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You can search the entire site. or go to the recent opinions, or the chronological or subject indices. Tim Cook v. David Quashnick (5/7/2021) sp-7527

Tim Cook v. David Quashnick (5/7/2021) sp-7527, 485 P.3d 1026

           Notice:   This opinion is subject to correction before publication in the P                    ACIFIC  REPORTER.  

           Readers are requested to bring errors to the attention of the Clerk of the Appellate Courts,  

                                                                                                                         

           303 K Street, Anchorage, Alaska 99501, phone (907) 264-0608, fax (907) 264-0878, email  

                                                                                                                           

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                       THE SUPREME COURT OF THE STATE OF ALASKA                                       



TIM  COOK,                                                       )  

                                                                 )     Supreme  Court  No.  S-17777  

                                Appellant,                       )  

                                                                                                                                 

                                                                 )     Superior Court No. 3AN-19-11885 CI  

           v.                                                    )  

                                                                                           

                                                                 )    O P I N I O N  

               

DAVID QUASHNICK,                                                 )  

                                                                                                       

                                                                 )    No. 7527 - May 7, 2021  

                                Appellee.                        )  

                                                                 )  



                                                                                                              

                      A            

                        ppeal from the Superior Court of the State of Alaska, Third  

                                                                                                      

                      Judicial District, Anchorage, Gregory A. Miller, Judge.  



                                                                                                                     

                      Appearances:  Tim Cook, Cook and Associates Attorneys at  

                                                                                                            

                      Law, Anchorage, for Appellant. Markus B.G. Oberg, LeGros  

                                                                                             

                      Buchanan & Paul, Seattle, Washington, for Appellee.  



                                                                                                          

                      Before:  Bolger, Chief Justice, Winfree, Maassen, Carney,  

                                                 

                      and Borghesan, Justices.  



                                         

                      CARNEY, Justice.  



I.         INTRODUCTION  



                                                                                                                                     

                      After two fishing boats collided at sea, the owner of one of the boats sued  



                                                                                                                                   

the other owner.  Among his claims was an alleged violation of Alaska's Unfair Trade  



                                                                                                                                       

Practices and Consumer Protection Act (UTPA). After the case settled, he requested full  



                                                                                                                                  

attorney's fees under the UTPA.  The superior court instead awarded fees under Alaska  



                                                                                                       

Civil Rule 82.  He appeals.  We affirm the award of attorney's fees.  


----------------------- Page 2-----------------------

 II.           FACTS AND PROCEEDINGS
           



               A.            Facts  



                             Tim Cook and David Quashnick both fish commercially in Bristol Bay;                                                                                  



 Cook is also an attorney.                              Cook claims that in July 2019 Quashnick drove his boat over                                                                



 Cook's nets and intentionally struck his boat while "screaming that Cook should go fish                                                                                             



 somewhere else."                        Cook alleges that his boat and nets were damaged and a member of                                                                               



his crew was injured as a result of the collision.                                  



               B.            Proceedings  



                              Cook, representing himself, filed suit in December 2019, claiming assault  

                                                                                                                                                                              



 and  battery,  violation  of the rules of navigation, intentional infliction  of emotional  

                                                                                                                                                                      

 distress,  and  violation  of  the  UTPA.1                                               Cook  sought  economic,  non-economic,  and  

                                                                                                                                                                                    



punitive damages, as well as treble damages and full attorney's fees and costs under the  

                                                                                                                                                                                      



UTPA.  Quashnick admitted that both boats were in the water in Bristol Bay but denied  

                                                                                                                                                                              



the rest of Cook's allegations.  

                                         



                             In January Cook made an offer of judgment to settle the case for $25,000.  

                                                                                                                                                                                               



After  a  month  of  settlement  negotiations  Cook  made  a  second,  identical  offer  of  

                                                                                                                                                                                       



judgment.  The February 25 offer stated:   "Plaintiff Tim Cook will accept $25,000.00  

                                                                                                                                                                    



 (twenty-five thousand dollars) from Defendant David Quashnick in full settlement of all  

                                                                                                                                                                                        



 claims arising out of the above captioned matter. The court will enter judgment in favor  

                                                                                                                                                                                 



 of  the  plaintiff  and  assess  fees  and  costs  against  defendant."                                                                         Cook's  cover  letter  

                                                                                                                                                                                 



 specified that "[a]cceptance of the Offer of Judgment results in:  [a] minimal monetary  

                                                                                                                                                                        



payout; [a]voidance of litigation; [and] [n]o admission of fault . . . ."  

