for her failure to comply with court orders. For the following
    reasons, we affirm the award of attorneys’ fees and costs to Mother, and we
    impose sanctions on Mother for her failure to comply with court orders.
    FACTS AND PROCEDURAL HISTORY
    Father and Mother divorced, and a Decree of Dissolution was
    entered in December 2011, awarding the parties joint legal custody of their
    four minor children. The parents were awarded equal parenting time.
    The following year, Father relocated to Virginia and sought to
    relocate the children. Mother objected, and the court ultimately denied
    Father’s request to relocate the children. Given Father’s relocation, the
    court modified the parties’ parenting-time schedule so that the children
    primarily resided with Mother in Arizona, but winter break, spring break,
    summer break, and other holidays were divided between Father and
    Mother. Father was also allowed “liberal parenting time” when he was in
    the Phoenix area.
    Shortly after, Mother notified Father that she wished to
    relocate with the children to Illinois. Father filed a Petition to Prevent
    Relocation, requesting in part that the court prohibit the children from
    relocating to Illinois and that it order the children relocate to Virginia.
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    RYCHLIK v. SODERGREN
    Decision of the Court
    One year later, and prior to disposition of Father’s petition,
    Father filed an Emergency Petition for Temporary Orders Without Notice
    Re: Legal Decision Making and Parenting Time. Father incorporated by
    reference the allegations contained in his Petition to Prevent Relocation and
    further requested sole legal decision-making authority, relocation of the
    children to Virginia, and a temporary order designating Father as the
    primary residential parent and granting Mother supervised parenting time.
    The court held an initial hearing and granted Father’s request for temporary
    orders, allowing the children to relocate to Virginia until an extended
    evidentiary hearing was held.
    Following the evidentiary hearing, the court denied Father’s
    Emergency Petition for Temporary Orders. Although the court identified
    the April 2015 minute entry as temporary orders and ordered further
    proceedings to occur, it issued the orders in a signed minute entry with a
    certification of finality pursuant to Arizona Rule of Family Law Procedure
    (“Rule”) 78(b). In the order, the court additionally granted Mother’s
    requested attorneys’ fees and costs, directing her to submit a proper
    application. The court subsequently entered a signed judgment in July 2015
    awarding Mother $57,294 in attorneys’ fees and costs.
    Father filed a Notice of Appeal, appealing the judgment for
    attorneys’ fees and costs awarded to Mother. This court dismissed the
    appeal as premature, finding the order underlying the attorneys’ fees and
    costs judgment was a temporary order and thus not final and appealable.
    Mother withdrew her request to relocate the children to
    Illinois and Father filed a Motion for Summary Judgment Re: Petition to
    Prevent Relocation. On September 25, 2015, the court issued an order
    granting Father’s Motion for Summary Judgment and prohibiting Mother
    from relocating the children to Illinois as requested in Father’s Petition to
    Prevent Relocation (“the September 2015 order”). The court additionally
    entered a signed judgment awarding Father $17,181.10 in attorneys’ fees
    and costs.
    After Father’s Motion for Summary Judgment was granted,
    we reinstated Father’s appeal1 from the judgment for attorneys’ fees and
    costs awarded to Mother, the April 2015 temporary orders, and held
    1       This appeal was automatically stayed from December 15, 2016, until
    July 9, 2019, due to Mother’s bankruptcy proceedings. Following the stay,
    Parker Schwartz, PLLC intervened as the real party in interest.
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    RYCHLIK v. SODERGREN
    Decision of the Court
    Father’s Notice of Appeal became effective the date his Petition to Prevent
    Relocation was resolved. See ARCAP 9(c).
    DISCUSSION
    I.     Jurisdiction
    This court has an independent duty to consider whether it has
    jurisdiction over an appeal and, if it does not, we must dismiss the appeal.
    Baker v. Bradley, 
    231 Ariz. 475
    , 478-79, ¶ 8 (App. 2013). Our jurisdiction is
    limited by statute, and we do not have authority to consider an appeal over
    which we do not have jurisdiction. 
    Id. When Father
    first filed his appeal regarding the award of
    attorneys’ fees and costs, we found that the April 2015 order was a
    temporary order and thus not final and appealable, because the matter of
    his Petition to Prevent Relocation had not yet been ruled on. We relied then,
    as we do now, on Villares v. Pineda, 
    217 Ariz. 623
    , 624-25, ¶¶ 10-11 (App.
