Cases: Nonsignatories

Nonsignatories, Section 1717: Lenders, As Third-Party Beneficiaries, Properly Awarded Attorney’s Fees Under Broad Fee Clause Encompassing Tort Claims

Cases: Nonsignatories, Cases: Section 1717

$150,000 Was The Fee Award Affirmed In Lenders’ Favor As Prevailing Cross-Defendants.             Hom v. Petrou, Case No. A161770 (1st Dist., Div. 4 Aug. 3, 2021) (published) involved a $150,000 contractual attorney’s fees award in favor of lenders obtaining a dismissal of a cross-complaint alleging primarily tort claims.  The 1/4 DCA affirmed, holding that there […]

Nonsignatories: Non-prevailing Individual Plaintiff Was Not Subject To Attorney’s Fees Exposure Because Nothing Indicated He Was A Contractual Third-Party Beneficiary

Cases: Nonsignatories

$430,000 In Fees Awarded Against Signatory LLC, But Not Against Losing Individual Plaintiff.             For a non-prevailing nonsignatory party to be exposed to fees, there must be some substantial link to the underlying contract involving signatory parties—such as the nonsignatory being a third-party beneficiary of a contract.  (Real Property Services Corp. v. City of Pasadena,

Arbitration, Nonsignatories, Quantum Meruit, Retainer Agreements: Judgment Confirming Arbitration Award Of $1,273,765.91 In Fees Owed To Two Law Firms Plus Another $508,678.82 For Fees And Costs Incurred In The Arbitration Affirmed

Cases: Arbitration, Cases: Nonsignatories, Cases: Quantum Meruit, Cases: Retainer Agreements

Arbitration Was Properly Ordered Because The Claims Between Client And The Two Law Firms Arose Out Of The Underlying Retainer And Arbitration Agreements Client Signed With The First Law Firm.             Client retained a law firm to represent her in an ongoing dissolution action – signing a Retainer Agreement and a binding Arbitration Agreement.  During

Section 1717:  Nonsignatory Defendants Entitled To Fee Recovery Under Civil Code Section 1717

Cases: Nonsignatories, Cases: Section 1717

$61,565 Fee Award Sustained On Appeal             Nonsignatories defendants were awarded attorney’s fees of $61,565, drawing an appeal from the plaintiff in Westco Petroleum Distributors, Inc. v. Huntington Beach Industrial, Case No. B269393 (2d Dist., Div. 2 Aug. 10, 2017) (unpublished).  After surveying section 1717 jurisprudence which does allow fee recovery to nonsignatories like the

Nonsignatories: Prevailing Plaintiff Establishing Defendants Are Not Parties To License Agreement With Fee Provision Is Not Entitled To Fees Under Section 1717

Cases: Nonsignatories

When It Comes To Collecting Fees Under Civil Code Section 1717, A Prevailing Plaintiff Who Sues On A Contract Is Not The Same As A Prevailing Plaintiff Who Shows A Contract Does Not Exist.      Glovia International, Inc. v. Actuant Corporation, et al., B267175 (2/5 12/22/16) (Kumar, Turner, Kriegler) (unpublished) reinforces a theme oft

Fee Clause Interpretation: Narrow Contractual Fees Clause Did Not Cover Tort And Subrogation Claims, Which Did Not Arise Under Contract With Fees Clause

Cases: Fee Clause Interpretation, Cases: Nonsignatories

  Negligence And Subrogation Claims Did Not Give Prevailing Cross-Defendant Bank Entitlement To Fee Recovery.     Under our category “Fee Clause Interpretation,” we have surveyed many decisions which really demonstrate that the wording of a fees clause actually determines if fee recovery is possible for tort clams or possible against losing contractual non-signatories.  The Fifth

Arbitration/Fee Clause Interpretation: Defendant Nonsignatories Prevailing In Arbitration, Which Arbitration Award Was Reversed In Earlier Appeal, Also Not Entitled To Attorney’s Fees Award

Cases: Arbitration, Cases: Fee Clause Interpretation, Cases: Nonsignatories

  Reason Is That They Were Not Parties To The Purchase Agreement With A Fees Clause.     Defendants must have been very disappointed, after winning an arbitration award which was confirmed as a judgment and after winning attorney’s fees of $13,465 based on a fees clause in a purchase agreement involved in the arbitration, when

Section 1717, Non-signatories, Special Fee Shifting Statutes: Nonsignatory Defendant Entitled To Fee Recovery Based On Statute Which Would Have Made Him Personally Liable For Signatory’s Obligations

Cases: Nonsignatories, Cases: Section 1717, Cases: Special Fee Shifting Statutes

  Impact of Perishable Agricultural Commodities Act Liability Considered By Appellate Panel.        Plaintiff (produce seller) sued a restaurant (Jack’s La Jolla) and its controlling officer Berkley to recover monies owed for the produce, claiming that Berkley had signed a guaranty and Berkley was subject to personal liability for restaurant’s contractual obligations (under an

Nonsignatories: LLC Members Receiving Distributions In De Facto Dissolution Liable For Fee Exposure To Prevailing Party In LLC Dispute Where Fee Clause Existed Between LLC And Plaintiff Listing Broker

Cases: Nonsignatories

  Former Corporations Code Section 17355(a)(1)(B) Allows For Fee Entitlement In Litigation, But Not Fees Incurred In Arbitration.      In CB Richard Ellis, Inc. v. Terra Nostra Consultants, Case No. G049803 (4th Dist., Div. 3 Oct. 7, 2014) (partially published; fee discussion published), plaintiff listing broker sued to recover a commission in an arbitration between

Estoppel/Section 1717: Nonsignatories To Operating Agreement Not Entitled To Fee Recovery

Cases: Estoppel, Cases: Nonsignatories, Cases: Section 1717

  Recovery on Fiduciary Duty Aiding/Abetting Count Not Justify Fees, Even Though Plaintiff Recovered $7.1 Million Jury Verdict.      Plaintiff recovering a $7.1 million jury verdict on a fiduciary duty aiding/abetting count was not happy when a fees motion was denied. Plaintiff appealed from the fee denial in American Master Lease LLC v. Idanta Partners

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