Reaching Hearts International, Inc. v. Prince George's County , 478 F. App'x 54 ( 2012 )


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  •                             UNPUBLISHED
    UNITED STATES COURT OF APPEALS
    FOR THE FOURTH CIRCUIT
    No. 11-1399
    REACHING HEARTS INTERNATIONAL, INCORPORATED,
    Plaintiff − Appellee,
    v.
    PRINCE GEORGE'S COUNTY; COUNTY COUNCIL OF PRINCE GEORGE'S
    COUNTY, Sitting As The District Council,
    Defendants − Appellants.
    Appeal from the United States District Court for the District of
    Maryland, at Greenbelt.      Roger W. Titus, District Judge.
    (8:05−cv−01688−RWT)
    Argued:   March 21, 2012                   Decided:   April 25, 2012
    Before MOTZ, SHEDD, and AGEE, Circuit Judges.
    Affirmed and remanded by unpublished per curiam opinion.
    ARGUED: William Walter Wilkins, NEXSEN PRUET, LLC, Greenville,
    South Carolina, for Appellants.       Ward Baldwin Coe, III,
    GALLAGHER EVELIUS & JONES, LLP, Baltimore, Maryland, for
    Appellee.   ON BRIEF: Tonia Y. Belton-Gofreed, OFFICE OF LAW,
    Upper Marlboro, Maryland; Kirsten E. Small, NEXSEN PRUET, LLC,
    Greenville, South Carolina, for Appellants.  David W. Kinkopf,
    Brian T. Tucker, GALLAGHER EVELIUS & JONES, LLP, Baltimore,
    Maryland, for Appellee.
    Unpublished opinions are not binding precedent in this circuit.
    PER CURIAM:
    This is the second time this case has been before us. In
    the    first    appeal,        we    affirmed         a    jury     verdict    in   favor     of
    Reaching Hearts International (“RHI”), a Seventh Day Adventist
    congregation that sought to build a church on its land in Prince
    George’s       County,      Maryland. 1        In    this     appeal,     Prince       George’s
    County and its County Council (collectively “the County”) raise
    a     number    of    challenges          to     the      district     court’s      award     of
    attorneys’ fees and expenses to RHI. For the reasons discussed
    below, we affirm the order of the district court.
    I.
    After    the    appeal        by    the       County    had    concluded        and    our
    mandate    issued,       RHI    filed      a     motion       for    attorneys’     fees      and
    expenses       on    July      30,    2010. 2        The    motion,      supported       by    a
    memorandum,         affidavit,       and       verified       exhibits,       sought    almost
    $725,000 in fees (including fees for attorneys and other non-
    1
    The jury awarded $3,714,822.36, based on the County’s
    violation of RHI’s rights under the Equal Protection Clause and
    Religious Land Use and Institutionalized Persons Act (“RLUIPA”).
    For a fuller description of the case and its facts, see Reaching
    Hearts Int’l, Inc. v. Prince George’s County, 368 F. App’x 370
    (4th Cir. 2010) (unpublished).
    2
    Although RHI had filed a motion for attorneys’ fees and
    expenses after trial, the July 30, 2010 motion was a renewed
    motion that incorporated a request for additional fees for work
    associated with the first appeal.
    2
    attorney timekeepers), based on 2,635 hours of work through the
    date it          was    filed.   RHI      also   sought       approximately       $40,000    in
    expenses.         The    rates     used    in    the       motion    were   the     historical
    hourly rates customarily charged to other clients by the various
    timekeepers at the time that the services were rendered. 3 The
    rates for the attorneys ranged from $200 to $470 per hour.
    The historical rates requested in the motion for fees were
    different         (and     generally        higher)         than    the     rates    RHI    had
    previously negotiated to pay its attorneys. Specifically, at the
    outset of the litigation, RHI and its attorneys had agreed that
    RHI would make payments as the litigation progressed pursuant to
    a blended, discounted fee structure, with an hourly rate of $250
    for all attorneys and $130 for all paralegals. This “reduced”
    rate was agreed upon “out of consideration of [RHI’s] ability to
    pay and its charitable mission, with the express understanding
    that [RHI’s attorneys] would seek full and proper compensation
    for fees and expenses from the County should RHI prevail.” (J.A.
