197 B.R. 987

In re AMERICAN FABRICATORS, INC., d/b/a Buffalo Tank Corporation of Florida, Debtor. Charles W. GRANT, Trustee, Plaintiff, v. FLORIDA POWER CORPORATION, Whitlock Industrial Painting Co., Inc., A A Welding Fabrication, Inc., and, Tri State Contractors of Florida, Inc., Defendants.

Bankruptcy No. 94-62-BKC-3P7, Adv. No. 95-86.United States Bankruptcy Court, M.D. Florida, Jacksonville Division
June 4, 1996.

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[EDITORS’ NOTE: THIS PAGE CONTAINS HEADNOTES. HEADNOTES ARE NOT AN OFFICIAL PRODUCT OF THE COURT, THEREFORE THEY ARE NOT DISPLAYED.]

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Eric S. Kolar, Jacksonville, Florida, for Whitlock Industrial, Inc.

Robert Perry of the Law Offices of Ronald Bergwerk, Jacksonville, Florida, for trustee.

Gary M. Schaaf of Carter, Stain, Ford, Schaaf Towzey, St. Petersberg, Florida, for Florida Power Corp.

FINDINGS OF FACT AND CONCLUSIONS OF LAW
GEORGE L. PROCTOR, Bankruptcy Judge.

This proceeding came before the Court upon complaint to recover property of the estate pursuant to 11 U.S.C. § 542 (b); to determine extent, validity and priority of lien; and objections to claims 13, 14 and 46. A trial was held on March 6, 1996. Upon the evidence presented, the Court enters the following findings of fact and conclusions of law:

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FINDINGS OF FACT
1. On October 20, 1992, American Fabricators, Incorporated d/b/a Buffalo Tank Corporation (“Debtor”) entered into a contract with Florida Power Corporation (“FPC”) to construct a storage tank on FPC’s leasehold property. (FPC Ex. 1).

2. Debtor subcontracted the welding and painting portion of the work to A A Welding Fabrication, Incorporated (“A A”). (Trustee’s Brief at 1). On July 19, 1993, A A subcontracted the painting and sandblasting portion of the work to Whitlock Industrial Painting, Company (“Whitlock”). (Id.). Debtor also subcontracted portions of the work to Tri-State Contractors of Florida, Incorporated (“Tri-State”). The controversy in this proceeding stems from the amount of money that is owed to sub-subcontractor Whitlock pursuant to the “A A — Whitlock” contract.

3. On January 6, 1994, an involuntary petition was filed against Debtor under Chapter 7 of the Bankruptcy Code and relief was ordered. (Main Case Rec. at 1). Plaintiff Charles W. Grant (“Trustee”) was appointed trustee on August 19, 1994.

4. FPC owed Debtor $95,985.20 for work Debtor completed pursuant the Debtor-FPC contract (“the general contract”). (Adv.Rec. 1). FPC retains possession of the $95,985.02 (“the funds”). FPC paid A A $7,320.00 and Tri-State $6,556.00 from the funds. (FPC Ex. 3). Pursuant to this Court’s Order of January 19, 1996, Whitlock was paid $14,756.15 in principal and interest. (Id.). The funds FPC currently has on hand total $67,343.05. (FPC’s Brief at 1).

5. On March 15, 1995, Trustee filed this adversary proceeding naming FPC, Whitlock, A A and Tri-state as defendants. (Adv.Rec. 1). Count I of the complaint seeks a turnover of the funds as property of the estate pursuant to 11 U.S.C. § 542 (b). (Adv. Rec. 1). Count II of the complaint seeks a determination of the amount and validity of Whitlock’s lien or other interest in the funds. (Id.).

6. Counts III and IV of the complaint are moot for purposes of resolving this proceeding because stipulations of dismissals were filed dismissing defendants A A and Tri-State. (Adv.Rec. 55-56).

7. In Counts V and VI of the complaint, the Trustee objects to Whitlock’s claim 13, a general unsecured claim in the amount of $21,450.00 and Whitlock’s claim 14 for $15,905.54, a claim secured under Florida’s Mechanics’ Lien law.

8. Throughout the proceeding, the parties have not addressed claim 13. Claim 14 in the amount of $15,905.54 consists of $12,106.00, the principal amount owed to Whitlock by Debtor, and $3,799.54 for extras. (Claim file 14). This sum of $15,905.54 arose from the Claim of Lien Whitlock filed against FPC on September 15, 1993, in Alachua County, Florida. (Whitlock Ex. 16). Whitlock has received payment for the $12,106.00 principal, together with $2,650.15 in interest. The remaining dispute in this proceeding concerns the $3,799.54 portion of Whitlock’s Claim of Lien, and entitlement to attorneys’ fees, costs and interest.

9. Count VII of the complaint objects to claim 46 filed by FPC for $59,355.93 for estimated breach of contract damages, representing the potential liability FPC could face because Debtor failed to pay subcontractors. (Claim file 46). The amount of FPC’s claim has since been reduced, and FPC is now claiming $28,427.72 in attorneys’ fees for breach of contract and set-off damages. (Adv.Rec. 78, 87).

10. Whitlock answered the complaint asserting affirmative defenses, a counterclaim and a crossclaim. Whitlock contends that it holds a priority interest in the funds. (Adv. Rec. 5). In its counterclaim and crossclaim Whitlock alleges that Debtor breached its contract with FPC by failing to pay all subcontractors timely. (Id.). Whitlock argues that it has a perfected construction lien claim against FPC’s property, and therefore, has superior rights to funds FPC owes Debtor in the amount of its Claim of Lien. (Id.).

11. On November 15, 1995, Whitlock amended its counterclaim and crossclaim asserting that the $3,799.54 portion of its Claim of Lien is a valid lien pursuant to Florida’s mechanics’ lien law. (Adv.Rec. 27). Trustee moved for dismissal of Whitlock’s counter-claim

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pursuant to FRCP 12(b)(6) and Fed.R.Bankr. 7012. (Adv.Rec. 8). This Court however found that the Trustee did not meet his burden in proving insufficiency of Whitlock’s counterclaim, and denied Trustee’s Motion to Dismiss Whitlock’s Counterclaim. (Adv.Rec. 18).

12. FPC answered the Trustee’s complaint, asserting that Debtor failed to provide FPC with Contractor’s Final Affidavit as required under Fla.Stat. § 713.06(3)(d), and which is a condition precedent to distribution of final payment pursuant to the contract. (Adv.Rec. 6). Also, in answering Whitlock’s crossclaim, FPC asserts as an affirmative defense that it is not required to pay attorneys’ fees, costs and interest associated with Whitlock’s enforcement of its lien rights. (Adv.Rec. 24).

13. On December 1, 1995, Whitlock moved for summary judgment on its crossclaim against FPC and partial summary judgment on Counts I and II of Trustee’s complaint. (Adv.Rec. 32). FPC also moved for summary judgment seeking set-off, attorneys’ fees, and sought to deposit the funds it holds into the Court’s registry. (Rec. 34). Trustee moved for partial summary judgment on the issue of whether Whitlock can obtain a construction lien on the $3,799.54 portion of its Claim of Lien. (Adv.Rec. 38). On January 19, 1996, this Court issued an Order denying both Trustee’s motion for summary judgment and defendant FPC’s motion for partial summary judgment. (Adv. Rec. 51). The Order also denied in part and granted in part defendant Whitlock’s motion for summary judgment, directing FPC to pay Whitlock $14,756.15 out of the funds. (Id.). The $14,756.15 amount paid to Whitlock consists of the $12,106.00 portion of its Claim of Lien and $2,650.15 in interest for the periods up to August 10, 1995. (Trustee Ex. 9).

14. On January 19, 1996, Whitlock served FPC and Trustee with Request for Admissions, which was filed with the Court on January 21, 1996. (Adv.Rec. 53). FPC timely responded to Whitlock’s request for admissions on February 2, 1996. (Adv.Rec. 54). However, this Court entered an Order Striking Trustee’s Response to Whitlock’s Request for Admissions. (Adv.Rec. 71).

15. The trial was held on March 6, 1996. The parties subsequently submitted briefs outlining their arguments.

16. The Trustee argues that the $3,799.54 portion of Whitlock’s Claim of Lien is not lienable under Florida’s mechanics’ lien law. (Adv.Rec. 72). Trustee argues that Florida Statute section 713.05 requires that work must be performed for the charges to fall within the parameters of the construction lien law. (Id.). Trustee, however, concedes that defendant Whitlock may be entitled to some attorney’s fees, but not the $30,723.00 amount requested because Whitlock’s attorneys advised the client not to accept a settlement offer and chose to prolong this litigation. (Id.). Trustee also seeks attorneys fees of $8863.00 for 74.4 hours of work. (Id.).

17. Whitlock argues that the $3,779.54 portion of its Claim of Lien is for extra work performed as a part of the original A A-Whitlock contract, and was approved and accepted by FPC’s representatives. (Adv. Rec. 74). Whitlock also asserts that it is entitled to prejudgment interest on the total $15,905.54 amount of the construction lien. (Id.).

18. Whitlock further argues that it is entitled to attorneys’ fees and costs because it is the prevailing party under Florida law on the construction lien claim, and it is mandatory that the “prevailing party” is granted attorneys’ fees pursuant under Florida Statute § 713.29. (Id.).

19. FPC argues that it too is entitled to attorneys’ fees for breach of contract and set-off damages. (Adv.Rec. 76). FPC takes the position that, because Debtor failed to submit a Contractor’s Final Affidavit and pay its subcontractors, FPC was forced to defend the lien action and Whitlock’s crossclaim at substantial cost. (Id.). FPC also contends that Whitlock’s and Trustee’s claim are payable, if at all, from the funds. (Id.). FPC further argues that the only issue in this proceeding is whether Whitlock is entitled to the $3,799.54 portion of its Claim of Lien and attorneys’ fees, costs and interest in the amount of $30,723.00, and this dispute is solely between Trustee and Whitlock. (Id.).

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20. Trustee, however, argues that FPC is not entitled to attorneys’ fees as breach of contract and set-off damages because fees incurred by FPC is a business expense, and an award of fees to FPC would diminish the funds. (Adv.Rec. 72).

21. FPC offered to settle the Whitlock’s claim for $22,872.18 as of February 20, 1995, inclusive of attorneys’ fees, costs and interests. (Whitlock Ex. 8). On May 4, 1995, the Trustee made an offer of judgment in full settlement of the claim for Whitlock of $15,106.00 inclusive of attorneys’ fees, but exclusive of statutory interest and taxable costs. (Trustee Ex. 4). On August 3, 1995, Trustee, on behalf of Debtor, submitted a Contractor’s Final Affidavit, which did not include the $3,799.54 of Whitlock’s Claim of Lien. (Trustee Ex. 9). In a letter to the Trustee’s attorney dated January 19, 1996, Whitlock made a settlement offer in the amount of $27,500.00. (Whitlock’s Ex. 12). On March 6, 1996 FPC stipulated that Whitlock holds a valid and perfected construction lien against FPC’s property in the amount of $15,905.54, the full amount of Whitlock’s Claim of Lien. (Whitlock Ex. 14).

CONCLUSIONS OF LAW
This proceeding seeks to resolve the issues of Whitlock’s entitlement to the $3,799.54 portion of its $15,905.54 Claim of Lien; Whitlock’s request for attorneys’ fees, costs and prejudgment interest; FPC’s request for damages in the form of attorneys’ fees for Debtor’s alleged breach of contract and setoff; and Trustee’s action for turnover and request for attorneys’ fees. The Court will address each issue.

I. The $3,799.54 Portion of Whitlock’s Claim of Lien
Although FPC has stipulated that Whitlock has a valid perfected mechanics’ lien against its property for the $3,799.54 portion of Whitlock’s $15,905.54 Claim of Lien, the Trustee nevertheless contends these charges are not lienable extras under Florida’s construction lien law. Section 713.01 (10) of the Florida Statute defines “extras” as “labor, services or materials for improving real property authorized by the owner and added to or deleted from labor, services or materials covered by a previous contract between the same parties.” Fla. Stat. § 713.01 (10) (1996). The test for determining whether extras are lienable under Florida’s mechanics’ lien law is whether work was performed (i) in good faith; (ii) within a reasonable time; (iii) pursuant to the terms of the contract; and (iv) is necessary to finish the job Swedroe v. First American Inv. Corp., 565 So.2d 349, 353
(Fla.Dist.Ct.App. 1990) (citing Century Trust Co. of Baltimore v. Allison Realty Co., et al., 105 Fla. 456, 468, 141 So. 612, 612 (1932)).

In this proceeding, the Trustee challenges the validity of Whitlock’s lien for $3,799.54 on the grounds that these charges are not lienable because no work was actually performed. The charges are for hours Whitlock’s workers lost due to equipment failure; use of a air compressor; and freight to replace a damaged compressor. (Whitlock’s Ex. 18, at 16-23). The Court concludes that Whitlock should be compensated for hours lost due to equipment failure because those hours represent a loss incurred that may have deprived Whitlock of other employment or contractual opportunities. Further, services actually provided pursuant to the “A A — Whitlock” contract were done in good faith, within a reasonable time, pursuant to the terms of the contract, and were necessary to finish the job. Moreover, FPC consented to the extra charges. Therefore, Whitlock has a valid mechanics’ lien for the $3,799.54 portion of its Claim of Lien, and is entitled to be paid this amount from the funds.

