Court awards strip club owner additional $57,000 in expenses

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A federal court has ordered the city of Milwaukee to pay for a strip club owner’s out-of-pocket expenses, including meals and travel expenses for his attorneys, in his fight with the city.

Jon Ferraro, owner of Ferol LLC and Six Star Holdings LLC, both based in Menomonee Falls, has wanted to open an establishment in or near downtown Milwaukee. He filed a federal lawsuit against the city on Oct. 12, 2010, alleging Milwaukee’s ordinances on adult entertainment is an unconstitutional limit on freedom of expression and demanding damages.

On Feb. 19, a federal jury awarded Jon Ferraro $435,000 based on potential lost revenue, which was approved by District Judge Lynn Adelman.

The city has appealed, and Ferraro has also filed a cross-appeal. They will be heard by the U.S. 7^th Circuit Court of Appeals.

Monday’s order grants Ferraro $425, 553.50 in attorney’s fees and $57,033. 07 in out-of-pocket costs related to expenses such as expert witnesses, and meals and hotel stays for his attorneys.

The city made some objections award of attorney’s fees, including that Ferraro paid excessive fees for the work of Sara Crandall, who helped the other attorneys with legal research and writing, and preparing Ferarro’s trial strategy, because she is not licensed to practice in Wisconsin. The city contended she should have been paid as a paralegal or law clerk, not a lawyer.

But the court disagreed, noting that Crandall’s work went well beyond that of a paralegal, and she had expertise in civil rights litigation.

The amount in attorney’s fees was reduced because the court found that some of the time billed to Ferraro was for work on his appeal, which is pending.

The city objected to some of the out-of-pocket fees, contending that the expenses for meals and hotel stays were excessive, with two breakfasts costing more than $30 each and more than $3,000 for hotel stays.

But the court also disagreed. It noted that nearly all attorneys who have a trial in Milwaukee stay at that hotel because it is so close to the courthouse.  As for the breakfasts, the court, in its decision, said that it appeared the meals were ordered via room service so that the attorneys could do other work on the case. Follow @erikastrebel