    206.)       At    the    time    of    RHI’s     renewed       fee    petition,       RHI   had
    previously         paid    to    its    attorneys          $560,975.16,     although       RHI’s
    payments         were     “often      [made]     in    a    less    than    timely     fashion
    3
    Many of those rates increased during the course of the
    litigation, which began with the filing of the Complaint in June
    2005.
    3
    because of [RHI’s] limited resources.” (Br. of Appellees at 8
    (citing Affidavit of Ward B. Coe, III, at J.A. 206).)
    At a hearing on the motion for fees and expenses held on
    March 14, 2011, the district court heard argument from counsel
    and   then    determined        the   lodestar    amount,   or   the   “reasonable
    hourly     rate     multiplied    by   hours     reasonably   expended.”    United
    States ex rel. Vuyyuru v. Jadhav, 
    555 F.3d 337
    , 356 (4th Cir.
    2009). In doing so, the court expressly considered the twelve
    factors pertinent to the lodestar analysis:
    (1) the time and labor expended; (2) the
    novelty and difficulty of the questions
    raised; (3) the skill required to properly
    perform the legal services rendered; (4) the
    attorney's opportunity costs in pressing the
    instant litigation; (5) the customary fee
    for    like     work;   (6)    the    attorney's
    expectations      at   the   outset     of   the
    litigation; (7) the time limitations imposed
    by the client or circumstances; (8) the
    amount   in    controversy   and   the   results
    obtained; (9) the experience, reputation and
    ability     of    the   attorney;     (10)   the
    undesirability of the case within the legal
    community in which the suit arose; (11) the
    nature   and    length   of   the   professional
    relationship between attorney and client;
    and (12) attorneys' fees awards in similar
    cases.
    See Jadhav, 
    555 F.3d at 356-57
     (citations omitted); see J.A.
    182-191.
    As     part    of   its   analysis   of     these   various   factors,   the
    district court recognized that this was the first RLUIPA case in
    the country where money damages had been awarded by a jury. As
    4
    described by the district court, this “was a very novel case
    with extremely difficult questions raised.” (J.A. 185.) It was
    “a needle in the haystack case” that “required a lot of skill on
    the part of the plaintiff’s lawyers, not just because of the
    novelty    and   difficulty    .   .   .       but   because      of   the   extremely
    tenacious defense raised by Prince George’s County in defending
    this case.” (J.A. 185, 188.) As to the “most critical factor[,]
    . . . the degree of success obtained,” see Hensley v. Eckerhart,
    
    461 U.S. 424
    , 436 (1983), the district court stated that this
    case “can only be described as a home run in a very adverse
    ballpark with your adversary being the New York Yankees, this
    was not an easy case.” (J.A. 190-91.)
    The district court ultimately concluded that the hours set
    forth in the fee petition were reasonably expended and that the
    rates sought were reasonable. Indeed, at different points in the
    hearing,   the   district     court    referred       to    the    rates     sought   as
    “very reasonable,” “extremely reasonable,” and “very fair and
    reasonable,”     and   further     concluded         that   it     was     “more   than
    satisfied that the rates being sought are those predominantly
    charged by attorneys practicing in this court.” (J.A. 188, 193,
    199.)
    The district court also considered RHI’s request for an
    enhancement for superior results, but concluded that under the
    5
    Supreme Court’s decision in Perdue v. Kenny A., 
    130 S. Ct. 1662
    (2010), a fee enhancement would not be awarded.
    RHI had also asked for additional compensation, over and
    above the historical rates charged. This additional amount was
    to account for the “effect of delay in payment on the value of
    the fee,” an adjustment we have explained is required in order
    to render the fee award “fully compensatory.” Daly v. Hill, 
    790 F.2d 1071
    , 1081 (4th Cir. 1986); see Ohio River Valley Envtl.
    Coal., Inc. v. Green Valley Coal Co., 
    511 F.3d 407
    , 419 (4th
    Cir. 2007) (hereinafter “Ohio River”) (“a fee award must account
    for   the     effect    of     delay    in    payment”).       The    district      court
    concluded      that    use    of    RHI’s    otherwise      reasonable       historical
    rates failed to fully compensate it for the lost time value of
    money.   Although       the    district      court      recognized    that     it   could
    calculate interest on each monthly fee paid by RHI and owed to
    RHI’s attorneys, the court stated that it “would almost be a
    death defying mathematical calculation.” (J.A. 194.) Thus, the
    district      court    instead      accounted     for    the   lost   time     value   of
    money    by    applying       the   current      hourly    billing     rates     of    the
    timekeepers (as opposed to the historical rates) to the number
    of hours awarded. This resulted in a total fee award, including
    time spent at the district court fee hearing and recalculating
    the fees using current rates, of $838,722.00. (J.A. 196, 202.)