                                                                                                                                                



                              Quashnick accepted the offer on March 4. About a week later Cook moved  

                                                                                                                                                                              



 for entry of judgment and an award of attorney's fees and costs.  Cook sought $310.50  

                                                                                                                                                                           



               1  

                                      

                             AS 45.50.471.  



                                                                                           -2-                                                                                           7527  


----------------------- Page 3-----------------------

in costs and $15,652.65 in attorney's fees based on 45.37 hours at an hourly rate of $345,                                                                                                  

claiming he was entitled to full reasonable fees and costs under the UTPA.                                                                                                   2  



                               Quashnick opposed Cook's motion, first arguing that because Cook was  

                                                                                                                                                                                                

                                                                                                                                        3  He also argued that Cook  

representing himself he was not entitled to attorney's fees.                                                                                                    



was not entitled to any fees because Alaska Civil Rule 68 only allows a fee award to the  

                                                                                                                                                                                                  



party making the offer of judgment if the offer is rejected and the judgment eventually  

                                                                                                                                                                                 

entered is less favorable than the offer.4   In addition Quashnick opposed awarding full  

                                                                                                                                                                          



attorney's fees under the UTPA.  He argued that because the offer of judgment did not  

                                                                                                                                                                                                 



lead to an admission of fault, Cook was not the prevailing party.  He claimed that the  

                                                                                                                                                                                                  



cases Cook cited addressed UTPA claims that were determined on their merits; he said  

                                                                                                                                                                                                



they were distinguishable and "[a]llowing an award of fees based on mere allegations  

                                                                                                                                                                   



and without any proof, factual findings, or a trial would be manifestly unreasonable and  

                                                                                                                                                                                                 



entirely contrary to the goal of Rule 68."  

                                                                                     



                2              The UTPA provides that "[i]n an action brought by a private person under                                                                                     



 [the UTPA], a prevailing plaintiff shall be awarded costs as provided by court rule and                                                                                                         

full reasonable attorney fees at the prevailing reasonable rate." AS 45.50.537(a).                                                                          



                3              Because Quashnick did not cross-appeal the issue, he has waived it.  See  

                                                                                                                                                                                                 

Peterson v. Ek, 93 P.3d 458, 467 (Alaska 2004) ("We have consistently held that failure  

                                                                                                                                                                                          

to  file  a  cross-appeal  waives  the  right  to  contest  rulings  below.").                                                                                           But  we  have  

                                                                                                                                                                                             

previously allowed attorneys who represented themselves to receive costs and fees.  

                                                                                                                                                                                                           

Burrell v. Hanger, 650 P.2d 386, 387 (Alaska 1982).  

                                                                                                             



                4              Alaska R. Civ. P. 68(b) ("If the judgment finally rendered by the court is  

                                                                                                                                                                               

at least 5 percent less favorable to the offeree than the offer . . . the offeree . . . shall pay  

                                                                                                                                                                                                 

all costs as allowed under the Civil Rules and shall pay reasonable actual attorney's fees  

                                                                                                                                                                                                

incurred by the offeror from the date the offer was made.").  

                                                                                                                       



                                                                                                 -3-                                                                                         7527
  


----------------------- Page 4-----------------------

                              Finally Quashnick argued that any attorney's fees should be capped at                                                                        



                                                   5  

$4,500 under Rule 82.                                                                                                                                                                     

                                                        He argued that Cook's hourly rate was unreasonable and the  



                                                                                                                                                                                          

amount  of  time  he  had  spent  was  unnecessary  given  the  parties'  early  focus  on  



settlement.  



                                                                                                                                                                                             

                              The  superior  court  found  that  Cook's  "entitlement  to  attorney  fees  is  



                                                                                                                                                                                       

governed by Alaska Rule 82" and awarded him $4,500 in attorney's fees. It found "that  



                                                                                                                                                                                              

this amount fairly compensates [Cook] for reasonable and necessary time incurred."  It  



                                                                                                                                              

also found that Cook was entitled to his full filing fees, but not interest.  



