Cases: Section 1717

Deed Of Trust, Section 1717: Plaintiff’s Post-Foreclosure Challenges To Sheriff’s Sale Was Not “On The Contract” For 1717 Fee Purposes

Cases: Deeds of Trust, Cases: Section 1717

  $63,120 Fee Award Reversed.      The Second District, Division 5, in Vega v. Goradia, Case No. B254585 (2d Dist., Div. 5 Feb. 26, 2015) (unpublished), confronted a $63,120 fee award to a prevailing defendant in an action brought by a plaintiff making certain post-foreclosure challenges to a sheriff’s sale (such as alleged notice of […]

Allocation, Section 1717: $1,047,250 Fee Recovery To Plaintiff Landlord Affirmed On Appeal

Cases: Allocation, Cases: Section 1717

  Appellate Court Rejected Various Arguments that Fees Should Have Been Apportioned.      Plaintiff landlord won prevailing party fees under Civil Code section 1717, pursuant to a lease fees clause, against tenant Bank after plaintiff won compensatory damages of $1,016,812.50 after a two-phased trial (with the compensatory damages component subsequently settled out). Although initially requesting

Fee Clause Interpretation, Section 1717: Prevailing Alter Ego Entitled To Fee Recovery Based On Fee Clause Allowing For Same In A Payment Dispute

Cases: Fee Clause Interpretation, Cases: Section 1717

  Reynolds Metal Drove the Reversal.      Cooley Constr., Inc. v. Matthews, Case No. G050422 (4th Dist., Div. 3 Feb. 24, 2015) (unpublished) was a situation where an alter ego defendant prevailed against a plaintiff in a construction payment dispute, which had two fees clauses—one specifying no fees for construction disputes and another allowing recovery

Section 1717: Tenaciously Litigating Plaintiff Losing Case On Demurrer/Summary Judgment Properly Suffered Adverse Fee Award Of $254,886

Cases: Section 1717

  Fee Award Based on Settlement Agreement Fees Clause.      In Daria v. Level Studios, Inc., Case No. B249801 (2d Dist., Div. 6), the defense prevailed in a tenaciously litigated action brought by plaintiff where a trial court ultimately sustained a demurrer and then granted a summary judgment—with many claims dismissed based on releases in

Allocation/Section 1717: $740,257.50 1717 Fee Award Reversed Because Appellate Court Could Not Determine If Lower Court Actually Exercised Discretion To Apportion Award Between Compensable And Noncompensable Claims

Cases: Allocation, Cases: Section 1717

  Discretion Was Abused When There Was No Hearing And Only One Sentence Fee Award.      NICO Alloys v. American Metal Group, Case Nos. B251688/B253987 (2d Dist., Div. 2 Feb. 5, 2015) (unpublished) is an example of where a lower court and fee claimant need to do a little more to sustain a fee award

Fee Clause Interpretation, Judgment Enforcement, Section 1717: Judgment Debtor Properly Denied Fee Recovery Under CC 1717 Because He Didn’t Prevail On Motion To Vacate Renewed Judgment And 1717 Fees Clause Did Not Pertain To Motions Narrowly

Cases: Fee Clause Interpretation, Cases: Judgment Enforcement, Cases: Section 1717

  Unusual Holding in Rainier Decision Did Not Compel Contrary Result.      In Mir v. Iungerich & Spackman, Case No. B250393 (2d Dist., Div. 3 Jan. 29, 2015) (unpublished), judgment debtor obtained partial success on a motion to vacate a renewed judgment arising from a legal retainer agreement with a fees clause. Judgment debtor persuaded

Deeds Of Trust/Section 1717: Fee Denial Against Trustee Sale Third Party Purchaser Affirmed, But Fee Denial Against Purchaser Assuming Trustor Position On Senior Trust Deed With Fees Clause Reversed

Cases: Deeds of Trust, Cases: Section 1717

  Split Decision For Third Party Purchaser At Trustee’s Sale Involving Second Deed of Trust.      Nonsignatory plaintiff purchased a property at a trustee’s sale of a junior lienholder, eventually bringing an action to sue certain defendants to determine amounts owed under the first (senior) deed of trust and set aside the trustee’s sale of

Equity, Section 1717: Plaintiff Losing Shareholder Derivative Claim Liable For Defense Attorney’s Fees

Cases: Equity, Cases: Section 1717

  Reciprocity Required Under Section 1717, Given Unfairness of Other Result.      In Trejo v. Arriaga, Case No. D064410 (4th Dist., Div. 1 Jan. 21, 2015) (unpublished), plaintiff 50/50 shareholder in a closely-held corporation lost an amended shareholder derivative lawsuit against defendant 50/50 shareholder. Defendant nonsuited plaintiff based on a failure to prove damages. Defendant

Section 1717: Subcontractor Failing To Provide Admissible Proof Of Contract In Fee Proceeding Properly Denied Recovery

Cases: Section 1717

  Big Practice Tip—Make Sure Contractual Predicate Is Provided For Motion In An Evidentiary Sense.      Century Quality Management, Inc. v. JMS Air Conditioning and Appliance Service, Inc., Case No. B255326 (2d Dist., Div. 7 Jan. 21, 2015) (unpublished) is a very good decision offering an important practice tip for a fee claimant—make sure that

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