    6
    Finally,      the    district      court      awarded         the   full     amount     of
    expenses sought by RHI, finding them to be “very reasonable” and
    “well      documented.”      (J.A.      193.)      The    award       ultimately         included
    expenses in the total amount of $40,784.40. 4 (J.A. 202.)
    The     County      timely       appealed         and    we     have     jurisdiction
    pursuant to 
    28 U.S.C. § 1291
    .
    II.
    We review “[t]he reasonableness of the amount of a district
    court’s fee award . . . for abuse of discretion,” and questions
    of     law     arising      in    the     course         of     the     determination          de
    novo. Johannssen v. Dist. No. 1-Pac. Coast Dist., MEBA Pension
    Plan, 
    292 F.3d 159
    , 178 (4th Cir. 2002), abrogated on other
    grounds      by    Metro.     Life      Ins.       Co.    v.     Glenn,       
    554 U.S. 105
    (2008); Robinson v. Equifax Info. Servs., LLC, 
    560 F.3d 235
    , 243
    (4th    Cir.      2009)    (court    reviews       award       of    attorneys’      fees     and
    expenses for an abuse of discretion). While that discretion is
    “not unlimited” and “[i]t is essential that the judge provide a
    reasonably        specific       explanation        for        all    aspects       of    a   fee
    4
    The Clerk of the District Court had previously awarded
    costs in the amount of $7,348.23 based on a bill of costs RHI
    submitted shortly after trial. To avoid duplication when
    entering its award of expenses upon RHI’s renewed motion, the
    district court deducted that amount from the total amount of
    expenses awarded ($40,784.40), resulting in an order awarding
    $33,400.17. (J.A. 196, 202, 554.)
    7
    determination,”     Perdue,     
    130 S. Ct. at 1676
    ,      our    review    is
    nonetheless    “sharply      circumscribed.”        Jadhav,      
    555 F.3d at 356
    (citation omitted). “[B]ecause a district court has close and
    intimate    knowledge   of    the   efforts        expended     and    the    value   of
    services rendered, the fee award must not be overturned unless
    it is clearly wrong.” 
    Id.
     (citation omitted).
    On appeal, the County challenges various aspects of the
    district court’s determination of the fee award. The County’s
    arguments    fall   into   three      categories:         (1)   challenges      to    the
    hourly rates used in calculating the fee; (2) challenges to the
    number of hours deemed by the district court to be reasonable;
    and (3) challenges to specific items of expenses as improperly
    documented. We address each argument in turn.
    A.
    The    County’s    challenge      to    the    hourly      rate    used    by    the
    district court is two-fold. First, it contends that the hourly
    rates sought by RHI, i.e., the historical billing rates, were
    far above the prevailing market rate for civil rights litigation
    in the District of Maryland, and that there was insufficient
    support in the record for the rates utilized by the district
    court. Second, it challenges the district court’s use of current
    market rates to account for a delay in payment.
    8
    As to the first part of its challenge to rates, the County
    argues that the rates charged by the attorneys and paralegals to
    private clients are not the prevailing market rate for the type
    of     work    involved      here   and      that    a   better      indicator     of     a
    “reasonable rate” would be either the amount RHI agreed to pay
    its attorneys (the blended hourly rate of $250 for attorneys and
    $130 for paralegals) or the rates set forth in Appendix B to the
    Local       Rules   for   the   United       States      District     Court   for       the
    District       of   Maryland,       entitled        “Rules     and    Guidelines        for
    Determining Attorneys’ Fees in Certain Cases.” 5
    As     noted,   our    review    is    limited     to    a    determination       of
    whether the district court abused its discretion, and we find no
    abuse of discretion in its determination that the rates sought
    were       reasonable.    The   court     expressly       considered,     and    relied
    upon, affidavits from Messrs. Rosenberg and Maloney, experienced
    trial attorneys who were known to the district judge and who
    5
    The rates in Appendix B vary depending on the number of
    years since an attorney has been admitted to the bar. For
    example, the suggested range of hourly rates for a lawyer
    admitted to the bar for less than five years is $150-190. For a
    lawyer admitted for fifteen years or more, the rate would be
    $275-$400. The section of Appendix B setting forth the rates
    also makes clear that “[t]he factors established by case law
    obviously govern over [these rates]” and that “[o]ne factor that
    might support an adjustment to the applicable range is an
    increase in the cost of legal services since the adoption of the
    guidelines.” Id. at n.6. According to counsel’s representations
    to this Court, the rates were last updated in January 2008.
