Cases: Section 1717

Fee Clause Interpretation, Prevailing Party, Section 1717: Lower Court Erroneously Denied Attorney’s Fees To Plaintiff Who Obtained A Majority Of What She Wanted In A Loan Agreement Case With A Fees Clause Only Covering A Judicial Foreclosure Case

Cases: Fee Clause Interpretation, Cases: Prevailing Party, Cases: Section 1717

Under Civil Code Section 1717, Lack of Recital Saying Contract Was Negotiated/Executed With Counsel Representation Kept The Clause From Applying Narrowly, With The Matter Remanded For Purposes Of Determining If Plaintiff Was The Prevailing Party For Fees Even Though Plaintiff Did Not Pursue Routine Costs Recovery.             In Andrade v. Western Riverside Council of Governments, […]

Fee Clause Interpretation, Section 1717: Lower Court Erred In Denying Fees To A Parties’ Successor Under An Easement Settlement Agreement

Cases: Fee Clause Interpretation, Cases: Section 1717

Fees Clause Did Encompass The Parties And Their Successors.             In Elusive 8307, LLC v. Canterman, Case No. B321096 (2d Dist., Div. 4 Jan. 3, 2024) (unpublished), prior owners of plaintiff's and defendant's adjacent properties entered into a settlement agreement granting an easement to plaintiff over a portion of defendant’s property.  Plaintiff lost an easement

Section 1717, Unlicensed Contractors: Unlicensed Contractor Obtaining $28,413 Contractual Fee Award Was Affirmed On Appeal Because It Was “On The Contract”

Cases: Section 1717, Cases: Unlicensed Contractors

Breadth Of Clause Led To The Result.             Co-contributor Mike had wished we had this decision many moons ago because the Second District, in an unpublished decision before the law had evolved, denied fees to an unlicensed contractor only seeking attorney’s fees, not construction compensation, in an arbitration proceeding.             In Rodgers v. HB Construction,

Deeds Of Trust, Section 1717: $31,617 Attorney’s Fees Award Under Deed Of Trust Fees Clause Affirmed Against A Nonsignatory Who Was An Alter Ego In A Fraudulent Conveyance DOT Case

Cases: Deeds of Trust, Cases: Section 1717

DOT Fees Clause Was Broad, Encompassing The Tort Claim For Fraudulent Conveyance.              In the deed of trust area, whether a lender can obtain recovery of contractual attorney’s fees after prevailing in a case depends on its breadth:  if it is broad, lender likely prevails; if it is narrow (such as only saying the fees

Section 1717: Plaintiff’s Dismissal Of Lawsuit Predicated On Overpayment Under Notes With A Contractual Fee Clause Did Not Give Rise To Civil Code § 1717 Exposure

Cases: Section 1717

$20,041.50 Defense Fee Award Under Section 1717 Reversed As A Matter Of Law.             In Shetty v. Doshi, Case No. B321391 (2d Dist., Div. 4 Aug. 17, 2023) (unpublished), plaintiff brought an action claiming he overpaid on a promissory note and was subject to a usurious interest, although also bringing Financial Code and unfair competition

Section 1717: Dismissal Of Complaint Alleging Breach Of Contract, Whether Based On Contract Or Breach Of A Contractual Duty, Did Not Result In Fee Exposure Under Section 1717

Cases: Section 1717

Santisas (Our Leading Case #6) Dictated The Result.             In Rubin v. Cho, Case No. A165667 (1st Dist., Div. 5 July 6, 2023) (unpublished), close to trial, plaintiff dismissed a breach of contract complaint alleging the seller of a house failed to disclose all known material facts and defects affecting the property and make other

Section 1717: Denial Of Fees To Prevailing Creditor Was Correct Because Substantive Claims Were Not Based On A Note With A Fee Clause

Cases: Section 1717

Fee Entitlement Found Missing.             In Port Blue LLC v. Perlstein, Case No. B313030 (2d Dist., Div. 1 June 27, 2023) (unpublished), the trial judge denied contractual fees under a note to a prevailing creditor.  That result was affirmed on appeal because the rescission, money had/received, and declaratory relief claims were not based on the

Section 1717: $19,468.85 Fees Award Reversed As A Matter Of Law Because There Was No Contract With A Fee Clause

Cases: Section 1717

Fee Entitlement Was Missing In This Case.             In Fischer v. Ponce, Case No. B314254 (2d Dist., Div. 1 June 23, 2023) (unpublished), a party obtained judgment after a demurrer was sustained without leave, a determination affirmed on appeal.  The lower court then granted the prevailing party $19,468.85 in attorney’s fees.  That award was reversed

Fee Clause Interpretation, Section 1717: Second District Reverses Fee Awards Totaling $680,104.12 As A Matter Of Law

Cases: Fee Clause Interpretation, Cases: Section 1717

One Award Reversed Because It Only Covered An Arbitration/Ensuing Litigation Even Though No Arbitration Occurred, And Other Award Overturned Because It Was Unclear That Fiduciary Breach Claim Was Not Barred By Santisas.             San Jose Nihonmachi, LLC v. Miraido Corp., Case No. B323093 (2d Dist., Div. 1 Jan. 4, 2023) (unpublished) shows how the absence

Section 1717: $74,930.80 Fee Award And $18,339.56 Costs Award Against Prevailing Party Neighbors In Equitable Servitude Dispute Affirmed On Appeal

Cases: Section 1717

Equitable Servitude in an Amended Declaration if a Contract Under Civil Code Section 1717.          In DeBevoise v. Robinson, Case Nos. D078207/D078679 (4th Dist., Div. 1 Dec. 29, 2022) (unpublished), neighbors got involved in an equitable easement dispute, with plaintiffs/cross-defendants getting equitable easement relief and also obtaining a prevailing party contractual fees award under an

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