II. Whitlock’s Request for Attorneys’ Fees, Costs, and Prejudgment Interest
The Court now turns to Whitlock’s request for attorneys’ fees, costs, and prejudgment interest. Whitlock seeks the total sum of $36,614.77 from the funds, and amount sought include $30,723.00 for attorneys’ fees, $543.50 for costs, and prejudgment interest of $1,548.73. (Whitlock’s Brief at 24). The Court will first address the issue of attorneys’ fees and costs.

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a. Attorneys’ Fees and Costs
Whitlock contends that it is entitled to attorneys’ fees because it is the prevailing party in the mechanics’ lien claim. To obtain attorneys’ fees and costs in a mechanics’ lien claim, section 713.29 of the Florida Statutes provides that:

[T]he prevailing party shall be entitled to recover a reasonable fee for the services of his attorney for trial and appeal, to be determined by the court, which shall be taxed as part of his costs, as allowed in equitable actions.

Fla.Stat. § 713.29 (1995). The “prevailing party” is the litigant who has recovered an amount exceeding that which was earlier offered in settlement of the claim. C. U. Associates, Inc. v. R.B. Grove, Inc., 472 So.2d 1177, 1179 (Fla. 1985). The offering party has the burden to show that the offer was in fact made, and made in good faith. Id. The purpose of this rule is to encourage settlement of disputes before the parties resort to litigation and discouraging dilatory or obstructive tactics. Id. at 1179. Under section 713.29, the Bankruptcy Court must factually determine whether a bona fide settlement offer was made and unequivocally refused. Miscott Corp. v. Zarembo Walden Co., 848 F.2d 1190, 1192 (11th Cir. 1988). Thus, the Court must therefore determine if Whitlock will recover the amount in excess of the amount earlier offered in settlement of the claim.

The mechanics’ lien claim in this proceeding is essentially the Trustee seeking a determination regarding the validity of the $3,799.54 portion of Whitlock’s Claim of Lien against the funds FPC holds for Debtor. (Whitlock Ex. 16). On March 6, 1996, FPC stipulated that Whitlock holds a valid and perfected construction lien against FPC’s property in the amount of $15,905.54, the full amount of Whitlock’s Claim of Lien. (Whitlock Ex. 14). However, prior to the stipulation, in a letter to the attorney for the Trustee, FPC offered to settle Whitlock’s claim for $22,872.18 as of February 20, 1995, inclusive of attorneys’ fees, costs and interests. (Whitlock Ex. 8). The Trustee, on May 4, 1995, made an offer of judgment for $15,106.00 inclusive of attorneys’ fees, but exclusive of statutory interest and costs. (Trustee Ex. 4). In letter to the Trustee’s attorney dated January 19, 1996, Whitlock made a settlement offer in the amount of $27,500.00. (Whitlock’s Ex. 12). The Court concludes that bona fide settlement offers were made among the parties and were unequivocally refused. At the conclusion of this proceeding, Whitlock’s recovery will consist of the full amount of its construction lien claim, attorneys’ fees, costs and prejudgment interest, totalling over $27,500.00, including amounts recovered in order granting partial summary judgment. Therefore, Whitlock is the prevailing party because it will recover an amount exceeding that which was earlier offered in settlement of the claim. The Court now turns the amount of attorneys” fees Whitlock should be awarded.

Bankruptcy judges have a wide latitude in determining the amount of attorneys’ fees to be awarded for services performed in connection with a bankruptcy proceeding, but must employ requisite standards and procedures in awarding attorneys’ fees. American Benefit Life Ins. Co. v. Baddock (In re First Colonial Corp. of Am.), 544 F.2d 1291, 1298 (5th Cir. 1977).[1] To determine the amount of compensation awarded, the court should consider the following twelve factors:

(1) The time and labor required;

(2) The novelty and difficulty of the questions;

(3) The skill requisite to perform the legal service properly;
(4) The preclusion of other employment by the attorney due to acceptance of the case

(5) The customary fee;

(6) Whether the fee is fixed or contingent;

(7) Time limitations imposed by the client or other circumstances;

(8) The amount involved and the results obtained;

(9) The experience, reputation, and ability of the attorneys;

(10) The “undesirability” of the case:

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(11) The nature and length of the professional relationship with the client;

(12) Awards in similar cases.

American Benefit Life Ins. Co., 544 F.2d at 1298-99 (noting that these factors are useful when awarding attorneys’ fees authorized by statute). The judge should employ the following procedure when applying these factors:

(1) Determine the nature and extent of services provided by the attorney;

(2) Assess the value of those services; and

(3) Explain the basis of the award.

Neville v. Eufaula Bank Trust Co. (In re U.S. Golf Corp.), 639 F.2d 1197, 1201 (5th Cir. 1981).

The nature of the services provided by Whitlock’s attorneys involved negotiations of settlements during and prior to the commencement of the main case and this proceeding and representation of Whitlock throughout this proceeding. The extent of the legal services provided to Whitlock include, but are not limited to, review of the complaint, filing of answer asserting affirmative defenses, crossclaim and counterclaim, legal research, preparing and defending summary judgment motion, telephone conferences with FPC and Trustee’s attorneys, preparing affidavits and stipulations and representing Whitlock at trial. (Whitlock Ex. 19).

In assessing the value of Whitlock’s attorneys’ services, the Court considers expert testimonies given at trial and affidavits submitted by the parties regarding reasonable and customary attorneys’ fees. Although Whitlock’s attorneys represented their client in a competent manner, the request for $30,723.00 in attorneys’ fees is excessive and should be reduced. The Court concludes that the reasonable amount of attorneys’ fees and costs that should be award to Whitlock’s attorneys should be $18,489.00 in fees and $303.00 in costs.

In explaining the basis of this award of attorney’s fees and costs, the Court examines the billing records and affidavits submitted by Whitlock’s attorneys. The billing records show that the attorneys and paralegals rendered 250 hours of professional services to Whitlock for fees totalling $28,697.50:

Hours Billing Rate Amount

T. Geoffrey Heekin 42.8 $165.00 $ 7,062.00 Eric S. Kolar 202.9 $105.00 $21,304.50 Charles S. Mccall 1.3 $105.00 $ 136.50 Paralegals 3.0 $ 65.00 $ 195.00 TOTAL 250.0 $28,698.00

(Whitlock Ex. 19; Whitlock’s Second Amended Second Aff., Ex. A). The Court awards Whitlock attorneys’ fees as follows:

Hours Billing Rate Amount

T. Geoffrey Heekin 27.8 $165.00 $ 4,587.00 Eric S. Kolar 132.4 $105.00 $13,902.00 Charles S. Mccall 0 $105.00 $ 0.00 Paralegals 0 $ 65.00 $ 0.00 TOTAL 160.5 $18,489.00

The attached exhibit “1” shows the hours that are included in Whitlock’s award of attorneys’ fees. The letter “A” placed at right side of each page of exhibit “1” shows the hours that are included in the amount of attorneys’ fees awarded. Hours that are left blank were not included in the award of attorneys’ fees.

Whitlock also submitted a costs summary totaling $543.50 in costs. (Whitlock Ex. 20). The Court concludes, that only $303.00 for the services of an abstract company and a title company should be awarded, and is directly related to this adversary proceeding. Other itemizations shown on the costs summary are associated with the state court case, the filing fees for the state court case, and the filing fees motion for relief from the automatic stay. (Id.).

The Court concludes that this is a simple complaint for turnover of property of the estate. The 250 hours of time and labor expended on this case were beyond the scope of what was actually needed. The use of two lawyers was unnecessary. The initial amount in controversy was only $15,905.54, and ultimately only $3,799.54 was actually disputed. This proceeding presents no novel or difficult questions. No special expertise was required to perform the required legal services. Attorneys were not precluded from taking on other cases due to the acceptance of this case. For these reasons, the Court concludes that the amount of attorneys’ fees and costs that should be awarded to Whitlock’s attorneys should be limited to $18,489.00 in attorneys’ fees and $303.00 in costs, payable from the funds FPC holds for Debtor.

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The Court now turns to the issue of prejudgment interest.

b. Prejudgment Interest
The Florida Supreme Court has held that prejudgment interest on principal owed on a mechanics’ lien claim can be awarded if it is shown that the amount owed was wrongfully withheld under the law. Florida Steel Corp. v. Adaptable Dev., Inc., 503 So.2d 1232, 1236 (Fla. 1986). Money owed is wrongfully withheld if it is determined that the amount owed should have been paid. Id. at 1237.

In this proceeding, Whitlock’s Claim of Lien for $15,905.54 should have been paid. Whitlock is therefore entitled to the interest on the principal amount of the mechanics’ lien claim. Whitlock should therefore be awarded the $1,548.73 prejudgment interest it requested.

III. FPC’s Request For Breach of Contract Damages
FPC argues that it should receive $28,427.72 in attorneys’ fees for breach of contract and set-off damages.[2] FPC asserts that the Trustee admits Debtor breached the general contract because certain facts are deemed admitted by the Trustee as a result of this Court’s striking of Trustee’s Response to Whitlock’s Request for Admission. This Court has held that central facts in dispute are not deemed admitted. See Whitaker v. Belt Concepts of Am., Inc. (In re Olympia Holding, Inc.), 189 B.R. 846, 853 (Bankr.M.D.Fla. 1995) (citing Pickens v. Equitable Life Assur. Soc’y of the U.S., 413 F.2d 1390, 1393 (5th Cir. 1969)). Whether Debtor has breached the general contract is a central fact in dispute and is not deemed admitted by Trustee. Therefore, FPC cannot rely solely on the Trustee’s deemed admissions to prove that Debtor breached the general contract, and that actual damages resulted.

Pursuant to the terms of the general contract, Debtor agreed to abide by all applicable laws of the State of Florida. (FPC Ex. 1, ¶ 20). Section 713.06(3)(d)(1) provides, in part, that:

(d) When final payment under a direct contract becomes due to the contractor:
1. The contractor shall give to the owner an affidavit stating . . . the amount due. . . . The contractor shall execute the affidavit and deliver it to the owner at least 5 days before instituting an action as a prerequisite to the institution of any action to enforce his lien under this Chapter. . . .

Fla.Stat. § 713.06(3)(d)(1) (1995). This adversary proceeding commenced on March 15, 1995, and a Contractor’s Final Affidavit was filed on August 3, 1995. (Adv.Rec. 1; Trustee Ex. 9). Much of this litigation could have been avoided had FPC received a Contractor’s Final Affidavit timely, allowing it to disburse funds to subcontractors that Debtor owed money. Therefore, Debtor breached the contract by failing to file a timely Contractor’s Final Affidavit in accordance with Florida’s mechanics’ lien statute.

In proving damages, FPC asserts that Debtor’s breach of contract resulted in the company incurring $28,427.72 in attorneys’ fees. The Eleventh Circuit addresses

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the issue of awarding attorneys’ fees in an interpleader action in Chase Manhattan Bank v. Mandalay Shores Co-op. Hous. Ass’n, Inc. (In re Mandalay Shores Co-op. Hous. Ass’n, Inc.), 21 F.3d 380, 383 (11th Cir. 1994) remanded, 191 B.R. 229 (M.D.Fla. 1995). The Court of Appeals suggests three reasons that justify attorneys’ fees in an interpleader actions are:

(1) An interpleader action often yields a cost-efficient resolution of a dispute in a single forum, rather than a piece-meal litigation;
(2) The stakeholder in the asset often comes by the asset innocently and in no way provokes the dispute among the claimants; and
(3) Fees for the stake holder typically are quite minor and therefore do not greatly diminish the value of the asset.

Id. However, attorneys’ fees are not justified when “a stakeholder’s interpleader claim arises out of the normal course of business.” Id.

In this proceeding, granting FPC attorneys’ fees is justified. Being a named defendant in a bankruptcy proceeding is not an ordinary component FPC’s business. This interpleader action yielded a cost-efficient resolution of this proceeding because separate proceedings against each defendant was avoided. However, the fees requested by FPC are not minor, and would materially diminish the funds. Therefore, utilizing the principles outlined in American Benefit Life Ins., Co., 544 F.2d at 1298-99 and Neville, 639 F.2d at 1201, the Court concludes that reasonable attorneys’ fees for FPC is $13,682.44. This amount should be paid from the funds FPC currently holds for Debtor.

The Court turns to affidavits and billings records submitted by FPC in explaining its award of attorneys’ fees. FPC’s billing record shows legal services rendered were as follows:

Hours Billing Rate Amount

Gary M. Schaaf 166.1 $135.00 $22,423.50 Henry A. Stein 19.7 $200.00 $ 3,940.00 Victorian a. carter 1.1 $180.00 $ 198.00 Sub-Total 196.1 $26,561.50
Disbursements made by Firm + $ 1,856.22 Total $28,417.72

(Adv.Rec. 77, 78, Ex. A). The Court awards FPC attorneys’ fees as follows:

Hours Billing Rate Amount

Gary M. Schaaf 74.5 $135.00 $10,057.50 Henry A. Stein 11.5 $200.00 $ 2,300.00 Victoria H. Carter .5 $180.00 $ 90.00 Sub-Total 86.5 $12,447.50
Disbursements made by Firm + $ 1,234.94 Total $13,682.44

The attached exhibit “2” shows the hours that are included in FPC’s award of attorneys’ fees. The letter “A” placed at right side of each page of exhibit “2” indicates the time included in the amount of attorneys’ fees awarded. Hours that are left blank were not included in the award of attorneys’ fees. Finally, the Court turns to the issues of turnover of property of the estate along with Trustee’s request for attorneys’ fees.

