Viola Brittner v. Beach Anesthesia, LLC ( 2023 )


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  • USCA4 Appeal: 22-1511      Doc: 20         Filed: 06/23/2023      Pg: 1 of 4
    UNPUBLISHED
    UNITED STATES COURT OF APPEALS
    FOR THE FOURTH CIRCUIT
    No. 22-1511
    VIOLA MAE BRITTNER,
    Debtor - Appellant,
    v.
    BEACH ANESTHESIA, LLC,
    Defendant - Appellee.
    Appeal from the United States District Court for the District of South Carolina, at Florence.
    Joseph Dawson, III, District Judge. (4:21-cv-01917-JD)
    Submitted: December 1, 2022                                        Decided: June 23, 2023
    Before GREGORY, Chief Judge, WILKINSON, Circuit Judge, and TRAXLER, Senior
    Circuit Judge.
    Affirmed by unpublished per curiam opinion.
    ON BRIEF: Matthew M. Breen, LOWCOUNTRY LAW, LLC, Mount Pleasant, South
    Carolina; David H. Breen, BREEN LAW FIRM, Myrtle Beach, South Carolina, for
    Appellant. Richard R. Gleissner, GLEISSNER LAW FIRM, LLC, Columbia, South
    Carolina, for Appellee.
    Unpublished opinions are not binding precedent in this circuit.
    USCA4 Appeal: 22-1511       Doc: 20          Filed: 06/23/2023       Pg: 2 of 4
    PER CURIAM:
    Viola Mae Brittner filed an adversary proceeding against Beach Anesthesia, LLC,
    alleging a violation of the automatic stay in her Chapter 7 bankruptcy case. The bankruptcy
    court assumed Beach had violated the stay but held that Brittner failed to establish or
    mitigate damages. The district court affirmed the bankruptcy court’s decision. Brittner
    appeals. Finding no reversible error, we affirm.
    “[W]e review the factual findings of the bankruptcy court for clear error and the
    legal conclusions of the bankruptcy court and the district court de novo.” In re Pfister, 
    749 F.3d 294
    , 298 (4th Cir. 2014). The Bankruptcy Code imposes a stay on “any act to collect,
    assess, or recover a claim against the debtor that arose before” the filing of a bankruptcy
    petition. 
    11 U.S.C. § 362
    (a)(6). “[A]n individual injured by any willful violation of” the
    stay “shall recover actual damages, including costs and attorneys’ fees, and, in appropriate
    circumstances, may recover punitive damages.” 
    11 U.S.C. § 362
    (k)(1). The parties agree
    that Brittner needed to satisfy a five-part test to establish a violation of the automatic stay:
    (1) that a bankruptcy petition was filed, (2) that the debtors are individuals
    under the automatic stay provision, (3) that the creditors received notice of
    the petition, (4) that the creditor’s actions were in willful violation of the stay,
    and (5) that the debtors suffered damages.
    In re Warren, 
    532 B.R. 655
    , 660 (Bankr. D.S.C. 2015) (cleaned up).
    We conclude that Brittner failed to establish damages. Her damages center on two
    categories—emotional distress and attorney’s fees and costs. “An award of compensatory
    emotional distress damages requires evidence establishing that the plaintiff suffered
    demonstrable emotional distress, which must be sufficiently articulated; neither conclusory
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    statements that the plaintiff suffered emotional distress nor the mere fact that a violation
    occurred supports an award of compensatory damages.” Doe v. Chao, 
    306 F.3d 170
    , 180
    (4th Cir. 2002) (cleaned up); see also Lodge v. Kondaur Cap. Corp., 
    750 F.3d 1263
    , 1271
    (11th Cir. 2014) (applying similar standard for debtor seeking emotional distress damages
    for creditor’s violation of automatic stay). Thus, “[a] plaintiff’s own conclusory allegations
    that [s]he felt embarrassed, degraded, or devastated, and suffered a loss of self-esteem, will
    not suffice.” Doe, 
    306 F.3d at 180
     (internal quotation marks omitted). By contrast, we
    have found that “a plaintiff [who] can produce evidence that emotional distress caused
    chest pains and heart palpitations, leading to medical and psychological treatment which
    included a formal diagnosis of major depressive disorder, as well as necessitated
    prescription medication” was entitled to emotional distress damages.            
    Id.
     (internal
    quotation marks omitted).
    The bankruptcy court did not clearly err in finding that Brittner did not establish
    emotional distress damages. Brittner testified that she was anxious and suffered increased
    heart palpitations. But as the bankruptcy court emphasized, she suffered from a preexisting
    heart condition, and she did not see her cardiologist for two months. And Brittner provided
    no medical documentation to support her assertions.
    Turning to the issue of attorney’s fees and costs, we agree with the bankruptcy court
    that Brittner’s counsel’s conduct caused most of her damages and ratcheted up the amount
    of costs and fees. Brittner should not be entitled to a windfall based on her attorney’s
    actions, whether awarded under 
    11 U.S.C. § 105
    (a) or 
    11 U.S.C. § 362
    (k)(1). See, e.g., In
    re Preston, 
    333 B.R. 346
    , 351 (M.D.N.C. 2005) (finding the only damages—attorney’s
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    fees and costs associated with the request for sanctions—were manufactured by counsel
    and “could have easily been mitigated”); In re Sammon, 
    253 B.R. 672
    , 681-82 (Bankr.
    D.S.C. 2000) (holding a debtor could have mitigated damages by engaging in timely
    corrective action with creditor); In re Craine, 
    206 B.R. 594
    , 597-98 (Bankr. M.D. Fla.
    1997) (holding damages not appropriate when only damages were costs associated with
    filing contempt motion and matter could have been resolved without court intervention).
    Accordingly, we affirm the district court’s order affirming the bankruptcy court’s
    order. We dispense with oral argument because the facts and legal contentions are
    adequately presented in the materials before this court and argument would not aid the
    decisional process.
    AFFIRMED
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