Lester J. Phiffer and Abbie Phiffer v. Proud Parrot Motor Hotel, Inc., a California Corporation, Robert Chow and Chao Chow

The defendants appeal a determination of liability and an award of damages and attorney fees to the plaintiffs for the defendants’ alleged act of racial discrimination in refusing to rent office space at the Proud Parrot Motor Hotel to plaintiff Lester J. Phiffer. We affirm in part and vacate and remand in part.

I. BACKGROUND

The facts of this case are relatively simple and follow a now familiar pattern in federal civil rights litigation. Plaintiff Lester J. Phiffer, a black man, is an agent with Farmers Insurance Group. On August 31, 1977, Phiffer inquired at the Proud Parrot about the possibility of renting office space. A sign located outside the motel clearly advertised office space for rent. Phiffer and his wife Abbie, a black woman, the other named plaintiff in this action, were shown a space that rented for $65.00 a month. Phiffer decided that the space would be suitable for his needs, and told the son of defendant Robert Chow, the owner of the Proud Parrot, that he would like to rent the office. Phiffer offered to go home and return with a check as a deposit, but was told that the office would be held for him until the next morning.

When the Phiffers arrived the next…