Cases: Section 1717

Allocation/Reasonableness Of Fees/Section 1717: $1.6 Million Fee Award Against Nonsignatory Losing Plaintiffs Based On Lease Fee Clause Affirmed On Appeal

Cases: Allocation, Cases: Reasonableness of Fees, Cases: Section 1717

  Allocation, Nonsignatory, and Unsuccessful Work Arguments Rejected.      In Cal-Murphy, LLC v. Hines Interests Limited Partnership, Case Nos. A137609/A139772 (1st Dist., Div. 5 Aug. 1, 2014) (unpublished), non-prevailing parties appealed some adverse fee rulings, which aggregated about $1.6 million. With a very slight modification, the orders were sustained on appeal.      Non-prevailing plaintiffs were […]

Prevailing Party/Section 1717: Defendants/Cross-Complainants Prevailing In Brokerage Commission Dispute Entitled To Substantial Fee Recovery

Cases: Prevailing Party, Cases: Section 1717

  $520,182.25 Is the Affirmed Fee Award.       In American Diversified Properties, Inc. v. RE/EX Valencia, Inc., Case No. B246501 (2d Dist., Div. 8 July 25, 2014) (unpublished), plaintiff lost a brokerage commission dispute to two co-defendants, with the lower court awarding the defendants (one of which was a cross-complainant) $520,182.25 in fees under a

Prevailing Party/Section 1717: Defense Successfully Asserting Lack Of Standing Entitled To Fee Recovery Against Non-Prevailing Plaintiff Based On Civil Code Section 1717

Cases: Prevailing Party, Cases: Section 1717

  Real Property Service Case Found Dispositive.      After the business deteriorated, a plaintiff under an agreement with a fees clause sued defendant for selling a florist business, raising contract, UCL, fraud, and negligent misrepresentation claims. In Phase I of a court trial, the trier of fact found that the plaintiff lacked standing to sue

Section 1717: $91,180 Fee Award Based On Promissory Note Clause In Real Estate Deal Affirmed On Appeal

Cases: Section 1717

Reason is that Civil Code section 1717(a) Says that Narrow Fee Clause Still Applies to the Entire Contract ​In Lillibridge v. Kennington, Case Nos. D062020/D062935 (4th Dist., Div. 1 June 27, 2014) (unpublished), defendants won a demurrer without leave against plaintiffs’ First Amended Complaint involving a real estate dispute, a merits determination affirmed on appeal.

Prevailing Party/Sanctions/Section 1717: $60,000 Sanctions Award Against Plaintiffs/Plaintiffs’ Counsel Under CCP § 128.7 Affirmed

Cases: Prevailing Party, Cases: Sanctions, Cases: Section 1717

Additional $60,000 Fee Recovery Against Plaintiffs For Dismissed Tort Claims Also Sustained Based On Breadth Of Fees Clause. ​ Peake v. Underwood, Case No D061267 (4th Dist., Div. 1 June 25, 2014) (partially published) is a great primer on CCP § 128.7 sanctions, on how to properly present such a sanctions request, and on the

Appealability/Prevailing Party/Section 1717: Defense Properly Denied Attorney’s Fees Because She Was Not The Clear Winner

Cases: Appealability, Cases: Prevailing Party, Cases: Section 1717

Easement Dispute Produced Mixed Result, Likely More Pro-Plaintiffs In Nature. ​This one involved a water well easement dispute by adjoining owners, prompting a suit by plaintiffs when defendant locked the pump house and put up a “no trespassing” sign. The lower court ultimately upheld plaintiffs’ right to use of some water from the well, but

Prevailing Party/Section 1717: $90,000 Fee Award To The Defense For Prevailing On Provisional Receiver/Injunction Requests Reversed Where Plaintiff Voluntarily Dismissed Without Prejudice

Cases: Prevailing Party, Cases: Section 1717

  Dismissal Occurred Before Any Definitive Merits Adjudication—Santisas Governed.      In German American Capital Corp. v. 1495 Pacific Highway, LLC, Case No. D063446 (4th Dist., Div. 1 June 24, 2014) (unpublished), plaintiff sued on some loan documents, asking for appointment of a receiver and judicial foreclosure, among other things, based on deeds of trust containing

Prevailing Party/Section 1717: Landlord Winning 72.36% Of Fee Recovery Based On Tenant Responsibility Was Entitled To Fee Recovery Of $21,372.25

Cases: Prevailing Party, Cases: Section 1717

  Prevailing Party Is A Discretionary Determination Where No One Is A Clear Winner.      2845 Monterey Road, LLC v. Posada, Case No. H039053 (6th Dist. June 23, 2014) (unpublished) is a discretionary “prevailing party” determination under a landlord-tenant dispute with a lease having a fees clause. Ultimately, landlord seemed to prevail, but not by

Allocation/Section 1717: $41,350 Fee Award Reversed Because Only One Claim Was “On The Contract” Under 1717 And No Apportionment Decisions Made By Lower Court

Cases: Allocation, Cases: Section 1717

  Silence in the Record as to Apportionment Required Remand.      The Third District in Painter v. Francis Realty, Inc. Profit Sharing Plan, Case No. C073864 (3d Dist. June 23, 2014) (unpublished) considered a situation where a borrower under a promissory note/deed of trust brought multiple causes of action against creditor. The problem was that

Estoppel/Prevailing Party/Section 1717: Long-Standing Dispute Over L.A. Metro Red Line Subway Performance Looks Like It Is Winding To A Conclusion

Cases: Estoppel, Cases: Prevailing Party, Cases: Section 1717

  Fee Exposure Frenzy Did Play Out on Appeal.      Tutor-Saliba-Perini J.V. v. L.A. County Metro. Transp. Auth., Case No. B232372 (2d Dist., Div. 7 June 16, 2014) (unpublished) ultimately came down to a situation of what party might obtain attorney’s fees in a two decades battle over compensation owed for work on the Los

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