    9
    both appeared regularly in federal court in Maryland in complex
    civil    litigation   matters   and    other   cases.   Those   affidavits
    stated that the rates sought were reasonable. 6 The district judge
    also relied on his own knowledge of prevailing market rates in
    the relevant market. In particular, he explained that he had
    been responsible for billing at the law firm where he practiced
    prior to his appointment to the bench in 2003 and that he knew
    the rates charged by attorneys at that local firm for all types
    6
    The County emphasized, both in its brief and at argument,
    that the affidavits were insufficient to establish that the
    rates sought were reasonable because they did not contain
    “satisfactory ‘specific evidence of the prevailing market rates
    in the relevant community’ for the type of work performed.” (Br.
    at 11-12 (quoting Plyler v. Evatt, 
    902 F.2d 273
    , 277 (4th Cir.
    1990)) (citation omitted).) In particular, it contends the
    affidavits of Messrs. Rosenberg and Maloney were insufficient
    because they did not state that the claimed rates were
    consistent with the market rate for the specific type of
    litigation involved, here, “civil rights litigation.” (Br. at
    12-14.) We disagree.
    While the affidavits may not have used the precise language
    suggested in Plyler and while they could have been more
    specific, there are significant distinctions between “civil
    rights cases” in general (such as Section 1983 cases brought by
    prisoners or against the police by arrestees) and a RLUIPA case
    like this one, which was much more involved and complicated than
    a typical “civil rights” case and more akin to complex civil
    litigation. As noted, there was significant novelty to this
    litigation because so few cases under RLUIPA for money damages
    in this context had occurred at that time. Thus, we conclude the
    district court did not abuse its discretion in determining that
    the affidavits were sufficient to show that the rates were
    reasonable for the type of work performed.
    10
    of    litigation     up     through    that    time       in    the    relevant       market. 7
    Additionally—and          significantly—there            was    a    lack     of   comparable
    rates for RLUIPA work in Maryland and even nationwide, in view
    of its novelty at the time, and the fact that no jury award of
    damages had ever been made prior to this case. (J.A. 172, 184-85
    (district      court      noting      “this    was       a     very    novel       case     with
    extremely difficult questions raised” and that there is not a
    RLUIPA bar that the court could look to in order to determine
    rates).) In short, we find no error or abuse of discretion in
    the    district     court’s     determination            that    the    historical         rates
    requested were reasonable.
    The   County’s       second    challenge          to    the    rates    used    by   the
    district     court     is    that    the    use     of    March      2011     hourly      rates,
    rather       than    historical            rates,        constituted          an      improper
    enhancement and was not warranted by any delay in payment. The
    County relies heavily on the fact that RHI paid its attorneys
    the agreed-upon reduced rate throughout the litigation, and thus
    there was no delay in payment to the attorneys as to most of the
    7
    In fact, the district court noted that the historical fees
    now requested were less than what he would have termed
    comparable rates when he left private practice seven years
    earlier. (J.A. 187 (“Mr. Coe’s rates now are less than my rate
    was [when I arrived on the bench]”); id. at 199 (“all these
    rates are very reasonable. Very reasonable. I mean, my rate was
    north of these rates seven years ago. And rates at my old law
    firm have been going up since then, not down.”).)
    11
    fees earned. This second challenge to the rates is a slightly
    more involved issue.
    As an initial matter, we first note that the use of the
    current rates was not an “enhancement” of the fee award of the
    type discussed in the Supreme Court’s opinion in Perdue. While
    the    district        judge   clearly      indicated   he   would   have   liked   to
    apply a Perdue-type enhancement, he expressly stated that he
    was not doing so, but was simply awarding the time value of
    money, or using current rates to account for a delay in payment.