IV. Turnover of Funds to the Trustee Request for Attorneys’ Fees
Pursuant to 11 U.S.C. § 542 (b), the trustee seeks the turnover of funds FPC currently holds and is owed to Debtor. Section 542(b) states, in part, that:

[A]n entity that owes a debt that is property of the estate and that is matured, payable on demand, or payable on order, shall pay such debt to, or an order of, the trustee . . .

11 U.S.C. § 542 (b). FPC currently holds $67,343.05 as final payment to Debtor under the general contract between FPC and Debtor for construction improvements to FPC’s leasehold property. This amount is property of estate. After Whitlock is paid $24,140.27 for attorneys’ fees, costs, interests and lienable extras, and FPC retains $13,682.44 for attorneys’ fees, the remaining sum of $29,520.34 should be turned over to the Trustee for the benefit of the estate pursuant to section 542(b) of the Bankruptcy Code.

Trustee also requested $8,363.00 in attorneys’ fees. (Trustee Ex. 12). The Court finds that no payment of attorneys’ fees should be awarded at this time. However, Trustee’s attorney may seek attorneys’ fees at the closing of the estate.

CONCLUSION
The Court will enter a separate order consistent with these findings of fact and conclusions of law.

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EXHIBIT “1” TO FINDINGS OF FACT AND CONCLUSIONS OF LAW

The letter “A” denotes the hours that are included in the award of attorneys’ fees. PRIVILEGED AND CONFIDENTIAL FOR SETTLEMENT PURPOSES ONLY Kirschner, Main, Petrie, Graham, Tanner Demont Post Office Box 1559 Jacksonville, Florida 32201-1559 March 14, 1995
INVOICE #W1000

Ms. Kathryn Whitlock Whitlock Industrial Painting Co., Inc. 830 River Country Estates Glen St. Mary, FL 32040

RE: Whitlock v. State of Florida, et al.

Professional Services Rendered Through 3/14/95
FEES:

Sep.-16-93 Extended conference with client regarding factual 2.60 TGH A
and legal issues involved in dispute with FPL;
review contract, changes orders and other
documents provided by client; review
Chapter 713 regarding ability to obtain contract and
information regarding retainage; prepare demand
for copy of contract and statement of account to
FPL; prepare and finalize claim of lien; letter
to Clerk of Alachua County Court regarding filing
of claim of lien.

Nov-17-93 Receive and review letter from client regarding 0.50 TGH
contact with FPL inspector; telephone calls to
Ms. Whitlock regarding contact by FPL, case
status and prospects for payment.

Nov-18-93 Telephone call from Ms. Whitlock regarding demand 0.50 TGH
for statement of account received from FPL;
receive and review FPL November 15, 1993
correspondence; telephone call to Ms. Whitlock
regarding nature, scope and extent of response
required.

Nov-24-93 Receive and review documents from Ms. Whitlock 0.40 TGH
responsive to FPL’s request for information and
documentation; telephone call to Ms. Whitlock
regarding additional documents available and/or
required.

Nov-29-93 Assemble documents; prepare response and demand 0.60 TGH A
letter to FPL pursuant to FPL’s request for
information and documentation.

Dec-02-93 Telephone call to Mr. Gallagher at FPL regarding 0.30 TGH A
claims package and Whitlock’s response to FPL’s
demand letter.

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Dec-15-93 Extended telephone call Ms. Whitlock regarding 0.30 TGH
status of negotiations with FPL, response of FPL
to recent submission and case status generally.

Jan-17-94 Telephone call from Ms. Whitlock regarding status 0.20 TGH
of FPL negotiations and disputes.

Feb-03-94 Letter to Mr. Gallagher at FPL regarding status 0.30 TGH A
of FPL’s analysis of Whitlock’s documents and of
FPL’s intention to settle Whitlock claim.

Feb-24-94 Telephone call from Ms. Whitlock regarding any 0.20 TGH
response by FPL to recent correspondence, case
status and necessity of filing suit to preserve
lien rights.

Mar-18-94 Research elements of quantum meruit; research 2.30 TGH A
Whitlock’s ability to claim quantum meruit claim
against parties in privity and parties not in
privity vis-a-via mechanic’s lien statute.

Apr-8-94 Research ability to assert oral contract count 1.80 TGH A
versus written contract count regarding factual
scenario where unsigned proposal and changes
orders are submitted, and parties act upon
proposals as if they are the contract between
the parties; research existence of written
versus oral contract under the scenario
presented in FPL case.

Apr-28-94 Begin drafting of four count complaint against 1.30 TGH A
State of Florida, FPL and A A Welding.

Apr-28-94 Revise and finalize proposed four count 2.60 TGH A
complaint against all parties; prepare notice
of lis pendens; dictate letter to Kathryn
Whitlock regarding case status, necessity of
filing complaint, review of proposed complaint;
prepare civil cover sheet; prepare summons and
make arrangements for filing and service of
process.

May-11-94 Prepare, revise and finalize interrogatories 3.80 TGH A
and requests for production to State of Florida,
FPL and A A Welding.

May-13-94 Letter to Ms. Whitlock regarding case status and 0.40 TGH
filing of complaint; receive, review and calendar
return of service for Florida.

May-23-94 Receive, review and calendar return of service 0.90 TGH
for FPL; receive, review and calendar return of
service for A A Welding; telephone call to Ms.
Whitlock regarding case status, time for
answering and anticipated trial date; letter to
Ms. Whitlock regarding status.

Jun-02-94 Telephone call from Mr. Reischmann (FPL) 0.20 TGH
regarding Whitlock lien, anticipated payment and
timing thereof.

Jun-06-94 Receive and review Reischmann (FPL) 0.80 TGH
correspondence of June 3; receive and review FPL
answer; dictate letter to Ms. Whitlock regarding
case status.

Jul-28-94 Receive and review A A Welding answer. 0.30 TGH A

Aug-09-94 Letter to Ms. Whitlock regarding case status. 0.20 TGH

West Page 999

Aug-03-94 Telephone call from Ms. Whitlock regarding case 0.20 TGH
status, negotiations with FPL for payment and
anticipated time for receipt of payment funds.

Aug-16-94 Receive and review FPL “ten day notice of intent 0.60 TGH A
to pay lienors”; telephone call to Ms. Whitlock
regarding same; letter to Whitlock regarding FPL
notice.

Sep-01-94 Telephone call from Mr. Fowler (A A attorney) 0.20 TGH
regarding case status, FPL’s notice of intent,
A A’s ability to be paid and status of circuit
court action.

Sep-27-94 Receive and review Mr. Hines correspondence to 0.40 TGH A
Charles Grant dated September 27, 1994;
telephone call to Ms. Whitlock regarding same.

Oct-04-94 Telephone call to Mr. Hines regarding case 0.20 TGH
status, FPL exposure and Whitlock entitlement.

Oct-14-94 Arrangements for and preparation of notice of 0.30 TGH A
hearing on Plaintiff’s motion for summary
judgment.

Oct-17-94 Review pleadings files to determine status of 0.60 TGH A
service on Florida and lack of response; prepare
motion for default; telephone call from Pat
Fowler (A A attorney) regarding case status,
expectations of payment and related topics.

Oct-18-94 Telephone call from Pat Fowler regarding any 0.20 TGH
payment made by FPL and case status generally.

Oct-20-94 Letter to Mr. Hines (FPL) regarding hearing on 0.20 TGH A
motion for summary judgment.

Oct-27-94 Receive and review default order; letter to Ms. 0.20 TGH
Whitlock regarding case status.

Nov-15-94 Receive and review bankruptcy clerk notice 0.30 TGH
regarding American Fabricators’ bankruptcy;
letter to Ms. Whitlock regarding same.

Dec-16-94 Review pleadings files; prepare proposed 1.40 TGH A
affidavit for Ms. Whitlock’s signature in
support of Plaintiff’s motion for summary
judgment; letter to Ms. Whitlock regarding
same.

Dec-23-94 Prepare notice of filing; prepare Plaintiff’s 0.50 TGH A
Motion for Summary Judgment.

Dec-28-94 Telephone call from Pat Fowler regarding 0.30 TGH A
Plaintiff’s Motion for Summary Judgment, effect
on A A Welding, expectations of payment,
status of bankruptcy action and related topics.

Jan-04-95 Telephone call from Mr. Gleson at State of 0.40 TGH A
Florida regarding relationship between Florida
and FPL, existence of lease agreement, documents
responsive to request for production and related
topics.

Jan-09-95 Letter to Mr. Gleson, State of Florida, regarding 0.20 TGH A
case status, Plaintiff s discovery to Florida and
related topics.

West Page 1000

Jan-12-95 Telephone call from Mr. Saxton (FPL attorney) 0.40 TGH
regarding entitlements of Whitlock, expected
payment and bankruptcy complications.

Jan-13-95 Telephone call from Mr. Saxton regarding 0.20 TGH
negotiations with Trustee and Plaintiff’s motion
for summary judgment.

Jan-16-95 Receive and review Saxton correspondence 1.10 TGH A
regarding case status and negotiations with
Trustee; review entire file pursuant to Mr.
Saxton’s request; prepare calculations and
statement of position regarding amounts due to
Whitlock; letter to Mr. Saxton regarding same.

Jan-17-95 Prepare notice of cancellation of hearing on 0.30 TGH A
motion for summary judgment; letter to Mr.
Gleson.

Jan-20-95 Telephone call to Ms. Whitlock regarding case 0.30 TGH
status, expectation of payment, negotiations
with Trustee and FPL position regarding same.

Jan-27-95 Letter to Mr. Saxton regarding status of 0.40 TGH
negotiations with Trustee.

Feb-04-95 Receive and review Saxton January 31st 0.40 TGH
correspondence; telephone call to Ms. Whitlock
regarding same.

Feb-07-95 Review files; prepare two proofs of claim for 2.00 TGH A
filing in American Fabricators bankruptcy action;
extended telephone call from Mr. Perry, Trustee’s
attorney regarding Whitlock’s entitlement to
payment and amount thereof; telephone call from
Mr. Perry regarding specifics of lien rights of
Whitlock, all regarding lien foreclosure and
validity, Trustee exposure; begin research
requested by Mr. Perry.

Feb-08-95 Prepare calculations for Mr. Perry, at Mr. 0.60 TGH
Perry’s request; letter to Mr. Perry regarding
Whitlock’s entitlement.

Feb-21-95 Telephone call from Mr. Perry (Trustee attorney) 0.20 TGH
regarding case status and amounts due to
Whitlock.

Mar-01-95 Conference with Mr. Kolar regarding research 0.70 TGH
required, case status and issues needing
resolution regarding Whitlock entitlement to
payment from Trustee and/or FPL.

Mar-01-95 Review complaint and facts of case; research 1.90 ESK A
regarding Florida construction lien law;
conference with G. Heekin regarding settlement
proposal.

Mar-03-95 Calculate current amount due; research regarding 0.90 ESK A
Florida construction lien law; telephone
conference with Robert Perry regarding Whitlock
claim.

Mar-06-95 Conference with G. Heekin regarding status of 0.20 ESK
case.

Mar-09-95 Preparation of letter to Robert Perry 0.60 ESK

Mar-10-95 Preparation of letter to Robert Perry. 1.20 ESK

Mar-14-95 Preparation of letter to Robert Perry. 1.00 ESK

West Page 1001

03/05/96
Whitlock Industrial Painting Co., Inc. 830 River Country Estates Glen St. Mary, Florida 32040 Attn: Kathryn Whitlock

1it13968 vs. American Fabricators

Professional Services Rendered 3/15/95 through 2/29/96

Mar-21-95 Review complaint; prepare memorandum to G. Heekin 0.40 ESK
regarding same; telephone conferences with Robert
Perry, opposing counsel.

Mar-22-95 Review bankruptcy turnover complaint; research 1.80 ESK A
regarding bankruptcy procedure; research
regarding Florida construction lien law,
corporate status of defendants; review documents
furnished by client.

Mar-22-95 Secretary of State research regarding Florida 0.50 MM
Power Corporation per E. Kolar.

Mar-24-95 Telephone call to Secretary of State regarding 0.20 MM
Florida Power Corporation being a municipal
agency; telephone call with CT Corporation
regarding order articles of incorporation for
Florida Power Corporation.

Mar-28-95 Research regarding private construction bond; 0.90 ESK
telephone calls with Florida Power Corporation
regarding corporate status, bond; review notice
of commencement; research regarding Alachua
County public records; obtain copies of bond;
conference with G. Heekin regarding settlement.

Mar-29-95 Telephone conferences with North Florida 2.50 ESK
Notifiers, Kathryn Whitlock, Reva Bond regarding
public records; preparation of letter to Reva
Bond regarding request for ownership and
encumbrance search; research regarding private
construction payment bond.

Apr-04-95 Review computer docket search, payment bond. 0.90 ESK

Apr-04-95 Computer research with clerk’s office (circuit 0.90 MM
court) regarding American Fabrication, Buffalo
Tank Corporation, A A Welding and Tri-State
Contractors.

Apr-06-95 Review ownership and encumbrance search, lease 2.40 ESK
notices of commencement; telephone calls with
Brad Saxton, Mike Tessitore regarding status
of case, settlement with bankruptcy court;
preparation of letter to Mike Tessitore
regarding same; telephone call with Robert
Perry regarding stay of state court action;
preparation of response to bankruptcy adversary
proceeding.

