People ex rel. Department of Public Works v. E. A. METCALF

Defendants, E. A. and Geraldine Metcalf, appeal from an order which granted plaintiff’s motion to tax defendants’ costs, thereby disallowing a substantial portion of the attorney’s fees claimed by defendants.

*4 Defendants base their appeal upon an agreed statement. The facts are that on July 20, 1971, plaintiff, State of California, commenced an eminent domain action to take certain real property owned by defendants Metcalf. Defendants were served with the summons and complaint on September 14, 1971, and retained the law firm of Haley, Schenone, Tucker, Birchfield and Smith (hereafter Haley) to represent them in the action. Haley was employed under a contingent fee arrangement whereby that firm was to be paid one-third of the difference between the amount which plaintiff had previously offered to pay for the property and the net amount which defendants recovered in the condemnation action. In the event that the amount of defendants’ recovery did not exceed the state’s offer, it was agreed that Haley would not be entitled to any attorney’s fees.

Haley filed an answer in the condemnation action and represented defendants until November 10, 1975, at which time defendants…