    (J.A. 197 (district judge expressing that “in [his] heart of
    hearts” he believed an enhancement was probably appropriate in
    this case, but “applying current hourly rates to the recovery of
    fees       in   this   case    is   fully    justified   by   the    time   value   of
    money”).) 8 Accordingly, we address whether using current rates to
    account for either a delay in payment or the lost time value of
    money was an abuse of discretion.
    8
    The County complains that the district court’s ruling was
    simply a way to enhance the award without calling it an
    enhancement. In part, it relies on the district court’s
    alternative statement that “to the extent that [applying current
    rates is] too generous, which I doubt it is, that this does
    represent in my judgment a case of superior – I mean really
    superior attorney performance.” (J.A. 197.) The record is clear
    that the district court did not apply an enhancement, as that
    term is utilized by Perdue, since the district court expressly
    disavowed that it was doing so. See id. Since we affirm the use
    of current rates as justified by the delay in payment, we do not
    have occasion to consider whether a Perdue-type enhancement
    would be appropriate in this case.
    12
    Our   precedent       is    clear    that,     in    the     typical   case,    an
    appropriate      way   to     compensate       for   a     delay    in   payment     for
    attorneys’    fees     is    either   to     use     the    current      hourly   rates
    instead of historical ones, or to include an award of interest
    to account for the lost time value of money. As the Supreme
    Court explained in Missouri v. Jenkins:
    Our cases have repeatedly stressed that
    attorney’s fees awarded under [
    42 U.S.C. § 1988
    ] are to be based on market rates for
    the services rendered. . . . Clearly,
    compensation received several years after
    the   services    were    rendered   –    as   it
    frequently   is    in   complex   civil    rights
    litigation - is not equivalent to the same
    dollar amount received reasonably promptly
    as the legal services are performed, as
    would normally be the case with private
    billings. We agree, therefore, that an
    appropriate adjustment for delay in payment
    - whether by the application of current
    rather   than    historic    hourly   rates    or
    otherwise – is within the contemplation of
    the statute. . . . An adjustment for delay
    in payment is, we hold, an appropriate
    factor   in    the    determination    of    what
    constitutes   a    reasonable   attorney’s    fee
    under § 1988.
    
    491 U.S. 274
    , 283-84 (1989) (internal footnote and citations
    omitted).
    This Court, too, has repeatedly noted that a court may base
    a   reasonable    rate      for   lodestar     purposes     on     current   rates    to
    compensate for a delay in payment. See Ohio River, 
    511 F.3d at 419-20
    ; Johannssen 
    292 F.3d at 181
    ; Daly, 
    790 F.2d at 1081
    .
    In Johannssen, for example, we concluded that the district court
    13
    had abused its discretion in adopting historic rates without
    considering the effect of delay of payment on the value of the
    fee. As we explained in Johannssen, “consideration of the effect
    of time on the value of the fee is mandatory as part of a
    consideration of what is reasonably compensatory.” Id. at 180.
    Thus, it is clear that in an appropriate case, the use of
    current      rates       is    permissible,      and      that   using    either     current
    rates       or    some    appropriate         rate   of    interest      is     required    to
    account for such a delay. The use of current rates, to be sure,
    can     be       an    imprecise       substitute         for    some    other      form    of
    mathematical precision, and interest rates may often be a more
    accurate way to calculate the lost time value of money. But as
    explained             above,     our     precedent          allows       that     imprecise
    methodology.
    The case at bar, however, has a wrinkle that potentially
    complicates the application of this general practice to account
    for     a    delay       in     payment.      That     wrinkle     is     that    RHI      made
    substantial,           but     not   always    timely,      ongoing      payments    to     its
    attorneys during the litigation. Indeed, approximately $560,000
    of the initial $765,000 in fees and expenses sought by RHI had
    already been paid to its attorneys. Thus, the question could be
    14
    raised as to whether the fact that a significant partial payment
    had been made to the attorneys here affects the analysis. 9
    It is certainly a feasible argument that, in a case where
    such a partial payment has been made, the two portions of the
    fee award (representing the paid and unpaid amounts) could be
    subject to different analyses when adjusting to account for a
    delay in payment. One portion would be the loss to RHI itself of
    what could be characterized as the traditional concept of the
    time value of money, representing the amounts it paid to its
    attorneys throughout the litigation. Had RHI not had to make
    these payments, it could have earned interest on those funds.