West Page 1002

Apr-07-95 Preparation of answer to trustee’s complaint; 2.10 ESK A
research regarding availability of attorneys’
fees for pursuing construction lien claim in
bankruptcy proceeding; telephone conference
with Mike Tessitore regarding communicating
objection to Florida Power.

Apr-10-95 Telephone conference with Rodney Gaddy regarding 1.10 ESK A
objection to Florida Power’s interpleading funds
in bankruptcy action; preparation of memorandum
to file regarding same; telephone conference
with Ron Bergwerk, counsel for American
Fabricators regarding extension of time to file
answer; preparation of letter to Bergwerk
regarding same; telephone conference with
Kathryn Whitlock regarding status of case,
evidence establishing change order.

Apr-11-95 Telephone conference with Henry Stein regarding 0.40 ESK A
claim, settlement; preparation of facsimile to
Henry Stein regarding same.

Apr-21-95 Telephone conference with counsel for Florida 0.40 ESK
Power regarding possible settlement conference
on April 24.

Apr-22-95 Telephone conference with Florida Power counsel 0.90 ESK
Henry Stein regarding Whitlock’s claims,
possible settlement with the Trustee;
preparation of letter to Stein and Robert Perry
regarding same.

Apr-26-95 Telephone calls with Henry Stein, Robert Perry 0.30 ESK
regarding settlement of action.

Apr-27-95 Telephone conference with Robert Perry and Henry 0.70 ESK
Stein regarding settlement; preparation of
answer, affirmative defenses and counterclaim.

Apr-28-95 Preparation of answer and affirmative defenses 3.00 ESK A
to Trustee’s complaint; preparation of
counterclaim; preparation of motion to lift
automatic stay or for adequate protection.

May-01-95 Preparation of motion to lift automatic stay. 0.10 ESK A

May-04-95 Preparation of motion to lift automatic stay and 2.30 ESK A
supporting memorandum.

May-05-95 Review debtor’s motion to dismiss counterclaim, 0.20 ESK A
offer of judgment from debtor.

May-08-95 Telephone conference with bankruptcy court 0.30 ESK
regarding motion to lift automatic stay;
preparation of motion to withdraw motion to
lift automatic stay from adversary proceeding;
prepare motion to lift automatic stay in main
bankruptcy proceeding.

May-09-95 Preparation for pretrial conference in 0.40 ESK
bankruptcy adversary proceeding.

May-10-95 Prepare for pretrial conference; attend pretrial 1.80 ESK A
conference for bankruptcy adversary proceeding;
conference with opposing attorneys regarding
settlement.

May-10-95 Attend pre-trial conference. 1.30 CSM

May-15-95 Retrieve Bankruptcy docket. 0.30 ENW

West Page 1003

May-15-95 Research regarding lifting automatic stay; 0.50 ESK A
research regarding service on all interested
parties.

May-16-95 Research regarding lifting automatic stay to 1.80 ESK
allow construction lien action to proceed.

May-17-95 Telephone calls with Alachua County Court, 1.00 ESK
Robert Perry and Pat Fowler regarding status
conference, bankruptcy stay; research regarding
lifting automatic stay.

May-18-95 Research regarding lifting automatic stay. 0.20 ESK

May-24-95 Preparation of letter to Henry Stein regarding 0.20 ESK
information for stipulation.

May-25-95 Research regarding assertion of counter claim 0.80 ESK A
against trustee’s adversary proceeding complaint.

May-26-95 Preparation of memorandum of law in support of 4.40 ESK A
Whitlock’s counterclaim; preparation of
stipulation for evidentiary hearing; telephone
calls with Henry Stein and Robert Perry
regarding stipulation; research regarding
prerequisites for contractor to claim a lien;
preparation of letter to Henry Stein regarding
stipulation; review letter from Henry Stein,
preparation of memorandum to Geoff Heekin
regarding evidence needed for evidentiary
hearing; obtain certified copies of claim of
lien, documents showing date of filing of
Whitlock’s construction lien action.

May-30-95 Research regarding admission of evidence in 1.70 ESK A
bankruptcy court; preparation of affidavit of
Tim Whitlock; research regarding motion to lift
automatic stay; telephone conference with Gary
Shaaf regarding stipulation.

May-31-95 Preparation of affidavit of Jim Whitlock; 5.50 ESK A
preparation of stipulation for evidentiary
hearing; telephone calls with Kathryn
Whitlock, Pat Fowler, Gary Schaaf, and
Robert Perry regarding stipulation; research
regarding introduction of evidence at
bankruptcy hearing.

Jun-01-95 Preparation of stipulation of facts, affidavit 6.90 ESK A
of Florida Power; telephone conferences with
Robert Perry, Bob Stein, Pat Fowler and Wayne
Compton regarding stipulation; research
regarding trustee’s lack of interest in Florida
Power’s property.

Jun-02-95 Research regarding lifting automatic stay on 6.70 ESK A
property in which debtor does not have an
interest; preparation of stipulation,
affidavit of Florida Power, affidavit of
Alachua County Title and Abstract; telephone
conference with opposing counsel Pat Fowler,
Wayne Compton and Henry Stein regarding
stipulation and affidavit of Alachua County
Title; obtain title search of property.

Jun-04-95 Preparation of exhibits and exhibit list for 3.70 ESK A
bankruptcy hearing; preparation of argument
for bankruptcy hearing and outline of possible
testimony; research regarding interest of
debtor in Florida Power’s property.

West Page 1004

Jun-05-95 Preparation for evidentiary hearing; meet with 4.20 ESK A
Kathryn and Jim Whitlock regarding proposed
testimony; meet with opposing counsel regarding
stipulation, affidavit and exhibit lists;
attend evidentiary hearing; meeting with
opposing counsel regarding settlement;
conference with G. Heekin regarding settlement.

Jun-05-95 Post-hearing meeting with Mr. and Mrs. Whitlock 0.80 TGH
regarding results of hearing, effect on future
case processing, issues remaining to be
litigated and prospects of recovery.

Jun-07-95 Research regarding motion for summary judgment 0.40 ESK A
and motion for reconsideration of an order
denying Whitlock’s motion to lift automatic stay.

Jun-09-95 Preparation of memorandum to G. Heekin regarding 0.50 ESK
possible actions in bankruptcy court.

Jun-21-95 Review memorandum from Geoff Heekin regarding 0.20 ESK
notice to general creditors.

Jun-22-95 Research regarding amending proof of claim. 0.30 ESK

Jun-28-95 Review notice to creditors; research regarding 0.50 ESK A
amended proof of claim; preparation of amended
proof of claim.

Jun-29-95 Research regarding adequate protection of 1.00 ESK A
security interest.

Jul-05-95 Research regarding adequate protection of 0.30 ESK
secured claim.

Jul-07-95 Preparation of amended proof of claim. 0.20 ESK

Jul-10-95 Research regarding adequate protection and 0.50 ESK
amended proof of claim.

Jul-12-95 Research regarding adequate protection, motion 1.90 ESK A
for summary judgment, preparation of amended
proof of claim; review pending motions by
trustee to dismiss.

Jul-13-95 Review bankruptcy pleadings; telephone conference 0.30 ESK
with Kathryn Whitlock; preparation of memorandum
to G. Heekin regarding same and future bankruptcy
hearings.

Jul-19-95 Attend hearing on trustee’s motion to dismiss; 0.60 ESK A
conference with opposing counsel regarding same.

Jul-20-95 Order Bankruptcy docket. 0.20 ENW

Jul-24-95 Conference with Pacific Photo regarding docket 0.60 ENW
sheet (.1); travel to pacific photo regarding
same (.5).

Jul-25-95 Telephone conference with Pat Fowler, Esq. 1.00 ESK A
regarding proposed stipulation; preparation of
stipulation between Whitlock and A A Welding;
preparation of letter to Pat Fowler regarding
same.

Jul-26-95 Preparation of stipulation between Whitlock and 0.60 ESK A
A A Welding regarding Whitlock’s non-objection
to notice of intent to compromise.

Jul-31-95 Telephone conference with Pat Fowler regarding 0.20 ESK A
stipulation.

West Page 1005

Aug-02-95 Telephone calls with Pat Fowler regarding 1.70 ESK A
stipulation; preparation of proposed objection;
prepare revised stipulation and settlement
agreement with A A Welding; preparation of
motion for summary judgment.

Aug-03-95 Preparation of motion for summary judgment, 1.70 ESK A
affidavit in support of summary judgment and
affidavit of attorneys’ fees.

Aug-04-95 Preparation of affidavit of Jim Whitlock in 0.60 ESK A
support of summary judgment; preparation of
letter to Jim Whitlock regarding same.

Aug-11-95 Preparation of motion for summary judgment; 0.70 ESK A
research regarding summary judgment in
bankruptcy.

Aug-14-95 Preparation of motion for summary judgment. 1.70 ESK A

Aug-15-95 Preparation of motion for summary judgment; 0.80 ESK
research regarding construction lien statute.

Aug-16-95 Preparation of motion for summary judgment. 1.90 ESK

Aug-17-95 Preparation of motion for summary judgment. 0.40 ESK

Aug-18-95 Preparation of affidavit in support of attorneys’ 0.60 ESK A
fees and motion for summary judgment.

Aug-21-95 Preparation of motion for summary final judgment; 2.20 ESK A
preparation of interrogatories to defendant
Florida Power corporation.

Aug-30-95 Prepare attorneys’ fee affidavit; go over case 0.50 ESK
with attorney Frank Lonegro.

Sep-28-95 Telephone conference with H. Stein regarding 0.30 ESK
response to interrogatories; prepare letter to
Stein regarding same.

Oct-09-95 Review pleading binder; preparation of motion 0.30 ESK
for summary judgment in anticipation of answers
to interrogatories.

Oct-11-95 Telephone call with G. Schaaf, counsel for 0.20 ESK A
Florida Power regarding answers to
interrogatories from Florida Power.

Oct-13-95 Review proposed Florida Power interrogatory 0.40 ESK A
answers; telephone call with G. Schaaf’s office
regarding same.

Oct-17-95 Prepare case management statement, order to 0.20 ESK
appear by telephone (Alachua County State
construction lien case).

Oct-20-95 Review proposed interrogatory answers from 0.20 ESK
Florida Power; prepare letter to G. Schaaf
regarding motion to compel.

Oct-23-95 Prepare letter to Kathryn Whitlock regarding 0.50 ESK
settlement offer; prepare letter to G. Schaaf
regarding late discovery responses; prepare
motion to appear by telephone, pretrial
statement and order to appear by telephone in
state pretrial conference.

Oct-24-95 Conference with G. Heekin regarding status of 0.70 ESK A
case, summary judgment motion; prepare letter
to state court Judge regarding pending
bankruptcy action.

West Page 1006

Oct-25-95 Conference with G. Heekin regarding responses 2.00 ESK
to discovery, summary judgment motion; Westlaw
research regarding effect of bankruptcy stay
on ability to enforce construction lien against
non-debtor entity, other state law on
subcontractor’s right to proceed against
non-debtor owner when contractor files
bankruptcy petition.

Oct-26-95 Research regarding motion for summary judgment, 0.80 ESK A
review interrogatory answers from Florida Power;
telephone conference with H. Stein regarding
pretrial conference.

Oct-27-95 Telephone calls with K. Whitlock, G. Schaaf 3.10 ESK A
regarding settlement, final contractors
affidavit; request amended interrogatory
answers from Schaaf; prepare motion for summary
judgment, notice of filing interrogatory
answers; research regarding summary judgment.

Oct-30-95 Telephone calls with H. Stein regarding 1.60 ESK A
settlement pretrial conference; telephone call
with state court regarding pretrial conference;
review contractor’s final affidavit; prepare
letters to H. Stein, Gary Schaaf regarding
objection to contractors final affidavit;
prepare summary judgment motion.

Oct-31-95 Telephone conference with G. Schaaf regarding 3.40 ESK A
settlement, amended interrogatory answers;
prepare motion for summary judgment; research
regarding entitlement to summary judgment,
set-off against debtor contractor.

Nov-01-95 Prepare motion for summary judgment; prepare 1.30 ESK A
exhibits to motion; telephone calls with court
regarding pretrial conference.

Nov-02-95 Prepare motion for summary judgment, review 1.40 ESK A
pleadings; research regarding dismissal of
counts of complaint requesting turnover;
prepare appendix of cases.

Nov-03-95 Prepare letter to Gary Schaaf, Florida Power’s 0.20 ESK A
counsel, regarding answering Whitlock’s
crossclaim.

Nov-06-95 Prepare motion for summary judgment, appendix 0.30 ESK
of cases.

Nov-08-95 Research regarding bankruptcy court jurisdiction 1.20 ESK
over Whitlock’s claim against Florida Power;
review Ponoroff article on construction claims
in bankruptcy court.

Nov-10-95 Review answer of Florida Power; prepare amended 2.40 ESK A
crossclaim, stipulation allowing amendment;
telephone calls with G. Schaaf regarding same;
prepare letter to G. Schaaf; review contract
between Florida Power and American Fabricators
furnished by Florida Power.

Nov-14-95 Telephone calls with G. Schaaf regarding amended 0.70 ESK
crossclaim against Florida Power; prepare amended
crossclaim.

Nov-15-95 Prepare amended crossclaim, motion for summary 0.50 ESK A
judgment.