                                                                                                                                                                           

                              Cook appeals, arguing that the superior court erred by awarding attorney's  



                                                                            

fees under Rule 82 instead of the UTPA.  



                                                         

III.           STANDARD OF REVIEW  



                                                                                                                                                                                          

                              While we review awards of attorney's fees for abuse of discretion, we  



                                                                                                                                                                             

"independently review 'whether the trial court properly applied the law when awarding  

                                         6     "Determinations of which legal authorities apply in a case and  

                                                                                                                                                                                        

attorney's fees.' " 



interpretations of what those legal authorities mean are questions of law subject to de  

                                                                                                                                                                                            

novo review."7  

             



               5              Alaska Rule of Civil Procedure 82 authorizes partial attorney's fees awards                                                                         



to prevailing parties in civil cases according to a schedule.                                                                      The Rule caps the award in                                

a contested case settled for $25,000 at 18% of "reasonable actual attorney's fees which                                                                                             

were necessarily incurred."                                    Alaska R. Civ. P. 82(b)(1)-(2).                                        



               6              Cottini v. Berggren, 420 P.3d 1255, 1260 (Alaska 2018) (quoting State,  

                                                                                                                                                                                    

 Office of Pub. Advocacy v. Estate of Jean R., 371 P.3d 614, 618 (Alaska 2016)).  

                                                                                                                                                                   



               7              Id.  (quoting ConocoPhillips Alaska, Inc. v. Williams Alaska Petroleum,  

                                                                                                                                                                        

Inc., 322 P.3d 114, 122 (Alaska 2014)).  

                                                                         



                                                                                             -4-                                                                                      7527
  


----------------------- Page 5-----------------------

IV.	          DISCUSSION  



                                                                                                                                                                    

              A.	          The Superior Court Did Not Err By Awarding Attorney's Fees Under  

                                       

                           Rule 82.  



                                                                                                                                                                             

                           Cook argues that the superior court erred by awarding fees under Rule 82  



                                                                                                                                                                       

instead of the UTPA.  We have long held that Rule 82 determines fee awards in cases  



                                                                                                    8  

                                                                                                                                                         

resolved through an accepted offer of judgment.                                                         But Cook argues that a fee-shifting  



                                                                                                                                                                    

statute such as the UTPA takes precedence over Rule 82.  Unlike Rule 82, the UTPA  



                                                                                                                                                            

awards prevailing plaintiffs "full reasonable attorney fees at the prevailing reasonable  



           9  

rate."                                                                                                                                                                

               Cook cites Adkins v. Collens , a case brought under the UTPA, where we stated  



                                                                                                                                                                         

that "[t]he phrase 'full reasonable attorney fees at the prevailing reasonable rate' was  



                                                                                                                                                                             

specifically intended to ensure that attorney's fees for prevailing plaintiffs would not be  



                                          10  

                                  

capped by Rule 82." 



                                                                                                                                                                            

                           Quashnick responds that we have held that the UTPA supplants Rule 82  



                                                                                                                                                                         

only in cases that were resolved on the merits.  He argues that because this case was  



                                                                                                                                                                          

resolved through an offer of judgment, Cook did not prevail on his UTPA claim and  



                                                                                                                                                                        

therefore is not entitled to fees under the UTPA.  Quashnick argues that a Rule 68 offer  



                                                                                                                                                                             

of judgment creates a contract and any departure from the usual Rule 82 calculation of  



                                                                                                                                                                          

fees would have to be specified within the offer to become an enforceable part of that  



                                                                                                                                                                            

contract.   He focuses on our language in  Van Dort v. Culliton that "[f]ollowing an  



              8            See Van Dort v. Culliton                            , 797 P.2d 642, 644 (Alaska 1990) ("Following                            



acceptance of an offer of judgment under Civil Rule 68, the trial court shall, unless the                                                                                  

offer specified otherwise, award attorney's fees in accordance with Civil Rule 82."                                                                                     

(citing  LaPerriere v. Shrum                             , 721 P.2d 630, 634 (Alaska 1986) and                                          Davis v. Chism                 , 513   

P.2d 475, 482 n.6 (Alaska 1973))).                                        



              9            AS 45.50.537(a).  

                                                                 



              10           444 P.3d 187, 198 (Alaska 2019).  