    The second portion is the loss suffered by the attorneys from a
    delay in payment, but is applicable only to those amounts equal
    to the historical rates (as determined by the district court to
    be reasonable) less the amounts paid by RHI using the reduced
    blended rates.
    9
    The fact of partial payment certainly affects who, as
    between the plaintiff (RHI) and its attorneys, should receive
    what portion of the adjustment to current rates. As RHI’s
    counsel acknowledged at oral argument, RHI should receive all
    amounts it had previously paid to its attorneys, as well as an
    additional amount representing the portion of the adjustment
    equal to the percentage of the unadjusted total award that the
    previously-paid amount comprises. Indeed, since the bulk of the
    fees were paid by RHI, it was RHI, not the attorneys, who lost
    most of the time value of its money.
    15
    At argument before this Court, counsel for RHI was asked
    whether any of the three principal cases RHI relied upon to
    support the district court’s use of current rates involved a
    partial payment to attorneys. RHI’s attorney responded that they
    did not involve partial payments. 10 In fact, however, at least
    one   of    those—Johannssen—appeared          to   have    involved    a     partial
    payment, although this Court did not address the significance of
    that fact. 11
    In Johannssen, we reversed a district court’s fee award
    because it failed to either use current hourly rates or award
    interest in order to account for a delay in payment. It appears
    that Johannssen actually involved some amount of partial payment
    to    the    plaintiffs’      attorneys    during     the       litigation.    In    a
    footnote, this Court explained:
    The   district   court   also   noted     that
    Plaintiffs’  attorneys   had  agreed    to   a
    retainer agreement with them that was to
    provide them with a portion of the fees
    necessary to prosecute the case. The court
    did not explain how this was relevant to the
    issue of delay other than the somewhat
    mysterious  statement   that  “it   was    not
    10
    Oral   Argument    Digital     Recording       at   31:02   (March      21,
    2012).
    11
    The other two cases are Daly and Ohio River. In Daly,
    there was a contingency fee agreement in the underlying suit and
    no partial payments made. 
    790 F.2d at 1074-75
     (describing 25%
    contingency fee agreement). In Ohio River, the opinion is silent
    as to any type of payment arrangement between the client and its
    attorneys. See generally 
    511 F.3d 407
    .
    16
    insignificant that the clients agreed to
    support the litigation to the extent that
    they did.”
    
    Id.
     at 180 n.20.
    We did not explain in Johannssen the significance of this
    fact,   if   any,    or    how     it   could    impact      the   district    court’s
    calculation of any adjustment for delay in payment. Nonetheless,
    despite the knowledge that there was at least an agreement by
    the   clients   to   make        some   payments      during    the     litigation—and
    possibly     payments      were    made—we      held    that    an    adjustment   was
    warranted for a delay in payment, and did not differentiate the
    calculation     of        that     adjustment         into     segregated      amounts
    representing     funds      already      paid    by    the     client    and   amounts
    unpaid. This could suggest, although it is by no means clear,
    that no different calculation is required, even in cases where
    there is a partial payment to the lawyers during the litigation.
    The parties have not pointed to any Fourth Circuit cases or out-
    of-circuit cases addressing whether a different calculation is
    required or warranted for the two possible portions of the fee
    award where there has been a partial payment by the client.
    Resolution of this question is not required in the case at
    bar, however, because the issue was not squarely raised before
    the district court. At the fee petition hearing, in the context
    of arguing that no enhancement should be applied, attorneys for
    the County argued that there was no delay in payment because the
    17
    client had paid the largest portion of the fees sought to the
    attorneys.    (J.A.   178    (counsel    for       the   County    arguing   “there
    wasn’t a big delay in payment . . . [as to] what was paid to Mr.
    Coe by Reaching Hearts. In other words, they were paid fees by
    their client all along.”).) Thus, the district court clearly
    knew that some payments had been made. See 
    id.
     12 However, the
    issue of whether the portion of the fees representing payments
    made by the client should be treated differently than payment
    for the portion representing amounts not paid to RHI’s attorneys
    was never squarely presented to the district court and it was
    not   asked    to     rule    on   the       fee     award    on     that    basis.