Nov-28-95 Review answer of Florida Power. 0.30 ESK A

Nov-29-95 Research regarding subject matter jurisdiction of 2.70 ESK A
bankruptcy court, abstention and withdrawal of
reference; prepare motion for summary judgment;
prepare notice of filing affidavit in support of
summary judgment.

West Page 1007

Nov-30-95 Prepare motion for summary judgment; research 3.10 ESK A
regarding abstention, withdrawal of reference.

Dec-01-95 Prepare notice of filing affidavit in support of 1.10 ESK A
summary judgment; prepare affidavit of costs,
notice of filing; review motion for summary
judgment of Florida Power.

Dec-04-95 Prepare affidavit of costs; review Florida 0.50 ESK A
Power’s summary judgment motion.

Dec-06-95 Conference with G. Heekin regarding rescheduling 0.20 ESK
hearings.

Dec-08-95 Prepare affidavit of costs. 0.20 ESK

Dec-18-95 Review Florida Power’s memo in opposition to 0.20 ESK A
summary judgment.

Dec-20-95 Review Trustee’s motion for partial summary 1.10 ESK A
judgment; research regarding asserting
construction lien for delay damages and damaged
equipment.

Dec-28-95 Research regarding owner’s approval of extras, 1.70 ESK A
extra charges for delay damages for response to
Trustee’s motion for partial summary judgment.

Jan-02-96 Research regarding memo in opposition to 1.60 ESK
Trustee’s motion for partial summary judgment.

Jan-03-96 Prepare for and attend hearing on motion to set 3.10 ESK A
for trial; research regarding response to
Trustee’s motion for partial summary judgment;
research regarding acceptance of extra charges
by owner, incorporation of extra work in contract
price.

Jan-04-96 Research regarding lienability of extra work 3.40 ESK A
items claimed by Whitlock; prepare memo of law
in response to Trustee’s motion for partial
summary judgment.

Jan-05-96 Prepare memo of law in response to Trustee’s 1.60 ESK A
motion for partial summary judgment; research
regarding cases cited in Trustee’s memo,
summary judgment procedure.

Jan-08-96 Telephone call with bankruptcy clerk regarding 0.10 ESK
hearing time.

Jan-09-96 Conference with G. Heekin regarding filing memo 0.20 ESK
in response to Trustee’s motion for partial
summary judgment.

Jan-09-96 Extended telephone conference from Ms. Whitlock 0.50 TGH
regarding case status, hearing on January 11,
1996, evidence to be presented, etc.

Jan-10-96 Pull federal case from Westlaw. 0.10 JD

Jan-10-96 Conference with G. Heekin regarding hearing on 0.60 ESK
parties’ motions to dismiss; prepare for hearing
on motions to dismiss.

Jan-10-96 Research re attorneys fees being added as 3.60 TGH A
affecting offer of judgment versus tendered
amount; research regarding viability of
trustee’s offer of judgment to Whitlock;
review all pleadings and begin preparation of
outline for hearing on various summary judgment
motions filed by FPC, trustee and Whitlock.

West Page 1008

Jan-11-96 Conference with G. Heekin regarding hearing on 4.80 ESK
parties’ motions for summary judgment; prepare
for hearing; calculate amounts due on principal
of claim; attend hearing; conference with R.
Perry and G. Schaaf regarding possible
stipulations; conference with G. Heekin
regarding stipulations, trial strategy; prepare
proposed order for release of $14,756, letters
to opposing counsel regarding same; prepare memo
to G. Heekin regarding stipulations; request
name of court reporter recording hearing on
motion to lift automatic stay.

Jan-11-96 Finish review of all mechanic’s lien research, 4.60 TGH
preparation of outline of arguments regarding
various motions; review all research regarding
burden of proof on various motions and
presumptions regarding lack of opposing
evidence; meet with clients regarding case
status, hearing and procedures; attend and
argue hearings on all pending motions; post
hearing conference with Mrs. Whitlock regarding
case status, future work required and trial
issues.

Jan-12-96 Telephone call with G. Schaaf regarding order 0.90 ESK
granting in part Whitlock’s motion for summary
judgment; prepare revised order; conference
with G. Heekin regarding trial strategy,
proposed stipulation; memo to G. Heekin
regarding same.

Jan-16-96 Telephone calls with R. Perry, G. Schaaf 2.40 ESK A
regarding settlements and order granting
Whitlock’s motion for summary judgment;
prepare letter to R. Perry regarding
settlement; calculate amount due on claim;
conference with G. Heekin regarding
settlement amount; review admissions of
Florida Power; prepare memo to G. Heekin
regarding same; prepare requests for admissions.

Jan-17-96 Prepare settlement letter to R. Perry, Gary 1.30 ESK A
Schaaf; research regarding attorneys’ fees;
telephone call with R. Perry regarding
revised order; prepare letters to R. Perry, G.
Schaaf regarding revised order.

Jan-18-96 Conference with G. Heekin regarding trial 1.60 ESK
strategy; prepare request for admissions,
interrogatories and requests for production
to Florida Power and Trustee.

Jan-19-96 Telephone call with Pat Fowler regarding 2.70 ESK A
conversation with subcontractor; prepare
requests for admissions, interrogatories
and requests for production to Florida
Power and the Trustee; conference with G.
Heekin regarding same.

Jan-22-96 Review Proctor order regarding partially 0.40 ESK A
granting Whitlock’s motion for summary
judgment; prepare letter to Gary Schaaf
regarding names of witnesses needed for
trial; telephone call with Pat Fowler
regarding same.

Jan-23-96 Review Perry response to settlement offer; 0.70 ESK
telephone calls with R. Perry, Gary Schaaf
regarding settlement.

Jan-24-96 Research regarding location of witnesses. 0.30 ESK

Jan-25-96 Telephone call with Pat Fowler and Andrew Allen 0.70 ESK
regarding testimony of A A Welding
Fabrication, Inc.’s representatives at trial;
conference with G. Heekin regarding same;
prepare memo to G. Heekin regarding same.

West Page 1009

Jan-26-96 Conference with G. Heekin regarding witnesses 0.30 ESK
and documents needed for trial.

Jan-29-96 Review documents furnished by Kathryn Whitlock; 0.50 ESK
telephone call with Gary Schaaf regarding
settlement funds; telephone call with Pat Fowler.

Jan-31-96 Prepare subpoena to A A, stipulation. 0.30 ESK A

Feb-01-96 Review correspondence from Florida Power; 0.40 ESK
endorse check to client; conference with G.
Heekin regarding status of case; prepare
proposed stipulation; telephone calls to Pat
Fowler and Gary Schaaf regarding same.

Feb-02-96 Telephone conference with G. Schaaf and Pat 0.60 ESK
Fowler regarding witnesses needed for trial.

Feb-05-96 Prepare proposed stipulation for transmittal to 1.60 ESK A
R. Perry; telephone conference with K. Whitlock
regarding change order signed by Kevin Hill.

Feb-06-96 Prepare stipulation for trial; telephone 0.40 ESK A
conference with G. Schaaf regarding stipulation.

Feb-07-96 Research regarding issuing subpoena to K. Hill; 0.60 ESK
prepare subpoena to K. Hill.

Feb-09-96 Telephone conference with R. Perry regarding 1.20 ESK
stipulation; and with G. Schaaf regarding same;
meeting with R. Shidler; letter to G. Schaaf
regarding same; telephone conference with Pat
Fowler regarding deposition of Andrew Allen;
conference with G. Heekin regarding deposition
of Allen, introduction of testimony of J.
Whitlock, subpoena of K. Hill.

Feb-12-96 Schedule deposition of A. Allen, telephone 0.70 ESK A
conference with G. Schaaf, R. Perry regarding
same; review Florida Power’s responses to
requests for admissions.

Feb-13-96 Telephone conference with K. Hill regarding 0.70 ESK
change order; prepare letter to K. Hill
regarding same; prepare subpoena for K. Hill;
telephone conference with P. Fowler regarding
deposition of Allen and Hill.

Feb-15-96 Telephone conference with G. Schaaf; interview 0.60 ESK
R. Shidler regarding Whitlock’s extra charges;
conference with G. Heekin regarding subpoenaing
witnesses for trial.

Feb-16-96 Prepare notice of deposition of Andrew Allen; 2.70 ESK A
telephone conference with Robert Perry, Gary
Schaaf regarding witnesses needed for trial
proposed stipulation among parties; prepare
motion for telephonic deposition of Kevin J.
Hill; prepare subpoenas for R. Gaddy and R.
Shidler; research regarding service of subpoena
outside district, taking telephone deposition.

Feb-19-96 Review stipulation from Trustee; Telephone 0.50 ESK A
conference with Gary Schaaf regarding
stipulation.

West Page 1010

Feb-20-96 Conference call with G. Schaaf and R. Perry 0.70 ESK A
regarding possible stipulation telephone
deposition of K. Hill.

Feb-21-96 Research regarding use of deposition at trial; 1.10 ESK
telephone call with K. Hill regarding change
order; review stipulation for other needed
information; Telephone calls with clerk regarding
court records, deposition of K. Hill; prepare
notice of withdrawal of motion for telephonic
hearing; conference with G. Heekin regarding
information needed at trial.

Feb-22-96 Telephone calls with G. Schaaf regarding proposed 1.40 ESK
stipulation; research regarding issues left for
trial, admissions made by Florida Power, Trustee.

Feb-23-96 Review admissions made by Florida Power in 2.30 ESK A
interrogatory answer; review admissions made by
Trustee in interrogatory answers; Prepare
stipulation regarding telephone deposition of
Florida Power representatives; Telephone calls
with G. Schaaf, R. Bergwerk regarding same;
Telephone call with P. Fowler regarding
outstanding discovery; conference with G. Heekin
regarding proposed stipulation for trial;
telephone call with G. Schaaf regarding same,
production of documents from Florida Power;
Prepare letter to G. Schaaf regarding same.

Feb-23-96 Print Bankruptcy Docket and adversary docket. 0.20 JD

Feb-26-96 Telephone conference with P. Fowler regarding 1.40 ESK A
documents from A A; conference with G. Heekin
regarding establishing elements of construction
lien action with trial; telephone conference
with G. Schaaf regarding deposition of R.
Shidler, production of documents from Florida
Power; review documents from A A.

Feb-27-96 Review proposed amended answer and counterclaim 1.90 ESK A
of Florida Power; telephone conference with C.
Schaaf regarding same; review late response to
request for admissions from Trustee; prepare
motion to strike late response; research
regarding time to respond under Federal
Bankruptcy Code 7036; review and prepare
proposed stipulation with Florida Power and
pretrial brief.

Feb-28-96 Telephone conference with G. Schaaf regarding 4.00 ESK A
proposed stipulation; review interrogatory
answers of Trustee, Trustee’s response to
request for admissions; prepare motion to
strike Trustee’s untimely response to request
for admissions; research regarding motion to
strike, requests for admissions; prepare trial
brief.

Mar-04-96 Telephone call with G. Schaaf regarding 5.70 ESK A
stipulation; prepare exhibit list and
exhibits for trial; research regarding
discretion of court to allow amendment
of untimely response to request for
production; research regarding presenting
evidence at trial contrary to stipulation
or admission; conference with G. Heekin
regarding stipulation with Florida Power;
prepare revises stipulation with Florida
Power; review pleadings and determine needed
exhibits at trial; review transcript at
hearing on motion to lift automatic stay to
determine factual admissions by parties;
telephone calls with J. Settembrini, F.
Lonegro and T. Ray regarding obtaining expert
witness on fees; prepare outline of expert
testimony on fees.

West Page 1011

Lawyers Hours Amount Billing Rate

T. Geoffrey Heekin 42.80 $ 7,062.00 $165
Eric S. Kolar 176.20 18,501.00 105
Charles S. McCall 1.30 136.50 105

Paralegals

Elizabeth N. Wilson 1.10 71.50 65
June Daniels 0.30 19.50 65
Marlo Mann __1.60 ____104.00
65
Totals 223.30 $25,894.50

Exhibit B

Date HOURS

Mar-07-96 Prepare proposed findings of fact and post trial .90 ESK A
brief; telephone conference with R. Perry
regarding same, evidence at trial.

Mar-08-96 Prepare proposed findings of fact and post trial .80 ESK
brief; telephone conference with G. Schaaf
requesting attorney fee summary; prepare
proposed order striking Trustee’s late response
to request for admissions.

Mar-11-96 Prepare proposed findings of fact and 1.0 ESK
conclusions of law; research regarding required
independence of attorney fee expert,
disqualification of biased expert testimony.

Mar-12-96 Prepare proposed findings of fact, memorandum 2.7 ESK
of law; research regarding procedure on proving
reasonable attorneys’ fees in construction lien
case, trial exhibits; telephone conference with
G. Schaaf regarding trial exhibits; prepare
proposed order on motion to strike Trustee’s
late response; letter to Judge re: same.

Mar-13-96 Telephone conference with R. Perry regarding 1.9 ESK
proposed order; prepare letter to Judge
Proctor enclosing proposed order on
Whitlock’s motion to strike Trustee’s late
answer to request for production; computer
research regarding disqualification of
attorney fee testimony, issues needed for
proposed conclusions of law, effect of
stipulation and admissions.

Mar-21-96 Prepare proposed findings of fact; Obtain 1.3 ESK
exhibit lists and other documents from
Bankruptcy Court.

Mar-22-96 Prepare proposed findings of fact and .2 ESK
conclusions of law.

Mar-25-96 Prepare proposed findings of fact and 3.9 ESK
conclusions of law; research regarding
expert testimony on attorneys’ fees in
construction lien action.