    2008), for the proposition that temporary orders are not appealable because
    they are preparatory in nature.
    The fact that the superior court included Rule 78(b) language
    in its April 2015 orders does not change the result here, because the issues
    Father raised in his Petition to Prevent Relocation and his Emergency
    Petition for Temporary Orders were not clearly separate and distinct from
    one another. See Cont’l Cas. v. Superior Court, 
    130 Ariz. 189
    , 191 (1981)
    (discussing the appropriateness of including Rule 54(b) language when
    there are multiple claims). Insofar as issues regarding relocation were
    concerned, the April 2015 orders were temporary in nature. Once the court
    ruled on Father’s Petition to Prevent Relocation, his appeal was reinstated.
    We now have jurisdiction to address this appeal pursuant to Arizona
    Revised Statutes (“A.R.S.”) section 12-2101(A)(2).
    II.    The April 2015 Judgment of Attorneys’ Fees and Costs
    Father argues that the judgment awarding attorneys’ fees and
    costs to Mother following the temporary orders hearing is void because it
    was superseded by the final judgment of attorneys’ fees and costs to Father.
    “Temporary orders signed by the court and filed by the clerk
    are enforceable as final orders but terminate and are unenforceable upon
    dismissal of the action, or following entry of a final decree, judgment, or
    order, unless that final decree, judgment, or order provides otherwise.”
    Ariz. R. Fam. Law P. 47(j)(1) (emphasis added); see also A.R.S. § 25-315(F).
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    RYCHLIK v. SODERGREN
    Decision of the Court
    The court’s orders bearing upon issues of legal decision-
    making authority, parenting time and support, were temporary in nature
    and the court’s signed minute entry so reflects. In fact, in its signed minute
    entry the court explicitly and exclusively identified those three issues as the
    ones to be decided on a temporary basis. The court stated, “Temporary
    Orders are entered on an interim basis to provide for the orderly
    administration of issues bearing upon legal decision-making, parenting
    time and support.”
    Attorneys’ fees and costs ordered in the April 2015 orders,
    however, were not identified therein as one of the issues decided on a
    temporary basis, and nothing in that order, or subsequent thereto, suggests
    otherwise. To the contrary, the superior court, by identifying the issues that
    were decided on a temporary basis, also identified its orders regarding
    attorneys’ fees and costs as permanent. In addition, the court’s use of Rule
    78(b) language further supports the proposition that it intended to give
    finality to a portion of the April 2015 orders. The facts of this case fall
    squarely within the exception recognized in Rule 47(j)(1), allowing the court
    to provide that certain orders contained in an otherwise temporary ruling
    remain in effect beyond entry of a subsequent final decree, judgement, or
    other order. Ariz. R. Fam. Law P. 47(j)(1). The April 2015 orders awarding
    Mother her attorneys’ fees and costs were not superseded by the September
    2015 orders disposing of Father’s Petition to Prevent Relocation.
    III.   Mother’s Attorneys’ Fees and Costs Application and Affidavit
    Father argues that the superior court abused its discretion by
    awarding Mother attorneys’ fees and costs based on an application and
    affidavit that failed to meet applicable standards. Father argues the
    application included impermissible billing for services not relevant to the
    proceedings at issue, high billing rates, and “block-billing.” “When
    reviewing a discretionary award of attorneys’ fees, this Court will reverse
    only for an abuse of discretion.” Phoenix Newspapers, Inc. v. Dep’t of Corr.,
    
    188 Ariz. 237
    , 243 (App. 1997). “[W]e defer to the court’s factual findings
    so long as there is competent evidence to support them.” Quijada v. Quijada,
    
    246 Ariz. 217
    , 222, ¶ 13 (App. 2019).
    The superior court awarded attorneys’ fees and costs to
    Mother pursuant to A.R.S. § 25-324. Section 25-324(A) permits an award of
    fees and costs if appropriate “after considering the financial resources of
    both parties and the reasonableness of the positions each party has taken
    throughout the proceedings.” The superior court awarded attorneys’ fees
    and costs of $57,294 to Mother based on both substantial disparity of
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    RYCHLIK v. SODERGREN
    Decision of the Court
    financial resources and the unreasonableness of Father’s positions. The trial
    court made detailed findings supporting its conclusion that Father acted
    unreasonably in the litigation associated with the Emergency Petition for
    Temporary Orders, and the record supports those findings.