    Unsurprisingly, then, the district court did not address this
    point. 13
    12
    In his affidavit, Ward Coe, the lead counsel for RHI,
    explained: "Both RHI – for the money it already has forwarded
    for attorneys' fees and costs – and RHI's attorneys – for the
    difference between what they have received for services rendered
    versus the actual cost of those services—have unfairly lost the
    time value of money. The representation of RHI in this matter
    also carried with it the risk that full payment for services may
    not come at all or, at best, would only come many years later or
    at a reduced amount.” (J.A. 215 at ¶ 23.) See J.A. 167 (Mr.
    Coe’s statement at the fee hearing that the use of current rates
    or an “interest calculation” would “compensate[] for both
    Reaching Hearts' outlay of fees and not getting them back for a
    long time, and also the delay in payment to attorneys where
    we're both delayed in compensation because we're working for a
    client who has to pay us to play.").
    13
    The district court recognized that there were separate
    delays, at least to some extent, explaining that he would use
    current rates to "take into account the time value of money in
    (Continued)
    18
    Similarly, the County did not argue this specific point on
    appeal. Instead, it was raised by the panel at oral argument and
    the parties merely responded to the questioning by the panel.
    Regardless of whether the County’s failure constitutes a waiver
    of the issue, we cannot say that the district court abused its
    discretion in this case in failing to treat the two amounts
    differently, where that possibility was never presented to it.
    Accordingly, we find no abuse of discretion in the court’s use
    of current hourly rates to account for a delay in payment.
    B.
    We    have      carefully      considered     the     County’s     remaining
    challenges to the fee award. These include allegations that the
    district    court     failed   to     carefully    scrutinize     the   fees    and
    expenses    sought    and   consequently       awarded    fees   that    were   the
    result of overstaffing, excessive hours for certain tasks, or
    hours    associated    with    RHI’s    lead   counsel     changing     law   firms
    during    the   litigation.      As    to   each   of    these   challenges,     we
    conclude that the district court acted within its discretion in
    the sense that the fee was not received by either the law firm –
    by the law firm in part for a considerable period of time and,
    of course, the fact that the plaintiff had to lay this money out
    from day one all the way to the present time, to the extent that
    it paid money." (J.A. 194.) But the court did not consider
    whether those separate items should be analyzed differently nor
    did the County make that request.
    19
    reaching its determination that the number of hours and the time
    entries were adequately documented and were reasonable.
    To be sure, the approved number of hours expended here (and
    indeed, the fee award itself) was quite large. But this was a
    hard-fought    case,     one    that       was   vigorously     litigated        by     the
    County. The     County      raised     a   large    number     of   defenses,      filed
    motions to dismiss on various grounds, fought discovery, came to
    two   settlement    conferences        without       authority      to     settle,      and
    raised numerous assignments of error in its first appeal to this
    Court. It is irrelevant whether, had we been reviewing the fee
    petition in the first instance, we might have reduced some of
    the hours on the grounds urged by the County, or found that some
    hours were potentially the result of duplicative efforts. Daly,
    
    790 F.2d at 1079
     (“[W]e are not entitled to disturb a district
    court’s     exercise    of     discretion        even    though     we     might       have
    exercised    that   discretion        quite      differently.”)       We      review    the
    district court’s decision as to the hours expended only for an
    abuse of discretion, and we find nothing “clearly wrong” about
    its    decision        as      to      the       hours    reasonably            expended
    here. See Jadhav, 
    555 F.3d at 356
    .
    Similarly, as to the County’s claim that certain expenses
    (in-house    photocopying       and    legal       research)    were       inadequately
    documented    or    otherwise       unreasonable,        we    find      no    abuse     of
    discretion in the district court’s ruling.
    20
    III.
    As both parties acknowledge, RHI will also be entitled to
    its reasonable attorneys’ fees and expenses for its successful
    efforts in this appeal. Plyler, 
    902 F.2d at 281-82
    . Accordingly,
    we remand this case to the district court for a determination of
    reasonable   attorneys’   fees   and    expenses   related   to   this
    appeal. See 
    id.
    IV.
    For the foregoing reasons, the order of the district is
    affirmed, and we remand to the district court for a further fee
    determination.
    AFFIRMED AND REMANDED
    21