Mar-26-96 Prepare proposed findings of fact and 4.6 ESK
conclusions of law; research regarding
standard for bankruptcy court’s
determination of attorneys’ fees; telephone
conference with G. Schaaf; obtain documents
from bankruptcy court.

West Page 1012

Mar-27-96 Prepare proposed findings of fact, conclusions 4.2 ESK
of law; research regarding whether bankruptcy
court required to apply substantive law of
Florida for determining attorneys’ fees in
construction lien case.

Apr-1-96 Prepare final judgment; telephone call with 1.0 ESK
G. Schaaf regarding same; prepare proposed
findings of fact and conclusions of law.

Apr-2-96 Conference with G. Heekin regarding proposed .2 ESK
findings of fact and conclusions of law.

Apr-3-96 Prepare proposed findings of fact and 1.6 ESK
conclusions of law; telephone call with G.
Schaaf regarding same.

Apr-4-96 Prepare second affidavit of attorneys’ fees, 2.4 ESK A
proposed findings of fact and conclusion of
law; telephone conference with G. Schaaf
regarding arguments; prepare post trial
affidavit of attorneys’ fees.

***************************************

Lawyer Hours Billing Rate Amount

Eric S. Kolar 26.70 $105.00 $2,803.50

F:/USER/KWEST/EKOLAR/WHITLOCK/BILL

WHITLOCK COSTS SUMMARY-CONSTRUCTION LIEN ACTION

9/17/93 Service of Process $ 18.00

9/17/93 Recording Claim of Lien $ 6.00

10/05/93 Service of Process $ 15.00

5/10/94 Filing fee (state court-Alachua County) $ 85.50

5/12/94 Clay County Sheriff’s Dept. for service of process $ 12.00

5/12/94 Ex-Cel Investigations for service of process $ 29.00

5/12/94 Capital Area Process Service for service of process $ 15.00

5/02/95 Services provided by Chicago Title Insurance Company $178.00 A

5/05/95 Filing fee (motion to lift automatic stay) $ 60.00

6/14/95 Services provided by Alachua County Abstract Company $125.00 A

TOTAL COSTS $543.50

EXHIBIT “2” TO FINDINGS OF FACT AND CONCLUSIONS OF LAW The letter “A” denotes the amounts that are included in the award of attorneys’ fees.
March 1, 1996

Florida Power Corp. 3201 34th Street So. P.O. Box 14042 St. Petersburg, FL 33733

West Page 1013

Billing Period: 02/01/96 — 02/29/96 TRANSACTION DETAIL

Matter: 010162 Prod: HAS FL Power Re: Buffalo Tank Re: American Fabricators, Inc. Client: 20016 Florida Power Corp.

For Disbursements Incurred:

11/19/06 Reimbursement for Cab Fares in Jacksonville $ 53.00
— Gary Schaaf

04/24/95 Westlaw research — Henry Stein 32.90 A

04/30/95 18-Pages/Fax charges for billing period 9.00

05/02/95 Federal Express to Clerk of Court, US Bankruptcy 9.00
Court, Middle District

05/09/95 Westlaw research — Susan Ahearn 10.92

05/10/95 Travel Expense Reimbursement for Gary Schaaf in 464.00 A
Jacksonville Re: Pre-Trial: Airfare-$398.;
Cab fare(s)-$49.; Airport parking-$8.; Meal(s)-9.

05/15/95 Federal Express to Clerk of the Court, U.S. 13.00
Bankruptcy Court

05/31/95 38-Pages/Fax charges for billing period 19.00

05/31/95 Long Distance telephone charges for the billing 12.04
period

06/05/95 Gas reimbursement re: Henry Stein’s trip to and 25.00 A
from Jacksonville re: bankruptcy hearing

06/05/95 Reimbursement for Lodging for Henry Stein in 133.88 A
Jacksonville re: bankruptcy court hearing

06/05/95 Reimbursement for Henry Stein’s Airfare to 98.00 A
Jacksonville re: bankruptcy court hearing

06/15/95 Westlaw charges — Suzanne Goodwin 7.70

06/30/95 Long Distance telephone charges for the billing 10.48
period

06/30/95 39-Pages/Fax charges for billing period 19.50

10/17/95 PACE Messenger Service delivery to Florida 11.00
Power (Audio Visual)

10/31/95 33-Pages/Fax charges for billing period 16.50

11/13/95 Federal Express to Eric S. Kolar 13.00

11/14/95 Westlaw Research charges 97.50

11/15/95 Federal Express to Eric Kolar, Esq. 13.00

11/28/95 Federal Express 23.00

11/30/95 12-Pages/Fax charges for billing period 6.00

01/09/96 Federal Express 13.00

01/09/96 Federal Express 13.00

01/18/96 Federal Express 13.00

01/18/96 Federal Express 13.00

01/19/96 Federal Express 13.00

01/31/96 22-Pages/Fax charges for billing period 11.00

02/07/96 Check #2439 to Gary M. Schaaf; disbursement 438.76 A
for: USAir flight to Jacksonville and Omni Hotel
on 1/11/96 for hearing on motion for summary
judgment _________
Total Disbursements Incurred $1612.18

For Professional Services Rendered:

04/06/95 HAS Telephone conference w/Mr. Gaddy 0.30 $ 60.00
re: assignment

West Page 1014

04/06/95 HAS Research construction lien law re: 1.30 260.00 A
perfection of liens by subs right of
owner to make direct payments when no
contractor’s affidavit given-right to
withhold final payment if contractor
(Buffalo) refuses to give contractor’s
affidavit as potential defense in
trustee’s action

04/07/95 HAS Initial conference with Michelle Webb, 1.80 0.00 A
Mary Gray PJT; review file; telephone
conference w/trustee atty re: settlement
(NO CHARGE)

04/07/95 HAS Letter to trustee atty re: extension 0.20 40.00 A

04/07/95 PJT Meeting w/Florida Power and HAS re: 1.80 0.00
strategy and case overview (NO CHARGE)

04/11/95 HAS Telephone conference w/Eric Kolar at 0.50 100.00 A
Whitlock re: settlement status

04/11/95 HAS Telephone conference w/Michelle reporting 0.20 40.00
on conference w/Whitlock atty.

04/11/95 HAS Review materials sent by Eric Kolar 0.40 80.00 A

04/13/95 HAS Review final analysis of Orlando firm 1.10 220.00
(.8); telephone conference w/Michelle
re: claim of LaSalle (.2); telephone
conference w/atty for trustee (.1)

04/25/95 HAS Telephone conference w/Pat Fowler atty. 0.40 80.00 A
for A A

04/25/95 HAS Telephone conference w/Eric Kolar atty. 0.20 40.00 A
for Whitlock

04/27/95 HAS Telephone conference w/Eric Kolar re: 0.30 60.00
position of Whitlock and possible
compromise as well as stay of state
court action

04/27/95 HAS Telephone conference w/Michelle Webb re: 0.20 40.00
status

04/27/95 HAS Analysis $60,000 claim of stock 1.10 220.00 A
alloys (.8) and telephone conference
w/Robert Perry re: violation of automatic
stay (.3)

04/27/95 HAS Review answer docs just faxed by A A 0.30 60.00 A
counsel

04/27/95 HAS Draft answer for Fla. Power 0.70 140.00 A

05/01/95 GMS Prep re: pretrial conference in 0.70 94.50 A
Jacksonville

05/02/95 GMS Receive and review A A answer (.2); 0.80 108.00 A
receive and review Whitlock answer and
crossclaim and prep (.6)

05/03/95 GMS Scheduling re: pre-trial (.2); review 0.60 81.00
docs re: case history (.4)

05/05/95 GMS Conference w/HAS re: background in prep 1.40 189.00
for pre-trial (.8); review file
pleadings and case law re: Whitlock
claims (.6)

05/07/95 GMS Review file and Bankruptcy case law and 1.80 243.00
prep for pre-trial

05/08/95 VHS Analysis of Mechanics Lien issues for 0.50 90.00 A
GMS at request of HAS

05/09/95 GMS Prep for pre-trial and strategy review 2.10 283.50
w/HAS (.3); review TriState answer (.2);
receive and review Whitlock motion for
relief from stay (.4); review consent
to juris form and Perry Motion to Dismiss
Whitlock crossclaim (.3); prep for
pre-trial and trip to Jacksonville (.9)

05/10/95 GMS Prep for pre-trial including review of 5.20 702.00 A
Whitlock and Stock Alleys pleadings and
prep of outline (1.9); attend pre-trial
in Jacksonville and conference w/counsel
for A A, Whitlock, TriState re:
potential mode of settlement, conference
w/Kolar re: settlement re: Whitlock suit
(1.6); review of lien case law provided
by Kolar re: fees and costs and review
bankruptcy case law re: assets of

West Page 1015

estate and priority of claims in light
of lien issues, right to withhold funds
from final payment to contractor (1.5);
prep re: strategy for Whitlock suit
(.2); (No travel time-6 hours —
charged)

05/11/95 GMS Telephone call w/Gaddy’s office re: 1.10 148.50
pre-trial issues (.2); prep re:
Whitlock filings (.9)

05/11/95 HAS Telephone conference w/GMS re: bankruptcy 0.30 60.00
hearing in Fl Power-Buffalo Tank

05/12/95 GMS Receive and review Whitlock motion 0.20 27.00
withdrawing and purporting to reassert
motion to lift stay

05/15/95 GMS Telephone call w/Gaddy re: pre-trial 0.30 40.50
and strategy for stipulation

05/18/95 GMS Receive and review order to show cause 0.80 108.00 A
and order re: motion to lift stay and
prep re: response

05/25/95 GMS Receive and review amended motion to 0.40 54.00 A
lift stay and prep re: response

05/26/95 HAS Review correspondence from Eric Kolar 0.80 160.00
— draft letter to Kolar re:
attys fees and FPC position

05/26/95 HAS Telephone conference w/Michelle Webb 0.30 60.00
re: status report on matter and
upcoming hearing

05/30/95 GMS Receive and review Kolar letter re: 1.80 243.00 A
trustee’s offer (.2); prep re: hearing
dates (.2); telephone conference
w/Kolar re: hearing on motion to lift
stay (.3); telephone conference w/HAS
and Michelle Webb re: strategy and
status of motions (.4); telephone call
w/Perry re: upcoming hearings and
strategy (.3); second telephone
conference w/HAS and Michelle Webb re:
June 5 hearing (.4)

05/30/95 HAS Telephone conference w/Michelle Webb 0.30 60.00
re: status and facts needed to prep
stip of facts

05/30/95 HAS Check construction lien law re: 0.60 120.00 A
definition of when attys fees are
collectable as part of enforcement
of claim

05/31/95 GMS Telephone call w/Kolar re: status of 0.20 27.00
info

05/31/95 HAS Meeting w/Michelle Webb at FPC 0.30 60.00

06/01/95 HAS Telephone conference w/Kolar re: 0.50 100.00 A
info he needs for stipulation for
bankruptcy judge

06/01/95 HAS Additional telephone conference 0.30 60.00
w/Kolar re: my comments to his
amended stipulation

06/01/95 HAS Telephone conference w/Michelle Webb 0.50 100.00
re: affidavit (.3); telephone
conference w/Rodney Gaddy re:
affidavit (.2)

06/02/95 HAS Review revise stip of facts (.3); 1.80 360.00 A
review case law in prep for hearing
Monday (.9); telephone conference
w/Michelle Webb re: affidavit and
stip (.2); telephone conference
w/Eric Kolar (.4)

06/02/95 GMS Conference w/HAS re: Buffalo Tank 1.30 175.50 A
hearing on Whitlock (.4); telephone
conferences w/Kolar re: hearing
strategy (.6); telephone call w/HAS
re: strategy (.3)

06/05/95 HAS Appearance before Judge Proctor in 1.70 340.00 A
Jacksonville

06/05/95 HAS Meeting w/all counsel 0.60 120.00 A

06/05/95 HAS Meeting w/Trustee’s counsel 0.40 80.00 A

06/05-95 HAS Travel to and from Jacksonville (NO 8.50 0.00
CHARGE)

06/05/95 GMS Telephone conference w/HAS re: hearing 0.50 67.50
outcome (.3); telephone call w/Webb
re: hearing (.2)

06/08/95 GMS Review proposed order denying Whitlock 0.40 54.00 A
motion

06/15/95 GMS Receive and review order denying motion 0.10 13.50
to lift stay

West Page 1016

06/16/95 HAS Telephone call from Michelle Webb (.2); 0.50 100.00 A
telephone conference w/Bergwerk re:
trustees motion to dismiss (.3)

06/26/95 HAS Several telephone calls to trustee’s 0.40 80.00
counsel re: affidavit

07/17/95 GMS Receive and review Trustee’s Notice of 0.20 27.00 A
Intent to Compromise A A and Tri-State
claims

07/19/95 GMS Telephone conference w/HAS re: Trustee’s 1.30 175.50 A
notice of intent to compromise (.3);
telephone call w/Bergwerk’s office re:
contractor’s affidavit (.1); telephone
call w/Bergwerk re: Trustee’s notice
and contractor’s affidavit (.3);
telephone conference w/Gaddy and Webb
(.2); prep memo to HAS re: status (.4)

08/03/95 GMS Review finding of facts re: motion to 0.90 121.50 A
dismiss Whitlock counterclaim (.2);
prep re: settlement in bankruptcy and
effect under Fla. law (.7)