                                                                                                   



                                                                                      -5-	                                                                             7527
  


----------------------- Page 6-----------------------

acceptance of offer of judgment under Civil Rule 68, the trial court shall,                                             unless the offer     



                                                                                                                                              11  

specified  otherwise,   award   attorney's   fees   in   accordance   with   Civil   Rule   82."                                                   



(Emphasis in Brief.)   Because Cook's offer of judgment stated that the court would  

                                                                                                                                      



"assess  fees  and  costs  against  defendant"  without  specifying  which  law  applied,  

                                                                                                                                   



Quashnick argues that full fees under the UTPA should not be granted.  

                                                                                                          



                      But Cook urges us to hold that an applicable fee-shifting statute governs  

                                                                                                                                    



even in cases resolved through offers of judgment.  He cites Bobich v. Hughes, where a  

                                                                                                                                                



wage claim brought under the Alaska Wage and Hour Act was resolved through an offer  

                                                                                                                                          

of judgment.12              The Wage and Hour Act has a similar fee-shifting provision as the  

                                                                                                                                            

UTPA, providing for "reasonable attorney fees" to prevailing parties.13  In Bobich, we  

                                                                                                                               



affirmed an award of attorney's fees under the Wage and Hour Act instead of Rule 82,  

                                                                                                                                            



emphasizing that the Wage and Hour Act's "requirement of full reasonable attorney's  

                                                                                                                                



fee awards ordinarily trumps Alaska Civil Rule 82's provision authorizing partial fees  

                                                                                                           

for prevailing parties."14  

                         



                      Unlike this case, all the claims resolved through an offer of judgment in  

                                                                                                                                              

Bobich were brought under the Wage and Hour Act.15  As a result, the only governing  

                                                                                                                        



law was the Wage and Hour Act.  And Bobich centered around whether the court had  

                                                                                                                                           

properly assessed fees under the Wage and Hour Act, not whether it applied.16  

                                                                                                                                     



           11         797 P.2d at 644.
       



           12  

                                                                         

                       965 P.2d 1196, 1197 (Alaska 1998).
  



           13  

                              

                      AS 23.10.110(e).
  



           14         Bobich, 965 P.2d at 1200.                     



           15         Id. at 1197.  

                                 



           16  

                                                                                                                                            

                      See id. at 1199 ("The Hugheses object to the court's failure to award the  

                                                                                                                          (continued...)  



                                                                      -6-                                                               7527
  


----------------------- Page 7-----------------------

                         Cook's offer of judgment authorized the court to "assess fees and costs."                                                                   

As Quashnick points out, an accepted offer of judgment creates a contract.                                                                   17  We have  



                                                                                                                                                             

 also held that "[f]ollowing acceptance of an offer of judgment under Civil Rule 68, the  



                                                                                                                                              

trial court shall, unless the offer specified otherwise, award attorney's fees in accordance  

                                       18   The claims resolved by the offer of judgment in this case were  

                                                                                                                                                          

with Civil Rule 82." 



 governed by different fee provisions and only one of them was brought under the UTPA.  

                                                                                                                                                                     



 The offer - which Cook prepared - did not specify which statute governed attorney's  

                                                                                                                                                



 fees.   The superior court therefore appropriately calculated the attorney's fee award  

                                                                                                                                                       



under Rule 82.  

                       



V.           CONCLUSION  



                         We AFFIRM the superior court's award of attorney's fees under Rule 82.  

                                                                                                                                                             



             16          (...continued)  



                                                                

 attorney's fees they requested.").  



             17          See LaPerriere v. Shrum                        , 721 P.2d 630, 634 (Alaska 1986) ("An offer of                                        



judgment and acceptance thereof is a contract." (quoting                                                  Davis v. Chism              , 513 P.2d 475,       

481 (Alaska 1973))).  

                         



             18           Van Dort v. Culliton, 797 P.2d 642, 644 (Alaska 1990).  

                                                                                                                      



                                                                               -7-                                                                       7527
  

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