Nnebe v. Daus
- Richard Sullivan
- 1:06-cv-04991
- U.S. District Court · Southern District of New York
- 3
In Nnebe v. Daus, Judge Sullivan ordered submissions on prejudgment interest for ten plaintiffs’ lost-earnings awards before entering judgment.
The ten named plaintiffs who received lost-earnings awards and the defendants in Nnebe v. Daus are affected because the order requires submissions addressing possible prejudgment interest before judgment is entered.
What happened
In Nnebe v. Daus, a jury awarded damages to ten plaintiffs after a four-day trial on their claims under a federal civil-rights law. The awards included compensation for lost earnings and emotional distress.
The court explained that interest before judgment is generally appropriate for lost earnings but usually is not awarded for emotional-distress damages. It also described a method using the applicable Treasury-bill rate and annual compounding.
Judge Richard J. Sullivan ordered both sides to submit calculations for interest on the lost-earnings awards. The plaintiffs’ submission is due December 8, 2023, and the defendants’ response is due December 15, 2023, assuming judgment will be entered on December 22, 2023.
The detailed version
- Nnebe v. Daus · No. 1:06-cv-04991
- Richard Sullivan
- Nov. 22, 2023
Background
After a four-day trial, a jury returned a unanimous verdict on November 16, 2023, awarding damages to ten plaintiffs on claims against the defendants under 42 U.S.C. § 1983. The jury awarded compensation for lost earnings and emotional distress as follows:
- Aboul Diane: $16,000 for lost earnings and $3,000 for emotional distress. - Souleymane Diaby: $8,000 for lost earnings and $1,000 for emotional distress. - Khadim Diop: $21,000 for lost earnings and $1,000 for emotional distress. - Carlos Gonzabay: $34,000 for lost earnings and $5,000 for emotional distress. - Dilawer Khan: $5,500 for lost earnings and $500 for emotional distress. - Kevin O’Malley: $12,000 for lost earnings and $10,000 for emotional distress. - Lenny Polanco: $35,000 for lost earnings and $7,500 for emotional distress. - Olson Weekes: $9,000 for lost earnings and $5,000 for emotional distress. - Ning Zhang: $10,500 for lost earnings and $1,000 for emotional distress. - Kamara-Jai Njenga Warren: $4,000 for lost earnings and $500 for emotional distress.
Prejudgment Interest
Before entering judgment, the court considered whether the plaintiffs should receive prejudgment interest, meaning interest added to damages for the period before judgment. The court explained that prejudgment interest is generally appropriate in civil-rights cases, especially when damages include lost earnings. By contrast, the court stated that such interest is seldom appropriate for damages based on non-economic harm, such as emotional distress.
When prejudgment interest is appropriate, the court said the rate is typically based on the average rate of return on one-year United States Treasury bills during the relevant period. The court described a three-step calculation: divide the lost-earnings award across the relevant period, apply the applicable annual Treasury-bill rate, and compound the interest annually.
Order
The court stated that it was inclined to assess prejudgment interest only on the lost-earnings portion of each award, using the calculation method described in the opinion. It ordered each side to submit calculations for each of the ten plaintiffs who received lost-earnings awards. The submissions must address the starting date for interest, the applicable interest rate, and the total interest amount assuming judgment will be entered on December 22, 2023. The plaintiffs must file by December 8, 2023, and the defendants must respond by December 15, 2023. The order did not itself set a final prejudgment-interest amount.
Read the full 3-page opinion on CourtListener, the free public archive maintained by the Free Law Project.