08/07/95 VHC Research on deposit issue at GMS request 0.60 108.00

08/08/95 GMS Review contractor’s affidavit and 1.30 175.50 A
attached letter from TriState (.4);
conference w/HAS re: lien law issue and
compromise issue (.2); research re:
effect of contractor’s affidavit (.4);
telephone call w/Bergwerk re: stipulation
(.3)

08/10/95 GMS Prep re: settlement stip 0.30 40.50 A

08/24/95 GMS Receive and review Whitlock 0.60 81.00 A
interrogatories (.3); prep re: stip
w/receiver (.3)

08/26/95 GMS Review contractor’s affidavit re: stip 1.40 189.00 A
(.3); review Judge Proctor findings of
fact (.5); review pleadings and
Whitlock counterclaim and crossclaims
re: prep for stip (.6)

08/28/95 GMS Review stip of Bergwerk in prep for 1.10 148.50 A
settlement (.3); prep re: completion
of settlement among parties (.6);
receive and review court order
approving A A TRI-State settlement
(.2)

08/29/95 GMS Research 713, Fla.Stat., in prep for 1.10 148.50 A
settlement w/trustee

08/30/95 GMS Continued review of Chapter 713 re: 1.00 135.00
settlement strategy (.8); review file
re: Nemco decision (.2)

09/01/95 GMS Telephone call w/Bergwerk’s office re: 0.40 54.00
payoffs (.1); research re: mechanics
lien law (.3)

09/03/95 GMS Research re: Mechanic’s Lien law and 1.20 162.00
notes re: strategy concerning payment
of Whitlock

09/05/95 GMS Telephone call to Bergwerk (.1); 1.10 148.50
conference w/HAS re: Motion for
Summary Judgment strategy and
settlement (.3); draft Motion for
Summary Judgment (.7)

09/25/95 GMS Letter to Gaddy re: status 0.20 27.00

09/27/95 GMS Revise letter to Gaddy re: Motion for 0.40 54.00
Summary Judgment and strategy

09/28/95 GMS Prep re: response to interrogatories 0.40 54.00 A
from Whitlock

09/29/95 GMS Review Kolar letter re: interrogatories 0.30 40.50 A
(.1); review file re: interrogatories
(.2)

09/30/95 GMS Review of pleadings and attachments and 1.50 202.50 A
prep re: responses to Whitlock
interrogatories (1.2); prep re: Motion
for Summary Judgment (.3)

10/03/95 GMS Telephone conference with Gaddy re: 0.20 27.00
payoff and Motion for Summary Judgment
(.2)

10/09/95 GMS Conference with Gaddy re: responses to 0.20 27.00
interrogatories (.2)

West Page 1017

10/10/95 GMS Message from Perry re: payments (NC); 0.10 13.50 A
Telephone conference with Gaddy re:
interrogatories and payments (.1);
telephone with Webb’s office (NC);
telephone call to Perry’s office (NC)

10/11/95 GMS Telephone conference with Perry re: 1.40 189.00 A
terms of settlement with A A,
Tri-State and Whitlock (.3); Telephone
conference with Michelle Webb re:
interrogatories (.3); review Whitlock
interrogatories and prep re: responses
(.6); telephone conference with Kolar
re: settlement possibilities and
discovery due (.2)

10/12/95 GMS Telephone conference with Michelle 2.50 337.50
Webb re: answers to interrogatories
(.3); prep re: Kolar offer letter
and drafting responses to
interrogatories (.8); telephone
conference with Webb re: payment
figures (.3); revising answers to
interrogatories (.7); review Buffalo
Tank contract and amendments (.4)

10/13/95 GMS Prep re: interrogatory responses to 1.20 162.00 A
Kolar and prep for execution (1.2)

10/16/95 GMS Telephone conference with Rodney 0.10 13.50
Gaddy re: interrogatories (.1)

10/17/95 GMS Prep re: interrogatory responses 0.70 94.50
and Kolar settlement proposal (.5);
Receive and review Circuit Court
order scheduling case management
conference and prep re: response
(.2)

10/18/95 GMS Telephone call to Michelle Webb re: 0.60 81.50
interrogatories (NC) Telephone
conference with Webb re:
interrogatory answers and Kolar
letter (.3); Investigate state court
scheduling matter (.3)

10/20/95 GMS Prep re: entry of appearance, 0.30 40.50
cancellation of hearing (.3)

10/23/95 LMB Prepare notice of serving answers 0.20 10.00
to Whitlock’s interrogatories (.2)

10/24/95 GMS Receive letter from Kolar (NC); 0.20 27.00
Letter to Kolar re: Interrogatories
(.2)

10/25/95 GMS Telephone conference with Perry’s 0.20 27.00
office (NC); Telephone conference
with Perry re: status of settlement
(.2)

10/27/95 GMS Receive and review Request by Fowler 0.40 54.00
re: Case Management Conference (.1);
Telephone conference with Kolar re:
settlement possibilities and Motion
for Summary Judgment (.3)

10/30/95 GMS Receive and review Kolar letter 0.30 40.50
objecting to contractor’s final
affidavit and conference with HAS
(.3)

10/30/95 HAS Review correspondence to and from 0.90 180.00
Eric Kolar re: settlement offer
(.3); review proceedings in state
court Whitlock action before hearing
on Nov. 1 (.6)

10/31/95 GMS Review Kolar case management report 1.50 202.50 A
and letter to judge in state action
(.2); Review correspondence from
Bergwerk and Perry (.3); Telephone
conference with Bergwerk (.3);
Telephone Conference with Kolar re:
settlement possibility (.5);
Conference with HAS re: status (.2)

11/01/95 HAS Telephone conference w/GMS Rodney 0.50 100.00
Gaddy (.2); meeting w/GMS re: options
to summary judgment (.3)

West Page 1018

11/01/95 GMS Review Kolar case law re: mechanic’s 1.50 202.50
lien law in bankruptcy (.8);
telephone conference w/Gaddy and
HAS (.2); receive and review Whitlock
notice of filing (.2); conference
w/HAS re: Kolar and Bergwerk positions,
Motion for Summary Judgment (.3)

11/02/95 GMS Telephone call w/Michelle Webb re: 0.10 13.50
Kolar requests

11/07/95 GMS Telephone call w/Kolar re: cross 0.40 54.00
claim responses (.2); telephone call
w/Webb re: Kolar requests (.2)

11/08/95 GMS Letter to Kolar re: interrogatory 2.40 324.00
supplement and Motion for Summary
Judgment (.3); prep and draft answer
and affirmative defenses to
crossclaim (1.7); revise letter to
Kolar (.4)

11/09/95 HAS Revise responses to crossclaim 0.40 80.00

11/09/95 GMS Receive and review Kolar letter 0.20 27.00
and telephone call to Kolar in
response

11/10/95 GMS Telephone conference w/Kolar re: 0.40 54.00
answer and amended crossclaim (.3);
telephone call w/Michelle Webb re:
Kolar issues (.1)

11/13/95 GMS Letter from Webb re: Buffalo Tank 1.30 175.50
contract (.1); receive and review
drafts from Gaddy (.2); receive
and review Kolar letter and proposed
amended crossclaim (.7); review
complete Buffalo Tank contract
(initial) (.3)

11/14/02 GMS Review general conditions to contract 2.80 378.00
and contract between Buffalo Tank and
Whitlock (.4); prep re: production of
complete contract to Kolar (.2);
conference w/HaS re: stipulation on
amended crossclaim (.2); telephone
conference w/Kolar re: strategy,
stipulations and Motion for Summary
Judgment (.6); research re: lien law in
bankruptcy proceedings (1.4)

11/15/95 GMS Continue research re: Motion for 3.10 418.50
Summary Judgment issues under 713 and
bankruptcy code (1.8); review Bergwerk
correspondence re: stipulation and
payments to A A and TriState (.5);
telephone call to Bergwerk (.1);
telephone calls w/Bergwerk and Kolar
re: status (.7)

11/16/95 HAS Meeting w/GMS re: Whitlock cross claim 0.30 60.50 A

11/16/95 GMS Draft answer and affirmative defenses 2.30 310.50 A
to amended crossclaim (1.2); prep and
draft re: Motion for Summary Judgment
(1.1)

11/17/95 GMS Receive letter from Bergwerk w/AAA 1.20 162.00
estoppel letter (.2); continued prep
re: Motion for Summary Judgment (1.0)

11/18/95 GMS Review amended complaint and exhibits 1.10 148.50 A
thereto (.5); draft revise Motion
for Summary Judgment (.6)

11/20/95 GMS Prepare Motion for Summary Judgment 0.40 54.00 A

11/25/95 GMS Continue drafting and revisions to 3.10 418.50 A
Motion for Summary Judgment

11/27/95 GMS Final revisions to Motion for Summary 1.90 256.50 A
Judgment (.7); conference w/HAS re:
claim for fees (.2); letter to Gaddy
re: Motion for Summary Judgment and
status (.4); telephone call w/Perry re:
answers to amended crossclaim (.3);
revisions to answer (.3)

11/28/95 GMS Prep re: telephonic hearing and draft 0.80 108.00
motion

West Page 1019

12/01/95 GMS Receive and review verified motion 0.60 81.00
(.2); telephone call w/Gaddy (.2);
prep filing of motion (.2)

12/04/95 GMS Receipt and initial review of 0.20 27.00
Whitlock Motion for Summary Judgment

12/05/95 GMS Receive and review order rescheduling 1.30 175.50 A
hearing on motion to set trial (.1);
review Whitlock Motion for Summary
Judgment and prep re: response
(1.2)

12/06/95 GMS Prepare response to Whitlock Motion 1.60 216.00 A
for Summary Judgment

12/07/95 GMS Receive and review Whitlock affidavit 0.40 54.00 A
and attachments

12/11/95 GMS Receive and review notices of hearing 0.50 67.50 A
re: Motion for Summary Judgment
motions and review re: proper motions
(.2); review Whitlock affidavit of
costs (.3)

12/12/95 GMS Draft memo in opposition to Whitlock 1.80 243.00 A
Motion for Summary Judgment (1.6);
prep re: obtaining docs from Perry
for A A and Whitlock

12/13/95 GMS Prepare memo in opposition to 0.90 121.50 A
Whitlock Motion for Summary Judgment

12/14/95 GMS Revise and draft memo in opposition 2.60 351.00 A
to Whitlock Motion for Summary
Judgment

12/18/95 GMS Review fees affidavit and conference 0.60 81.00
w/HAS (.2) 1 prep re: hearing on
notice for summary judgment (.4)

12/20/95 GMS Receipt and initial review of 0.90 121.50
Trustee’s Motion for Summary Judgment
(.5); telephone call w/Perry’s
office re: Motion for Summary
Judgment (.2); telephone call
w/Perry re: hearing on Motion for
Summary Judgment (.2)

12/28/95 GMS Receive and review notice of filing 0.40 54.00
attys fees affidavit and notice
of hearing re: Motion for Summary
Judgments (.2); prep re: payments to
A A and TriState (.2)

12/29/95 GMS Review docs from A A and TriState 0.30 40.50
re: payoffs and releases

01/02/96 GMS Prep for hearing on motion to set for 0.90 121.50 A
trial

01/03/96 GMS Attend telephonic hearing on motion 0.70 94.50 A
to set for trial (.3); telephone call
w/Rodney Gaddy re: hearing (.2); prep
re: hearing issues (.2)

01/04/96 GMS Telephone call w/Kolar re: releases 1.80 243.00
to A A and TriState (.2); prepare
releases (1.3); letters to counsel
for A A and TriState (.3)

01/05/96 GMS Prep for hearing in Jan. on Motion 0.70 94.50 A
for Summary Judgment and discussion
with Henry Stein (.3); telephone
call w/Pat Fowler re: releases (.2);
review re: releases, status (.2)

01/08/96 GMS Receive and review order scheduling 0.30 40.50
trial (.1); prep re: hearing in Jax
(.2)

01/10/96 GMS Review of Whitlock Motion for Summary 2.50 337.50 A
Judgment and FPC response in prep for
hearing and discussion w/Henry Stein
(.7); continued notes re: pending
Motion for Summary Judgments in prep
for hearing (1.8); travel to
Jacksonville (3.0 — NO CHARGE)
(1.8 (3.0 — NO CHARGE)

01/11/96 GMS Prep for hearing, prepare argument 4.30 580.50 A
and notes (1.3); attend hearing
(2.4); conference w/Bergwerk,
Perry, Kolar and Heekin re:
settlement

West Page 1020

possibilities (.4); telephone call
w/Webb re: hearing (.2); travel to
Tampa (2.8 — NO CHARGE)

01/12/96 GMS Receive and review Kolar proposed 1.40 189.00 A
order (.3); telephone call w/Kolar
re: revisions (.3); fax revisions
to Kolar (.3); conference w/HAS re:
hearing and proposed order (.2);
further revisions to order (.3)

01/16/96 GMS Telephone call w/Rodney Gaddy re: 1.30 175.50
status (.1); revise cover letter
and stipulation (.7); telephone
call w/Kolar re: proposed order and
status of stipulation (.5)

01/17/96 GMS Telephone call w/Kolar re: proposed 1.10 148.50 A
order (.3); receive and review Kolar
letter re: supplemental answers to
interrogatories and prep (.2);
conference w/Gaddy re: letter to
Kolar and Perry and stipulation (.3);
revise Perry/Kolar letter (.3)