    Mother was charged for the work of three attorneys,
    including one who represented Mother in a limited-scope capacity: Iva
    Hirsch, Mark Candioto, and Steven Feola. A paralegal also billed Mother
    for work completed. Although Father claims Mark Candioto is a paralegal,
    he is a licensed Arizona attorney. Iva Hirsch charged Mother at the rate of
    $400 per hour, Mark Candioto charged at $325 per hour, and Steven Feola
    entered into a flat fee arrangement of $6,000 with Mother. The paralegal,
    Andrea Marshall, completed work at the rate of $150 per hour. Father fails
    to explain how these rates are unreasonable and “exorbitant” compared to
    customary billing rates in the community. See Schweiger v. China Doll Rest.,
    Inc., 
    138 Ariz. 183
    , 187-88 (App. 1983).
    Additionally, Mother’s time reports include the tasks
    completed, the attorney that completed the tasks, the date the tasks were
    completed, and the amount of time spent on the tasks. While Father
    contends the billing sheets and time reports suffer from numerous
    deficiencies, such as “block-billing,” inclusion of “unnecessary motions,”
    “vague” descriptions of tasks, or multiple entries for the same task, even if
    this were true, this does not demonstrate the court abused its discretion.
    See RS Indus., Inc. v. Candrian, 
    240 Ariz. 132
    , 138, ¶ 21 (App. 2016) (finding
    that though it may be better practice to avoid block-billing, “no Arizona
    authority holds that a court abuses its discretion by awarding fees that have
    been block-billed”); see also 
    Schweiger, 138 Ariz. at 188
    (finding that there is
    sufficient detail in a billing report if counsel indicates “the type of legal
    services provided, the date the service was provided, the attorney
    providing the service . . . and the time spent in providing the service”).
    Father also does not clearly identify each of the tasks he believes to be
    unreasonable, too vague, unnecessary, or duplicative.
    Finally, the temporary orders hearing in this case was
    complex and required many hours of work in preparation for it. The
    hearing was held approximately nine months from the date of the parties’
    July 2014 stipulation (at issue in the temporary orders proceedings) and
    involved litigation over the results of a mental health examination of
    Mother and on whether Mother should maintain custody of her children or
    whether the children should be relocated out of state and into Father’s
    custody. At least four medical experts were retained and opined on the
    issue of Mother’s parenting abilities. A parenting coordinator was
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    RYCHLIK v. SODERGREN
    Decision of the Court
    appointed. Both parties filed multiple motions, notices, and requests
    related to, and leading up to, the temporary orders hearing. Accordingly,
    we find no abuse of the court’s discretion. See Medlin v. Medlin, 
    194 Ariz. 306
    , 309, ¶ 17 (App. 1999).
    IV.    Sanctions Request
    Father additionally requests sanctions be imposed upon
    Mother for her failure to comply with this court’s orders. During the stay
    of this appeal, this court ordered Mother to file status reports concerning
    her bankruptcy proceedings. Mother failed to comply with two orders
    directing her to file the status reports, and this court ordered Father to file
    a status report and to advise the court whether to impose sanctions against
    Mother. Father filed the status report and a request for sanctions, and
    Mother did not file a response.
    Under Arizona Rule of Civil Appellate Procedure 25, this
    court “may impose sanctions on an attorney or a party for a violation” of
    this court’s rules. In the exercise of our discretion, this court grants Father’s
    request and imposes sanctions on Mother in the amount of Father’s
    attorneys’ fees and costs incurred in filing the bankruptcy status report,
    filed July 23, 2018.
    CONCLUSION
    For the foregoing reasons, we affirm the award of attorneys’
    fees and costs to Mother. Both parties request their attorneys’ fees and costs
    on appeal. In the exercise of our discretion, we decline both parties’
    requests, though as an imposition of sanctions against Mother, pursuant to
    Arizona Rule of Civil Appellate Procedure 25, we award Father his
    attorneys’ fees and costs incurred in filing the bankruptcy status report
    Mother was originally ordered to file.
    AMY M. WOOD • Clerk of the Court
    FILED: AA
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