01/18/96 GMS Rec message re: Perry approval of 1.00 135.00 A
stip and prep re: Perry and Kolar
execution (.2); prep re:
interrogatory responses requested
by Kolar and discussion w/Henry
Stein (.8)

01/23/96 GMS Receive and review final proposed 1.80 243.00 A
order (.2); telephone call w/Robert
Perry re: settlement (.2); telephone
call to Kolar re: stipulation (.1);
telephone call w/Kolar re:
stipulation issues and settlement
(.5); receive and review Perry
proposed order on dismissal of A A
and TriState (.1); receive and review
Kolar letter re: settlement w/Trustee
(.3); second telephone call w/Perry
re: Kolar telephone call (.3);
telephone call w/Gaddy’s office re:
check (.1)
01/25/96 GMS Telephone call w/Gaddy re: $14K and 0.70 94.50
settlement issue (.2); status
telephone call w/Michelle Webb (.2);
review of Kolar/Perry correspondence
(.3)
01/26/96 GMS Receive and review stipulation 0.30 40.50 A
executed by Perry (.1); receive and
review Kolar letter re: witnesses
and Kolar letter re: rejection of
stipulation and Kolar letter to
Perry re: offer (.2)

01/29/96 GMS Receive and review Perry letter re: 0.50 67.50 A
consent order and prep re: response
(.2); telephone call w/Kolar re:
check (.1); telephone call w/Gaddy’s
office re: check (.1); telephone
call w/Kolar re: witnesses (.1)

01/31/96 GMS Telephone call w/Rodney Gaddy’s 0.20 27.00
office re: $14K check and witness
issues
02/01/96 GMS Telephone call w/Kolar’s office 0.30 40.50
re: stipulation (.1); telephone call
w/Kolar re: witnesses and stipulation
(.2)

02/02/96 GMS Telephone call w/Rodney Gaddy re: 0.40 54.00
potential stipulation (.1);
telephone call w/Perry re:
settlement (.2); telephone call
w/Kolar re: witnesses (.1)

02/04/96 GMS Prep and revise status memo re: 1.00 135.00
litigation status in prep for
settlement session

02/05/96 GMS Revisions to status memo 0.20 27.00

02/06/96 GMS Receive and review Kolar 2.30 310.50 A
stipulation and notes (.4);
telephone call w/Kolar re:
stipulation (.2); compare
stipulation to original FPC
version (.7); telephone call
w/Perry re: stipulation (.4);
revise status memo re:
stipulation (.4); telephone call
w/Kolar re: Schidler interview (.2)

West Page 1021

02/07/96 GMS Prep and drafting re: response to 2.40 324.00
Whitlock request for production
(1.0); prep and drafting re:
response to Whitlock request for
admissions (1.4)

02/09/96 GMS Receive and review Kolar letter re: 0.50 67.50
stipulation and attachments (.2);
telephone call to Kolar’s office
(.1); telephone call w/Kolar re:
stipulation, Perry revisions and
depos (.2)

02/13/96 GMS Telephone call w/Kate in Rodney 0.40 54.00
Gaddy’s office re: Schidler
interview (.2); telephone call
w/Rodney Gaddy re: Schidler
interview and status of claims (.2)

02/14/96 GMS Prep re: Schidler deposition/interview, 0.30 40.50 A
review complaint

02/15/96 GMS Telephone call w/Gaddy’s office 1.20 162.00
(.1); telephone call w/Schiedler re:
Kolar interview (.3); attend
telephonic interview of Schidler
(.5); telephone call to Perry re:
stip (.1); telephone call w/Perry
re: stipulation revisions (.2)

02/16/96 GMS Telephone conference w/Kolar and 0.40 54.00
Perry re: stipulation

02/16/96 HAS Review stips and counterstipos; 1.10 220.00
meeting w/GMS re: strategy for
closing

02/19/96 GMS Telephone conference w/Kolar re: 1.30 175.50
stip (.3); receive and review Perry
version of stip and notes re:
revisions (1.0)

02/20/96 GMS Telephone conference w/Kolar re: 0.60 81.00
changes to stipulation (.3);
revisions in light of Kolar call (.3)

02/21/96 GMS Telephone call w/Kolar re: 0.20 27.50
stipulation and Heekin review

02/22/96 GMS Return Kolar call 0.10 13.50

02/23/96 GMS Telephone conference w/Kolar re: 0.70 94.50 A
stipulation and interviews of FPC
witnesses (.4); second conference
w/Kolar re: rejection of stip and
discovery (.3)

02/25/96 GMS Prep re: production of docs to 1.40 189.00
Whitlock, review response to request
(1.0); review Schidler inspection
report (.4)

02/26/96 GMS Telephone call w/Rodney Gaddy re: 2.10 283.50
production (.3); telephone call
w/Kolar re: status of discovery
and trial (.2); review Motion for
Summary Judgments and answer re:
claims raised for trial and case
law (.4); draft amended answer and
counterclaim (.8); draft motion
for leave to amend (.4)

02/27/96 GMS Telephone call w/Rodney Gaddy re: 1.70 229.50
discovery and issues at trial (.3);
telephone call w/Kolar re:
testimony stipulation (.3); prep
for trial re: issues (.3); revise
motion for leave to amend and
counterclaim (.8)

02/28/96 GMS Telephone call w/Kolar re: amendment 0.20 27.00
and remaining claims

02/29/96 GMS Prep re: attorney’s fee affidavits 1.70 229.50 A
(.3); receive and review Kolar
stipulation and notes (.3); telephone
call w/Dingles office re:
teleconference (.1); draft responsive
stipulation (.3); fax letters to Gaddy
and Kolar (.1); receive and review
Kolar motion to strike Trustee’s
admissions (.1); telephone conference

West Page 1022

w/Gaddy re: trial (.2); telephone
conference w/Dingle re: background
(.2); telephone call w/Kolar re: stip
(.1)
_________
Total Professional Services $20118.50

Recapitulation

At 200.00 per hour HAS worked 30.00 Hours for $ 3,940.00
135.00 PJT 1.80 0.00
135.00 GMS 118.30 15,970.50
180.00 VHC 1.10 198.00
50.00 LMB __0.20 _____10.00
For Professional Services 151.40 Hours $20,118.50
For Disbursements Incurred __1,612.18
Total $21,730.68

IRS #59-3152214

May 21, 1996

Florida Power Corp. 3201 34th Street So. P.O. Box 14042 St. Petersburg, FL 33733

Billing Period: 04/01/96-04/30/96 TRANSACTION DETAIL

Matter: 010162 Prod: HAS FL Power Re: Buffalo Tank Re: American Fabricators, Inc. Client: 20016 Florida Power Corp.

For Disbursements Incurred:

02/29/96 31-Pages/Fax charges for billing period $15.50

02/09/96 Long Distance telephone charges-February 12.82

03/26/96 Westlaw research 71.67

03/31/96 18 — Pages/Fax charges for billing period 9.00

03/31/96 Westlaw research charges in February 54.02

03/31/96 Long Distance telephone charges for the 38.63
billing period

04/02/96 Check #2584 to Statewide Reporting 42.48 A
Service; disbursement for: transcript
of motion hearing
_______
Total Disbursements Incurred $244.04

For Professional Services Rendered:

02/29/96 GMS Prep re: attorney’s fee affidavits 1.70 $229.50
(.3); receive and review Kolar
stipulation and notes (.3); telephone
call w/Dingles office re:
teleconference (.1); draft responsive
stipulation (.3); fax letters to
Gaddy and Kolar (.1); receive and
review Kolar motion to strike
Trustee’s admissions (.1); telephone
conference w/Gaddy re: trial (.2);
telephone conference w/Dingle re:
background (.2); telephone call
w/Kolar re: stip (.1)

West Page 1023

03/01/96 GMS Telephone call w/Gaddy’s office re: 2.30 310.50
scheduling for trial (.2); prep for
trial re: stipulations and factual
issues, testimony (1.9); telephone
call w/Kolar (.2)

03/03/96 GMS Review case law relevant to attys 3.80 513.00
fee and breach of contract issues
(1.2); review contract re: breaches
and notes (.9); prep notes for
trial re: fees and breach issues
(.9); review attys fees detail in
prep for argument (.8)

03/04/96 GMS Telephone calls w/Kolar re: 1.20 162.00
stipulation and matters at trial
(.3); conference w/HAS re:
arguments at trial (.2); revise
stipulation (.3); prep re: attys
fee affidavits, revisions (.4)

03/05/96 GMS Receive and review Trustee’s 4.20 567.00 A
interrogatories answers (.3); prep
case law, direct exam, notes for
opening and closing for trial (2.8);
receive and review Whitlock trial
brief (.4); review applicable
provisions of 713 (.4); review
pending motions (.3)

03/06/96 GMS Prep for trial (.3); travel to Jax 6.10 823.50
(NO CHARGE); conference w/Gaddy
and Bailey re: trial strategy
(.5); attend trial (5.0); travel
to St. Pete (NO CHARGE); conference
w/HAS re: trial and prep re: filings
with court (.3)

03/07/96 GMS Telephone call w/court re: hearing 0.20 27.00 A
time on motion to amend

03/08/96 GMS Telephone call w/Kolar re: post trial 0.40 54.00
considerations

03/11/96 GMS Receive and review proposed order on 0.20 27.00
motion to strike admissions

03/18/96 GMS Receive and review order striking 0.10 13.50
Trustee’s responses to admissions

03/21/96 GMS Conference w/Bailey re: memoranda 0.40 54.00
prep for Judge Proctor and prep re:
memoranda

03/24/96 GMS Draft re: trial brief in light of 2.30 310.50
court rulings, initial draft with
preliminary revisions

03/25/96 GMS Draft of trial brief and revisions 2.60 351.00
(2.1); telephone calls w/Kolar re:
exhibits and claims at trial,
briefing strategy (.5)

03/26/96 GMS Complete drafting and revisions to 4.70 634.50
trial brief (3.5); telephone calls
w/Kolar re: expert and exhibits (.3);
research re: standard for attys
fees as contract damages and failure
to file contractor’s affidavit (.9)

03/27/96 GMS Receive and review Kolar exhibit list 2.30 310.50
(.2); revise trial brief (.4); draft
findings of fact and conclusions
of law (1.7)

04/01/96 GMS Telephone conference w/Kolar re: 1.20 162.00
trial brief and findings of fact for
court (.4); prep re: findings of
fact and conclusions of law (.8)

04/02/96 GMS Revisions to trial brief (.8); 2.50 337.50
draft supplemental affidavit re:
attorney’s fees (.6); draft notices
of filing (.3); draft findings of
fact and conclusions of law (.8)

04/03/96 GMS Telephone call w/Kolar re: 1.20 162.00
attorney’s fee updates (.4); draft
trial brief (.8)

04/04/96 GMS Continued drafting and revisions 1.90 156.50
re: trial brief, findings of fact
and conclusions of law, and
affidavits

04/05/96 GMS Final drafting and revisions to trial 3.30 445.50 A
brief, notice of filing affidavit,
Schaaf affidavit, notice of filing
findings, findings of fact and
conclusions of law, notice of filing
judgment, judgment and attachments to
all (2.8); telephone call w/Kolar re:
judgment (.3); receive and review
Kolar judgment (.2)

West Page 1024

04/10/96 GMS Telephone call w/Bankruptcy clerk re: 2.40 324.00
affidavits (.2); receive and review
Trustee’s brief and findings of fact
(.8); review case law cited in
Trustee’s brief (.7); review of
Whitlock brief (partial); research re:
attys fee issue in light of Trustee’s
case authority (.7)

04/12/96 GMS Receive and review Whitlock post trial 2.70 364.50 A
brief and findings of fact (1.4);
review case law from Trustee’s brief
re: effect of admissions (1.3)

04/15/96 GMS Telephone call w/Bailey re: post trial 0.10 13.50
brief and possible response
________
Total Professional Services $6453.00

Recapitulation

At 135.00 per hour GMS worked 47.80 Hours for $6,453.00

For Professional Services__47.80 Hours $_6,453.00
For Disbursements Incurred ____244.04
Total $_6,697.04

IRS #59-3152214

[1] Fifth Circuit decisions before 1981 are binding precedent in the Eleventh Circuit.
[2] Although FPC’s argument for set-off damages in the form of attorneys’ fees was somewhat muddled, its trial brief points the Court’s attention to the indemnification language in the general contract to support an award of set-off damages. (FPC’s Brief at 9). The general contract provides that: “The Contractor [Debtor] shall indemnify and save harmless, the Corporation from all claims by the subcontractors, laborers and materialmen of the Contractor for labor and material furnished under this Contract.” (FPC Ex. 1). The Contract further states that if Debtor fails to provide FPC with evidence that all persons owed money have been paid, “an amount will be retained from money due the Contractor . . . to liquidate the claims.” (Id.). Contracts, under Florida law, are construed according to their own clear and unambiguous terms. Cueto v. John Allmand Boats, Inc., 334 So.2d 30, 32 (Fla.Dist.Ct.App. 1976) cert. denied, 341 So.2d 290 (Fla. 1976).

According to the general contract’s own clear and unambiguous terms, the contract simply allows FPC to pay subcontractors from the funds due the general contractor. Funds FPC paid out to subcontractors are not from FPC’s personal account, but from funds owed to Debtor. To allow FPC to obtain set-off for funds paid from monies owed to Debtor would be tantamount to FPC retaining Debtor’s services at a discounted rate. Therefore, FPC is not entitled set-off based on the indemnification language in the general contract because it suffered no out-of-pocket loss.

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